Transfer The Fuel Subsidy To The Poor, Jokowi Gives IDR 150,000 Per Month

Poor people will be provided with BLT BBM. (photo: dock. between)

JAKARTA - The government has officially increased the price of Pertalite and Solar fuel oil (BBM) on Saturday, September 3, 2022. According to President Joko Widpdp, this choice was the last choice taken by the government by adjusting fuel prices and diverting some fuel subsidies for more targeted assistance.

"The government should prioritize state money to subsidize the underprivileged people and at this time the government must make deficiencies in difficult situations," Jokowi said at a press conference, Saturday, September 3.

For this reason, the government has prepared BBM Direct Cash Assistance (BLT) of IDR 12.7 trillion which will be given to 20.65 million underprivileged families of IDR 150 thousand per month and will be given in September for 4 consecutive months.

In addition, the government has also prepared a budget of Rp9.6 trillion for 16 million workers with a maximum salary of Rp3.5 million per month in the form of wage subsidy assistance given at Rp600,000.

"I have also ordered local governments to use two percent of public transfer funds of IDR 2.17 trillion for public transportation assistance, online motorcycle taxi assistance and for fishermen," Jokowi continued.

Meanwhile, the government is committed that the use of subsidies which are public money must be right on target and must be more beneficial to the underprivileged.

Jokowi personally said that he actually wanted the domestic fuel price to be affordable by providing a subsidy for the state budget. However, he said the fuel subsidy budget would continue to rise.

"But the subsidy budget and compensation for fuel in 2022 has increased 3 times from Rp152.5 trillion to Rp502.4 trillion and will continue to increase," he said.

Moreover, said Jokowi, currently 70 percent of fuel subsidies are mostly used by capable economic groups, namely private car owners. The government through the Ministry of Energy and Mineral Resources (ESDM) officially adjusts the price of fuel oil (BBM) subsidies of the Pertalite and Solar Subisidi types.

For the new price, the government priced Pertalite, which was previously Rp7650 per liter, to Rp10,000 per liter, Solar Subsidy, which was previously Rp5,150 per liter, increased to Rp6,800 per liter.

"Today, September 3, 2022, at 13.30 WIB, the government decided to adjust the price of subsidized fuel, including Pertalite from Rp. 7650 per liter to Rp. 10,000 per liter and diesel from Rp. 5,150 per liter to Rp. 6800 per liter, Pertamax from Rp. 12,500 to Rp. 14,500 per liter," said ESDM Minister Arifin Tasrif at a press conference with President Jokowi and Minister Regarding the Transfer of Subsidy to Fuel, Merdeka Palace, Saturday, September 3.