Land transport body disappointed by fare proposals
Land transport body disappointed by fare proposals
JAKARTA (JP): The Jakarta chapter of land transportation owners association, Organda, is disappointed by the government proposal on the increase in public transportation fares.
The head of the association, Aip Sjarifuddin, said yesterday that Organda appreciated the government's response to its outcry on the fares, but the new fares proposed by the Ministry of Transportations are still too low. "How can our members renew their fleets if their revenues from fares are too low ?"
Minister of Transportations Haryanto Dhanutirto in a hearing with the House of Representative on Thursday proposed the increase in public transportation fares.
According to the proposal, the fares for regular buses will be Rp 300, or Rp 50 higher than the current fares, the Metro Mini/Kopaja fares will be Rp 450, from the current Rp 300. The fares on Patas buses are proposed to become Rp 650, from Rp 550, while the taxi flag fall is proposed to increase to Rp 1,500 from Rp 900, and per kilometer charge will be Rp 500, Rp 50 higher from the current charge.
According to the proposal submitted to the government last year, Organda would like the fares of regular buses to be fixed at Rp 750 (US 33 cents), those of Patas buses at Rp 900 and those of air-conditioned buses at Rp 1,750 from Rp 1,300.
"We need to organize a new fare system," Aip said.
The government plans to introduce the new fares either in January or in March next year. But Aip said; "The sooner the better."
Recently, Aip said that it would be better for the transportation companies if the government were to arrange a reduction of tax rates and import duties rather than increasing the transport fares.
He said that the government could also arrange loans for small companies, locally known as low-interest KUK, for Organda members. Currently, most transportation companies buy vehicles through loan facilities with a 30 percent interest rate, while the KUK scheme charges only 12 percent interest.
Consumer
Meanwhile, the Indonesian Consumer Protection Foundation (YLKI) said yesterday that the increase in public transportation fares is understandable.
The head of the foundation, Zumrotin K. Susilo, said that in forming the new fares the government should make sure that the public can afford them.
"The government should consider the current minimum wages because the majority of public transportation users is low class people," she said.
She added that the increase in the fares should be based on the minimum wages.
Zumrotin said the public transportation companies are obliged to improve their services by providing the passengers with secure and pleasant transportation.
"These are consumers' basic needs and the companies should be providing them whether the fares are increased or not," she said.(yns/10)