Government fuel subsidies ensnare

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BBM SUBSIDI

Government caught in its own budget politics. Due to the popularity and imaging forward rather than economic rationality, the government threatened choke budget subsidies of fuel (BBM), which will continue to soar.

Subsidies that are lighter spikes in world oil prices that remain high in the range of U.S. $ 100/barel. Since early May, prices reached Rp9.050/liter pertamax or two times more than the premium prices Rp4.500, causing those who had been taking nonsubsidized fuel switching to fuel subsidies. This makes the burden heavier budget.

However, the government did not flinch. The government locked the various fuel savings options that have been made, including the option to hike fuel prices.


The government acted as if no matter, whatever it cost to subsidize the fuel. Therefore, the subsidy is considered as the only way to help the economy of the people.

Though the subsidy was practically burned out on the highway, especially by private vehicles. It is more beneficial for the economy if fuel subsidies were reduced and its budget redirected for infrastructure development and mass transportation.

Mass transit is clean, smooth, and safe will encourage people want to leave their personal vehicles and switch to public transport as primary transportation.

For, no longer rational continually subsidize fuel prices without limit and let the people do not know that the price of oil has strangled the state budget. After all is a twit for people when they are left wasting fuel which is still relying on fossil energy, which is not renewable, and would soon run out.

So it is very necessary and important to start educating people about the limitations of energy so that people would save money.

On the other hand, the government must consistently develop renewable energy alternatives that are consistent and ensure the availability of upstream to downstream.

Without a close eye on the explosion of gas cylinders in some places, the government had success with kerosene to LPG. Based on the fact that, the government should also be able to convert the use of fossil fuels into alternative energy.

ERA OF CHEAP OIL IS ENDED. This is the harsh reality that must be faced. Thus, governments do not kill yourself with that put forward the image of budget politics.

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