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Public reluctantly accepts increased fares

| Source: JP

Public reluctantly accepts increased fares

Bambang Nurbianto
The Jakarta Post
Jakarta Post

As the city administration intends to increase bus fares, many
lower income people say they have no choice but to accept the
reality even though it will force them to further tighten their
belts.

Bondan, 35, a resident of Kemayoran subdistrict in Central
Jakarta, said he would have to recalculate his family budget
after the government increased fuel prices two weeks ago, which
forced up the prices of other basic commodities.

"A day after the fuel price increases, my wife complained that
the prices of other goods had also increased. I can only listen
to her complaints without being able to give her additional
money," Bondan, a worker at a Pulo Gadung garment firm, told The
Jakarta Post on Saturday.

"If fares increase this week, then I'll have no choice but to
further tighten my family budget, which I had to do once before,"
he said.

Head of the city transportation agency Rustam Effendy said on
Friday that his agency had agreed with the Organization of Land
Transportation Owners (Organda) and the Indonesian Consumers
Foundation (YLKI) to raise land transportation fares by between
25 percent and 66 percent. But it has yet to be approved by the
City Council.

Fares for regular buses are set to increase from Rp 700 to Rp
1,000 (43 percent), limited seat buses and medium-sized buses
from Rp 900 to Rp 1,200 (33 percent), public minivans from Rp
1,300 to Rp 1,600 (25 percent). Fares for students are expected
to increase from Rp 300 to Rp 500 (66 percent).

Rustam said the fare increases were not only due to the fuel
price increases, but were mainly due to the increased price of
spare parts and lubricant oils several months ago.

Spare parts traders in Atrium shopping center in Central
Jakarta confirmed the price increase of spare parts and
lubricants. They noted that the recent fuel price hike would only
slightly affect bus fares.

"Spare parts prices increased several months ago. It was
because of the strengthening of the U.S. dollar against the
rupiah, not because of the fuel price hike," said Aseng, a worker
at Leo Jaya Mandiri spare parts shop at Atrium.

Botek, who runs the Sentra Motor Lubricants store in the same
shopping center, concurred with Aseng.

As their salaries will not increase, at least in the near
future, many people like Bondan will have to tighten their belts.

Bondan, whose monthly salary is Rp 1 million, has four family
members to support. His two children attend elementary school in
Kemayoran.

He currently spends Rp 5,000 per day or Rp 125,000 per month
on public transportation from his house in Kemayoran to his
office in Pulo Gadung. If bus fares increase this week he will
have to spend another Rp 500 per day or Rp 25,000 per month,
which will significantly eat into his already tight budget.

Ramelan, 54, an employee at the public works agency, said
younger colleagues at his office often tell him about their
financial difficulties. "The new fuel prices will further burden
them," he said.

Ramelan said that a new employee in his office only earned Rp
750,000 per month at the most, while many other earned much less.
The Rp 750,000 consists of a Rp 400,000 basic salary, a Rp
200,000 transportation allowance and a Rp 150,000 welfare bonus.

"Lucky those who live close to their office as they spend less
on transportation. But what happens to people who live far way,
like in Bekasi. That (their earnings) will not be enough," said
Ramelan, a resident of Palmerah subdistrict in Central Jakarta.

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