Jakarta’s off-street parking tariff hike to “cover loss insurance for car owners”

The doubling of Jakarta’s off-street parking tariffs to Rp 4,000 per hour (AUD$0.41) prior to the last year’s gubernatorial (City Governor) elections will be challenged in an Indonesian court. Lawyer David Tobing has filed a lawsuit against the Jakarta Legislative Council over the higher parking tariffs, claiming the unannounced hike by the former regime led by Fauzi Bowo came without approval of the City Council.

Despite not implementing the policy, the current Governor Joko Widodo has defended his administration’s decision to not to revoke the rise, saying the higher rate covers loss insurance for car owners. According to the Jakarta Globe, he said that in paying the increased rate, drivers would be insured if their vehicle was to be damaged or stolen at a parking facility.

Jakarta Transportation Agency head Udar Pristono said that the parking fee hike was the only way to limit the number of vehicles using the city’s roads, and added that gradually the fee would be increased up to Rp 5,000 per hour.

The case could not be heard this week as there was no representation present from the Council.

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