Assistance For Transfer Of Fuel Subsidy To Light The Load Of The Poor

Minister of Finance Sri Mulyani. (Photo: Doc. Ministry of Finance)

JAKARTA - Minister of Finance (Menkeu) Sri Mulyani Indrawati said the assistance for transferring fuel oil subsidies (BBM) which had just been set was Rp. 24.17 trillion, to reduce pressure on the community amid rising prices of goods. Including reducing poverty.

"This is expected to reduce, of course, pressure on the community, and even reduce poverty, so that we can provide support to people who are faced with pressure on price increases," said Sri Mulyani, Tuesday, August 30.

When asked about the amount of fuel subsidies in the current year's APBN after the transfer of fuel subsidies of Rp. 24.17 trillion, Sri Mulyani was reluctant to comment more.

"I announce that for the addition of social assistance (social assistance) first, that is what was instructed," he said.

The State Treasurer said that President Jokowi ordered social assistance of Rp. 24.17 trillion from the transfer of fuel subsidies to be distributed this week to the public.

According to him, of the total social assistance of IDR 24.17 trillion, the community will be given three types of assistance in the form of social cushions, namely first, Direct Cash Assistance (BLT) for 20.65 million community groups amounting to IDR 150 thousand four times, with a total budget of IDR 12.4 trillion.

The BLT will be paid IDR 300 thousand by the Ministry of Social Affairs twice, through various channels from the Indonesian Post Office.

Then second, wage subsidy assistance of Rp600 thousand to 16 million workers with a maximum salary of Rp3.5 million per month paid once with a budget of Rp9.6 trillion. The Ministry of Manpower, said Sri Mulyani, will soon issue technical instructions for the distribution of this wage subsidy assistance.

Then third, assistance from local governments using two percent of public transfer funds, namely General Allocation Funds and Revenue Sharing Funds of Rp2.17 trillion in order to help the transportation sector such as public transportation, motorcycle taxis, fishermen and additional social protection assistance.

The government is preparing a number of schemes related to changes to the subsidized fuel price policy, namely pertalite and diesel, so that the fuel quota subsidized by the government can meet the needs of the community until the end of the year according to the 2022 State Budget ceiling.

The subsidy expenditures and compensation disbursed by the government until August 2022 have reached Rp502.4 trillion, consisting of energy subsidies of Rp208.9 trillion and energy compensation of Rp293.5 trillion.

In fact, for the pertalite subsidy quota only, only 6 million kiloliters remain from 23 million kiloliters of subsidies agreed until the end of 2022. With the remaining quota, the Government estimates that the subsidized pertalite will expire in October 2022.