The Government Will Re-Adjust Electricity Rates Next Year

JAKARTA – The government plans to implement electricity tariff adjustments (TTL) for non-Islamic electricity customers in 2020. The tariff adjustment adjustment is applied based on the rupiah exchange rate indicator against the US dollar (USD), inflation and the Indonesian oil price formula (Indonesian Crude Price / ICP).

“Next year it will return to tariff adjustment. In 2020 it will come back again,” said Director General of Electricity at the Ministry of Energy and Mineral Resources (ESDM) Ridha Mulyana, in Jakarta, Friday (6/21/2019).

Ridha ensured that for the whole year the electricity tariff, both sub-subsidized and non-subsidized, had not increased. This is in accordance with the decision of ESDM Minister Ignasius Jonan.
“Based on the minister’s decree this year there is no increase in tariffs. Non-subsidized tariff adjustments are decided to be through the permission of the Minister of Energy and Mineral Resources,” he explained.

He further said, if the basic non-subsidized electricity tariff would be adjusted, it would likely be done gradually. The gradual adjustment is intended to not burden the community.

“Even if it rises not all at once, it will be done in phases of three months. And please underline that the tariff adjustment can go up, it can go down,” he explained.

He added that the adjustment of non-subsidized electricity tariffs is not necessary through the approval of the DPR. Tariff adjudication is only done through the approval of the ESDM minister. “Tariff adjustment does not need the approval of the DPR unless it is adjusted for subsidy tariffs,” Ridha explained.
Based on PLN’s records, the following is the amount of TTL in Q1 / 2019. For the high voltage customer group (I-4) Large industries with 30 MVA power up to Rp. 997 per kWh; middle-voltage customer group (B-3) Large business, with power above 200 kVA and P2 Government Offices, with power above 200 kVA Rp1,115 per kWh; Furthermore, low-voltage customer groups, (R-1) small households with power of 1,300 VA, R-1 Small household with 2,200 VA, R-1 Medium household with 3,500-5,500 VA, R-1 large household with 6,600 VA and above, B-2 Medium business with 6,600 power VA up to 200 kVA, P-1 Government Office with 6,600 VA up to 200 kVA, and Public Street Lighting Rp1,467 per kWh; and Special Service Customers, Rp1,645 per kWh.

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