Bus owners threaten to halt operations

Bus owners threaten to halt operations

JAKARTA (JP): Public transportation owners on Tuesday
threatened to stop operating and hand over the transportation
business in the capital to the government if the latter is unable
to help lower the skyrocketing prices of spare parts.

Aip Sjarifudin, chairman of the Jakarta chapter of the
Organization of Land Transportation Owners (Organda DKI), said
that the operators were forced to articulate the threat as the
government had not responded to their complaints.

He said that the operators had been repeatedly urging the
government for some time to offer a type of subsidy so as to
enable them to get the spare parts at cheaper prices.

"If the government is reluctant to do so, then it's better for
the government to take over and manage the business by itself as
the operators can no longer survive in the current conditions,"
he said.

Organda DKI is currently overseeing the operation of 10 bus
companies, namely Mayasari Bakti, Bianglala, Steady Safe, Giri
Indah, Kopaja, Metro Mini, Kopami Jaya, Koantas Bima, AJA and
Himpurna with a total fleet of 8,500 medium sized and large
buses.

Aip said that the operators were waiting for the realization
of the government's plan to provide cheap spare parts for public
transportation.

Promise

The government promised earlier to provide a kind of nation-
wide subsidy for the purchase of spare parts through an
allocation of funds amounting to Rp 220 billion (US$20 million),
he said.

"In a meeting between the operators and officials of the
National Development Planning Board and the Ministry of
Communications on Sept. 18, however, no clear information was
available about whether the subsidy would be provided soon," he
said.

The price of spare parts, which depend largely on imports, has
tripled over the past few months due to the tumbling rupiah
against the U.S. dollar.

Aip also said that Organda had sent a letter to the Ministry
of Trade and Industry, requesting that public transportation
cooperatives be permitted to directly import the spare parts as a
way to lower the prices, "but not a single response was made,"
Aip said.

Organda have also reminded the government to help lower the
price of spare parts to avoid the possibility of massive strikes
by public transportation drivers for fear of creating unrest
similar to that which occurred in Medan, North Sumatra.

A massive strike by thousands of public transportation drivers
crippled Medan on Sept. 14, during which they protested not only
against the rising prices of spare parts but also price hikes of
basic commodities.

Many of the striking drivers vandalized local properties.

The ensuing chaotic situation allowed a mob the opportunity to
loot a local shopping center as well.

Meanwhile, Minister of Cooperatives and Small Enterprises Adi
Sasono said on Tuesday that he supported an idea allowing the
public transportation cooperatives to directly import spare
parts.

"(Direct import through cooperatives) is badly needed. I will
fight for and discuss it with other related institutions," he
said. (ind)