Five parliamentary fractions expressed their approval on the bill on
revised 2013 state budget (APBN-P), while four other fractions such as PDIP, Gerindra,
Hanura, and PKS expressed their rejection. In accordance with the mechanism,
members of parliament were given an opportunity to express their opinions.
House Speaker, Marzuki Ali, said during decision-making Amendment to Law No.
19/2012 on State Budget (APBN) of 2013 Budget Year at the Parliament Building
on Monday (June 17).
While, member of Parliament, Aria Bima, said that the refusal of
subsidized fuel price hike makes PDIP filed a budget posture without increase
in fuel (BBM) prices. PDIP was once dealing with fuel price hike, but
eventually fuel price increase did not happen, and economic growth increased.
There is a statement that subsidized fuel is mostly enjoyed by the upper class.
But, this is not true. Based on data of the Central Bureau of Statistics (BPS),
40 percent of subsidized fuel users are two-wheeled motorcycles.
Therefore, the increase in fuel prices cannot be separated from economic
liberalization mindset and as if it is the government’s subsidy burden. The
government has always said that in order to save the state budget, it is the
people’s right to use fuel. Removal of fuel subsidies cannot be separated from
the market system.
PDIP’s spokesperson, Dolfi OFP, said that PDIP proposed 2013 State
Budget posture without fuel price increase, PDIP fraction still proposes
economic growth rate of 6.4%, 2.46% deficit of the GDP. In the other main
points of APBN 2013 posture, PDIP fraction also advised that the number of poor
people should not increase and stimulus should be given to the productive
activities in rural areas with a number of 8,000 villages.
Not Appropriate
Member of Parliament, Abdul Hakim, of PKS Fraction, said that the
planned increase of subsidized fuel prices is not appropriate. Because the
government has not successfully completed the instruments of regulation and
volume control of subsidized fuel, as well as a variety of policies related to
a better and fairer national energy governance.
The fuel price hike will burden the purchasing power of the people
facing the Ramadhan fasting month, Lebaran and new school year, so it will
cause a greater number of the poor and the near poor, and will distort the
economy which is already experiencing a slowdown.
According to him, Draft of Revised 2013 State budget (APBN-P) was in
fact caused by the weakness in the planning and preparation of the 2013 State
budget proposed by the government. Meanwhile, the aid program should be given
to the people without the need to be followed by subsidized fuel price hike.
The government was asked to make a rural infrastructure development program to
boost employment and increase purchasing power of the people.
Reject Bill on State Budget of 2013 Budget Year
Hanura fraction refused the Bill on State budget of 2013 Budget Year
containing the subsidized fuel price hike. The occurrence of state finance
deficit is due to weakness of the government, and not because of increase of
subsidized fuel price. This was state by Hanura fraction’s spokesperson, Erik,
Satrya Wardhana.
According to him, the increase of subsidized fuel price is potential in
increasing inflation rate at 7.76 percent, even through the macro assumption of
inflation rate are set at 7.2 percent. Subsidized fuel price hike will burden
the people and reduce purchasing power.
In order to reduce the burden of the people due to subsidized fuel price
hike, people will be given compensation in the form of programs such as
temporary direct aid package (BLSM) and direct cash aid (BLT). It has become
irrelevant because of the potential to become money politics under the disguise
of government programs. Hanura fraction consistently refused subsidized fuel
price hike and refused the Bill on Revised 2013 State Budget of 2013 Budget
Year, he said.
Reject Two Articles
Member of Parliament, Fary Djemy Francis (Gerindra fraction), said that
his fraction rejects two articles in the Amendment to Law No. 19/2012 on State
Budget of 2013 Budget Year. Gerindra fraction rejects two articles related to
inflation and fuel subsidy saving.
Gerindra fraction rejected the inflation rate set by the government at
7.2 percent. He belives that with the governmnet’s hard work, inflation rate
should be in the range of 6.5 percent. Gerindra does not allow increase in the
number of poor people by 4 million due to the inflation. Gerindra thinks that
there is a need for a strategy concept by encouraging the development of basic
infrastructures to create productive land that can be worked in a
labor-intensive way, with manual cooperation, and by empowering the community.
About subsidy saving, he considered that direct subsidy saving should be
directed to freeing public transportation as well as activities related to the
lives of many people. Gerindra did not want any compensation in the form of
direct aid to the poor related to the fuel price hike. (E)
Business News - July 19,2013
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