November 11, 2025 | 04:35 pm
TEMPO.CO, Jakarta - Indonesia's Ministry of Energy and Mineral Resources has disbursed a budget of Rp4.35 trillion for the rural electricity and free electricity connection program for low-income communities through an assignment to PLN (state-owned electric company). This was conveyed by Minister of Energy Bahlil Lahadalia in a working meeting with the House of Commission XII (DPR) in Jakarta, on Tuesday, November 11, 2025.
"Due to the relatively short implementation time and PLN being the most prepared in terms of infrastructure, we have assigned the rural electrification and free electricity connection development to PLN," said Bahlil.
Bahlil explained that the budget is part of the additional Energy Ministry's budget of Rp6.28 trillion received in August 2025. The additional budget is intended to fund several strategic programs, including the development of gas pipeline networks, household electricity installation assistance (BPBL), and household gas network development.
Of the total additional budget, Rp4.35 trillion or approximately 30 percent of the overall Energy Ministry budget for the current year is allocated to expand access to electricity in rural areas.
Bahlil stated that the Energy Ministry budget is divided into two stages: the Main State Budget (APBN Induk) and the additional budget. In the Main State Budget, the initial allocation of Rp8.3 trillion underwent efficiency measures, resulting in a revised allocation of Rp7.84 trillion. By November 2025, the budget realization had reached 65 percent and is projected to reach 94 percent by the end of the year.
As for the additional budget received at the end of August, new tender processes could only be conducted in September-October, resulting in a realization of around 2.48 percent in November. Nonetheless, Bahlil targets a significant increase in budget absorption in November and December.
"God willing, the absorption, including the Rp4.3 trillion for PLN, will be completed by the end of the year," he said.
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