{
    "success": true,
    "data": {
        "id": 1393349,
        "msgid": "higher-electricity-tariff-base-studied-1447893297",
        "date": "1998-01-27 00:00:00",
        "title": "Higher electricity tariff base studied",
        "author": null,
        "source": "JP",
        "tags": null,
        "topic": null,
        "summary": "Higher electricity tariff base studied JAKARTA (JP): The Ministry of Mines and Energy is studying the possibility of increasing the electricity tariff base following the rupiah's sharp depreciation against the U.S. dollar, an official has said. Director General of Electricity and Energy Development Endro Utomo Notodisuryo said Friday his office was making the study in line with the government's plan to raise the electricity tariff in the next few months.",
        "content": "<p>Higher electricity tariff base studied<\/p>\n<p>JAKARTA (JP): The Ministry of Mines and Energy is studying the<br>\npossibility of increasing the electricity tariff base following<br>\nthe rupiah's sharp depreciation against the U.S. dollar, an<br>\nofficial has said.<\/p>\n<p>Director General of Electricity and Energy Development Endro<br>\nUtomo Notodisuryo said Friday his office was making the study in<br>\nline with the government's plan to raise the electricity tariff<br>\nin the next few months.<\/p>\n<p>\"We are calculating the increase in the tariff base,\" he said,<br>\nwithout revealing details.<\/p>\n<p>The International Monetary Fund (IMF) and the government<br>\nrecently signed a 50-point agreement which among other things<br>\nsays the government will gradually eliminate subsidies on fuel<br>\nand electricity.<\/p>\n<p>The agreement also says the government will start adjusting<br>\nfuel and electricity prices starting April 1.<\/p>\n<p>The electricity tariff base, which is stipulated in a<br>\npresidential decree, is used as the basis point for an adjustment<br>\nin the electricity tariff.<\/p>\n<p>The electricity tariff base is automatically adjusted every<br>\nthree months according to the country's inflation rate, fuel<br>\nprice, and the rupiah's exchange rate to the dollar.<\/p>\n<p>An increase in the electricity tariff base will thus enable<br>\nstate-owned electricity company PLN to increase its tariff<br>\nconsiderably.<\/p>\n<p>The current electricity tariff base was set in 1994 at an<br>\naverage price of Rp 161.59 per kilowatt hour.<\/p>\n<p>PLN has adjusted the electricity tariff nine times since.<\/p>\n<p>The monetary crisis has severely affected PLN and the company<br>\nhas complained that the last increase in its tariff was not<br>\nenough to compensate for its financial losses from the rupiah's<br>\ndepreciation.<\/p>\n<p>PLN earns its revenue in rupiah, but pays fuel and maintenance<br>\ncosts and buys power from independent power producers in dollars.<\/p>\n<p>PLN president Djiteng Marsudi has asked the government to<br>\nincrease the 1994 electricity tariff base so it could increase<br>\nthe tariff considerably to compensate for its losses.<\/p>\n<p>PLN has projected Rp 1.3 trillion in losses this year. (jsk)<\/p>",
        "url": "https:\/\/jawawa.id\/newsitem\/higher-electricity-tariff-base-studied-1447893297",
        "image": ""
    },
    "sponsor": "Okusi Associates",
    "sponsor_url": "https:\/\/okusiassociates.com"
}