Wed, 26 Mar 2003

Bus fare hike proposal returned to governor

Bambang Nurbianto, The Jakarta Post, Jakarta

The City Council returned on Monday a proposal to increase city bus fares by an average of 27 percent to Governor Sutiyoso because stakeholders were in hot dispute about the issue.

The decision was made during a hearing at the City Council, attended by the Indonesian Consumers Foundation (YLKI), the Organization of Land Transportation Owners (Organda) and the City Land Transportation Agency.

City Council Deputy Speaker Tarmidi Suhardjo told those attending the hearing that executives and other stakeholders should discuss the issue thoroughly before the proposal was again presented to the City Council.

Tarmidi stressed the need for the involvement of YLKI and other relevant organizations in any discussion on fare increases.

In his proposal to the City Council last week, Sutiyoso suggested increasing fares for regular buses to Rp 1,150 from Rp 900, for limited express buses to Rp 1,400 from Rp 1,200 and for medium-sized buses to Rp 1,250 from Rp 1,000. Student fares will remain at Rp 500.

Both by Organda and YLKI objected to Sutiyoso's proposal.

Organda chairman Aip Syaifuddin insisted on a 50 percent fare increase, saying that Organda's bus operators would go on strike next Monday if the proposal was rejected.

He argued that current fares could no longer cover the operational costs of public vehicles following the increase in prices of fuel and spare parts.

Meanwhile YLKI chairwoman Indah Suksmaningsih objected to increasing bus fares and said that bus operators should improve their services before increasing fares.

Indah said many drivers, particularly of medium sized-city buses, did not ply all of the routes they were on. For example, he said, nearly all buses leaving Tanah Abang, which should serve the Tanah Abang-Kampung Rambutan route, stop at Kampung Melayu instead of Kampung Rambutan.

"We cannot accept the fare increase until their services are really improved," he said.

During the hearing, Aip also revealed irregularities in the City Land Transportation Agency, which further burdened bus operators.

Aip said that various fees were collected by officials in the agency when bus operators needed roadworthy tests done on their buses. He said bus operators could pay twice the official fee.

Jakarta Residents Forum (Fakta) chairman Azas Tigor Nainggolan claimed that officials at the City Land Transportation Agency issued permits effortlessly for lucrative routes to bus operators who paid additional money.

Tigor, who owns 12 medium-sized city buses, said fare increases would not be necessary if illegal fees at the City Land Transportation Agency could be eliminated.

"Organda should not campaign to increase fares, it should demand the City Land Transportation Agency improve the transportation system," he said.

On Jan. 1, the government announced a simultaneous increase in fuel prices, electricity rates and telephone charges, causing nationwide protests against the hikes.

The price of premium gasoline was raised from Rp 1,750 per liter to Rp 1,810, and diesel fuel from Rp 1,550 per liter to Rp 1,890. The government later cut the diesel price to Rp 1,650.