Indonesian Political, Business & Finance News

Eliminating subsidies

| Source: KORAN TEMPO

Eliminating subsidies From Koran Tempo

What is considered good is not necessarily right.

This is the picture of a decision made by the government to ease the nation's financial burdens. The government has argued that the decision to increase fuel prices was based on relieving the burden of the state budget and diverting subsidies from the wrong target to the right one: People of the low-income bracket.

Providing subsidies has been a dilemma for the government. Its basic concept is to relieve the people's burdens, but the problem is that people of the high-income bracket also enjoy it. It is here that the problem lies. Therefore, the removal of subsidies was considered the proper action, given that low-income people can receive benefits, though indirectly, through free education and medication.

Apart from this, President Megawati Soekarnoputri pointed out in Bali that the hikes would be the best choice if the nation wished to reduce its dependence on foreign aid. She then said, "I have taken an unpopular measure because I am positive that in the long run, it will improve the nation's condition."

Mega's political address on the fuel hike seemed to have given assurances of salvaging the nation, which would then usher in a better economy in the future. But, again, what is considered good is not necessarily right.

What we need to note is how this nation can comprehend the hikes in fuel and utility prices. If the rises lead to instilling the spirit of nationalism and are constructive for the nation, it should be responded to positively.

However, if they are opposed, any objections should be addressed in a democratic manner. If not, it will do harm to all of us.

DADANG ISKANDAR Jakarta

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