…we hope that the price increase will not be too much, so that it can still be afforded by Jakarta residents in particular.
Jakarta (ANTARA) - The Jakarta provincial government is making efforts to check any inflation potential following the subsidized fuel oil price increase.

"There is almost certainly a price increase. However, we hope that the price increase will not be too much, so that it can still be afforded by Jakarta residents in particular," Deputy Governor of Jakarta, Ahmad Riza Patria, said in City Hall on Monday.

Patria, however, is yet to disclose the measures taken to curb the risk of inflation.

His administration is still discussing efforts to reduce price increases and has held a number of cross-sectoral and institutional coordination meetings in the food sector in Jakarta, which have included regional state-owned enterprises.

"We continue to coordinate with all stakeholders, especially the Food, Maritime, and Agriculture Security Office and Pasar Jaya Region-Owned Enterprise. Basically, everything related to food and inflation, we conduct meeting of adjustment," Patria informed.

In addition to checking price increases, the discussions have also focused on solutions for maintaining people's purchasing power in the midst of inflation, he said.

According to him, the increase in subsidized fuel prices is expected to impact all sectors, including transportation, logistics, and more.

“Later, we will continue to coordinate with the central government, all stakeholders, (on) how we can respond to this well; of course, there will also be efforts to adjust prices," he added.

President Joko Widodo recently decided to revise the price of subsidized fuel.

Accordingly, the price of subsidized Pertalite fuel increased from Rp7,650 per liter to Rp10 thousand per liter, subsidized diesel from Rp5,150 per liter to Rp6,800 per liter, and non-subsidized Pertamax from Rp12 thousand to Rp14,500 per liter.

The price of subsidized fuel was increased after the government's budget for subsidies and energy compensation swelled to Rp502.4 trillion from the initial Rp152.5 trillion.

Most of the subsidies went to people belonging to the middle to higher socioeconomic classes.

"More than 70 percent of the subsidy is actually enjoyed by affluent people, owners of private cars," President Widodo remarked at a press conference held to announce the adjustment of subsidized fuel prices at Merdeka Palace, here on Saturday (September 3, 2022).

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Translator: Dewa Ketut S W, Mecca Yumna
Editor: Sri Haryati
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