Indonesian Political, Business & Finance News

Experts say better management first, not parking fees hike

| Source: JP
<p>Experts say better management first, not parking fees hike</p><p>Bambang Nurbianto, The Jakarta Post, Jakarta</p><p>With the City Council studying a proposal to raise on-street
parking rates, two urban transportation experts told the Jakarta
administration first to improve the management and service of
city-owned parking operator BP Perparkiran.</p><p>City Transportation Council chairman Sutanto Soehodo said BP
Perparkiran must be transparent in managing parking revenue
collected from the public.</p><p>"A rate increase would only frustrate people if there is no
accompanying improvement in parking management," he told The
Jakarta Post
recently.</p><p>The city administration submitted a draft bylaw on regional
rates last week, which included a proposal to increase on-street
parking fees by 300 percent from the current Rp 1,000 (about 11
US cents) for cars.</p><p>However, many councillors said they would likely only approve
an increase of 100 percent.</p><p>Sutanto, who was elected chairman of the transportation
council earlier this month, said BP Perparkiran should open its
books to let the public know exactly where the money they paid
for parking was going.</p><p>BP Perparkiran has long been a target of criticism for its
lack of transparency in managing parking revenue.</p><p>Last year, its revenue reached about Rp 14 billion, forcing
the administration to pony up about Rp 3 billion to cover the
parking operator's Rp 17 billion in expenditures.</p><p>The parking operator set a revenue target of Rp 29 billion
this year, based on the expectation of a 300 percent increase in
on-street parking fees.</p><p>Sutanto said BP Perparkiran must also improve its service,
particularly ensuring the safety of parked vehicles.</p><p>Transportation observer Ahmad Syafrudin urged the City Council
to reject any rate increase.</p><p>He conceded that a rate increase could help the city collect
more money to improve the transportation system, and might also
ease traffic congestion by encouraging motorists to leave their
vehicles at homes.</p><p>"However, BP Perparkiran has never been able to improve its
service. If the parking rate is increased, I do not think it
would be managed well," Ahmad, a former head of the Jakarta
branch of the Indonesian Forum for the Environment, said.</p><p>"And do not expect people to leave their cars at home and turn
to public transportation as long as there is no secure and
comfortable form of public transportation available to them," he
told the Post.</p>
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