Sunday, 7 July 2013

DISCUSSION OF RAPBN-P STATE BUDGET 2013 TO BE ACCELERATED



The parliament planned to speed up discussions of RAPBN-P state budget of 2013 to be presented by the government. The commitment was to be made by the Chairman of house in the Consultative Meeting with President SBY at the presidential Palace on Monday [13/5].
               
By the rule, discussion of RAPBN-P 2013 should last for 1 month, but the government was expecting to complete it in 3 weeks. To accomplish it in 1 week, maximized effort was necessary so by June 2013 it could be legalized. This was stated by Chairman of house Marzuki Alie to the press after the meeting.
               
He further remarked that in the consultative meeting the plan to increase oil price was not technically discussed. According to Marzuki it would be discussed after RAPBN-P 2013 state budget was accepted as agenda of meeting and further on.
               
The house could understand government’s plan to increase oil price because some macro assumptions made in APBN 2013 had changed. The Indonesian crude price which was set at USD 100/barrel had now come to USD 111/barrel while Rupiah value against USD had also changed. So the increased global price of crude oil today was a heavy burden to the state because subsidy for oil rose drastically; such was the reason why APBN-P 2013 needed to be discussed.

Bitter Choice
               
Chairman of house Marzuki Alie stressed that to increase oil price was a better choice to make in the effort to rescue state budget and pro-people fund allocation. Such was disclosed in his introductory speech in session period lV of 2012/2013 during plenary meeting on Monday [13/5]. Unless price adjustment was made subsidy value would come to more that Rp297 trillion, way beyond the psychological capacity of APBN state budget.
               
According to Marzuki, consumption of subsidized oil which had quota of 46 million kilo liter would be surpassed, reaching 48-57 million kl. Such would suppress APBN budget and expand deficit exceeding the limit set in the law. This pressure on APBN happened during uncertain situation of global economy, for that matter, house insisted the government not to hesitate to make decisions.
               
The Chairman asked that the money obtained form oil subsidy be allocated for building infra structure, energy processing and energy diversification plan especially development of renewable energy. To the parliament, this measure was indispensable to build national energy resilience in the future.
               
Furthermore Marzuki said that late supply of premium oil in some regions sometime ago and shortage of diesel [solar] oil was a lesson to learn that energy crisis would finally end up in adverse national energy resilience which would threaten national stability in all aspects.
               
Other points which caused house’s grievances was increased price of some food commodities which had its impact on inflation which made food prices unaffordable. For that Metter all poverty eradication programs and opening of employment opportunities had been set through proper and on-target mechanism.
               
The parliament also urged the government to foster inter-institutional coordinator, anticipate and control the market whereby to identify stock of food according to need. (SS)



Business News - May 17,2013

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