Stop issuing new bus route permits: Organda

Stop issuing new bus route permits: Organda

JAKARTA (JP): The Organization of Land Transportation Owners'
(Organda) city branch yesterday urged the municipality to stop
issuing new routes for buses until a feasibility survey has been
completed.

Speaking at a meeting with the City Council's Commission D for
development affairs, Organda's chairman Aip Syariffuddin said
disregard for the survey could trigger more driver protests.

"The city should not issue new routes, or even permits, to new
buses because it will cause further overlapping on existing
routes," Aip told the meeting.

The city's leniency in issuing permits would prompt owners to
exploit "every possible way" of obtaining the lucrative routes,
he said.

"The leniency will lead to collusion between owners and
officials."

The City Land Transportation Agency (DLLAJ) is in the process
of surveying the existing bus routes with the help of the Bandung
Institute of Technology. Organda has also had some input.

The chairman of Commission D for development affairs,
Councilor Ali Wongso H. Sinaga, praised the administration for
involving Organda in the survey.

"The survey should be based on the need to increase services
for people and not create more, or new, problems," Ali said.

Future problems could be avoided if there was strong
coordination between bus owners and officials, he said.

"Good coordination can prevent further driver strikes."

Earlier this month, about 100 drivers of the S604 Metromini
(medium-size) buses plying the Pasar Minggu-Tanah Abang route
staged a protest outside City Council.

Drivers of the Rp 400 (13 US cents) Metromini buses blamed the
presence of Rp 300 regular buses on the same route for causing a
decrease of up to 80 percent in their income.

During the meeting, Aip also asked councilors to support the
organization's call for a reduction in loan interest as part of
the government's assistance plan for public transportation
providers.

"The reduction will help the owners cover their operational
costs."

Public transportation operators have to pay loan interest of
between 30 percent and 36 percent, the same as owners of private
vehicles, he said.

"We believe the loan interest can be reduced to 18 percent or
20 percent."

Aip urged the government to offer soft loans to bus owners and
reduce taxes.

"Even those who buy minivans must pay a luxury tax," he said.

He admitted that public minivan owners could apply for a tax
reduction but "it would cost them time, money and more cash in
the form of illegal levies".

Councilor Lukman F. Mokoginta from the Indonesian Democratic
Party (PDI) faction said that Organda's request was reasonable as
long as it offered compensation, in the form of professional
services, to people.

"Without better services the request is not acceptable,"
Lukman said. (ste)