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Electricity Rates Will Rise, Employers: Government and Irrational Panic

Electricity Rates Will Rise, Employers: Government and Irrational Panic

Jakarta - The government plans to raise electricity rates industrial class I - 3 to a non open ( PT) in July 2014 . On 1 May, has raised electricity tariffs pemeritah industry public company .

This plan received strong responses from the business world . According to Franky Sibarani , Deputy Secretary General of the Indonesian Employers Association ( Apindo ) , the increase in electricity tariff would greatly burden the business world .

" We must strongly disagree with the plan to increase the electricity tariff . Highly burdening employers , " said Franky to detikFinance , Wednesday ( 04/06/2014 ) .

According to Franky , the government measures taken on the basis of panic . This is because state revenues are down , so the government chose to impose on society and the business world .

" The government is panicking because of falling state revenues , so take the steps that are less precise and even irrational , " he said .

Additional load , said Franky , make domestic industry more and more difficult to compete the ASEAN Economic Community by 2015. " Said would improve the competitiveness of the industry ahead of the ASEAN Economic Community by 2015. , But the decision will weaken the domestic industry , it's not rational , " he said .

As is known , the government plans to raise electricity rates to certain groups in July. There are 5 categories that electricity rates will rise .

The first is I- 3 non- industry public company . This step is believed to save the budget of Rp 4.8 trillion .

Both are household R - 1 with power 3500-5500 VA with an average increase of 5.7 % every 2 months . Expected to save Rp 0.37 trillion .

Third is the household sector R1 to power 2,200 VA , the average increase of 10.43 % . The savings are obtained about $ 1 trillion .

The fourth is for the P - 2 above 200 KVA with an average increase of 5.36 % every 2 months . This increase will save Rp 0.10 trillion .

Fifth is street lighting P - 3 with an average increase of 10.69 % . Expected to save Rp 0.43 trillion