Wed, 27 Oct 2004

Govt raises bus fares for exodus

Dadan Wijaksana, The Jakarta Post, Jakarta

As the Idul Fitri celebrations draw near, the government has decided to increase intercity bus fares by between 4 percent and 6.6 percent.

Minister of Transportation Hatta Radjasa said that the new fares would be effective for the peak of the annual exodus, which lasts for eight days both before and after Idul Fitri, which this year falls on Nov. 15.

"This is a normal increase during the holiday season due to the increased demand for transportation. The price will return to normal after the holiday season is over," Hatta said after attending a coordinating meeting of economics ministers on Tuesday.

The 4 percent increase refers to the floor price while the 6.6 percent rise refers to the maximum ceiling price.

With the decision, the ceiling price will now stand at Rp 81/kilometer per person compared to the previous price of Rp 76/kilometer per person, while the floor price will be Rp 54/kilometer per person compared to Rp 50/kilometer per person previously.

A temporary increase is imposed every year to ensure that bus companies do not take unreasonable advantage of the high demand for their own ends. In theory, bus companies are allowed to increase prices within a certain range, and may be punished if they jack up prices above the ceiling price set up by the government.

In reality, however, law enforcement is weak and bus crews often illegally hike ticket prices.

The government has said it will increase surveillance and will punish any companies that violate the ruling. "Should there be violations, we have the power to issue warnings or impose stronger disciplinary measures," the minister added.

Similar increases can also be applied in the case of ferry and boat fares across the country during the peak of the holiday season exodus -- once again eight days before and after Idul Fitri.

People across the country usually return to their hometowns to celebrate the holidays with their families and relatives, mo matter what the cost may be. The biggest exodus usually takes place on Java, especially from the country's capital Jakarta to other cities on the densely populated island.

This year, the government predicts that around 17,680,000 people will travel to their hometowns -- an increase of about 11 percent compared to last year's figure of 15 million people.

Hatta said that in order to facilitate the exodus, 30,569 intercity buses, with another 3,000 buses on standby, 218 trains, 92 ships and 13 speedboats would be available, which had the capacity to transport a total of 29 million people.

The government has also asked the Indonesian Military (TNI) and National Police to help ensure smooth traffic flows on busy routes over the course of the holidays.