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Jonan Confirms Government's Commitment Related to Electricity Tariff

by Sebastianus Epifany Tuesday, September 5, 2017 - 10:07

JAKARTA - Energy and Mineral Resources (ESDM) Minister, Ignatius Jonan reiterated that the government is still committed not to raise electricity tariff until the end of the year. This is in accordance with the instructions of the President of the Republic of Indonesia, Joko Widodo (Jokowi) who decided that there will be no adjustment in the electricity tariff from 1 July to 31 December 2017.

In addition to ensuring that electricity tariffs will not go up, Jonan also explained that the ESDM Ministry has requested that the electricity tariffs of all classes of customers may drop with efficiency measures of PT PLN (Persero). These efficiencies include the price of raw materials for energy sources as well as controlling governance and electrical management such as maintenance processes.

"Yes, still committed (not to raise electricity rates), the President and we all try not to raise electricity tariffs by the end of this year, so the electricity tariffs drop if it possible," said Ignatius Jonan as reported from (5/9).

Jonan also asserted, "PLN must perform energy efficiency, it has been a big commitment from PLN to make efficiency, so that if production costs changes can still be handled. Actually, the fluctuations are primary energy, such as coal, oil, and gas. For gas, we have set by making regulations where the price is reachable."

According to Jonan, the current government-borne job is to provide electricity to the currently uncharged areas of about 2,500 villages and in accordance with President Jokowi's direction, the Government is obliged to provide electricity to them.

"The President has issued a Presidential Regulation (Perpres) for us to provide lighting for village who has not have electricity by the pre-electrification program, and free supply of energy-efficient solar lamps. This year it conducted through APBN, not PLN," said Jonan.

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