Fri, 06 Dec 1996

Limit car ownership!

In order to solve the chronic problem of traffic jams in Jakarta, more than a progressive car tax is required. Limitation of private car ownership should be enforced, bearing in mind that the number of private cars has reached 1,800,000. Apart from that, the government should enhance and increase the volume of infrastructure. This would call for a financial commitment, of course. How are the funds going to be obtained?

Each family should be allowed to own only two cars; one for the husband and the other for his wife and children. In case the family wished to purchase a third or a fourth car, they should buy a Certificate of Infrastructure Fund (CIF) for each additional car. The CIF for the third car would cost Rp 25 million and for the fourth car, Rp 50 million. This system seems to be workable, since those families who can afford more than two cars belong to the "haves" group. Through this fund ruling, about US$1 billion could be collected, which would hopefully be enough for financing the building of the infrastructure needed, including the subway project.

HARRY MULJADI

Jakarta