Jakarta taxi fares go up by 36 percent on average

Damar Harsanto, The Jakarta Post, Jakarta

Nearly a month after the government raised fuel prices on March 1, the Jakarta administration announced on Tuesday new fares for taxis operating in the city.

"I have signed a gubernatorial decree on the increase this morning. The new tariff will be effective on Wednesday (today)," Jakarta Governor Sutiyoso said on the sidelines of a meeting at Borobudur Hotel in Central Jakarta.

Fares will increase by 36 percent on average, with a new flag fall of Rp 4,000 (US$42 cents), a per-kilometer charge of Rp 1,800 and a waiting charge of Rp 18,000 per hour.

The taxi fare increase is the first since 2000.

"We decided to approve the increase as requested earlier by Organda (the Jakarta chapter of the Land Transportation Owners Association) in order to stave off possible conflicts between taxi drivers and passengers following the fuel price hike, which has dealt a severe blow, particularly to taxi drivers," he said.

He asked taxi owners not to raise the daily rental fees they charged drivers for at least three months, to give them time to adapt to the increase.

"I will take stern action -- including the revocation of operational permits -- against disobedient taxi owners who insist on increasing the amount they charge their low-paid drivers," he said.

Dian P, 35, an Express taxi driver welcomed the policy, saying that the increase would help him weather the impact of the fuel price increase early this month.

"I hope that I can make what I earned before the fuel price increase -- between Rp 40,000 and Rp 50,000 daily -- with the new taxi fares," said the resident of Manggarai, South Jakarta.

Separately, deputy chairman of Jakarta Council Commission D for public works and development, Muhayar, warned that an across the board tariff increase would be problematic as the quality of service offered by each taxi operator was quite different.

"The increase will simply affect taxi operators who own old vehicles as passengers obviously prefer new cabs to old ones, particularly if the fares are the same," Muhayar said.

He said that the commission would recommend that the administration revise the gubernatorial decree by regulating not only the ceiling price of the increase but also a minimum increase for older taxi cabs.

City spokesman Catur Laswanto said that aside from the taxi fare increase, the administration would require taxi operators to upgrade their services.

"They must improve their services. For example, the back seat temperature should be 25 degrees Celsius, so its not just front seat passengers who can enjoy the cool air," Catur told The Jakarta Post and Merdeka.

The Blue Bird Group, which owns around 9,000 of the 21,000 taxi cabs operating in the capital, said that it would need some time to adjust its meters in accordance with the increase.

"Of course, we will abide by the increase. However, since we are yet to formally receive the copy of the decree, we have not discussed when we will raise the fare," the company's spokesman Riva Lazuardi told The Post.

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Taxi fare increase

old tariff Organda's proposal new tariff

Flag fall Rp 3,000 Rp 5,700 Rp 4,000

Charge per Rp 1,300 Rp 2,200 Rp 1,800 kilometer

Waiting fee Rp 13,000 Rp 22,000 Rp 18,000 per hour

Source: Jakarta administration