DPR, govt approve 12% bus fare rise

DPR, govt approve 12% bus fare rise

Fitri Wulandari, The Jakarta Post, Jakarta

Legislators and the government agreed on Wednesday to a 12
percent increase in intercity bus fares during the Idul Fitri,
Christmas and New Year holidays.

The 12 percent hike is less than the government's proposal of
20 percent and much lower than last year's increase of 25
percent.

"It is a final decision to provide better services to the
public," Soemaryoto, chairman of House of Representatives
Commission IV for transportation and telecommunications, said.

Speaking after a hearing with Director General of Land
Transportation Sumaryono Soesilo, Soemaryoto said that the fare
increase would be effective nationwide a week before and 10 days
after Idul Fitri.

Soemaryoto said the fact that intercity bus fares were
increased 20.5 percent in July had been taken into consideration
when deciding to temporarily raise fares by 12 percent.

July's increase was to compensate for fuel price increases.

The temporary increase in intercity bus fares is designed to
compensate for the empty seats on the return trips from each
destination to Jakarta and other major cities.

It would be too much to increase the fares by another 20
percent, he said.

Sumaryono said that the government accepted the decision even
though he expressed concern that it might discourage bus
operators from improving their services.

"We fully understand that this is a final decision, but we
fear that it will not encourage bus operators to improve their
services," he said, adding that the proposed 20 percent increase
had been agreed upon jointly with Organization of Land
Transportation Owners (Organda) earlier.

The commission urged the government to act firmly against any
bus operators who violate ruling.

"We hope the government will be firm on this fare increase.
Just revoke their (bus operators) licenses if they violate the
ruling," Soemaryoto remarked.

He further urged bus operators to abide by the decision and
provide improved services for passengers.

The Ministry of Transportation estimates that around 16
million people will be traveling home from various destinations
during the holiday period. About 65 percent of them will use
buses as their mode of transportation.

The government will provide 27,783 buses in 28 bus terminals
across the country. An additional 1,976 buses will stand by to
meet excess demand.

Meanwhile, major state-run transportation companies revealed
that they anticipate a jump in the number of passengers during
the holidays.

Bachrul Hakim, business director of national flag carrier
Garuda, said the company would increase its capacity by up to
36,507 from 29,626 seats without changing air fares.

Badar Zaini, general manager of railway company PT KAI, said
that the number of train passengers was expected to increase 7
percent from 3.2 million last year to 3.4 million.

PT KAI will increase its capacity by up to 23 percent from
115,000 seats per day to 140,004 per day.

Isnoor Hariyanto, general manager of ship company PT Pelni,
said that his company had 29 ships to transport passengers across
the archipelago.

"By Dec. 1, all the ships will be in full operation," Isnoor
said, adding that Pelni would also get seven additional ships
from the Navy.