Jakarta – The Organization of Land Transportation Owners (Organda) is to conduct a national strike on Wednesday to protest against the government's decision to increase fuel prices.
"The strike is to show our concern about the increasing price of subsidized fuel. The strike will take place from Sabang [Aceh] to Merauke [Papua]," said Organda chairwoman Eka Sari Lorena Surbakti in Semarang on Tuesday as quoted by Antara news agency on the sidelines of the organization's meeting to discuss the issue.
"We've proposed incentives for public transport to the government through seven ministries to help save the public transport sector. Low-income families are depending on this sector," she said. The ministries included the Industry Ministry, Trade Ministry and the Transportation Ministry.
She claimed that public transport only comprised a small part of the total number of subsidized fuel users, which only accounted for 7 percent, leaving the biggest share to private vehicles.
The government decided to slash fuel subsidies on Monday evening to reallocate ever-increasing funds spent on subsidies to finance the government's development programs.
"The government needs to develop infrastructure, education and health, but the funds have been unavailable because they have been wasted on fuel subsidies," President Joko "Jokowi" Widodo said on Monday.
The fuel subsidies had been forecast to amount to Rp 276 trillion (US$22.63 billion) next year, or around 15 percent of total state spending.
The price of subsidized Premium gasoline has increased from Rp 6,500 (53 US cents) per liter to Rp 8,500, while the price of diesel was raised from Rp 5,500 to Rp 7,500 per liter. Kerosene remains at Rp 2,500 per liter. (ask/nfo)