Electricity Subsidy for PLN Remains Low

VIVAnews - The House of Representatives (DPR) only allocates Rp64.9 trillion worth of electricity subsidies for state-run electricity company PT Perusahaan Listrik Negara (PLN). As a result, PLN has to accelerate the development of 10,000 megawatt power plant.  

Member of Golkar Party Faction, Satya W Yudha, said the delayed construction of the said power plant has led to the increase in electricity subsidies by Rp26 trillion. 

He said lawmakers understood PLN's problems in coping with its financial issues after losing Rp89 trillion of subsidies. 

However, the delayed power plant project had forced the electricity company to lease diesel generator sets worth Rp4 trillion. 

"The main contributor to PLN's deficit is poor management," he said.