Tue, 14 Jan 2003

City has yet to determine fares increase

Damar Harsanto, The Jakarta Post, Jakarta

Nearly two weeks after the increase in fuel prices, especially diesel, which is used by most public transportation services, the city administration has yet to decide on a corresponding hike in transportation fares, despite mounting demands from drivers.

"We're still waiting for the results of a study on the possibility of a fare increase," Governor Sutiyoso told reporters on Monday.

Sutiyoso said the final decision on a fare hike would depend on the findings of a joint team that had been formed to study the matter.

The joint team groups officials from the City Transportation Agency, Organization of Land Transportation Owners (Organda), non-governmental organizations like the Indonesian Consumers Foundation (YLKI) and the Indonesian Transportation Society, and journalists.

The team has been conducting a survey on the possibility of raising bus fares since last week. It is expected to come up with a proposal on Friday.

Sutiyoso said last week that he would only allow a maximum increase of 10 percent.

The driver of a Metromini No. 61 minibus plying the Kampung Melayu-Manggarai route complained that the increase in fuel prices had slashed his daily earnings.

"I have to reach deeper into my pocket for the Rp 75,000 (US$8.4) I need for fuel, up from Rp 50,000 before the hike," said the driver, who asked not to be identified.

Due to the fuel price increase, the driver, who resides in Bukit Duri, South Jakarta, revealed that his daily income had dropped from Rp 45,000 to only Rp 15,000 a day.

He said his earnings were also affected by the fact that many passengers still insisted on paying less than the current fares.

"How can I force them (the passengers) to pay more when even now they don't want to pay the full fare, using the increase in the prices of basic commodities as an excuse," he said.

The prices of basic commodities have been soaring following the government's decision to hike utility charges early this month.

Meanwhile, the Mayasari Bhakti bus company revealed that it had been suffering losses of between Rp 43 million and Rp 50 million a day on account of the additional costs incurred since the increase in the price of diesel to Rp 1,890 a liter from Rp 1,550 previously. The company stocks diesel for around 900 buses plying routes across Greater Jakarta.

The driver of a Mikrolet No. 44 public minivan serving the Karet-Kali Malang route said drivers did not dare to raise fares.

"None of us dare to increase fares. We're afraid of being caught and fined by the City Land Transportation Agency," said Subarjo, who resides in Duren Sawit, East Jakarta.

Subarjo revealed that many of his fellow drivers were suspended last year for arbitrarily raising fares.

"Now, we are simply waiting for the official announcement of the fares increases from the city administration. We hope it will be made soon," Subarjo said. Some other drivers who were resting near the Karet cemetery in South Jakarta shared his view.

The administration last increased fares by 14 percent on average in May of last year when the price of diesel increased from Rp 1,250 to Rp 1,400 a liter. Now, diesel costs Rp 1,890 a liter.

The YLKI has urged the administration not to raise fares arguing that it would only further burden the public. Instead, it contends that transportation is a vital public service and that the government must be responsible for ensuring that it is affordable to the public.