Taxi operators cancel fare increase

Taxi operators cancel fare increase

JAKARTA (JP): In reaction to the declining number of
passengers following the adoption of new fares on Friday, several
taxi operators decided on Sunday to return to the old fare.

"Last night our management took back the fare conversion
tables which were distributed on Friday," Kosti Jaya taxi driver
Sudjana told The Jakarta Post on Sunday.

Several other operators, such as Express Taxi, Citra Taxi, and
Prestasi Taxi also decided not to apply the new fares.

However, the Blue Bird group, the biggest operator in the
capital, continued to apply the new fare.

An employee at Express taxi, Endang Sunarya, said the company
executives told drivers not to apply the new fare because the
City Council had yet to pass the regulation.

Taxi drivers complained about the new policy saying that the
hike made passengers reluctant to travel by taxi.

"The number of customers has decreased because of this new
fare," Citra Taxi's Saman said.

Saman's opinion was shared by other drivers.

"I prefer the old fare because today it was difficult to get
passengers, but it's the company's policy," a driver at Gamya
Taxi which is under the Blue Bird group, said.

Kosti Jaya's Sudjana blamed the Organization of Land
Transportation Owners (Organda) for issuing a decree that created
uneasiness among the public.

"This is all Organda's fault. You know what? I already own
this car and I think the hike is too high," Sudjana said,
explaining that Kosti Jaya drivers could own a taxi after paying
monthly installments for about two and a half years.

Separately on Saturday, Organda defended increasing the taxi
fare, claiming it was important for the business to avoid
bankruptcy and to save other related lines of work.

"We call on all parties to rationally and realistically asses
the problem of taxi fares. Taxi business does not only support
our drivers and their families, but also other members of the
community," head of Organda's taxi unit Izak A. Rumaedi said in a
written statement.

"Our business supports other businesses, such as spare part
shops, and food stalls operating near our taxi pools. It's also
important to keep these businesses alive by ensuring taxi
operators live," he added.

The organization has been under harsh criticism recently for
its unilateral decision to increase taxi fares without official
consent from city administration.

"The administration cannot regulate our fares because we
aren't of economy-class base, which is regulated by the
government," said Izak.

"Besides, other modes of transportation have also hiked their
fares. So, it's unfair if we cannot hike taxi fares," he said,
citing recent transportation fare increases announced by the
government.

Izak was suspicious that opposition to the fare increase was
part of systematic efforts to destroy the taxi business.

"Most of our taxis are over five years old with maintenance
costs exceeding income," he said.

"Hiking the fare was the only solution to increase our service
to the customers. There is no other way," he added.

He also denied that Organda had not publicized the fare
increase to the public.

"We made it public in May when we requested permission to hike
the fare," he said.

Earlier on Friday, Governor Sutiyoso ordered head of City
Traffic and Land Transportation Agency, Buyung Atang, to take
action against any taxi charging higher fares.

"My approval wasn't to implement the new fare but rather to
circulate the new fare," he told reporters.

Through Gubernatorial Decree No. 2503 dated Aug. 22, the
administration agreed to raise the flag fall from Rp 2,000 (25 US
cents) to Rp 3,000 and the meter charge from Rp 900 to Rp 1,300
per kilometer. The waiting fee was hiked from Rp 10,000 to Rp
13,000 per hour. (jaw/nvn)