Tue, 23 Aug 2005

'Better system needed to replace subsidy'

A steady increase in fuel prices in the international market has renewed debate among experts over the merits of the fuel subsidy in the country. Experts are largely divided on the issue. But what do the public at large think about the debate? The Jakarta Post interviewed residents in the capital to get their comments on the burning issue.

Satrio Adi Wicaksono, 25, a doctor at a Navy hospital in Jakarta.

It is better if the government quits subsidizing fuel; it will ease the burden on the state budget.

I personally think that the amount they are setting aside for the subsidy is too large.

Perhaps the subsidy has contributed to the mess our country is facing right now.

It would be better if such funding was aimed at improving the quality of life of the majority of Indonesians. It might even ease the traffic, especially in Jakarta because people would opt for cheaper public transportation .

However, the government must develop a better system to redirect the fund into education and health than what they have right now.

Inanti P. Diran-Lubis, 40, is an event organizer for cultural and heritage-related events.

I don't think it would be wise to quit subsidizing fuel.

People are still burdened by the last fuel price hike and they will suffer all the more if fuel prices are raised again, because it will affect the prices of everyday commodities.

If they claim that the subsidy is to be put into education and health, they have to develop a better system first. Currently, I do not see it working. Affordable health services are still merely a dream; the same goes for education.

When they have a better system, dropping the fuel subsidy would probably work in the long run. But, for now, it is very unlikely.

The Jakarta Post