Under pressure, governor announces bus fare increases

Under pressure, governor announces bus fare increases

Ahmad Junaidi and Damar Harsanto, The Jakarta Post, Jakarta

Governor Sutiyoso finally announced the new public transportation
fares on Friday following pressure and threats from the Jakarta
chapter of the Organization of Land Transportation Owners
(Organda).

Organda had demanded a sharp hike in the fares after the
government raised fuel prices by 14.46 percent early this month.
It had threatened to unilaterally increase the fares if the
administration failed to announce the hike by Saturday.

The new fares will take effect on Saturday.

Sutiyoso made the decision after receiving recommendations
from the City Council's faction leaders after a closed-door
meeting earlier on Friday.

The regular bus fares will be increased from Rp 700 (7.5 US
cents) to Rp 900 instead of Rp 1,100 as demanded by Organda,
while the increase in the fares of other public transportation
vehicles will be the same as requested by Organda.

The fare for the limited passenger (Patas) bus will be Rp
1,200, up from Rp 900. The minibus (Metro Mini and Kopaja buses)
fare will be increased from Rp 900 to Rp 1,000 and the maximum
fare for public minivans will be Rp 1,600 up from Rp 1,400.
Student' fares will also be raised from Rp 300 to Rp 500.

City spokesman Muhayat said the gubernatorial decree on the
fare increase was signed by Sutiyoso while he was attending a
ceremony in the Kelapa Gading area, North Jakarta.

Muhayat revealed that the draft of the decree was made by the
head of the Jakarta Transportation Agency, Rustam Effendy. Rustam
brought the decree to Sutiyoso after receiving the
recommendations of the council.

"Due to the urgency of the issue, the Governor signed the
decree and announced it to reporters at the ceremony," he said.

After the meeting, City Council chairman Edy Waluyo maintained
that the Indonesian Consumers Foundation (YLKI) and the
transportation agency had played a major role in the council's
recommendation.

The new fare for regular buses was based on YLKI's proposal
while the new fare for Patas buses was based on the agency's
proposal. Edy said both the YLKI and the agency proposed similar
increases for the new fares for minibuses, minivans and student
fares.

"It's like a subsidy. The fare for Patas buses will 'help' the
fares for regular buses," he said.

Even though the council did not use Organda's proposal for the
regular bus fare increase, Organda did not mind, Edy said. "They
only demanded that the council issue the recommendation soon."

The councillors had earlier complained that Organda only
demanded a fare hike without making any commitment to improving
their services.

A councillor had suggested that Organda should be dissolved
for arbitrarily increasing public transportation fares.

Organda, which groups operators of private transportation
companies, has often been criticized as a "cartel" which dictates
fare increases to the City Council. They often threaten that
their bus drivers will stage a strike if their demands are not
met.

In July last year, the administration increased bus fares
based on Organda's demand after they pledged that their members
would improve their services. But there was no noticeable
improvement in services.

Most of the city's 9,000 buses are rickety old buses with
drivers who are notorious for picking up and dropping off
passengers anywhere along the streets.