JAKARTA - The Chancellor of the University of Indonesia (UI) Ari Kuncoro suggested the concept of The Golden Mid-Way to deal with the energy crisis which currently has the potential to encourage the government to increase the price of subsidized fuel oil (BBM).
The concept of The Golden Mid-Way is a step to increase subsidized fuel prices by around 30 percent to 40 percent so that economic activities such as tourism and MSMEs continue to run well.
The problem is that this economic growth is also supported by fuel subsidies. Meanwhile, fuel subsidies are a problem for state finances when world oil prices rise," he said in a statement quoted by Antara, Sunday, August 28.
In addition, Ari also suggested that the government can control the volume of subsidized fuel distribution so that it can really be enjoyed by the right and right people.
This is in line with information from the Minister of Finance Sri Mulyani Indrawati some time ago, namely that public consumption of subsidized fuel greatly increased from an estimate of 23 million kiloliters by the end of the year to 29 million kiloliters.
Meanwhile, observers of strategic issues Imron Cotan support the concept of The Golden Mid-Way put forward by Ari Kuncoro because currently world oil prices are rising so drastically that subsidized fuel prices need to be reviewed.
"The concept put forward by the UI Chancellor by increasing the subsidized fuel price by around 30-40 percent to support tourism and MSMEs is the right thing," said Imron.
Moya Institute Executive Director Hery Sucipto added that many parties assess that the fuel subsidy is leaked or not on target, so a strategy is needed so that the state budget is not burdened and people can still consume it.
"It takes enlightenment so that we are wise in responding to this energy crisis and the options that will be taken by the government," he said.
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