Indonesia mulls vehicle-based curb on subsidized fuel
Under the latest plan disclosed by Finance Minister Purbaya Yudhi Sadewa, the government would restrict purchases by those classified in deciles 9 and 10 under the National Socioeconomic Single Data (DTSEN) system.
Indonesia is contemplating a new measure to limit access to subsidized fuel for high-income households. Finance Minister Purbaya Yudhi Sadewa announced a plan that would restrict purchases of Pertalite, the subsidized RON 90 gasoline, for those classified in the top 20 percent of households, according to the National Socioeconomic Single Data (DTSEN) system.
The government is considering using vehicle types to determine eligibility for the subsidized fuel, as vehicle ownership may indicate a person's socioeconomic status, Coordinating Economy Minister Airlangga Hartarto revealed on Friday. Hartarto did not specify which vehicle types would be subject to restrictions, stating that the government is still working on the mechanism and more details will be announced once the rules are finalized.
The government aims to improve the distribution of fuel subsidies and reduce its fiscal burden by limiting fuel subsidies to lower socioeconomic groups.
Written by urgent.news from The Jakarta Post's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
