Indonesian economic experts and business circles have raised concerns about the current government's response to the energy crisis. There are concerns that short-term consumer burden relief measures such as subsidies and price controls could weaken incentives for energy producers, leading to reduced private investment and decreased supply. Additionally, it is warned that the fiscal burden from maintaining subsidies could lead to long-term fiscal imbalance
Experts emphasize the need for a strategic policy framework that addresses short-term consumer demand while promoting sustainable energy development, expanding private sector participation, and balancing long-term economic stability in Indonesia. There are also concerns that short-term measures, without careful planning, could undermine long-term energy security and economic growth
(Nikkei Asia, 4/6)
https://asia.nikkei.com/spotlight/iran-tensions/iran-war/economists-business-warn-indonesia-s-energy-crisis-response-may-backfire2
