Textile and textile product (TPT) industry players propose reducing electricity rates by 30 percent for labor-intensive industries, especially the textile sector. Secretary General of the Indonesian Textile Association (API) Danang Girindrawardana said textile sector businesses began to have trouble paying electricity bills when factory utilities dropped drastically. It is known that the utility of the textile industry from upstream to downstream has decreased quite deeply to below 50 percent. Under these conditions, according to Danang, if employee cuts are not carried out, then the industry will bear a heavier production burden. So to avoid continuing the trend of layoffs (PHK), API proposes that there be a conversion of electricity rates so that this sector can survive amid sluggish domestic and global demand.
"If electricity rates for labor-intensive industries can be reduced by more than 30 percent, then those costs can be converted to maintain the number of existing employees," said Danang, Monday (6/26/2023).
Danang further explained that API submitted this proposal to the Main Director of PT PLN (Persero) and submitted it to the Ministry of Industry (Kemenperin).
"In the meeting with the Minister of Industry, we have conveyed this problem, he will follow up on it," added Danang.
According to Danang, the option to convert energy costs is one way to maintain the current shaky textile industry. In addition to controlling the onslaught of textile products from abroad.
"Another option for retaining employees in the manufacture-scale TPT industry is to control the permits and distribution of imported TPT," concluded Danang.
In line with Danang, West Java API Chairman Ian Syarif also said the same thing. According to him, the decline in the utility of the TPT industry had an impact on the contraction in electricity usage and caused PLN to be restless.
"Several times [PLN] invited me because they were worried that the automatic reduction in electricity consumption from PLN would also have a very worrying impact," said Ian in a joint meeting with the DPR RI Legislative Body at the Parliament Complex, Wednesday (21/6/2023).