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The young man rubbed his forehead in frustration at hearing
of the proposal to increase power rates.
"After the fuel price increase, followed by the hike in costs of almost
everything else, spending more to pay for power is the last thing I
need," said the self-described "middle-income worker".
It's a sentiment shared by most of his fellow citizens, regardless of
their economic background.
"Is it really necessary? Power rates here are already higher than in
neighboring countries," was the question from a businessman in the
Indonesian Chamber of Commerce and Industry (Kadin).
Under a glaring spotlight is state electricity company PLN, which
claims it needs Rp 38 trillion (US$4.1 billion) this year to offset
rising costs. If the government fails to come up with an increased
subsidy, it warns it will have no choice but to raise power rates.
While PLN justifies the proposed rate increase due to oil-based fuel
and production costs, critics attribute the company's problems to poor
planning and inefficient operations.
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