PELNI TO LOWER TRANSPORT FARES

Jakarta, Feb 6 (ANTARA) - State shipping company PT Pelni has finally decided to lower its fares in compliance with the government's calls on transportation firms to adjust their tariffs to last January's fuel oil price cuts.

"Pelni has calculated a lowered rate from Rp415 per passenger per mile to Rp412 per passenger per mile," PT Pelni corporate secretary Abubakar Goyin said.
Previously, Pelni president director Jussabella Sahea said it was impossible for Pelni to cut its ticket rates if the government did not increase public service obligation (PSO) funds to Pelni.
Jussabella said the government had fixed the price of ticket tariff for economy class at Rp415 since the price of fuel oil was still Rp4,300 per liter, while the basic cost of Pelni at that time was Rp760 per passenger per mile.
When the fuel oil price was set at 5,500, the basic cost increased to Rp836 per passenger per mile.
"This means that economy class tariff is still 54 percent lower than our basic cost," Jussabella said.
Abubakar said that the new calculation had been reported to the secretary of the Directorate General of Sea Communications, of the Ministry of Transportation.
"If the proposal is accepted the passenger tariff which is now still effective, particularly for the Jakarta - Jayapura long distance, could be cut at a range of Rp50,000 - Rp80,000," Abubakar said.
He said that the present tariff, which was based on fuel oil price calculations, was not raised when the fuel oil price was raised to Rp5,500 per liter.
Head of Public Communications Affairs of the Ministry of Transportation, Bambang S Ervan said previously that his ministry was studying with the relevant parties the possibility of lowering PT Pelni's economy class tariff by 10 percent from the present rate.
"But the tariff that would be cut by 10 percent is for economy class with a distance of over 1,000 km because many short distant routes have been covered by privately-owned ships," he said.