KWK suffers financial loss

KWK suffers financial loss

JAKARTA: In a meeting with City Council Commission C for
financial affairs, Koperasi Wahana Kalpika (KWK), a cooperative
of public transportation owners, revealed on Monday that
financial losses had forced many of its members to sell their
vehicles.

"On average, five vehicles have to be sold every day because
the owners cannot cover the operational costs," said La Ode Djeni
Hasmar, chairman of KWK, as reported by Antara.

Hasmar said that currently, KWK managed 14,000 vehicles. "The
owners cannot afford the proper maintenance for them because the
cost of the original spare parts is too high. Thus they use spare
parts made in Tegal (a town in Central Java) or secondhand ones,"
he said.

Their problems have been worsened by the fuel price hike and
competitors from other kinds of public transportation such as
public vehicles from other provinces, omprengan (private cars
used as public transportation) and becak (pedicabs).

In the meeting Hasmar asked the administration to help finance
the KWK operation, which pays Rp 28 billion (about US$3.15
million) in tax annually to the administration.--JP