FUEL OIL SUBSIDY IN 2008 ESTIMATED AT RP180 TRILLION

Jakarta, July 16 (ANTARA) - The government estimated that its fuel oil subsidy in 2008 would reach between Rp179 billion and Rp180 billion, which significantly increased if compared with the subsidy allocation at the revised 2008 state budget at Rp126.82 trillion, a report said.
In its First Semester Report 2008 and Second Semester Projection to the Budgetary Commission of the House Representatives (DPR) here on Wednesday, the government mentioned that the realization of subsidy in the first semester reached Rp91.7 trillion.
It consisted of Rp60.5 trillion in fuel oil subsidy, Rp26.4 trillion in electricity and Rp4.8 trillion in non-energy subsidy.
The realization of fuel subsidy in the second semester of 2008 is projected at Rp119 trillion so that the total fuel oil subsidy in the whole year would stand at between Rp179 trillion and Rp180 trillion.
In the meantime, the realization of electricity subsidy in the second semester of 2008 is projected at Rp62.1 trillion so that total subsidy for electricity is estimated at Rp88 trillion while the non-energy subsidy would reach Rp54.2 trillion.
The revised 2008 state budget allocated funds for subsidies amounting to Rp234.41 trillion, which consisted of Rp126.82 trillion for fuel oils, Rp60.29 trillion for electricity, Rp8.59 trillion for food, Rp7.81 trillion for fertilizers, Rp1.02 trillion for seeds, Rp1.73 trillion for public service obligations (PSO), Rp2.15 trillion for program credit interest, Rp500 billion for cooking oil, Rp500 billion for soybean and Rp25 trillion for taxes.