Mon, 03 Mar 1997

Councilors hail city's decision on parking fees

JAKARTA (JP): Councilors have hailed the city administration's decision to cancel its proposed 1,000 percent parking fee rise.

Sahala P. Sinaga of the Indonesian Democratic Party faction said yesterday the administration had made a wise decision because increasing parking fees so much was unreasonable.

He said the administration should consider people's financial abilities before making such plans.

"Improving public services by providing better transportation should come before thoughts of increasing parking fees," Sahala said.

The plan to increase parking fees, which was leaked to reporters, shocked the public and officials.

Consumer foundations, businessmen, observers, and motorists strongly opposed the plan.

Governor Surjadi Soedirdja was also upset and said responses to the plan had gone too far considering the draft had not yet be submitted to the City Council.

Surjadi said the plan's main purpose was to reduce traffic jams which were partially caused by parked cars parked on streets.

The high parking fee was expected to deter people from using their cars.

Councilor Hasan Dasy of the United Development Party (PPP) also praised the dropping the controversial plan.

"The decision showed the governor was willing to listen to the people," he said.

"The draft regulation (on parking) was just a concept, which I would not have approved," Surjadi said.

He said the city would consider people's ability to pay before increasing fees. "At least the hike will be based on the inflation rate," Surjadi said.

The city was planning to raise parking fees by between 100 percent and 1,000 percent for the first hour.

The existing fee structure was fixed in a 1979 city rule which set parking fees for cars at Rp 300 although, in practice, motorists pay Rp 500.

The draft set parking fees for cars on roads without parking meters at Rp 1,000 and on roads with meters at Rp 1,000 for the first hour.

In limited parking areas parking fees would have reached Rp 5,000 for the first hour and the fee would double each hour.

"The city should not burden the public because of the city's parking agency's failure to reach the targeted revenue," Hasan said.

He said Jakarta's nine million people owned 2,165,200 vehicles. "It's illogical that the agency collect small money from parking fees ... there must be something wrong with its management," Hasan said.

The agency has been under fire for its inability to reach its revenue collection target.

In the 1995/96 fiscal year, the agency collected Rp 11 billion (US$ 4.5 million). This was Rp 5 billion less than expected. In 1994/95 it collected Rp 11.5 billion or Rp 3.1 billion below its target.

Councilor M. Rodja of the PPP faction has said the agency could have collected at least Rp 131 billion a year from only 700,000 cars a day, assuming drivers were charged Rp 600 for two hours parking a day. (ste)