Sat, 26 Nov 1994

Govt to stop issuance of more inter-city bus routes

JAKARTA (JP): The government plans to stop issuing new-route permits for inter city buses in Java to ease traffic jams and minimize violations of transport regulations.

Director General of Land Transportation Soejono said yesterday that new routes would be opened only in the outer islands where more buses are needed to improve access between towns.

"The number of public buses in Java is already adequate and traffic congestion across the island is already heavy," Soejono told reporters after attending a commemoration of the 48th anniversary of the state-owned bus company, DAMRI.

According to Soejono, most public buses in Java violate transportation rules such as by jacking up passenger fares illegally.

He explained that the government will issue permits for inter- island transportation, for example from Banda Aceh in Aceh to Serang in West Java.

"But we will turn down applications for permits to serve new routes that cross Java, such as from Banda Aceh to Surabaya because the buses will worsen traffic jams in Java along the way," he added.

No harm

Soejono believes the policy will not harm the land transportation business, such as the selling of buses, as many areas outside of Java need more transportation.

"The government will open the Trans-Sulawesi highway soon, and some others in Maluku and Irian Jaya, and I am sure it will need buses," he said.

Soejono also explained that the government planned to buy more buses for DAMRI. He declined to specify how many but said that the government would proceed according to the available budget.

DAMRI director Anas Mars also said that the ministry of finance had given the company the green light to invest its capital in new buses.

"We have sought Rp 20 billion (some US$9 million) in bank credit to buy a total of 250 busses," Anas said, adding that 40 percent of the vehicles would be airconditioned.

Mars said the company would get 100 new buses this year to be used in airports and tourist areas as well as to ply inter-city routes.

DAMRI is the oldest state-owned bus company with various land transportation services.

DAMRI made a profit of Rp 5.1 billion (about US$2 million) last year, which was 12 percent higher than the previous year, a company executive said.

According to S. Syafrudin, the company's operation director, DAMRI buses operating in Surabaya, Bandarlampung and Jember were the ones which were the most profitable.

"The management expects that the profit this year will be 15 percent higher than last year," Syafrudin said.(yns)