Next Year's Subsidy Disaster
EVEN though the government has raised the price of Pertalite, Solar (diesel fuel), and Pertamax, the burdens have not disappeared; instead, it has grown bigger. The energy subsidy will jump to Rp650 trillion by the end of the year. This is much larger than the Rp502.4 trillion ﬁgure in the government’s budget.
The price hike does lower the government’s potential burdens, but only slightly. If the prices of Pertalite and So