City to subsidize bus fares for students

City to subsidize bus fares for students

JAKARTA (JP): The city administration accepted on Friday the
City Council's recommendation on the bus fare hike and decided to
subsidize bus fares for students.

Deputy governor for development affairs Budihardjo Sukmadi
said the administration would provide a subsidy of Rp 400 per
ride for students.

"The bus fare for students would be increased from the current
Rp 200 to Rp 250, so the increase would not be too hard on
students," Budihardjo told reporters.

He said students could buy bus tickets for Rp 250 which would
be distributed at their respective schools and give the ticket to
the bus drivers. The schools would then transfer the money to the
city administration.

The bus operators then submit the tickets to the
administration, that would pay them Rp 650 each for a ticket, he
said.

Students account for about 10 percent of all bus passengers in
the city.

An official of the City Land Transportation Agency (DLLAJ)
revealed that the administration would allocate Rp 10 billion for
the subsidy of students fares.

The official, who requested anonymity, doubted that the
council's recommendation would be accepted by bus operators as
the central government would not disburse funds to subsidize bus
operators in the city due to the planned bus fare hike.

In view of the fuel price rise on June 15, the government had
planned to give a subsidy worth Rp 216 billion to bus operators
in 20 cities across the country.

Separately, the City Council's Commission D for development
affairs chairman Sayogo Hendrosubroto said that if the central
government did not disburse the subsidy funds, the council should
review its recommendation on bus fares.

"If it's true that the central government has decided against
the subsidy, the council's recommendation should be reviewed,"
Sayogo said on Friday.

According to the council's recommendation, fares for mini
buses should be increased from Rp 500 to Rp 650, fares for medium
and express buses be increased from Rp 700 to Rp 800, fares for
air-conditioned buses from Rp 2,500 to Rp 3,000, and fares for
students from Rp 200 to Rp 250. (jun)