Having A Debt Of IDR 109 Trillion, The Government Prepares Cash For Pertamina And PLN To Secure Energy Subsidies

Illustration (Photo: Doc. Ministry of Finance)

JAKARTA - The government through the Ministry of Finance (Kemenkeu) emphasized that the production and business activities of Pertamina and PLN can continue to run well amid the current soaring production burden.

Head of the Fiscal Policy Agency (BKF) of the Ministry of Finance, Febrio Kacaribu, said that the two state-owned companies had a fairly important task in mandating the provision of energy for the community. Therefore, the government will provide funding support as part of the subsidy policy so that the final selling value in the country can be affordable.

"The government will continue to look at the financial condition of Pertamina and PLN and ensure not only in terms of financial flows, but how they can carry out the activities from the assignments given. Then the government will provide sufficient cash," he said when giving information to reporters online on Friday, May 13.

According to Febrio, the commitment to fulfill funds for Pertamina and PLN is also a real step in optimizing the State Revenue and Expenditure Budget (APBN) to protect the public.

"So we already know Pertamina and PLN must stay healthy. Of course, this is in line with the context that the government also has a duty to maintain people's purchasing power," he stressed.

As is known, on April 1, the government decided to increase the selling price of Pertamax from the previous Rp9,000 to Rp12,000 per liter in order to adjust to the rising price of raw materials for oil. Meanwhile, the Pertalite type of subsidized fuel still stands at the level of Rp. 7,650 per liter.

According to VOI records, the value of energy subsidies for fuel, LPG, and electricity for the period January to February 2022 has reached IDR 21.7 trillion. This figure has skyrocketed from the realization of energy subsidy payments in 2021 which amounted to Rp. 12.2 trillion and Rp. 10.8 trillion in 2020.

Meanwhile, the Minister of Finance (Menkeu) Sri Mulyani had revealed that the government had arrears of Rp. 109 trillion to Pertamina and PLN as a lack of subsidy payments.

In detail, the state treasurer stated that the total debt to Pertamina was Rp. 68.5 trillion. This figure includes the remaining underpayment of subsidies for the 2020 period, which is Rp. 15.9 trillion.

Then for PLN, the government's total liability was recorded at Rp. 24.6 trillion without any underpayments from 2020.

"Here the state budget takes all the pressure that comes from fluctuations in oil prices so that people don't experience the impact," said Minister of Finance Sri Mulyani at the end of March.