BLT Policy Assessed Can Repress Cooking Oil Scarcity

Traders prepare fried food at their stall on Jalan Sisingamangaraja, Palangkaraya, Central Kalimantan, Saturday (2/4/2022). (BETWEEN PHOTOS/Meaning of Zaezar)

JAKARTA - Research Director of the Center of Reform on Economics (Core) Indonesia Piter Abdullah in Jakarta, Monday, said the direct cash assistance (BLT) policy for cooking oil could reduce the scarcity of this commodity in the market.

"With the BLT policy and the removal of bulk cooking oil subsidies, the scarcity of cooking oil will be resolved," Piter said in a statement received in Jakarta, reported by Antara, Monday, April 4.

According to him, the BLT policy and the removal of bulk cooking oil subsidies by the Government can overcome the scarcity of cooking oil products in the community.

BLT for cooking oil is the Government's policy to overcome the problem of rising cooking oil, which has a major impact on the lower class of society.

The BLT program replaces bulk cooking oil subsidies, which in fact trigger shortages due to fraud such as hoarding and smuggling, he said.

"I prefer the BLT policy compared to bulk cooking oil subsidies which are prone to fraud," he said. The government provides BLT cooking oil to the recipients of the Family Hope Program (PKH) and Non-Cash Food Assistance (BPNT). The BLT will be given in the amount of IDR 100,000 every month and distributed for three months at a time starting April 2022.

"The assistance will be given to 20.5 million families, who are included in the BPNT and PKH lists, as well as 2.5 million street vendors who sell fried food," said President Joko Widodo, Friday, April 1.

The assistance is given for a period of three months at once, namely April, May, and June, which is paid in advance in April 2022 in the amount of IDR 300 thousand. The President also asked related ministries and non-ministerial government institutions (K/L) to coordinate in the distribution of aid.