Government Accounting: Poor Weights Rp8 Trillion Of Increased Fuel Prices

JAKARTA - The government through the Ministry of Finance (Kemenkeu) has finally provided a detailed picture of the impact of the increase in subsidized fuel prices (BBM) for the poor.

Head of the Fiscal Policy Agency (BKF) of the Ministry of Finance said that the recent fuel sales price adjustment is suspected to have a total burden of up to tens of trillions of rupiah.

"In this context, we see the direct impact of the increase in bbm prices, namely the price of pertalite and diesel, so the community must bear around Rp50 trillion," he said through an online channel on Tuesday, September 6.

Febrio claimed that most of the estimates would be borne by the people with the status of being able or rich.

"Of the 50 trillions, the majority will be borne by community groups in deposits of 5.6.7.8.9, to the richest (10)," said Ferbrio.

While the rest will be attached to the lowest 40 percent class.

"Meanwhile, the poorest people are 40 percent, (desil 1.2.3.4) is around Rp. 8 trillion," he said.

Sri Mulyani's subordinate explained that in the result of 1 community being at the bottom, they bear a burden of Rp. 1.6 trillion. Followed by desil 2 of Rp. 1.7 trillion, a decrease of 3 is around Rp. 2 trillion and a decrease of 4 is Rp. 2.7 trillion.

"So if you total it, it's around Rp. 8 trillion," he said.

As previously reported, the government at the end of last week, September 3, 2022, raised the price of pertalite to IDR 10,000 per liter, from the previous IDR 7,650 per liter.

Then, the price of Pertamax again increased to Rp14,500 per liter from initially Rp12,500 per liter. Furthermore, the price of the subsidized diesel which was originally at Rp5,150 per liter increased to Rp5,800 per liter.

This decision cannot be separated from the 2022 energy subsidy budget of IDR 502 trillion which is considered insufficient even though it has been added from the previous IDR 158 trillion.