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Miscommunication?

| Source: JP

Miscommunication?

As long as we are in the spirit of revamping the Cabinet,
President Abdurrahman Wahid should probably rename the Ministry
of Transportation and Telecommunication to the Ministry of
Transportation and Miscommunication. The way this ministry has
handled the increase in telephone rates for fixed lines is a
travesty in the art of communication that borders on deception.

The government, i.e. the ministry, obtained last month the
approval of the House of Representatives to increase phone rates
in several phases, overall by nearly 46 percent during the next
three years. The House has, in good faith, virtually given the
government a blank check to determine how and when to implement
these planned hikes.

With that license from the House, PT Telekomunikasi Indonesia,
or Telkom as the state monopoly that operates domestic fixed-line
telephone services is popularly known, announced its plan to
raise telephone rates by "an average of 21.67 percent", starting
Sunday. Publicly listed Telkom, however, is not only guilty of
giving short notice to the public, but now, it may also be guilty
of attempting to deceive the public.

The 21.67 percent average figure conceals the fact that in
some instances, as pointed out by some telecommunications
experts, the cost of a phone call could increase by as much as
3,000 percent. Telkom's complex pricing formula should not have
made it impossible for any member of the public to actually come
to an "average figure" without being misled. Intentionally or
not, that is precisely what Telkom has done.

It would be better for Telkom to be honest next time by giving
the range of the increases, instead of a single average figure.
And it would even be better for Telkom to give the public ample
time to digest the true impact of the increase.

Concealed from Telkom's announcement, for example, was its
plan to reduce the airtime per pulse, which, according to one
calculation, would mean an overall increase of 168 percent to the
cost of a telephone call.

One is reminded of a new marketing tool used effectively by
some producers of consumer goods, that is to reduce the amount or
volume in a packet as a subtle means to pass higher costs on to
buyers. Manufacturers of instant noodles, cigarettes, matches
among others, have recently found this method effective. This
practice, while deceptive, is legal as long as the manufacturers
state the amount or the content of their products on their
packaging. But then, few people bother to read the packet.

A telephone service, however, is not a product that comes in a
package that provides details of what customers are getting for
their money. In the majority of cases, telephone users get billed
at the end of the month. Changes in the pricing formula,
including the airtime per pulse, therefore, should be
communicated to the public beforehand.

The way this affair has been handled by Telkom and the
Ministry of Transportation and Telecommunications has raised the
questions of ethics. The way the proposal was hurriedly presented
to the public, and the little time given to the public, including
in this case the House, is a strong indication of an attempt at
deception.

Telkom and the government have abused the trust that the House
of Representatives has given them to increase telephone rates
over a three-year period. Even assuming that the government heeds
the demands to postpone the increase in view of the current
controversy, it is hard to envisage the House giving that trust
to the government and Telkom again.

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