PLN Speaks Up Regarding the Plan to Increase Electricity Tariffs

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The state company that manages the country’s electricity, PT PLN (Persero), finally spoke about the government’s plan to increase electricity tariffs. In particular, electricity tariffs for capable customers or 3,000 Volt Ampere (VA) and above.

Previously, Minister of Finance (Menkeu) Sri Mulyani said that the plan to increase electricity rates for the rich had received the blessing of the President of the Republic of Indonesia Joko Widodo (Jokowi) in the Cabinet Meeting and also the Budget Agency (Banggar) of the DPR RI after the Plenary Meeting with the DPR on Friday (20/20/2020).

Sri Mulyani said, “The government and the DPR agree (the plan) that the people who have more economic capacity, namely electricity customers above 3,000 VA will be adjusted.”

In response, PLN’s Executive Vice President of Corporate Communications and CSR, Diah Ayu Permatasari, spoke about the planned increase in electricity rates.

Diah said, since 2017, the government has not imposed a Tariff Adjustment for non-subsidized customers and has compensated PLN for the difference between the cost of production (BPP) and the rate set by the government.

As is known, the determination of electricity rates is regulated in the Minister of Energy and Mineral Resources Regulation Number 03 of 2020 concerning the Fourth Amendment to the Regulation of the Minister of Energy and Mineral Resources Number 28 of 2016 concerning the Tariff of Electricity Provided by PT PLN (Persero).

The regulation explains that the adjustment of electricity tariffs for non-subsidized tariffs (tariff adjustment) is carried out if there is a change in one and/or several factors that can affect the basic cost of providing electricity, namely:

a. US Dollar exchange rate against Rupiah (exchange rate);

b. Indonesian Crude Price (ICP);

c. inflation and/or;

d. coal benchmark price

“PLN as the state electricity operator will carry out the policies that have been decided by the Government and is ready to provide reliable and quality electricity supplies for consumers,” said Diah.

Citing the official website of PT PLN (Persero) based on electricity tariffs (tariff adjustment) April-June 2022. For low-voltage (TR) or 900 VA-RTM customers, the current tariff is Rp. 1,352/kWh.

Then, for customers with the power of 1,300 VA, 2,200 VA, 3,500 to 5,500 VA, and 6,600 VA and above, the tariff reaches Rp. 1,444,70/kWh.

Next, for business customers with a power of 6,600 VA to 200 kVA and government customers with a power of 6,600 to 200 kVA the tariff is Rp. 1,444,70/kWh.

As for medium voltage (TM) customers such as business, industrial, and government customers with power above 200 kVA, Rp. 1,114.74/kWh.

Next, high voltage customers (TT) are used by industry with a power of 30,000 kVA and above Rp. 996.74/kWh.