Support The Subsidy Of Fuel Subsidy To Social Assistance, Chairman Of The DPR's Banggar: More Right Target

The chairman of the DPR Banggar, Said Abdullah. (Photo: Doc. Antara/Banggar DPR)

JAKARTA - Chairman of the DPR RI Budget Agency (Banggar) Said Abdullah stated that the support for reducing fuel oil subsidies (BBM) is so that it can be diverted to other sectors that are more targeted, such as education and health. "This fuel subsidy is considered inappropriate. It is time for us to support reducing energy subsidies and being reallocated into budgets needed by the poor, such as Direct Cash Assistance, labor wages assistance, productive social assistance for MSMEs (Micro, Small and Medium Enterprises) or health and educational facilities so that APBN funds are felt by the community more. This means that subsidies are transferred from the poor to the poor who really need them," Said said in a statement quoted by Antara, Monday, August 29. According to Said, subsidized fuel should be used for motorized vehicles and yellow plates (public vehicles) as well as online taxi vehicles, but subsidized enthusiasts are mostly rich, such as Pertalite, which 80 percent is consumed by the wealthy. The National Socio-Economic Survey Data (Susenas), the Central Statistics Agency stated that from the total Pertalite compensation allocation of Rp93.5 trillion which is budgeted in the APBN (according to Presidential Regulation 98), 86 percent or Rp80.4 trillion is enjoyed by households and the remaining 14 percent or Rp13.1 trillion is enjoyed by the business world.

However, what is an important note, is that from Rp80.4 T which is enjoyed by households, it turns out that 80 percent of them are enjoyed by capable households. And only 20 percent are enjoyed by poor households. If the fuel subsidy funds are transferred to other sectors that are more targeted, he continued, of course, the benefits will be felt for the community. For example, for the construction of elementary school (SD) or to complete medical equipment at each Kelurahan and Sub-district Health Center. "So if the lower middle class people seek treatment to the health center are not only given a referral letter to the hospital, but the Puskesmas can already handle the community at the hospital level," he said. Meanwhile, regarding private vehicles or luxury cars that enjoy subsidized fuel, Said emphasized that the Government should revise Government Regulation (PP) which regulates that subsidized fuel is only for motorized vehicles and public transportation. "So when making revisions, points can be added. Namely, if a gas station gives fuel subsidized fuel to a private vehicle or luxury car, the gas station permit will be revoked. That way, automatically no gas stations will serve subsidized fuel for private vehicles or luxury cars," said Said.