We all know that we need to prepare packages of energy subsidies at home for the people. Hence, the government decided to continue distributing energy subsidiesJakarta (ANTARA) - The Indonesian government targets to utilize a budget totaling Rp186.9 trillion (US$12 billion) in 2024 for energy subsidies.
"In 2024, the total value for fuel and LPG (liquified petroleum gas) subsidies is targeted at Rp113.3 trillion (US$7.2 billion)," the Energy and Mineral Resources (ESDM) Minister Arifin Tasrif stated in Jakarta on Monday.
"Meanwhile, a budget totaling Rp73.6 trillion (US$4.7 billion) is targeted for electricity subsidies."
He made the statement at a press conference titled "ESDM Performance Achievements 2023 and Work Programs 2024" held at the ESDM Ministry Building.
According to Tasrif, the government has considered to continue providing energy subsidies in an effort to maintain the people's purchasing power and anticipate an increase in the prices and demand for energy, especially crude oil.
"We all know that we need to prepare packages of energy subsidies at home for the people. Hence, the government decided to continue distributing energy subsidies," he explained.
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Tasrif noted that the realization of energy subsidies last year had reached Rp159.6 trillion (US$10.2 billion), involving Rp95.6 trillion (US$6.1 billion) for fuel and LPG subsidies and Rp64 trillion (US$4.1 billion) for electricity subsidies.
He remarked that the total figure exceeded the initial target of Rp145.3 trillion (US$9.3 billion).
The minister then emphasized the importance of synchronized steps for making the energy subsidy policy a success, including by ensuring efficient allocation in order to achieve subsidy targets.
"Everyone should work together to ensure that the government's policies, including those related to subsidies, are well-received by the public. We also need to ensure the efficiency of the subsidies provided," he remarked.
He expressed hope for positive changes at the global level, which, in turn, are expected to help the government to boost its energy subsidy efficiency at home.
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Translator: Benardy F, Tegar Nurfitra
Editor: Jafar M Sidik
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