City bus fares

City bus fares

From Neraca

Because the Jakarta administration has not arrived at a
decision on the proposed hike of city bus fares, we at the
Indonesian Consumers Foundation want to reemphasize our
commitment to solving the problem of city bus fares. Basically
the foundation understands the need for an increase of city bus
fares, but:

1. The government must study the purchasing power of bus
transportation users in the capital.

2. The city bus fares to be determined must be financially
advantageous for consumers, bus operators and drivers. It should
not be a political tariff that only benefits the government as
has been the case so far.

3. The government should provide non-cash subsidies. A budget
would not help transportation operators and users but would only
enrich the executives in charge of the budget.

4. The non-cash subsidies meant are: subsidies in vehicle credit
interest (it is now still 30 percent according to transportation
operators) like in other sectors; a reduction of motor vehicle
tax with a minimum of 65 percent; temporary abolishment (until
the economy recovers) of the cost of route permits; the exemption
of toll road fees; and subsidies for spare parts.

5. The governor must see to it that all kinds of illegal takings
on the road, at vehicle test centers and bus terminals are
stopped.

If the increase in bus fares as proposed by the Jakarta
Administration is Rp 200 for school children and between Rp 500
and Rp 700 for the general public, we think that the operators
will not be in a position to improve their services and to
increase their income.

At present the foundation only requests the honorable city
councilors to decide on a suitable tariff. If the regional house
of representatives approves the proposed tariff, the community
will protest, but if the decision is postponed again, bus
operators and crews will cry out.

The foundation is of the opinion that if the Jakarta
administration is willing to carry out the five-point
recommendation above, there is no need for an increase of bus
fares, the service could be improved and the welfare of bus
operators and crews can be bettered. Once again, we leave it to
the respected council to make a wise decision.

AGUS PAMBAGIO

Deputy Chairman

Indonesian Consumers Foundation