Govt to raise road tolls on Tuesday

Govt to raise road tolls on Tuesday

Zakki P. Hakim
The Jakarta Post/Jakarta

The government will raise road tolls across the country by an
average of between 15 percent and 16 percent on Tuesday, Minister
of Public Works Djoko Kirmanto said on Monday.

"I'm expecting to sign a decree on the increase in road tolls
today," he said on the sidelines of a discussion between his
ministry and the Indonesian Chamber of Commerce and Industry
(Kadin).

According to Djoko, the Jakarta city toll would be raised by
Rp 500 (51 U.S. cents), from the current Rp 4,000 for private
cars to Rp 4,500.

The highest increase would be for Semarang toll roads, where
the charges for private cars would be increased by 50 percent
from Rp 1,000 to Rp 1,500 and for certain public transportation
vehicles by 100 percent from Rp 500 to Rp 1,000.

"In Semarang's case, it was exempted from an increase two
years ago. So after years of being stagnant, we are now
increasing them," Djoko said.

He added that public transportation vehicles -- excluding
taxis -- could enjoy a 25 percent discount if they subscribed to
monthly tickets from the operators, considering that their users
were mostly from the lower to middle-income bracket.

Djoko acknowledged that there have been many complaints about
the poor services provided by toll road operators and questions
as to whether the increase in the rates was appropriate.

He said that all operators had submitted their plans to
improve their services, including the opening of new toll gates.

He added that the ministry would issue a warning to toll road
operators if they failed to fulfill their promise to improve
services.

"If an operator does nothing, and fails to meet the minimum
requirements of a toll road service, we would make the respective
road a public lane. But I hope we would not have to do that," he
said.

The private sector supported the government's plan to increase
the toll road rates, as long as the increase was based on
economic considerations.

"Such a move is needed, as investors need certainty in their
projected revenue for their investment," Kadin chairman Mohamad
S. Hidayat said.

He was speaking in the context of attracting fresh investment
for the country's ailing infrastructure, in which the government
needs to give a guarantee that the rates are set based on
economic and not political considerations.

Proposed toll increases in Greater Jakarta
(Private cars only, in rupiah)

Toll roads Existing Proposed

Jakarta-Cikampek 8,000 9,000

Jakarta-Tangerang
Tomang-West Tangerang 2,500 3,500
Tomang-Meruya 1,000 1,500
Tangerang-West Tangerang 1,000 1,500

Jakarta city 4,000 4,500

Serpong-Pondok Aren 2,500 3,000

Ramps
Dukuh 1,000 1,500
Taman Mini 1,000 1,500
West Pondok Gede 1,000 1,500
East Pondok Gede 1,000 1,500
Kebon Jeruk 1,000 1,500

Padaleunyi 4,000 4,500

Semarang
Seksi A/B/C 1,000 1,500

Cipularang
Cikampek-North Purwakarta 4,000 4,500
Padalarang Bypass 1,500 2,000

Surabaya Gempol
Waru-Gempol 2,500 3,000
Dupak-Waru 1,500 2,000

Source: PT Jasa Marga