City Hall reviews water price hike

Governor Surjadi Soedirja has indicated that the city administration might revoke the City Water Company's (PAM Jaya) recent decision to increase prices at public water taps.

"Right now we are still discussing whether to accept the new Rp 780 (36 US cents) per cubic meter rate or completely reject it," Surjadi said.

Surjadi was tight-lipped about giving any indication to the municipality's final decision.

Only after we have evaluated all the facts, will we announce the decision, Surjadi said as quoted by Antara.

PAM Jaya last month hiked up the overall water price for households at an average of 40 percent while public water taps are burdened with a fantastic 312 percent raise.

The jump from Rp 250 per cubic meter to Rp 780 per cubic meter has caused a public outcry by the many who purchase their water from water retailers.

Calls by PAM Jaya to retailers not to increase retail prices have mostly been unheeded. Consumers in many parts of the city have complained that they have to pay between 50 to 100 percent higher than the ceiling price set by the city-owned company.

Initial response by PAM Jaya to the criticism has been a two month delay of the price hike at water taps to allow the company time to set the maximum retail prices.

However public pressure, weighted by continuous grumbling from city councillors who were disappointed by PAM Jaya's unilateral decision to hike prices of the public water, taps has prompted city officials to at least review the decision. (mds)