Council demands delay in public bus fare hike

JAKARTA (JP): City Council Commission D for development affairs demanded on Friday that the Organization of City Land Transportation Owners (Organda) postpone its decision to increase fares of public air-conditioned buses.

"We urge Organda to delay the rise until it discusses it with us," the commission's secretary, Bimo Hastoro, told reporters.

Bimo, of the Indonesian Democratic Party of Struggle (PDIP), slammed the association for deciding to increase the bus fare from Rp 2,500 (US$0.30) to Rp 3,300 without discussing it first with the council.

He accused Organda of violating its agreement with the council last month that the fare should not be increased beyond Rp 3,100.

"We are really upset that Organda did not heed our agreement. They seem to ignore us as public representatives," Bimo said.

He said that the fare for air-conditioned buses was also a public matter and should be discussed with public representatives although Law 14/1992 on public transportation does stipulate that fares for air-conditioned buses would be decided by transportation operators.

He said City Council had summoned Organda to explain the fare decision in a hearing scheduled for next week.

Another councillor, Ali Imran Husein of the United Development Party (PPP), was disappointed that the city administration seemed to refuse responsibility on the decision of the bus fare increase.

"The administration cannot say whether they know anything about the increase or not," said Ali who is deputy chairman of the commission.

He said Organda had adopted a monopolistic practice in deciding the bus fare increase, instead of a market mechanism that was always required by the city administration.

After announcing the increase, Organda's chairman Aip Syaifuddin claimed that the rise had been approved by the administration and City Council.

Aip said that Organda had to raise the fare due to an increase in the price of oil in June, which had prompted the management of other regular and economic-class buses to increase their fares last month.

Fares for regular buses were increased from Rp 500 to Rp 700, the fare for medium-sized buses such as Metromini and Kopaja buses was also increased from Rp 700 to Rp 900 and the fare for public minivans was increased from Rp 1,000 to Rp 1,200.

Organda groups 15 bus companies that operate more than 10,000 large and medium-sized buses and 12,000 minivans in Greater Jakarta.

Separately, City Governor Sutiyoso denied on Friday that the administration was involved in a decision to increase the fares of air-conditioned buses.

"We haven't been involved in deciding the fare. We have complied with the government regulation that stipulates the application of a market mechanism for the bus fare," Sutiyoso told reporters.

Asked whether the increase could be postponed and discussed further, Sutiyoso seemed reluctant to delay the increase although he hinted at the possibility to discuss the rise.

He said he was ready to discuss the matter with the council, Organda as well as the Indonesian Consumers Institute Foundation (YLKI).

"I will also ask my subordinates about the matter. My staff should inform me about the reaction of the general public, including if there is any rejection to the fare hike," he added. (jun)