Pasar Jaya gets official backing over policy row

JAKARTA (JP): A municipality investigation team has found nothing wrong with the city-owned market management company PD Pasar Jaya's decision to raise parking fees without the governor's consent.

Chief of the city's inspectorate office Bambang Sungkono said on the weekend his team did not find any evidence that PD Pasar Jaya had violated any rules.

"The team is of the opinion that the company's director has the authority to set the parking tariffs without prior consultation with the governor."

A gubernatorial endorsement is needed only in matters related to market management affairs, while parking and kiosk rental fees are determined by the director, he said.

"Such a policy has been implemented for years."

The fact-finding team was set up after a request by city councilors angered by PD Pasar Jaya's action.

The parking policy was introduced at 21 major markets under the company's supervision on April 1.

Under the policy, motorists are charged Rp 1,000 for a stay of two hours or less. Between Rp 200 and Rp 500 is charged for subsequent hours. Previously, a one hour stay cost Rp 500.

For motorcycles, the tariff increased from Rp 200 for one hour to Rp 500 for two hours or less. The fee for subsequent hours increased from Rp 100 to Rp 200.

Pasar Jaya spokesman Lihardin Sipayung has said the increase in parking fees was designed to boost the company's income and allow it to meet new statutory value-added tax obligations in 1998.

Bambang said the administration could accept the company's policy if it would help improve the market management and to finance maintenance.

He said he had reported the team's findings to the governor after a meeting with the market's management last week. (ind)