JAKARTA (Bernama): Indonesia is seeking to strengthen urban mass transportation networks in a bid to reduce the country’s annual fuel subsidy burden, which reaches about Rp300 trillion (RM79 billion), while easing congestion and lowering transportation costs for the public.
The Transport Ministry’s Director General of Land Transportation, Aan Suhanan, said the sector accounts for around 90 per cent of the government’s fuel subsidies, while transportation costs consume up to 30 to 40 per cent of household income.
"The imbalance has contributed to longer travel times, economic losses caused by traffic congestion, air pollution, and difficulties in accessing education and employment,” he said in a statement on Thursday.
To address the issue, Aan said the government is continuing efforts to develop Urban Mass Public Transportation (AUMP) systems in 20 major cities under Indonesia’s 2025-2029 National Medium-Term Development Plan (RPJMN).
He said the programme aimed to shorten travel times, improve accessibility, and optimise the role of urban areas as centres of economic growth.
"The development of AUMP requires integrated planning, funding cooperation between the central and regional governments, as well as strong governance. It is expected to create a transportation system that is more sustainable, equitable, and efficient,” he said.
Aan said the ministry is also supporting the digitalisation of regional transportation services through several platforms and applications aimed at helping operators improve service quality and monitor operational standards. -- BERNAMA
