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Talk is No Longer Cheap

Phone Rates Increased Effective April 1, 2004.

(4/2/2004) The State telephone monopoly has increased most telephone rates, effective April 1, 2004:

Local calls will increase 28.21%. A short local call of less than 3 minutes will now cost Rp. 250 (approximately US$ 0.03), an increase from the old rate of Rp. 195.

The monthly subscription fee for a residential telephone line has increased 25% and will now cost between Rp. 16,500 Rp. 20,600 (approximately US$ 1.94 US$ 2.42).

The monthly subscription fee for a business line has been increased to cost between Rp. 38,400 Rp. 57,600 (approximately US$ 4.52 US$ 6.78).

Long distance calls of between 20-30 kilometers now cost between Rp. 83 Rp. 163 per minute (approximately US$ 0.01 US$ 0.02).

Telephone rates for calls beyond 30 kilometers have in fact been reduced by 30% as of April 1.

The most recent spate of rate increases is expected to increase PT Telkom's turnover by 9%.