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View all search resultsJune 17, OnlineThe House of Representatives approved the government's proposed fuel-price hike as it endorsed the draft bill of the 2013 revised state budget in a plenary session in Jakarta on Monday
strong>June 17, Online
The House of Representatives approved the government's proposed fuel-price hike as it endorsed the draft bill of the 2013 revised state budget in a plenary session in Jakarta on Monday.
Under the revised state budget, the price of fuel will increase by 33 percent to Rp 6,500 (66 US cents) per liter.
During the session, 338 legislators voted in favor of the bill, while 181 lawmakers rejected it.
Five factions ' the Democratic Party, the Golkar Party, the National Mandate Party (PAN), the National Awakening Party (PKB) and the United Development Party (PPP) ' supported the passing of the law.
Meanwhile, four factions ' the Indonesian Democratic Party of Struggle (PDI-P), the People's Conscience Party (Hanura), the Great Indonesia Movement (Gerindra) Party and the Prosperous Justice Party (PKS) ' opposed the revised budget.
Your comments:
The price of a 158 liter barrel of oil is about 63 US cents per liter. Considering that the oil still needs to be transported to Indonesia from countries such as Saudi Arabia and Iran, then needs to be refined into petrol and then finally distributed to petrol stations, how on earth can they sell it for 66 US cents per liter? Where is the profit?
Is there still is a subsidy for oil producers in the Middle East? Meanwhile, Indonesian children are unable to get the education they deserve.
Dunder
The subsidy is for the people of Indonesia, supposedly aiming at the lower income group.
However, this is misplaced as the major beneficiary of the subsidy is the middle income group who owns cars and more motorcycles, which consume more fuel compared to the lower income bracket.
They should increase government spending on education, health, security and infrastructure, but the nation has been mislead on the subsidized fuel issue for decades.
Floating the fuel price will come as a huge shock to the people and this will shock growth. Remember, the majority of the people here earn less than $5 a day.
They won't be able to pay for transport to go to work. The question now is, can the government spend more on basic necessities for the people?
I think the main concern is that there's lack of trust and faith in the government, as the political world here is smeared with corruption.
Kevin L.
There are some groups from different levels of society that don't agree but I agree with the government's plan to raise the fuel price.
Aswinr
The fuel price hike will affect the poorest.
The rich and the politicians in their SUVs will not be touched. It's not fair.
Sularia
Topic of the day
Fuel price hike
The House of Representatives on Monday voted 'yes' on the government's proposal to reduce the fuel subsidy in an effort to ease pressure on the state budget. What do you think?
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