Postal firm to lease aircraft

Postal firm to lease aircraft

JAKARTA (JP): To enhance service and performance in the face
of competition from private companies, the state-owned postal
service, Perusahaan Umum Pos dan Giro (PPG), will begin operating
leased aircraft by the end of this year.

PPG's president, Marsoedi, told reporters after a workshop for
journalists here yesterday that a feasibility study for the
operation will be completed next month.

"This program is aimed at improving our services to the
public. Trial operations will likely be conducted for the
Jakarta-Medan (North Sumatra) route," he said. He did not provide
further details on the plan.

Minister of Tourism, Post and Telecommunications Joop Ave said
recently that PPG should take measures to improve postal
services.

Marsoedi said yesterday that his company often faces
difficulties delivering letters and packages to hard-to-reach
areas, particularly those in the eastern provinces.

A PPG executive said the company may lease CN-235 aircraft
from Merpati Nusantara Airlines, a subsidiary of the country's
flag carrier, Garuda Indonesia, to improve services to rural
areas.

Merpati currently operates only eight of its 14 CN-235
aircraft, he said.

Marsoedi said PPG is also seeking cooperation with other
parties to improve its postal services.

"We have made several deals with private companies and banks,
including those from Germany and Australia, to establish special
services, both for the public and for businesses," he said.

PPG and the Australian Postal Corporation (APC) signed an
agreement on management in April to create a better image for the
company. (icn)