REPUBLIKA.CO.ID, JAKARTA - Indonesian House of Representatives agreed to suspend the subsidized fuel price hike, yet government could adjust it if the average price of crude oil exceeded to more than 15 percent in six months.

The decision derived from the voting of two options. The first choice is to stick on the substance of article 7 section 6 of the draft of revised state budget 2012, which says that the fuel price will be maintained to the current price. The article closes the opportunity for government to increase the fuel price. The second choice is to add section 6a stating that government can adjust the fuel price if the average of Indonesian Crude Price (ICP) increased or decreased more than 15 percent in six months.

The House Speaker Marzuki Alie said about 356 of the members chose the second option, while 81 members chose the first option. The faction of People’s Conscience Party (Hanura) and Democratic Party of Struggle (PDI-P) walked out during the vote and Gerindra gave 24 votes. "We respect their decision," Alie said on Saturday.

The Minister of Finance Agus Martowardojo said on his speech at the closing of plenary session that the governmen abode by the House's decision. "The main substance has been agreed," he said. The enacting of basic assumption, deficit target and also financing has been conducted.

"The agreement is important and strategic in economic fundamental and maintain long-term fiscal," he said.

Government, then, will pay attention to two macro economy indicators. The first is lifting target of 930 USD per barrel. "Lifting is hard to apply due to unplanned shutdown. We will monitor it seriously," he said. Should the lifting fails, the state budget deficit is then widening. 

Government will also optimize the tax income. "Economy is unstable. We should pursue optimization the fiscal step," he said. 

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