Concerning fuel subsidy

Concerning fuel subsidy

Regarding concerns over the fuel subsidy, which drains our
development funds, the World Bank stated that the rich enjoyed
five times more than the poor. In fact, most cars are owned by
those in the medium to high income bracket.

One solution would be to increase the annual vehicle
registration fee (STNK) by imposing a fuel tax. At present the
STNK is considered low as compared to Singapore's.

By increasing the STNK, the government could use some of the
fuel subsidy funds for economic development, which might reduce
poverty through the development of small businesses in Indonesia.

HUSSEIN BARON SUTADISASTRA, Tangerang, Banten