Wed, 22 May 2002

PDAM to increase water rates

TANGERANG: Tangerang's state-owned tap water company, Kerta Rejasa (PDAM), plans to double its tap water prices beginning in July because of increases in fuel prices and electricity rates, an official said on Monday.

It has been three years since the company increased water rates while electricity rates and fuel prices have risen several times in that period, PDAM spokesman Imam Fachri said.

He said the increased revenue from the water price hike would be used to build new tap water installations in the northern districts of Tangerang.

The current price of tap water in Tangerang is Rp 700 per kiloliter.

PDAM produces 3,000 kiloliters of water per day. Some 400 kiloliters of the water is provided to Jakarta's state-owned tap water company, PAM JAYA, while the rest is distributed to 84,000 customers across the municipality and the regency.

But a regency legislative council member, Samsudin, of Commission C on finance is opposed to the rate increase, saying that if PDAM wants to built new installations, it should not be financed by increasing its tap water prices.--JP