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View all search resultsNew electricity taxes for households to take effect in May
The government will apply new electricity taxes for households with a capacity of 1,300 and 2,200 VA starting in May
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The government will apply new electricity taxes for households with a capacity of 1,300 and 2,200 VA starting in May.
The plan is outlined in Energy and Mineral Resources Ministerial Regulation (Permen) No. 9/2015 on changes to Permen ESDM No. 31/2014 on the electricity tax imposed by state-owned electricity company PT Perusahaan Listrik Negara (PLN), as quoted by Antara from the Energy and Mineral Resources Ministry website in Jakarta on Sunday.
According to Permen ESDM No. 9, which was signed by Energy and Mineral Resources Minister Sudirman Said on March 4, the tariff adjustment will be conducted every month and refer to three market indicators that influence electricity supplying main costs (BPP).
The three indicators are: rupiah exchange rate against the US dollar, Indonesia crude price (ICP) and inflation.
Permen ESDM No. 9 also stipulates that the monthly taxes for 1,300 and 2,200 VA electricity households will be determined by market conditions two months prior.
Currently, PLN applies a fixed tariff of Rp 1,352 (about 10 US cents) per kilowatt hour (kWh) for R1-category households which use 1,300 and 2,200 VA.
In May, tariff adjustments will be applied to the two consumer categories and the taxes can be increased or decreased depending on the realized rupiah exchange rate, ICP and inflation in March.
PLN will determine the tariff adjustments based on formulas set by the government, and will report to the energy and mineral resources minister every month.
In line with Permen ESDM No. 31/2014 signed on Nov. 5, 2014, the government would apply market-based tariff adjustments for 12 categories of electricity consumers, including households with 1,300 and 2,200 VA electricity capacities, beginning Jan. 1, 2015.
However, the government delayed the new taxes from households with 1,300 and 2,200 VA electricity capacities until May 2015.
Meanwhile, tax adjustments for 10 other categories have been applied since Jan. 1, 2015. (ebf)
