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Putting a Glove on Itchy Fingers

Head of Bali Road Transport Organization Hopes Illegal Fees Levied During Vehicle Registration Process Will End.

(1/22/2011) In the midst of a host of high operating cost problems plaguing transportation operators in Bali, the head of the Bali branch of the National Road Transport Operators Organization (Organda Bali) has spoken out about illegal fees imposed by officials during the vehicle registration (STNK) renewal process.

The chairman of the Organda Bali, Eddy Sharma Putra, told Bisnis Bali that he hoped the new on-line registration system for motor vehicles in Bali would eliminate illegal levies that he claimed are very burdensome to members of his organization who operate tourism transportation companies in Bali.

He said that the illegal levies demanded when renewing vehicle registrations amounted to Rp. 100,000 (US$11) for a tourist bus and Rp. 50,000 (US$ 5.55) for a rental vehicle. These fees are entirely unofficial and paid without the issuance of a formal receipt. By limiting the personal contact between officials and transportation companies seeking to renew vehicle registrations, Putra is hopeful that the new on-line renewal process to be introduced by the provincial government on January 28, 2011, may eliminate the illegal levies.

Part of the new online registration system includes a door-to-door service in which the vehicle owner will be informed one month before the renewal deadline of the official tax due to re-register their vehicle in order to allow payment in advance via the provincial development bank - BDP Bali. With proof that the vehicle tax has been paid, the owner can then theoretically complete the on-line registration process.

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[Bali to Introduce On-Line Vehicle Registration]