Organda to propose city bus fare increase

JAKARTA (JP): The city's Land Transportation Owners Association (Organda DKI) is to propose to the central government next month a rise in bus fares on account of the financial difficulties facing the transportation sector, the association's head said yesterday.

Aip Syarifuddin declined to mention any likely new fares as they were still being discussed by the association.

"Since the start of the economic crisis our operation costs, including paying illegal levies and processing licenses, have increased," he said.

Aip refused to disclose the increase in levies and other illegal charges. "The hike in levies and other illegal charges creates a high-cost economy," he said.

He said that the proposal for the fare increase would be submitted to the Ministry of Transportation, probably soon after the government announcement, scheduled for next month, on gasoline price hikes.

"We hope that the fare increases will be announced a week after the implementation of the new gasoline prices," he said.

Early this month owners of Kopaja minibuses asked for help from Organda DKI to increase their fares from Rp 400 (4.5 U.S. cents) to Rp 1,000 per passenger.

Pahala Kencana, a private operator of wide-bodied buses, also asked permission to hike the tariff on its regular buses from Rp 300 to Rp 500 per passenger. (ind)