Please choose one of the topics below. Then, write an essay consisting of 3 paragraphs.

Elaborate
your own opinion with the references related to the topic that you choose.

1. PT PLN is one of the examples of company which monopolizes the market. What makes PT PLN
can monopolize the market?

2. A monopsony is a market condition in which there is only one buyer. Why monopsony is not good
for labour market?

Answer :

PLN is included in the type of pure monopoly. This is shown because of PT. PLN is the sole seller or
producer of unique products with no close substitutes, and the ability to charge whatever price they
want. Discussion. PLN is included in the type of pure monopoly. This is shown because of PT. PLN is
the sole seller or manufacturer, of products that are unique and without close substitutes, and the
ability to charge any price they want and other merchants cannot enter it It is called a monopoly
market because there is only one market actor who is a seller as well as manufacturers.

This situation is inversely proportional to the condition of the buyers, who are large in number. The
provision of electricity has a very important and strategic role in realizing national development that
the provision of electric power is controlled by the state and in terms of supply, it must be
continuously improved in line with development progress. Thus the availability of electricity in a
state in sufficient quantity, evenly distributed, and at an affordable price will be achieved. Currently,
the Government has established a new Law Number 30 of 2009 concerning Electricity as the legal
basis for the supply business Of electricity in Indonesia. The enactment of the new electricity law has
also given a new color to society’s electricity supply business in Indonesia. This is evidenced by the
reintroduction of the Electricity Business Power of Attorney so that the position of PT PLN (Persero)
changes, namely the first grant of the right of refusal to PT PLN (Persero) as a form of state control
over the supply of electricity. This makes the position and role of the state in the national economy
very dominant. State power in the management of the industrial sector which affects the livelihood
of many people is in the framework of the implementation of constitutional provisions. The
electricity business sector in Indonesia is included in the industrial sector definition above.

As long as the electricity business sector is not opened in a competitive market, with state authority,
no party outside of PT PLN (Persero) is harmed or in conflict with provisions of business competition
law. PT PLN (Persero) is the only BUMN that manages the electricity sector based on Law no. 30 of
2009 concerning Electricity, which regulates businesses the supply of electric power is organized by
the state and organized by State Owned Enterprises namely established based on the prevailing laws
and regulations as the Holder of the Electricity Supply Business The licensee having exclusive rights
in this regard is entitled to first priority. for electrical operation business. These three aspects form
the basis for granting exclusive rights to PT PLN (Persero) in the implementation of electricity in
Indonesia, namely the juridical aspect, sociological aspect, and economic aspect. In my opinion, a
Monopoly is possible under our competition laws, so long as the activity includes or involves
production branches that are important to the state and control the lives of many people.