'Only the rich enjoy fuel subsidy'

'Only the rich enjoy fuel subsidy'

A steady rise in global oil prices has renewed the debate over
the merits of the fuel subsidy here. Experts are largely divided
on the issue. The Jakarta Post asked residents for their comments
on the issue.

Tonton, 35, is a human resources development manager at a
company on Jl. Sisingamangaraja in South Jakarta. He lives in the
Bumi Serpong Damai housing complex in Tangerang:

I would oppose any moves by the government to drastically cut
the fuel subsidy. That is not just because I drive a car, but
mostly I am concerned over the possible impacts of such a policy.

Low-income families would suffer the most from such a policy,
because they could not afford basic needs and transportation if
fuel prices jumped to Rp 6,000 (60 US cents) per liter.

That would only lead to increased crime as the poor robbed
from the rich.

If the government really wants to cut the fuel subsidy it must
be done gradually. It would still affect people, but the impact
will be less severe.

Andy, 40, works in a bank on Jl. Hayam Wuruk in West Jakarta.
He lives in the Bintaro Jaya housing complex in Tangerang:

The government is really in a difficult situation. Tens of
trillions of rupiah must be spent on the fuel subsidy. Meanwhile,
those who enjoy the subsidy are rich people who have luxury cars.

But if the government cut the subsidy, low-income families
would be affected because of the domino effect of the policy.

The government could get rid of the fuel subsidy and allocate
the money to subsidize the poor. The problem is that apparently
the government cannot be trusted to distribute the money to the
poor.

I personally do not agree with the idea of the government
doing away with the fuel subsidy. I think the government should
maintain the current subsidy. If it is really forced to eliminate
the subsidy, it must do so in stages.

-- The Jakarta Post