Tue, 12 Jul 1994

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)