Impact Of COVID-19, Entrepreneurs Ask For More Payment For Electricity, Erick Tohir: Wait For Policy

JAKARTA - State-Owned Enterprises (BUMN) Minister Erick Thohir revealed that currently the government has prepared a scheme for entrepreneurs affected by the corona virus or COVID-19. Among other things, namely a reduction in loan interest rates at state-owned banks.

"I think if we talk about a large stimulus, the policy will be with the Minister of Finance. We cannot be partial. But what is certain is that state-owned banking companies are asked to reduce interest rates for SMEs," said Erick, via video conference with journalists, at the SOE Ministry Office. , Jakarta, Tuesday, March 24.

Erick said that currently the scheme has arrived at the table of President Joko Widodo (Jokowi). This is because his party has sent a letter to Jokowi which is copied to the Minister of Finance Sri Mulyani Indrawati.

"We have made a scheme for companies whose industries are clearly affected today, there are hotels, restaurants and others. That is already there, awaiting a decision," he said.

Regarding the businessman's request for electricity discount for industry players, Erick said that he could not provide certainty. However, he admitted, he could understand what entrepreneurs were facing in the current conditions.

"If there is a problem with electricity, Telkom and all kinds, we are waiting for policies. What is certain is that with this kind of situation, we understand the difficulties of entrepreneurs, because of that the Himbara banks had a meeting yesterday on Saturday, to carry out what kind of stimulus we can help, not only UKM, but also what I said earlier, "he said.

The General Chairperson of the Indonesian Textile Association, Jemmy Kartiwa, made a request for leniency in electricity payments during a video conference with journalists regarding the state of the textile industry in the midst of the COVID-19 outbreak.

Jemmy said that entrepreneurs need concessions in the form of delaying electricity tariff payments for the next six months with installments in the form of a 12 month postponed current account.

"In addition, there is also 50 percent discount on idle load rates for 22.00 WIB to 06.00 WIB," said Jemmy, Monday, March 23.

In addition, Jemmy also asked the government to accelerate the reduction in gas prices to US $ 6 per MMBTU starting April 2020.

Jemmy hopes that concessions will also emerge from the industrial sector in the form of tariff protection for apparel, to the environmental sector in the form of lifting regulations on fly ash, bottom ash, and B3 waste which in other countries are not categorized as hazardous waste and are instead used as raw materials for brick and road blocks. .

According to Jemmy, this request for concessions was submitted by entrepreneurs in order to survive in the midst of the COVID-19 outbreak, so that there would be no breakdowns (layoffs). "Frankly, all industries need a deep breath to get to the point of layoffs," he said.

So far, Jemmy said, no API member had imposed layoffs considering the impact of COVID-19 was not too big. However, now there are signs of decreasing demand, especially from abroad. Several companies have experienced delivery delays due to lockdown policies in many countries.

This trend has the potential to disrupt the company's financial flows. If it is not immediately anticipated, Jemmy is worried that it could lead to a wave of layoffs. "This threatens 3 million workers in our textile industry," he said.