Municipality still studying proposed parking system
Municipality still studying proposed parking system
JAKARTA (JP): The municipality is still studying a proposal made by a private company for the implementation of a parking- with-prize system in the city, Governor Surjadi Soedirdja said.
"The company's representatives have met with us but we have not made a decision on the proposal yet because city administration still has to review and study it," Surjadi told reporters at city hall yesterday.
Surjadi said that a thorough study is needed so as to prevent city administration from approving a system which could damage city revenues and cause negative impacts on the public.
"The administration will study whether or not the system can increase city revenues as well as not cause public unrest," he explained.
City authorities are currently considering involving the private sector in the management of parking facilities, following the failure of the city-owned parking agency, BP Parkir, to live up to expectations.
The parking-with-prize system, which offer holders of parking lot receipts lucrative prizes, is designed to encourage motorists to insist on obtaining tickets from parking attendants, thereby enabling BP Parkir to accurately calculate and control the revenues.
The Municipality has set a revenue target of Rp 14.6 billion (US$6.63 million) from parking fees in the current 1994/95 fiscal year, which ends on March 31. But in the first nine months BP Parkir managed to collect only Rp 9 billion and is unlikely to meet the target. In 1993/94, BP Parkir collected Rp 9 billion, well below the Rp 11.6 billion target.
Despite its inability to meet the target, the city has raised the estimation in the revenues from the parking fees by 20 percent per year. In 1995/96, for example, the revenues are expected to reach Rp 16.3 billion, Rp 22.8 billion in 1996/97 and Rp 29.1 billion in 1997/98.
Minister for Social Services Inten Soeweno flatly rejected the parking-with-prize plan recently on the grounds that it would encourage people to gamble. "Without parking their cars people can easily buy parking tickets outside the parking areas just to get the prizes," she said.
Deputy Governor for Economic Affairs and Development Tb. Rais said BP Parkir is repeatedly unable to meet the targets because of leaks in its financial management. He expressed confidence that through improvement of its management, the target will be reached, even with a parking fee of only Rp 300 an hour.
Doddy Panduwinata, vice president of the Ikabina group which made the original proposal on the prize system, told reporters on Thursday that his company is ready to execute the plan as soon as the city administration approves it.
Doddy said that his group has prepared all the requirements needed for the implementation of the plan. "We will be ready if the governor gives us the green light to implement the plan," he reiterated.
He refused to go into details about his company, only saying that firm was set up two years ago with interests in various businesses ranging from hotel industry, transportation, power plant and mining. (yns)