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Jakarta Post

Govt to spend $1 billion on electricity fee relief

  • Norman Harsono and Dzulfiqar Fathur Rahman


Jakarta   /   Sat, August 15 2020   /  01:00 am
Fickle numbers: Employees of state electricity firm PLN replace electricity meters at the Taman Palem Lestari housing complex in Cengkareng, West Jakarta, on Wednesday. (JP/Donny Fernando)

More than 33 million Indonesian homes, businesses and public services are poised to see lower monthly power bills until December as the government injects Rp 15.4 trillion ($1.05 billion) into three electricity relief schemes in its bid to accelerate the recovery of the pandemic-hit economy. The funding, part of the COVID-19 response, will be allocated on top of the Rp 54.79 trillion set aside for annual power subsidies, said the Energy and Mineral Resources Ministry’s electrification director general, Rida Mulyana, on Tuesday. It is expected that subsidizing the electricity fees will free up an estimated Rp 15.4 trillion in liquidity for customers, which the government hopes will boost household spending and help businesses avoid bankruptcy. “We hope these [subsidy] numbers will go down, meaning that business activities will have resumed,” Rida told r...