The policy for adjusting electricity rates for certain groups is officially effective starting today, Friday (1/7). This adjustment applies to customers with groups of 3,500 VA and above (R2 and R3) and government groups (P1, P2, and P3) or non-subsidized customer groups.
This policy was submitted by the Government through the Ministry of Energy and Mineral Resources (ESDM). They announced an increase in electricity rates for the period July – September 2022.
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 (Period July – September 2022).
The following is a list of 5 groups of customers whose electricity rates will increase as of July 1, 2022:
- Household customers of class R2 with a power of 3,500 VA to 5,500 VA, the tariff is adjusted from Rp. 1,444.70 per kWh to Rp. 1,699.53 per kWh, with an average increase in accounts of Rp. 111,000 per month.
- R3 household customers with a power of 6,600 VA and above have the tariff adjusted from Rp. 1,444.70 per kWh to Rp. 1,699.53 per kWh, with an average increase in accounts of Rp. 346,000 per month.
- Government customers of class P1 with a power of 6,600 VA to 200 kVA, the tariff is adjusted from Rp. 1,444.70 per kWh to Rp. 1,699.53 per kWh, with an average increase in accounts of Rp. 978,000/month.
- Government customers for the P3 class have the tariff adjusted from Rp. 1,444.70 per kWh to Rp. 1,699.53 per kWh, with an average increase in accounts of Rp. 271,000 per month.
- Government customers in the P2 class with power above 200 kVA have the tariff adjusted from Rp. 1,114.74 per kWh to Rp. 1,522.88 per kWh, with an average increase in accounts of Rp. 38.5 million per month.
Furthermore, the number of customers affected by the increase in electricity tariffs were households with a total of 2.09 million customers or 2.5 percent of the total PLN customers which reached 83.1 million, as well as government groups which amounted to 373,000 customers or 0.5 percent.
The implementation of this policy is because the Government is committed to protecting the community by continuing to provide electricity subsidies to those who are entitled.
This is in line with the mandate of Law Number 30 of 2009 concerning Electricity.
As is known, tariff adjustments have been implemented since 2014 for non-subsidized customers to ensure that electricity subsidies are right on target. From 2014 to 2016, the tariff adjustment is applied automatically.
However, to maintain people’s purchasing power and the competitiveness of the business and industrial sectors from 2017 to the second quarter of 2022, the government decided that the tariff adjustment would not be applied automatically.
The decision is set to remain unchanged despite changes in the exchange rate, ICP (Indonesian crude price), inflation and coal prices compared to those set in the current year’s APBN.