New taxi permits issued for firms willing to merge<\/p>\n
JAKARTA (JP): Deputy Governor for Economic and Development
\nAffairs TB Rais said yesterday the city administration would
\nissue permits for new taxi businesses, but only if it involved a
\nmerger with an established company.<\/p>\n
\"The city administration has decided the number of taxis
\noperating in Jakarta in 1996 should not exceed 20,000,\" he said.<\/p>\n
He made it clear the administration would still endorse
\napplications for new permits. \"We will not reject an application
\nfor a new permit from a firm wishing to operate its taxis in the
\ncity as long as the company wants to merge with another firm
\nalready established.\"<\/p>\n
He believed the system would help the city administration
\ncontrol taxi operations in Jakarta.<\/p>\n
\"If we continue to issue new permits without any restriction,
\nwe are afraid we can not effectively supervise the operation of
\nthe taxis in the capital,\" he said. \"Too many taxis operating
\nwould pose various problems to the city administration.\"<\/p>\n
Rais was responding to complaints aired by private public
\ntransport organization Organda chairman Aip Syarifuddin.<\/p>\n
Last week Aip objected to a statement by the head of the city
\nEconomic Development Bureau, Harri Sandjojo, who explicitly said
\nthe city administration would not issue new permits for taxi
\nbusinesses to avoid oversupply.<\/p>\n
Aip said the only thing the administration decided was the
\nnumber of taxis operating in 1996 could not exceed 20,OOO.<\/p>\n
\"So it means that if the number of taxis in the city has not
\nreached 20,000, new firms can still start up,\" he said<\/p>\n
But Rais' explanation yesterday cleared up the matter. A
\npermit will be given to a new company, but when it comes to
\noperation the company must merge with an established company.<\/p>\n
Data from the local Investment Coordinating Board show the
\nadministration has given licenses to 30 companies to operate
\ntaxis in Jakarta since 1972. The data shows 12 firms have not yet
\nstarted operating since securing their permits, and a few others
\nhave not operated as many taxis as proposed, leaving permits for
\nover 2,000 taxis.<\/p>\n
Meanwhile Judhi, the head of the Land Transport and Traffic
\nAgency's Business Department, said yesterday two new taxi
\ncompanies recently given permits had merged with established
\nfirms. They are PT Cendrawasih which merged with Blue Bird and
\nKoperasi Pembela Tanah Air (Kopeti) which joined with Steady
\nSafe.<\/p>\n
Under the system, it is Blue Bird and Steady Safe which are
\nresponsible for operational and field matters.
\n(bas\/02)<\/p>",
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"sponsor": "Okusi Associates",
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