City has yet to determine fares increase

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.