Minibus drivers stage protest for credit disbursement

JAKARTA (JP): After going on strike and staging a rally for several hours on Tuesday morning, about 100 owners and drivers of Kopaja minibuses received an official guarantee of the immediate disbursement of the government's cheap credit facilities.

The pledge came from the director general of land transportation of the Ministry of Communications, Santo Budiono, during a meeting with Kopaja's chief of operational affairs Syarifuddin.

Santo said a portion of the loan provision of Rp 94.1 billion (US$12.5 million) for transportation companies nationwide would be distributed to the owners of the 7,700 operational buses and minivans in the city by Dec. 12 at the latest.

It will allocate Rp 25 million for each of the 2,300 wide- bodied buses and Rp 6.5 million for each of the 5,400 minibuses and minivans, including Kopaja vehicles, Santo said.

Separately, Syarifuddin said the government would also offer six new tires at reduced prices to each of the 960 Kopaja minibuses operational in the capital.

Informed their demands had been met, the Kopaja operators and drivers cheerfully left Santo's office in their 80 minibuses.

"Hurrah, we can now roar on the street again," a gleeful driver said.

The group earlier held a peaceful rally at the National Monument park, near the Ministry of Communications office on Jl. Medan Merdeka Barat, Central Jakarta.

After leaving the site, some of the green-and-white minibuses started to serve commuters again.

Absence of the 30-seat minibuses in the morning hours forced many regular passengers to use alternative transportation.

According to the vehicle owners and drivers, skyrocketing prices of imported spare parts and the prohibition against increasing fares have led to many vehicles staying off the streets.

In October, the government announced cheap credit facilities for bus companies in 15 major cities. Interest on loans disbursed through the fund will be set at 6 percent.

Coordinating Minister for Economy, Finance and Industry Ginandjar Kartasasmita said transportation companies deserved the cheap credit facility because they were prevented by government regulations from raising their fares in response to the soaring price of the spare parts.

Prices of spare parts have reportedly increased by up to 300 percent during the economic crisis.

After waiting for the realization for months, the owners and drivers decided to go on strike and staged the protest on Tuesday, forcing the government to make good on its promise.

"We could no longer run our vehicles", "The credit facility is only a promise", "We can't operate because we cannot afford to buy wheels/spare parts" some of their banners read.

"We can only operate 60 percent of our 1,600-strong minibus fleet. And all of the operating minibuses are already staggering on the streets like grandfathers," said Kopaja executive Moh. Rapipinem.

Should the government fail to financially support the company, Kopaja would soon declare bankruptcy, he said.

Each unit currently collects about Rp 3.12 million per month.

The amount, Rapipinem added, "is not enough to purchase six tires that cost Rp 3.6 million".

He said minibus tires should be replaced every two months.

Some of the drivers hoped Tuesday's action would not be repeated because of the effect on their earnings.

"I hope the strike won't last long. The minivan owners had told us that we won't have to pay the rental fees. But they did not give us money to buy food, we have to use our own," said Ujang Dahlan, a driver of a minibus plying the Lebak Bulus-Kota route. (ivy)