Tempo Co., Ltd., jakarta – Automotive critic Yanes Martinus Pasarib said the 10% increase in motor fuel tax in Jakarta will cause social problems if affordable alternatives are not available.
Mr. Yanez said that one of the direct effects of the motor fuel tax increase will be an increase in the operating costs of conventional or ICE vehicles, which will affect private car owners, public transport users, and logistics service providers. It will affect all car users.
“This could affect the prices of public transport services and the cost of transporting goods. And given that fuel is an important factor in various economic activities in Indonesia today, it could affect general inflation. “It may contribute,” he said. tempo Tuesday, January 30th.
The Jakarta provincial government has officially doubled the car tax rate to 10%. This policy is set out in State Regulation No. 1/2024 on Local Taxes and Local Incentives, signed by Deputy Governor Her Budi Hartono on January 5th.
Overall, the fuel tax hike is likely to impact car purchasing decisions, Yanez said. In particular, there has been a noticeable shift in consumer preferences towards more energy-efficient types of vehicles, such as electric cars and motorcycles.
Yanez said raising fuel taxes can be the right policy if the goal is to promote environmental sustainability and the use of clean energy. However, its effectiveness depends on the availability of affordable alternatives, such as EVs and efficient public transport. Without these alternatives, fuel tax hike policies will become a social problem.
“Fuel tax increases to encourage the adoption of electric vehicles must be combined with efforts to increase the availability of affordable alternatives.”
He stressed that the Jakarta government needs to ensure that policies do not burden low-income social groups. Furthermore, this policy must also be part of a broader environmental strategy, with appropriate social and economic support for those affected.
Anisa Febiola
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