BPS: Increase In Electricity Tariff Potential To Hoist Higher Inflation

Illustration (Photo: Doc. Antara)

JAKARTA - The Central Statistics Agency (BPS) responded to PLN's move to increase the basic electricity tariff for several groups starting July 1. According to the Head of BPS, Margo Yuwono, this is very likely to raise the current inflation rate, which is already above the government's target.

"The increase in electricity rates in July has the potential to increase inflation," he said when holding a virtual press conference on Friday, July 1.

According to Margo, the inflation record for June 2022 has reached 4.35 percent. This means that the book has already exceeded the inflation target of the government, which is 3 percent plus minus 1 percent.

"This inflation is the highest since June 2017 when inflation was 4.37 percent," he said.

As previously reported by the editors, the increase in electricity rates will take effect today for non-subsidized household customers of R2 (3,500-5,500 VA), R3 (6,600 VA and above), P1 (6,600 VA to 200kVA), P2 (200 kVA and above). above), and P3.

This decision is contained in the Letter of the Minister of Energy and Mineral Resources No. T-162/TL.04/MEM.L/2022 dated June 2, 2022 concerning Adjustment of Electricity Tariffs (July-September 2022 Period).

Meanwhile, for household customers with power below 3,500 VA, business and industry, there is no change in tariffs.

As a cushion, the government has disbursed electricity subsidies of Rp. 243.3 trillion and compensation of Rp. 94.17 trillion from 2017 to 2021.