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Transport industry told to lower fares

Yogyakarta Governor Sultan Hamengkubuwono X ordered all transport companies to lower their fares as the government has lowered fuel prices

Slamet Susanto (The Jakarta Post)
Yogyakarta
Thu, January 15, 2009 Published on Jan. 15, 2009 Published on 2009-01-15T15:30:57+07:00

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Transport industry told to lower fares

Yogyakarta Governor Sultan Hamengkubuwono X ordered all transport companies to lower their fares as the government has lowered fuel prices.

"Transport companies should consider the people's psychological condition," he said Wednesday.

"When the fuel prices were increased, transportation fares immediately increased.

"But now fuel prices have been lowered, several times, the public expects that transport fares will also be lowered."

The sultan said it was up to the transport companies to decide how much the fares should be lowered.

"I do not understand the calculations, they (transport companies) know them better," he said.

The sultan also admitted that the current reduction of fuel prices was not automatically followed by a reduction in the price of goods, which was one excuse why transport fares have not yet been reduced.

"There are thousands of excuses not to reduce transport fares, from the prices of tires, to the price of basic necessities, which have not yet been reduced," he said.

Meanwhile, Chairmain of the Yogyakarta branch of the Organization of Land Transportation Owners (Organda), Johnny Armantya, said his organization would study the possibilities of reducing fares.

"We will conduct the study in relation to the government's plan to again lower fuel prices," he said.

Johnny said his organization did not lower transport fares when the government reduced the price of premium gasoline on Dec. 15 because the price of spare parts were still high.

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