Inp.polri.go.id - Jakarta.  The Jakarta administration has slashed the motor fuel tax (PBBKB) by up to 80% in a bid to control inflation and protect residents’ purchasing power.

“We want to keep inflation from rising too high. Jakarta’s administration is fully committed to inflation control. That’s why we decided to reduce the fuel tax,” said Governor Pramono Anung in East Jakarta on Monday (28/7/2025), as quoted by antaranews.com.

The policy is based on Governor Decree No. 542/2025 and took effect on 22 July 22=025. It offers a 50% discount for private and public vehicles and up to 80% for fuel used in defense and security operations. 

Governor Pramono said that the city’s tax revenues are strong enough to support the incentive. He denied claims that poverty in Jakarta is rising, saying that year-on-year figures show a decline.

Details on the duration of the tax break will be announced soon.

(mg/inp/pr/rs)