Urges The Government To Increase Solar Subsidy Up To Rp. 3,500 By 2023, Member Of Commission VII DPR Mulyanto: So That People Are Not Burdened By The Increase In World Oil Prices

Illustration. (Photo: Doc. Antara)

JAKARTA - Member of Commission VII DPR RI, Mulyanto, urged the government to increase the volume and amount of diesel subsidies in the 2023 State Budget. He assessed that after the COVID-19 pandemic slows down, industrial sector activities will begin to move quickly and people's mobility will be higher.

This means that the demand for industrial and transportation fuels will increase. Without an increase in the amount of supply, of course this will create vulnerability to the occurrence of fuel shortages.

Mulyanto proposed to the Government that the subsidy in 2023 for this type of diesel fuel be increased from Rp. 500 per liter to Rp. 3,500 per liter, to adjust to the increase in ICP (Indonesian crude oil prices) which touched the figure of 100 US dollars per barrel.

"This is important, so that the burden of rising world oil prices does not fall directly on the public in the form of an increase in diesel prices, but the burden is borne by the government, which acts as a shock absorber for the increase in world energy prices," said Mulyanto in his official statement, Monday, June 20.

He admitted that the discussion regarding the amount of the fixed diesel subsidy was indeed quite tough considering the relatively large additional budget. However, in the end, Commission VII of the DPR RI and the Minister of Energy and Mineral Resources agreed on a fixed diesel subsidy rate of Rp. 3000 per liter.

With this figure, it means that there is an increase in the diesel subsidy by six times from the current fixed diesel subsidy, which is Rp. 500 per liter. "The government has approved this figure for diesel subsidies. With a note that there will be restrictions on the use of diesel fuel so that it is right on target," said Mulyanto.

As is known, together with the Working Meeting of the Commission VII of the DPR RI with the Minister of Energy and Mineral Resources, they succeeded in agreeing on the Basic Assumptions of the ESDM Sector in the RAPBN 2023 as follows: 1) ICP of 90-110 US dollars per barrel, 2) the volume of subsidized diesel fuel is 16.5-17 million kilo liters, 3) LPG volume of 3 kilograms 8.00-8.50 million MTon, 4) fixed subsidies for diesel oil (gas oil 48) of IDR 3,000 per liter, and 5) electricity subsidies of IDR 69-72 trillion