Electricity Tariff Discount Part of 6 Domestic Consumption Stimulus Packages

Jakarta – The government is finalizing six domestic consumption stimulus packages scheduled to be launched on June 5, 2025.

One of the main stimuli in this package is the provision of a 50 percent electricity tariff discount for household customers with electricity capacity below 1,300 VA. This program is designed to maintain people’s purchasing power and encourage national economic growth.

This electricity tariff discount will target around 79.3 million household customers with power of 450 VA, 900 VA, and 1,300 VA. The government hopes that this stimulus can help ease the burden of energy costs for low- and middle-income people.

Coordinating Minister for Economic Affairs, Airlangga Hartarto, stated that this stimulus package is part of the government’s efforts to maintain domestic economic stability amidst global challenges.

“Household consumption is the main contributor to national economic growth. By providing direct stimulus to the community, we hope to maintain the momentum of economic growth,” said Airlangga in a press conference in Jakarta.

Previously, in January and February 2025, the government had provided a 50 percent electricity tariff discount to household customers with power up to 2,200 VA. The program successfully targeted 81.42 million customers and was considered effective in maintaining people’s purchasing power and suppressing inflation.

Data from the Fiscal Policy Agency shows that inflation remains under control with deflation of 0.09% (yoy) in February 2025, which was largely influenced by the 50% electricity tariff discount program implemented since January.

Coordinating Minister Airlangga also hopes that these various incentives can boost people’s purchasing power and consumption. He also invited the Regional Government (Pemda) to play an active role in creating local tourism and entertainment activities.

“This step is expected to be able to encourage the movement of people within the country during school holidays, so that it can continue to maintain the stability of national economic growth,” he added.

PLN also expressed its readiness to support the implementation of this program. PLN’s Director of Retail and Commerce, Edi Sri Mulyanti, said that this program is part of PLN’s appreciation for customers and efforts to support community productivity.

In addition to electricity tariff discounts, five other stimuli in the domestic consumption package include wage subsidy assistance (BSU), cash social assistance, food subsidies, incentives for MSMEs, and labor-intensive programs. The government hopes that the combination of these various stimuli can have a significant positive impact on the national economy.

The government appeals to the public to utilize this electricity tariff discount program wisely and according to their needs. With this stimulus, it is hoped that the public can allocate electricity cost savings for other productive needs, thereby contributing to overall economic growth.