Sat, 12 Apr 1997

No fare hikes of city buses yet

JAKARTA (JP): The government will not raise city bus fares, at least not until after next year's General Assembly, Minister of Transportation Haryanto Dhanutirto said.

"After that it's up to the new minister," Haryanto said after meeting President Soeharto at Merdeka Palace Thursday.

The General Assembly, in which the government usually appeals for stability, will be in March 1998.

The Antara news agency reported he was responding to private bus operators's demands for the lowest, Rp 300, fares to be increased.

Following reports about the disappearance of regular Rp 300- fare buses from licensed routes, owners were found to be running the cheaper, regular buses as Rp 700 and Rp 1,800-fare buses.

The owners claimed they could not recover operation costs running the Rp 300 buses, especially as they had to subsidize student passengers who pay only Rp 100.

Several bus companies had their buses temporarily banned from the streets because they had ignored the rule to operate 30 regular buses to every 40 air-conditioned buses and 30 non-air conditioned, limited passenger buses.

"We support the Governor's decree on the obligation of bus operators to provide cheap buses," Haryanto said. (anr)