Observer: The increase in the price of Pertamax fuel is a momentum for the middle class to evaluate their lifestyle

East Kalimantan (Kaltim) Mulawarman University (Unmul) Economic Observer Khairil Anwar said the increase in the price of Pertamax type of Fuel Oil (BBM) was a momentum for the middle class to evaluate their lifestyle so that they remain adaptive in the current economic situation.

"The middle and upper class society who are the main consumers of Pertamax is time to reduce consumer spending that is just a lifestyle," said Khairil Anwar in Samarinda, quoted by Antara, Saturday, June 13.

He assessed that the government did not have many options in this policy due to fiscal space constraints and Indonesia's position as a non-oil exporting country.

Khairil observed that although this increase in Pertamax (RON 92) occurred significantly from Rp12,300 to Rp16,250 per liter, the public and business actors were considered much more prepared to face economic pressures.

According to him, this readiness occurred because the public had learned from a series of past crises, such as in 2008, 2015, until the COVID-19 pandemic, where entrepreneurs now understand how to protect the value of their companies.

"Middle-class consumers should also have anticipated this condition several months earlier through a shift to more fuel-efficient cars and the adoption of a frugal lifestyle," said Khairil.

Khairil explained that the impact of the increase in Pertamax prices was more targeted at personal mobility, unlike the increase in solar which triggered a spike in commodity prices due to its influence on the national logistics sector.

As a solution, he recommends that the government immediately distribute social cushions to maintain people's purchasing power, and no less important is to intensify technical education with competent workshops on how to reduce vehicle operating costs.