An arbitrary act of Telkom

An arbitrary act of Telkom

From Bisnis Indonesia

The latest balance sheet of publicly listed telecommunications
firm PT Telkom shows that it has booked a profit of over Rp 2
trillion. Komarudin SK, operational and marketing director of
Telkom, said the cumulative rise in telephone rates by 40 percent
would hardly cover the costs of construction of a permanent
telecommunications network. (Bisnis Indonesia. March 30, 2001).

This means the increase in telephone rates is intended to
finance the construction of a new telecommunications network. (It
was earlier reported, Telkom plans to establish some four million
new telephone lines). So the rates are to be raised by over 40
percent to build four million new telephone lines.

It must be borne in mind that having a telephone is no longer
a luxury today. PT Telkom should raise its rates only after
considering the appropriateness and the fairness of the hike to
its subscribers. If there were other telephone companies, would
PT Telkom raise its rates as it pleases?

As Telkom plans to establish new telephones lines, it is only
fair that it pioneers "people's capitalism", a phenomenon common
in capitalist countries, including the United States and Western
Europe.

Raising telephone rates while holding a monopoly smacks of
arrogance and coercion.

DEHEN BINTI

Jakarta