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JAKARTA - Senior Economist Faisal Basri reminded the government not to provide energy subsidies because it could affect the finances of State-Owned Enterprises (BUMN) such as PLN and Pertamina.

The reason is that the government is currently using the fuel compensation fund method in an effort to suppress the spike in fuel prices so that it will burden Pertamina.

"The problem is that the government doesn't see this as a subsidy. The government is experiencing budget constraints, the subsidies are still small, and now the term compensation fund is paid at will when Pertamina and PLN number first," Faisal Basri told reporters, Monday, June 27.

Thus, continued Faisal, the second wave that the government must watch out for is damage to these SOEs due to disrupted liquidity so they cannot buy crude oil from abroad.

This can also affect Pertamina's credibility as a state-owned company.

"So the only way is to adjust the oil price and the government prepares a cushion for the people who are very vulnerable. That's all!" he insisted.

Previously, President Director of PT Pertamina Nicke Widyawati said the government had not yet paid the cost of subsidies and energy compensation or owed the company IDR 72 trillion.

However, Nicke appreciated the government's step to increase the subsidy and compensation budget for Pertamina up to IDR 350 trillion.

In addition to reducing the burden on the community, according to her, this will also benefit Pertamina.

Nicke continued, with the approval of the additional subsidy and compensation budget, he also hopes that the remaining IDR 72 trillion debt payment to Pertamina can also be repaid.


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