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BLT BBM Can Lighten the Burden of Affected Communities

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The government is intensively distributing Direct Fuel Oil Cash Assistance or BLT BBM to the public. The existence of this assistance is considered able to reduce the economic burden of the people affected by the fuel adjustment policy.

Main Analyst of Political Economy of LAB 45, Reyhan Noor stated that the distribution of BLT BBM was very effective in lightening the burden on the people. Subsidy schemes so far tend to be less effective because anyone can buy subsidized fuel without having to verify the data first.

“Based on the study that has been done, BLT is indeed more effective because the target recipient is clearer. The government has a database to provide BLT, although the level of data accuracy still needs to be a concern,” he said.

Not just stopping there, but Reyhan Noor also appealed to the government to be able to monitor food prices and the availability of materials distributed in the community.

Because, if the goods are not available then the price will tend to rise. So not surprisingly, the combination of maintaining the availability of basic goods and fuel is a very important key to the success of this government policy.

Some consolidations must also be carried out as soon as possible, namely by discussing minimum wage adjustments with employers. Adjusting the minimum wage will be very useful for the community, especially in order to be able to maintain their purchasing power.

“Specifically, the BLT policy also needs to be adjusted for the poor for next year. Adjustments can be made, either by increasing the nominal or the number of recipients,” he concluded.

For information, the government has estimated the target for BLT recipients, namely there are at least 20.6 million lower class people plus around 16 million workers. In addition, the transfer of fuel subsidies can be used for other sectors.

In this case, the observer of strategic issues, Prof. Imron Cotan assessed that the fuel subsidy funds could be diverted into subsidies for the transportation sector.

“There are approximately 20.6 million lower-class residents by providing a monthly subsidy of Rp. 600 thousand per family, then a wage subsidy to our 16 million workers of Rp. 600 thousand per worker, and then the government also sets aside 2% of the General Transfer Fund to subsidize the transportation sector. ,” he said in Jakarta

On the same occasion, Prof. Imron also briefly mentioned the views of the Chancellor of the University of Indonesia (UI), Prof. Ari Kuncoro related to the importance of distributing BLT for the community, namely using the concept of The Golden Mid-way.

Prof Imron Cotan also strongly believes that the existence of social support or BLT will help the government deal with the potential impact of fuel price adjustments.

“I believe the Government has thought in detail on how to deal with price spikes due to the potential adjustment of fuel prices to the prices of Indonesia’s basic commodities that affect inflation,” explained Prof Imron Cotan.

Previously, the Chairman of the Regional Management Board (DPW) of the Bali Province Prosperous Justice Party (PKS) Hilmun Nabi said that the fuel price adjustment policy was inappropriate and ignored the social conditions of the community.

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