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PUBLIC TRANSPORTATION: Fuel price down, bus fares likely stay the same

Despite a further expected cut in fuel prices within the next few days, public transportation fares in Jakarta will likely remain unchanged, a meeting of the city's land transportation organization (Organda) concluded Monday

Agnes Winarti (The Jakarta Post)
Jakarta
Tue, January 13, 2009 Published on Jan. 13, 2009 Published on 2009-01-13T12:50:23+07:00

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PUBLIC TRANSPORTATION: Fuel price down, bus fares likely stay the same

Despite a further expected cut in fuel prices within the next few days, public transportation fares in Jakarta will likely remain unchanged, a meeting of the city's land transportation organization (Organda) concluded Monday.

Organda's Jakarta secretary, T.R. Panjaitan, said that based on the group's operating cost calculations, the presumed fuel price cut would have little effect on fares.

"Bear in mind even though fuel prices might go down, the local currency's recent poor performance against the US dollar has raised spare part prices by 20 percent," he said.

He added there were 11 factors to be considered in the calculation, so a cut in one did not automatically mean an overall decrease in fares.

"Not to mention the illegal fees charged by corrupt police officers, transportation agency officials and thugs in bus terminals," he added.

However, he said Organda would respond by improving service quality and passenger comfort, rather than cutting fares.

"We'll improve service, for instance by requiring all*our drivers to wear*uniforms and to drop passengers off only at the appropriate shelters," he said.

In response to Organda's refusal to lower the current fares, Jakarta Deputy Governor Prijanto said the issue was still under discussion.

As for unauthorized fees for corrupt officials and police officers, Prijanto encouraged drivers to refuse to pay such fees.

At City Hall, Governor Fauzi Bowo said that if the government decided to cut fuel prices again, then public transportation fares must follow suit.

City councilor Ben Sitompul said a 20 percent reduction in the current fares was reasonable, following a 25 percent drop in the global oil price, from US$150 to US$40.

M. Tauchid, head of thetransportation agency, said fares could be cut by Rp 200 (2 US cents).

If the government does cut fuel prices soon, it will be the third time in the last two months. In December last year, the government cut fuel prices, but fares remained unchanged. (hdt)

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