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Jakarta Post

Govt to raise fees for 13 toll roads soon

The government will increase the fees for 13 toll roads this month across the nation as part of the regular adjustment that is normally imposed every two years

The Jakarta Post
Jakarta
Thu, October 22, 2015

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Govt to raise fees for 13 toll roads soon

T

he government will increase the fees for 13 toll roads this month across the nation as part of the regular adjustment that is normally imposed every two years.

The amount of the fee increase and the date for the adjustment have not been decided and are pending final talks on the matter.

'€œI have signed them [the ministerial decrees], but they are not distributed yet,'€ Public Works and Public Housing Minister Basuki Hadimuljono told the press on Tuesday.

There are 13 toll roads that will see fee increases, including the Jakarta-Bogor-Ciawi toll road and the Jakarta-Tangerang toll road in Greater Jakarta, the Padalarang-Cileunyi toll road in West Java and the Surabaya-Gempol toll road in East Java.

The toll roads, Basuki said, had passed the minimum service standards (SPM), which include the ability to maintain road quality, accessible toll gates and regular patrols, to name a few.

These minimum standards serve as a requirement to be allowed to raise the fees.

The amount of the hike has not been disclosed. However, according to the law, the amount will be calculated based on the inflation rate.

The overall year-to-date inflation rate, based on the latest data by the Central Statistics Agency (BPS) on inflation in September, stood at 2.24 percent, which is still within the government'€™s target.

The consumer price index (CPI) fell by 0.05 percent month-to-month in September while core inflation stood at 0.44 percent, 5.07 percent higher than in the same period in 2014.

The ministry'€™s secretary-general, Taufik Widjoyono, said there might be a halt on the implementation of the fee hike, adding that the ministry might have to ask the toll road operator (BUJT) to delay the fee adjustment from the scheduled time.

'€œWe still consider the current economic condition, which is still unfavorable [...] but we can still do it this year. The amount of the fee hike has been set as well,'€ Taufik said on Monday.

Taufik added the ministry would also consider the impact from the fee adjustment on the toll road operators.

'€œI don'€™t want the postponement to give the impression of uncertainty, which would eventually lead to a decrease in the value of the company'€™s shares,'€ he said.

Previously, the toll road regulator (BPJT) conducted the minimum standards test on all 32 toll road sections across the country.

None of the toll roads initially passed the requirements, but then they managed to improve themselves and pass them.

The government planned to increase the fees for 19 toll roads this year, starting from May to December.

The Makassar Section 4 toll road in South Sulawesi, which is operated by PT Jalan Tol Seksi Empat (JTSE), has seen its fees increased from around 13 to 18 percent in June this year, a bit later than the earlier plan to do it in May.

The Jakarta Inner Toll Road, which is operated by PT Jasa Marga and PT Citra Marga Waspphutowa, will have its fee adjustment in November, while the Semarang-Ungaran toll section in Central Java, as well as the Kanci-Pejagan toll section from West Java to Central Java, is scheduled to see the adjustment in December. (fsu)

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