Indonesia to Cap Power Tariff Increase at 18% for Companies
July 19, 2010
Companies will not pay more than an 18 percent increase on their electricity bills, the government said on Monday. (JG Photo) Related articles
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Jakarta. Indonesia plans to limit the power tariff increase for companies to 18 percent, Coordinating Minister for the Economy Hatta Rajasa told reporters in Jakarta today.
Rajasa did not say when the new rate will take effect.
Smarting from a barrage of criticism from businesses and industries, the government last week acknowledged that a recent decree raising electricity rates may increase some firms’ bills by much more than a 15 percent ceiling it had promised.
When announcing the rate increase that took effect this month, the government had advertised the increase at between 6 percent and 15 percent.
But business and industry associations, citing their own calculations, this week warned it could reach up to 100 percent for some.
Bloomberg/JG
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