Nenden NF/Hendra & LM, Yogyakarta – A 70% rise in economy class railway fares, implemented Friday, are likely to prove extremely burdensome for the poor.
The decree signed last week by the Minister of Transportation and Telecommunications, Agum Gumelar, will see economy class fares rise by up 50-70%. Executive class fares are also set to rise by the same degree in the near future. The government owned railway company the hikes have been introduced due to the end of government subsidies, the rising cost of spare parts and fund-flow problems with the central government.
Ari Wibowo, a member of the Research and Development staff from the Indonesian Consumers Foundation (YLKI) in Yogyakarta, Central Java, spoke to Detik at the YLKI office in Yogyakarta, Friday.
"Such extreme hikes particularly effect those at the lower end of the economy scale. For those in the middle and upper portions of the scale, the rises will not burden them," Ari said.
According to Ari, the government must introduce better management and coordination, particularly with the Land Transportation Owners' Organisation (Organda). "So far, the management of public transportation has been given to businessmen without optimalising the performance of Organda," he said.
Indeed, the fare hikes need not happen because efficiency is still in need of additional effort. "There are so many losses, especially in the management on the ground, " said Ari.
The Consumer group is also concerned with proper public services and there were many instances where passengers suffered financial loss from taking public transport. "For example, there's no security guarantees, disorganised service and so on which should have been dealt with before, "said Ari.
Ari also drew attention to the frequency of late arrivals and departures and high-crime rate on public transport. "It's important for people to think that the government has good intentions regarding the price hikes, " he said.
The fare hikes for public transport, especially for railway and taxi fares was passed by Commission IV of House of Representatives before being signed into effect by the Minister.
For example, on the Yogyakarta-Jakarta route, fares will rise from Rp 14,000 (U$$1.68) to Rp 24,000 ($2.89) for adults, and for kids from Rp 11,000 ($1.32) to Rp 19,000 ($2.29). The fares will also change for the Bandung, Surabaya and several other city's routes.
For taxis, the rate upon hailing a taxi has risen from Rp 2,000 (US$0.24) to Rp3,000 (US$0.36). Subsequent kilometers on the clock have raised from around Rp 400 (US$0.04) and Rp 900 (US$0.10) to Rp 1300 (US$0.15).