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View all search resultsGovt, House set 2012 power subsidy at Rp 45t
JAKARTA: The Energy and Mineral Resources Ministry and House of Representatives Commission VII overseeing energy agreed on Thursday to set the electricity subsidy for 2012 at Rp 45 trillion (US$5
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J
AKARTA: The Energy and Mineral Resources Ministry and House of Representatives Commission VII overseeing energy agreed on Thursday to set the electricity subsidy for 2012 at Rp 45 trillion (US$5.08 billion).
The amount comprises a subsidy of Rp 40.5 trillion plus Rp 4.5 trillion from the 2010 subsidy allocation that had not been disbursed by the government.
During the hearing session, the Commission said that it could not agree on the government’s proposal to increase power tariffs by 10 percent next year. The commission requested the government and state electricity utility PT PLN to conduct a comprehensive study on the impact of the tariff increase.
The hearing concluded that PLN had to work harder to reduce production costs by fulfilling the gas needs of the Muara Tawar power plant in West Java that is currently facing gas-shortage problems.
