Telephone rates to go up by 21% from June 10<\/p>\n
BANDUNG, West Java (JP): State-owned telecommunications
\ncompany PT Telekomunikasi Indonesia (Telkom) said on Friday it
\nwould increase its rates by an average of 21.67 percent on June
\n10.<\/p>\n
Telkom's vice president for corporate communications Dodi
\nAmarudien said the plan had been agreed upon by the government
\nbut was still subject to approval by the House of
\nRepresentatives.<\/p>\n
\"We are planning to increase the rates on June 10 but the
\nfinal time frame will be decided after consultation with the
\nHouse,\" Dodie said.<\/p>\n
Under the proposal, Telkom will start charging its customers
\nthe new rates from midnight on June 10.<\/p>\n
According to Dodi, the rate increases, which had been cleared
\nin principle by the House on May 11, were approved by then
\nminister of communications Agum Gumelar in a ministerial decree
\nissued on Thursday. Agum was appointed on Friday by President
\nAbdurrahman Wahid as new coordinating minister for political,
\nsocial and security affairs.<\/p>\n
The House has agreed with the government's proposal to
\nincrease telephone rates by 45.49 percent over the next three
\nyears, that is a 21.67 percent for this year, 15.6 percent in
\n2002 and 8.22 percent in 2003.<\/p>\n
Telkom is now making technical preparations in the
\ncomputerized payment system at 2,600 telephone offices across the
\ncountry to introduce the new rates, he said.<\/p>\n
\"The most important thing is that we have to hold information
\ncampaigns to make people understand the need for the increase,\"
\nhe said.<\/p>\n
According to the ministerial decree, the highest increase
\nwould be for local calls at 28.74 percent to Rp 215 (about 2 US
\ncents) from Rp 167 per time unit, followed by long distance calls
\nat 20.9 percent to Rp 162 from Rp 134 per time unit.<\/p>\n
Monthly administration fees will also increase by 28.9 percent
\nfor business subscribers and 5.34 percent for residential and
\nsocial subscribers.<\/p>\n
Meanwhile, public telephone rates will be retained at Rp 100
\nper time unit, Dodi said.<\/p>\n
A time unit, also known as a pulse, is a call duration
\ncalculated based on distance of the call. The longer the
\ndistance, the shorter the time unit.<\/p>\n
Dodi said that under the new rates, Telkom would implement a
\nsingle zone system in Jakarta and nearby areas which use the 021
\narea code, where customers will pay Rp 150 per time unit, with
\none time unit lasting one minute.<\/p>\n
\"Any calls from and within the 021 area code at any time will
\nbe charged Rp 150 per minute,\" Dodi said.<\/p>\n
He said the new system, that would be implemented in Jakarta
\nand its surrounding areas, would be gradually introduced to all
\nparts of the country in the near future.<\/p>\n
Along with the increase in the rates of land-line telephones,
\nthe governmental decree also increases the airtime rates for
\ncellular phones to Rp 375 a minute from Rp 325 a minute. (25\/tnt)<\/p>",
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"sponsor": "Okusi Associates",
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