REPUBLIKA.CO.ID, BANDUNG - The business people urged the government to be firm in its oil fuel subsidy to give the business players a firm planning base.

"We will appreciate a firm policy in fuel subsidy to give us certainty in business planning," chairman of the West Java chapter of the Indonesian Chamber of Commerce and Industry (Kadin) Agung Suryaman Sutrisno said.

Hesitancy in the policy would lead to uncertainty that often led to public confusion and industrial setback, Agung said here on Saturday, he added.

"The government should not delay plan to raise the fuel prices or scrap the subsidy on fuel," he said.

He said the government budget has been burdened with too heavy subsidy, adding the subsidy fund could be used to finance productive sectors.

"The fuel subsidy of more than 200 trillion IDR is a lot of money. It would be much better if the money could be used to finance infrastructure projects," he said.

He also called on the government to be more serious in developing alternative energy sources.

"The plan to develop alternative energy has long been in the pipeline. A concrete steps should be taken toward realization of the plan.

"A leader should not think only of five year term . The country needs a leader that has a vision with long term strategic plan especially in energy," he said.

Meanwhile, head of the central bank office in Bandung Dian Ediana Rae criticized the fuel subsidy implementation.

"The fuel subsidy policy is off target as it benefit the middle to high income people more than the low income people," he said.

He said the fuel price in Indonesia was currently the lowest in this region, adding no other country in ASEAN provide subsidy on fuel. "Abolishing subsidy on fuel is reasonable thing to do by the government and use the money to finance infrastructure including roads, ports and transport equipment," he said.

The shock of fuel price hike would not last for a year, he said adding he was optimistic the people could go through it. President elect Joko Widodo said outgoing President Susilo Bambang Yudhoyono had rejected his request to raise the fuel price at present. 

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