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Mobile services launched to streamline power subsidy transactions

Since the onset of the COVID-19 pandemic, governments across the world are standing their ground in capitalising on digital technology to provide seamless transactions during the new normal despite safety restrictions. In line with these efforts, government agencies and even state-owned firms are rethinking their operation models to be more equipped in providing services to the citizen base. 

This scenario is evident in Indonesia, where the government has early on committed to accelerating its digital transformation to boost public service and governance. In fact, according to an earlier report by OpenGov Asia, the Ministry of National Development Planning emphasised the role of information and communications technology to boost the country’s social capital index. This index is the measure of the whole population’s social stability and well-being. 

Building on this commitment, Indonesia’s state-owned electricity company PT Perusahaan Listrik Negara (PLN) announced that it has formulated a new innovative strategy to provide services to households across the country. In a statement, the company said that consumers can easily apply for a COVID-19 electricity stimulus package through the PLN Mobile application.  

The electricity firm ensured that they are distributing 450 volt-ampere (VA) and 900 VA subsidised electricity packages to 32 million household consumers. It added that this number excludes the 450 VA power packages to 459,000 business customers. 

Postpaid customers under the 450 VA group are entitled to a 100% electricity discount while a 50% power subsidy is given to postpaid consumers under the 900 VA power segment. PLN’s Executive Vice President for Corporate Communication and CSR Agung Murdifi said: “postpaid customers will immediately reduce the cost of electricity bills. Then for 450 VA, prepaid tokens can be obtained through the method described. Meanwhile, for subsidised 900 VA household customers, a stimulus is received when purchasing electricity tokens.”. 

The Executive Vice President added that they “see that the distribution process is running smoothly and customers have enjoyed the electricity stimulus.” 

The state-owned firm emphasised that using the PLN app is easy and convenient during the new normal. The application can be downloaded via Playstore and App Store. Once downloaded, customers can register for the power subsidy by clicking on ‘PLN Cares for Covid-19’ under the Info and Promos tab. They will then be prompted to enter their Customer ID or their electricity meter number. A free token will appear which can be entered by customers in their meter reading to avail of discounts. 

For those who have trouble accessing or downloading the PLN app, they can log on to the PLN website or send a message through WhatsApp. The company’s Executive Vice President stated that they have launched these additional services to provide as many alternative options to citizens who are in need of discounts on their electricity bills. He added: “PLN adds Channels through the PLN Mobile Application to make it easier because customers can just open the application on their cellphones, enter the Customer ID / Meter Number, and get the token number.” 

The introduction of subsidised electricity is part of the government’s IDR 695.2 trillion (US$ 49.4 billion) stimulus package during the pandemic. This government effort aims to shore up the country’s economy which has taken a hit since the start of the COVID-19 crisis. Through this initiative, the government is also optimistic that the stimulus package will help maintain employment levels.  

Since August last year, over 30 million households, businesses and industries have been seeing lower amounts in their electricity bills following the release of an IDR 15.4 trillion (US$ 1.09 billion) funding for power relief measures. This amount is on top of the IDR 54.79 trillion (US$ 3.89 billion) yearly electricity subsidies set aside by the Ministry of Energy and Mineral Resources.

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