Indonesia’s energy subsidies and compensation may surpass the allocated budget of 502 trillion rupiah ($34 billion) this year amid rising demand for subsidised fuels, the finance minister told a news conference on Tuesday.
The government has proposed lowering energy subsidies and compensation for 2023 to 336.7 trillion rupiah, assuming global oil prices ease to around $90 a barrel next year, the rupiah trades “at a better level”, and consumption of subsidised fuel and LPG can be better controlled, Sri Mulyani Indrawati said.
Source: Reuters (Reporting by Gayatri Suroyo, Stefanno Sulaiman, Fransiska Nangoy, Bernadette Christina and Ananda Teresia; editing by Jason Neely)