JAKARTA (TheInsiderStories) – Indonesian government paid its obligation to PT Perusahaan Listrik Negara (PLN) and Pertamina with total amoun Rp90.4 trillion (US$6.41 billion) as a compensation for public service obligation, said the official on Friday (11/20). A total of Rp45.4 trillion paid for PLN and another Rp45 trillion for Pertamina.
Director general at the ministry of finance, Isa Rachmatawata, the compensation were aimed to maintain the cash flow of two state-owned enterprises (SOEs). For PLN, beside the debt payment, the government also provides capital injection worth of Rp 5 trillion and assets to Pertamina Rp2.1 trillion.
The value of compensation that has been budgeted by the government in the 2020 State Budget is valued of Rp91 trillion for PLN, Pertamina, and Rp660 billion for private oil and gas producer, PT AKR Corporindo Tbk (IDX: AKRA). Until early November, the government had poured Rp16.950 trillion of the total funds Rp45.051 trillion.
The figure consists of capital injection for SOEs and institutions, as well as the Economic Recovery Program (ERP), divided into cash of Rp41.020 trillion and non-cash Rp4.031 trillion. Non-cash injection come from the conversion of state receivables to SOEs, state property, and government assistance.
The government intends to improve the capital structure, increase the production capacity of the SOEs to support the assignments from the government and increase the effectiveness of the asset management. From 2005 to 2019, total values of the government investment was recorded Rp233 trillion, consists of cash Rp215.7 trillion and non-cash Rp17.3 trillion.
In this month, Rachmatarwata announced an additional capital injection for three state firms with total amount Rp8.57 trillion for Indonesia Eximbank (Rp5 trillion), PT Penjamin Infrastruktur Indonesia (Rp1.57 trillion), and PT Bio Farma (Rp2 trillion). The additional injection was regulated through the Minister of Finance Decree Number 500 of 2020.
Until Nov. 10, the disbursement amounting to Rp16.95 trillion and was given to five SOEs. In details, toll road operator PT Hutama Karya has received Rp3.5 trillion, PLN worth of Rp5 trillion, PT Permodalan Nasional Madani (PMN) Rp1 trillion, PT Sarana Multigriya Infrastruktur Rp1.75 trillion, and PT Geo Dipa Energi Rp700 billion.
President Joko Widodo has signed a regulation related to the addition of capital injection to PNM through a Government Regulation Number 63 of 2020 on Nov. 2. So far, the realization of the ERP had reached Rp383.01 trillion or 55.1 percent of the ceiling provided by the government with total valued of Rp695.2 trillion.
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