How much was the energy subsidy in 2017?

In the 2017 State Budget (APBN), energy subsidies were capped at Rp 77.3 trillion, an 18 percent decrease from the 2016 Revised State Budget (APBNP) target of Rp 94.4 trillion. The total 2017 energy subsidy comprised Rp 32.3 trillion for fuel (BBM) and 3 kg LPG (liquefied petroleum gas) subsidies, and Rp 45 trillion for electricity subsidies.

The subsidy for BBM and 3 kg LPG cylinders was planned to be distributed through a closed distribution system, implemented gradually, targeting 26 million impoverished households and 2.3 million micro-businesses. Electricity subsidies were allocated to 19.1 million households with 450 VA power and 4.05 million households with 900 VA power.

However, at the end of June 2017, the government postponed the tariff adjustment for 900 VA electricity users categorized as affluent households. The government continued to use the subsidized tariff of Rp 1,352 per kWh. The economically-valued electricity tariff of Rp 1,467 per kWh, previously scheduled to take effect in early July 2017, was postponed until the end of 2017. Due to the postponement of the tariff adjustment for affluent households, energy subsidies are expected to exceed the 2017 APBN target.