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Paying More to Sail Around Indonesia

PT PELNI Increases inter-island Indonesian Passenger Tariff by 15%

Bali News: Indonesia, PT Pelni, Indonesian passenger ship service, Syaril Japarin
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NusaBali reports that the economy class fare for inter-island passenger ships operated by the State-owned PT PELNI increased by about 15% on Thursday, May 15, 2014.

The CEO of PT PELNI, Syarhril Japarin announced the increase saying: "the Company is not yet able to reduce its losses. Because of this, we feel the change in tariff is needed."

The passenger tariff on short routes such as Tanjung Priok (Jakarta) - Belawan (Medan) has increased from Rp. 346,000 to Rp. 408,000. On longer journeys such as Ambon - Pantoloan (Palu, Sulawesi) the fare has moved from Rp. 314,000 to Rp. 501,000.

PT PELNI said its growing losses are largely due to the increasing cost of fuel denominated in U.S. dollars against revenues generated in Indonesian Rupiahs.

The Company claims their fixed costs have increased by 83%. The bulk of the shipping company's fixed costs is comprised of fuel costs (55%), followed by depreciation and maintenance costs.

Syahril promised the increase in passenger tariffs would be accompanied by improvement in the embarkation system and the manner in which tickets are sold to the public.

PT PELNI recently introduced on on-line method purchasing a ticket for its large fleet of passenger ships that crisscross the Indonesian archipelago.

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