Gov’t Supports Establishment of Holding Company in Energy Sector

President Jokowi chairs a limited cabinet meeting at the Merdeka Palace, Jakarta, Tuesday (01/31). Photo by: PR of Cabinet Secretariat.

The Government will support the establishment of holding and subholding of the state-owned electricity company PT PLN (Persero), according to Minister of Finance Sri Mulyani Indrawati.

“The formation of the holding and the subholding, in my opinion, have no obstacles in terms of taxation. We will support it,” the Minister said after attending a limited cabinet meeting chaired by President Joko “Jokowi” Widodo, at the Merdeka Palace, Jakarta, Tuesday (01/31).

The Minister said that the Government will take the necessary measures in terms of taxation to support the establishment of the holding and subholding companies.

In the cabinet meeting, the President also ordered relevant stakeholders to carry out coordination measures to support the PLN in carrying out the energy transition mechanism.

According to Sri Mulyani, there is a commitment of US$20 billion for various energy transition projects in the country.

“The President also ordered us to draft regulations to ensure the accountability and prudence of our endeavors,” the Minister remarked. (FID/UN) (RI/LW)