JAKARTA — The government has reallocated the budget previously intended for electricity tariff discounts to the Wage Subsidy Assistance (BSU) program in response to global economic dynamics and time constraints in budget implementation. This policy aims to maintain public purchasing power, particularly among low-income workers and honorary teachers.
The BSU is now set at IDR 300,000 per month for two months, replacing the previously planned 50% electricity discount program for the June–July 2025 period.
Minister of Finance Sri Mulyani Indrawati explained that the decision was made to ensure that government stimulus measures are more effective in supporting household consumption. She emphasized that the BSU would provide a more direct and significant impact compared to the electricity discount.
According to her, the government wants the aid distributed to have a greater leverage effect on the national economy. Therefore, the reallocation of funds to the BSU is seen as a more appropriate step.
The BSU targets approximately 17 million workers earning below IDR 3.5 million and 3.4 million honorary teachers. The total budget allocated by the government for this program reaches IDR 10.72 trillion, with each recipient receiving IDR 600,000 over two months.
The Ministry of Finance stated that the decision not to proceed with the electricity discount program was due to technical constraints in the budgeting process, which made its implementation unfeasible in a short timeframe.
Sri Mulyani also noted that the identification of BSU recipients is now more accurate and up-to-date thanks to data matching between the Social Security Agency for Employment (BPJS Ketenagakerjaan) and the Integrated National Socioeconomic Data (DTSEN). With cleaner and more valid data, the BSU distribution is expected to be more well-targeted.
Presidential Communications Office Head Hasan Nasbi viewed this policy shift as a realistic short-term efficiency measure. He stated that the government has designed five stimulus packages with a total budget of IDR 24.4 trillion to support the national economy.
Meanwhile, Minister of Manpower Yassierli announced that the disbursement of BSU is targeted to begin on Thursday, June 5, 2025. He mentioned that the finalization of recipient data is currently underway and is expected to be completed soon.