Indonesian Govt Talks of NIK-based KRL Subsidy, Observers Unveil Potential Harm for Users

TEMPO.CO, Jakarta - The Indonesian government will review the plan for National Identification Number or NIK-based subsidized tickets for the KRL commuter line. Minister of Transportation, Budi Karya Sumadi, said on Friday, September 6, that the ministry will soon hold a meeting to discuss the NIK-based Greater Jakarta KRL subsidy scheme. 

Previously, the minister said the NIK-based ticket scheme policy for 2025 was still a mere discourse. Budi admitted that the government is conducting a study, but there’s no plan set in stone to implement the policy.  

So, what are the consequences for KRL users if the government implements the NIK-based KRL subsidized ticket regulation?

NIK-based subsidy leads to injustice

An economist from UPN Veteran Jakarta, Achmad Nur Hidayat, asked the government to review the plan for the NIK-based Greater Jakarta KRL subsidized ticker. According to him, the policy could lead to injustice.

“This scheme could potentially add to citizens’ economic burdens, especially for the lower middle class,” he told Tempo on Thursday, August 29, 2024.  

Problems could arise due to the difficulty in verifying the subsidized group, Achmad said, especially for KRL users who don’t have easy access to digital technology. “They could struggle to register their NIK to obtain the subsidy,” he said. Additionally, not all citizens who require the subsidy are accessible through NIK-based policies. 

Instead of increasing the KRL fare and applying NIK-based subsidy, Achmad said, the government must engage with a more inclusive approach, such as maintaining the affordable fare for all users while improving subsidy management. 

NIK-based subsidy contradicts the essence of public transport

The representative of KRLMania, Nurcahyo, said the subsidy plan is misdirected and could limit the public transport usage campaigns. “We want to emphasize that KRL is a public transport service that shall not be based on its user’s economic ability or domicile,” he said on Friday, August 30.

The NIK-based KRL subsidy could threaten the accessible principle of public transportation. “Thus, KRLMania rejects the proposal of NIK-based subsidy as it is contradictory with the essence of public service. A better policy would be to strengthen the accessibility and sustainability of KRL service for all residents without exceptions,” he said.

Inclusive transportation subsidy is a better option

Meanwhile, quoting the Tempo Newspaper edition of Monday, September 2. 2024, the head of Strategic Initiative for Transportation, Darmaningtyas, said subsidy for all KRL users would be more effective compared to grouping based on economic status. 

NIK-based subsidy only benefits underprivileged citizens and the government. However, inclusive subsidized transportation would benefit all parties, from reducing air pollution, and traffic congestion, to cutting the cost of subsidized fuel. 

Darmanigntyas advises the government to adjust the KRL fares instead, which have never been increased since 2016. “Thus, KRL service would improve because corporations have enough cash flow to operate every day,” Darmaningtyas said.

ANANDA RIDHO SULISTYA  | RIRI RAHAYU | ILONA ESTHERINA | IKHSAN RELIUBUN I  KORAN TEMPO

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