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Shvoong Home>Social Sciences>Economics>Class action against toll tariff hike Summary

Class action against toll tariff hike

Article Summary   by:Wing_Man     Original Author: Globe Asia
ª
 
The
government’s move to raise toll tariffs in Java, Sumatra, and Sulawesi, on
September 4, by an average of 20 % has angered motorist, particularly in
Jakarta. Some 2,5 million motorists reportedly have recently filed a class
action with the Central Jakarta District Court to protest the tariff hike. They
were also furious with Jasa Marga which not only raised the tariff at the Jakarta
Outer Ring Road(JORR), but installed a new tariff system, routes motorists on a
shorter route to pay the same tariff with those on longer route.

However,
the government had indicated earlier on that it would not back down despite the
protest. The government said that the tariff hike was already in line with Law
No. 38/2004 on highway and Government Regulation No. 15/2005 on toll roads.

Head
of the Toll Road Regulatory Agency,Hisnu Pawenang, said that if the government
canceled the tariff hike, it would harm the domestic investment climate.
Private investment is badly needed to accelerate infrastructure development in
the country. But former president of Jasa Marga Syariffudin Alambai was quoted
as saying that the new one tariff-system applied at JORR was “unfair and
inappropriate.”
Published: October 13, 2007   
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