JAKARTA (Yosefardi) – The Lower House of Reprsentatives (DPR) and the government of Indonesia have on Thursday (Feb 5) set the subsidy of Rp64.7 trillion for fuel and liquefied petroleum gas (LPG) for this year, lower than Rp81.8 trillion proposed by the government.
The subsidy is set under the assumption of Indonesia crude oil price at US$60 per barrel and rupiah at Rp12,500 per US dollar. In volume wise, fuel subsidy for this year reaches 17.9 million kiloliters and LPG subsidi is 5.8 million kilograms.
In rupiah nominal, the fuel subsidy (kerosene, diesel fuel, biofuel) for this year amounts Rp20.5 trillion. Fixed subsidy for diesel fuel and biodiesel is set for Rp1,000 per liter. The subsidy for LPG (3 kg) is set for Rp21.5 trillion. While carry over subsidy from 2014 totals Rp33 trillion.
Meanwhile the electricity subsidy for this year is set for Rp73.1 trillion.