President Jokowi Calls For Calculation of Electricity Subsidiy Shift

President Jokowi and Vice President Jusuf Kalla led a limited meeting on basic electricity tariff (TDL) at the Presidential Office, on Wednesday

President Joko “Jokowi” Widodo called for reconciliation between costumers of state-owned electricity company (PT. PLN) with customers of 450 watt capacity and customers of 900 watt capacity and the data on underprivileged family and prone to poverty.

“Reconciliation and data measures are important to make electricity subsidy meet the right target,” President Jokowi said in his remarks during a limited meeting discussing basic electricity tariff (TDL) at the Presidential Office on Wednesday (4/11) afternoon.

President Jokowi also asked Minister of Energy and Mineral Resources and PT. PLN to weigh several options so that the impacts of the shift of the electricity subsidy could be reduced maximally.

“I just want to remind you that in the last de-regulation package, there is a 30-percent cut of electricity tariff for industries during the night. Please be careful to oversee its implementation on the ground because according to the data that I have, many micro and small enterprises are included in the category,” the President said, adding that micro and small enterprises in villages and rural areas also need the subsidy.

“Do not let assumption going around that says we only provide assistance and incentives to big-scale industries through tariff reduction in the night, yet we revoke subsidy for micro and small enterprises in villages and rural areas,” President Jokowi firmly said.

According to the President, those measures and calculations need to be made thoroughly, so that problems related to basic electricity tariff will not burden the people.

Also attending the meeting were Vice President Jusuf Kalla, Coordinating Minister for the Economy Darmin Nasution, Coordinating Minister for Maritime Affairs Rizal Ramli, Coordinating Minister for Human Development and Culture Puan Maharani, Minister of Energy and Mineral Resources Sudirman Said, Minister of State Secretary Pratikno, Cabinet Secretary Pramono Anung, Presidential Chief of Staffs Teten Masduki, Minister of Finance Bambang Brodjonegoro, and Managing Director of PLN Sofyan Basyir.  (DND/FID/DNS/ES) (RAS/EP/YM/Naster)