'Bus fare hike not to exceed 40 percent'
'Bus fare hike not to exceed 40 percent'
Bambang Nurbianto, The Jakarta Post, Jakarta
The city administration will announce a public transportation
fares increase next week, bowing to pressure from the public
transportation operators after the government raised fuel prices
by 14.46 percent on May 3.
Head of the City Transportation Agency Rustam Effendy said on
Wednesday that the increase would not exceed 40 percent, to keep
it affordable to the public.
He said the Jakarta chapter of the Organization of Land
Transportation Owners (Organda) had proposed an increase
of 67 percent to 71 percent on current fares.
"We'll raise the fares but it must be less than 40 percent on
average. It's hard to meet the Organda proposal as we must
consider the public's ability to pay," he said.
On Friday, officials from the agency will meet the Indonesian
Consumers Foundation (YLKI), Organda and other parties to discuss
the planned fares increase.
The administration announced its most recent public
transportation fares increase last July, at 28 percent to 50
percent on previous fares.
Currently, the fare for regular buses is Rp 700, for medium-
sized and limited-seat buses Rp 900 and for students Rp 300.
Organda has proposed new fares of Rp 1,250, Rp 1,500 and Rp
500 respectively.
Low-income families will suffer most from a fares increase.
Some public transportation drivers did not want fares to be
increased because they would also have to face an increase in
vehicle rental fees, which, in the end, would benefit the
operators rather than the drivers.
"The operators will also raise the (vehicle) rental fee. We
won't get anything from the increase," moaned Salim, a driver of
a public minivan plying the route from Tanah Abang, Central
Jakarta, to Kebayoran Lama, South Jakarta.
Organda Jakarta chapter deputy chairman Putu Wirta Antara said
that an average 40 percent fares increase would not cover the
operational cost of public transportation as the price of spare
parts had continually increased.
"Before the fuel price hike was announced, spare part prices
had already increased. The price will be higher after the fuel
price hike," Putu told The Jakarta Post on Wednesday, adding that
the administration had to consult with Organda before making its
decision.
"We hope they will listen to our argument at Friday's meeting
and will not make a decision without agreement from Organda."
Putu said Organda has set a deadline of May 18 for the
administration to make a decision.
"If no significant action has been taken by May 18, Organda
will decide its own fares. If the police ticket the buses, we
have already decided to stage a total strike," he said.
Organda Jakarta chapter chairman Aip Syaifuddin said earlier
that without a significant increase, public transportation
operators could no longer operate their vehicles.