'Bus fare hikes to take effect in August'

'Bus fare hikes to take effect in August'

JAKARTA (JP): Governor Sutiyoso announced on Monday that the
planned hike on bus fares would be made effective by the first
week of next month.

The governor insisted that the increase, which has received
sharp criticism from the Indonesian Transportation Labor Union
(SPTI) and the general public, was a necessity to prevent public
transportation companies and cooperatives from going out of
business.

"The hike in bus fares will be arranged in a way so that it
won't burden city residents here too much," Sutiyoso told
reporters at City Hall on Monday.

He added that the city administration was also considering
cutting taxes on public buses.

"But by how much it's going to be cut down... it has not been
decided yet. Remember that the administration is largely run on
taxes too," Sutiyoso said.

When asked about the threat of a massive strike should the
city administration continue with its plan, revealed by drivers
grouped in SPTI recently, Sutiyoso said that he also had to
consider other factors and groups in society.

"I can't just listen to SPTI. I do also have to listen to the
transportation businesses and the public as well. What SPTI plans
to do later would be its own choice."

The administration announced last week that fares for regular
buses would rise to Rp 500 from Rp 300, for non-air-conditioned
express and limited buses (PATAS) to Rp 900 from Rp 700, for
minibuses to Rp 700 from Rp 500 and the fares for air-conditioned
PATAS buses would go up to Rp 2,500 from Rp 2,300.

The student fare would be doubled to Rp 200.

Deputy Governor for Development Affairs Budihardjo Sukmadi
said last week that the plan would be effective sometime this
week, after Sutiyoso issues a gubernatorial decree.

Strong opposition from several parties apparently led Sutiyoso
to delay the implementation of the plan.

Agus Pambagio from the Indonesian Consumers Foundation (YLKI),
who was involved in discussions to hike the bus fare, said the
announcement of the fare increase was nothing but a political
move.

"The administration only wants to please businesspeople in the
public transportation industry without solving the real problems
in the transportation sector," he said.

Agus also said that YLKI never approved the bus fare hike,
although its representatives had participated in a series of
discussions about the city administration's plan.

Budihardjo Sukmadi had said that a YLKI representative was
also present when the plan was first suggested at a July 5
meeting with executives from the city's Land Transportation
Agency and the Jakarta Chapter of the Organization of Land
Transportation Owners (Organda).

But Agus reiterated that the last meeting attended by a YLKI
representative was on June 28.

In another related development on Monday, students grouped in
the Forum Kota (City Forum) organization called on Jakartans to
make a united stand against the city administration's plan.

"We call city dwellers to reject the bus fare hike policy and
pay bus fares based on the old amounts," the group's spokesman,
Irfan Hutasoit, told a press conference at Sahid University in
South Jakarta.

According to the group, the administration has no legitimate
reason to hike the fares, since it would only be an extra burden
on the people.

Irfan said the group was therefore urging the central
government to subsidize the bus owners to cope with the
escalating cost of bus spare parts and accessories.

"By lowering the price of car spare parts, the businessmen
will no longer have any reason to push forward with the
transportation fare hike," he said.(ylt/asa)