City transportation fares to go up

City transportation fares to go up

Damar Harsanto, The Jakarta Post, Jakarta

The Land Transportation Owners Association Jakarta branch
(Organda DKI) is giving the city administration one week to raise
public transport fares after the government hiked fuel prices.

It also said that it would go on massive strike should the
city administration fail to meet its demand on schedule.

"We won't be able to shoulder ballooning costs due to the fuel
price hike since our business is still in the doldrums. We will
start a strike if the administration cannot decide on the fare
hike within a week," chairman Herry Rotty said at the sidelines
of the association's meeting at Gran Menteng Hotel in Central
Jakarta.

The increase would be the second for Jakarta residents after
the administration decided on March 9 to raise transportation
fares by between 9 and 19 percent following the government's
decision to hike fuel prices by an average of 29 percent.

In the March fuel price increase, the city administration took
at least two weeks to decide on the new public transport fares.

Herry said that his association would lodge the proposed fare
increases to the City Transportation Agency on Monday next week.

Fuel accounted for 20 percent of the total costs for public
transport operators, he said.

Organda DKI is proposing increases of between Rp 627 for
regular buses and Rp 867 for non-economy class buses should fuel
prices go up by 100 percent.

The fares of regular buses officially stand at Rp 1,200, while
business class buses Rp 3,300. Many bus crews, however, ask
passengers to pay higher, arguing that the total operating costs
were higher than the fares determined by the administration.

Meanwhile, head of the association's division for public
minivans, Safruhan Sinungan said operators would increase fares
to Rp 2,500 from Rp 2,000 to weather the fuel price hikes.

"With heavy traffic jams throughout the city, running a public
transport business is simply a high-cost enterprise. We spend
lots of money to purchase lubricants, brakes, tires and clutches
to allow our vehicles to travel along the city's tough streets,"
he said.

Organda DKI also urged the administration to scrap several
vehicular taxes imposed on public transportation vehicles, such
as the public transportation tax, terminal tax and roadworthiness
test tax, in order to help reduce the burdens on transportation
operators.

"We want the administration to treat us fairly, like it treats
the TransJakarta busway buses that enjoys various facilities from
the administration in addition to the subsidy scheme for busway
passengers," Herry said, adding that each passenger was now
subsidized Rp 496 a trip.

Chairman of City Council Commission D overseeing
transportation and development affairs, Sayogo Hendrosoebroto
lent support to Organda's request, promising that his commission
would propose scrapping vehicular taxes for public transportation
operators.

Responding to Organda's request, Jakarta Governor Sutiyoso
said that his administration would study the issue thoroughly.

"We will ask the City Transportation Council to give us input
on the issue," he said.

The council is manned by scholars, consumer protection
foundations, representatives of public transport firms,
businesspeople, traffic police and the City Transportation
Agency.