INTEGRATED TICKETING SYSTEM:

Faculty of Economic Sciences, Communication and IT J O I C E INTEGRATED TICKETING SYSTEM: CASE STUDY of JABODETABEK and VÄRMLANDSTRAFIK AB Service Science Master Thesis Date/Term: Spring 2009 Supervisors: Bo Enquist Samuel Petros Sebhatu Karlstads Universitets 651 88 Karlstad Tfn 054-700 10 00 Fax 054-700 14 60 Information@kau.se www.kau.se

Abstract JABODETABEK is a region that consists of DKI Jakarta Province, the and 7 other regions such as Bogor Regency, Bogor City, Depok City, Tangerang Regency, Tangerang City, Bekasi Regency, and Bekasi City, which surroundings Jakarta, as the hinterland. Everyday people commute from the hinterlands to Jakarta and vice versa. This situation makes transportation as a basic need for people to do their activities is a very important issue. But there is a problem with the public transport system in this area, because it is not integrated yet. The focus of this research is to assess the integration of ticketing system between TransJakarta busway and JABODETABEK commuter train by using Varmlandstrafik AB experience. Data is collected through interview and by browsing the websites, then, it is analyzed by using cross-case synthesis with literature review as the consideration. The integrated ticketing system between TransJakarta busway and JABODETABEK commuter train is developed from the existing ticketing system in TransJakarta busway with some improvement on its application. And to support the process of integrating the ticketing system, there are things to be prepared and fixed between the two PTAs. They are the fare structure and administration issue. The fare structure is related to its fare based (flat or zone or combination of it), consideration for credit cards or debit cards payment, and if it used the zone structure, it needs a simple zone structure. Related to the administration, it needs a centralized body or organization. This centralized body is not just integrating the ticketing system, but then it will improve the other integration aspects. To support the integrated public transport process, it still needs to improve the existing public transport services, by increasing the capacity; and combining it with other policy which restrain the use of private vehicle. The need of integrated ticketing system in JABODETABEK is to increase the access of public transport in order to make an easier transit or transfer process, increase the number of passengers which implies to reduce the private vehicles user, improving public transport market share and reducing externalities. Key word: integrated ticketing system, Transjakarta busway, JABODETABEK commuter train, JABODETABEK Page i

Table of Contents Abstract... Table of Contents... List of Pictures... List of Table... i ii v v 1 Introduction... 1 1.1 Background... 1 1.2 Objective... 2 1.3 Research Questions... 2 1.4 Scope of Work... 2 1.5 Writing Structure... 3 2 Methodological Discussion... 4 2.1 Qualitative Research... 4 2.2 Case Study... 4 2.3 Methods of Collecting Data... 5 2.4 Method Analysis... 5 2.5 Research Process... 6 2.6 Limitation... 6 3 Theoretical and Conceptual Framework... 7 3.1 Integrated Public Transport System... 7 3.2 Public Transport... 8 3.3 Service Concept... 10 3.4 Research about the Major Issue of Transportation in JABODETABEK, Indonesia... 11 Page ii

3.5 Research about Integrated Public Transport System in JABODETABEK, Indonesia... 12 3.6 Experience of Integrated Ticketing System... 14 4 Empirical Study... 16 4.1 Portrait of JABODETABEK Region... 16 4.1.1 Portrait of Transportation in JABODETABEK, Indonesia... 17 4.1.1.1 Road Networks... 17 4.1.1.2 Public Transport... 19 4.1.1.2.1 TransJakarta Busway... 20 4.1.1.2.1.1 The History of TransJakarta Busway... 20 4.1.1.2.1.2 Organization... 20 4.1.1.2.1.3 Network... 22 4.1.1.2.1.4 Overview of TransJakarta Busway Operation... 23 4.1.1.2.2 JABODETABEK Railway... 25 4.1.1.2.2.1 History of JABODETABEK Commuter Train... 25 4.1.1.2.2.2 Organization... 26 4.1.1.2.2.3 Network... 27 4.1.1.2.2.4 Overview of JABODETABEK Commuter Train Operation... 28 4.1.1.3 Point of Connection between TransJakarta Busway and JABODETABEK Commuter Train... 29 4.2 Portrait of Regions in Varmland, Sweden... 30 4.2.1 Portrait of Transportation in Varmland, Sweden... 30 4.2.2 History of Varmlandstrafik AB... 31 4.2.3 Varmlandstrafik AB... 31 4.2.3.1 Network... 32 4.2.3.2 Overview of Värmlandstrafik AB Operation... 33 4.3 Experience of Integrated Public Transport System in Varmland... 34 Page iii

5 Discussion, Conclusion and Contribution... 36 5.1 Discussion... 36 5.1.1 Conditions of Integrated of Public Transport System in JABODETABEK and Värmland... 36 5.1.2 Assessment of integrated public transport system in JABODETABEK, Indonesia. 37 5.1.3 The Need of Integrated Public Transport System... 40 5.2 Conclusion... 41 5.3 Contribution... 41 References... 42 APPENDIX1... 46 APPENDIX2... 48 APPENDIX3... 49 APPENDIX4... 50 APPENDIX5... 52 APPENDIX6... 53 APPENDIX7... 54 APPENDIX8... 54 APPENDIX9... 55 APPENDIX10... 57 APPENDIX11... 59 Page iv

List of Pictures Figure 1 The Research Process... 6 Figure 2 The Relationship of Actors in Public Transport... 9 Figure 3 Planning Process of Public Transport... 9 Figure 4 The Hierarchy of Service Development... 10 Figure 5 Service Maintenance Process... 11 Figure 6 Planning Process of Public Transport... 13 Figure 7 JABODETABEK Area... 16 Figure 8 Jakarta Road Network... 18 Figure 9 History of TransJakarta Organisation... 21 Figure 10 TransJakarta Network in Jakarta Macro Transportation Scheme... 23 Figure 11 Emission Reduction from TransJakarta... 24 Figure 12 Ticket of TransJakarta... 25 Figure 13 JABODETABEK Railway Company... 26 Figure 14 JABODETABEK Commuter Railway Network... 27 Figure 15 Services of JABODETABEK Commuter Railway... 28 Figure 16 Tickets of JABODETABEK Commuter Train... 29 Figure 17 Värmland Region... 31 Figure 18 Bus and Railway Network in Värmlands... 33 Figure 19 Tickets in Värmlandstrafik AB... 34 List of Tabel Tabel 1 Overview of Integrated of Public Transport System in JABODETABEK and Värmland... 36 Page v

1 Introduction 1.1 Background JABODETABEK is a region that consists of DKI Jakarta Province, the capital of Republic of Indonesia, as the center of activities, and 7 other regions such as Bogor Regency, Bogor City, Depok City, Tangerang Regency, Tangerang City, Bekasi Regency, and Bekasi City, which surroundings Jakarta, as the hinterland. Everyday people commute from the hinterlands to Jakarta and vice versa. This situation makes transportation as a basic need for people to do their activities, is a very important issue. Based on BAPPENAS-JICA (2004), there is a deterioration of public transport in JABODETABEK which can be seen through its low level services. And another problems which is critical for the public transport sector is its less effective inter- and intra-modality. Related to this problem, to provide a better public transport, it has to see transportation as a matter about movement. So, the main thing that should be focused on is by paying attention on the movement itself. It has to consider on how, when and where or even why they move. By using this principle, it also means that to overcome transportation problems, it has to be seen as a system. There is no single decision that will sort it out. Based on this principle, transportation problems in JABODETABEK can be decreased. As part of improvement of public transport performance, local government DKI Jakarta introduces Transjakarta busway in 2004 on Blok M Jakarta corridor. This busway system is different from the existing public transport in Jakarta, because the local government is using quality licensing to provide the society which is based on the minimum service standards (Standar Pelayanan Minimum (SPM)). This system makes the bus operator did not have to pursue deposit (setoran) which is done by other operators outside the TransJakarta busway. Now they already expand the busway system into 8 corridors. But this system just operates in Jakarta region which is partial of JABODETABEK area that makes it just as a solution in part of Jakarta only. So, there are still problems related to the movement from and to the surrounding area. Another public transport is JABODETABEK commuter train. JABODETABEK commuter train has already operated for a long time in JABODETABEK area. It connects the movements from the surrounding area to Jakarta and vice versa. But its role is not been explored enough as the solution to the transportation problems in JABODETABEK area. And it is worsen because it has a poor performance. Lots of delay, not enough capacity and problems to reach the nearest station are few reasons why people did not use this mode. Based on those two situations above, it needs to consider integrating the TransJakarta busway, which operated in Jakarta region, with JABODETABEK commuter train as a public transport that connecting the movement from and to the hinterlands. This integration between TransJakarta busway and Page 1

JABODETABEK commuter train is needed to increase the accessibility in order to attract people in using public transport. There is no direct definition about integrated public transport system. But based on Janic and Reggiani (2001), the term `intermodal and term `integrated transport have been used to describe the transport systems, which have provided door-to-door transport services for goods and passengers, respectively, by using one or different transport modes. Intermodal is used on term of goods transport service and integrated is used on terms of passengers transport service. This principle is used in providing transport system in European countries. And one of the integration of public transport is the integrated ticketing system. On the other hand, other countries have already implemented this system. One of the countries is Sweden which is one of the European countries. Integration between different kinds of mode in Sweden is already operated for quite a long time. And it is not only between public transport such as bus and train, but even also with ship and airplane. All counties implement this system, including Varlmlands. Derived on that, by knowing the process that had been experienced by Värmland, for few years now, it will be used to asses an integration of transport system in JABODETABEK area. 1.2 Objective The objective of this research is to increase the ridership of public transport by analyzing and assessing an integrated ticketing system in JABODETABEK, Indonesia in comparison to Värmland, Sweden and the reason why an assessment the integrated of ticketing system is needed. 1.3 Research Question Overall interest of this research is to assess and analyze an integrated transport system in JABODETABEK, Indonesia. 1 st Research Question: What is the condition of integrated public transport system in JABODETABEK, Indonesia? 2 nd Research Question: How is the process in assessing integrated ticketing system; between bus and train in JABODETABEK, Indonesia based on experience in Värmlandtrafik, Sweden? 3 rd Research Question: Why is the integration of ticketing system needed? 1.4 Scope of Work This research will focus on JABODETABEK area in Indonesia and it will analyze the integrated ticketing system between TransJakarta Busway and JABOTABEK railway. This research is more about describing to integrate the ticketing system both of public transport by making a comparison with public transport in Värmland, Sweden. Page 2

1.5 Writing Structure Chapter 1 : Introduction. This chapter is describing the background, objectives, research questions, scope of work and the writing structure of the research. Chapter 2 : Methodological Discussion This chapter is describing the research strategy, methods of collecting data and method analysis. Chapter 3 : Theoretical Framework This chapter is describing the theoretical frame of reference. It consists of theory which will be used to analyze, previous researches and reports related to modal integration in JABODETABEK area. Chapter 4 : Empirical Study This chapter is describing the existing condition of public transport between TransJakarta Busway and JABODETABEK railway in Indonesia and the existing condition of integration of public transport system in Värmland, Sweden. Chapter 5 : Discussion and Conclusion This chapter is analyzing the findings by using the literature review. On this chapter, it will explain on how to asses an integrated ticketing system in JABODETABEK area based on experience in Värmland and benefits if the integration is implemented. Page 3

2 Methodological Discussion 2.1 Qualitative Research Based on Maxwell (2005), there are five particular intellectual goals for which qualitative research are especially suited. First, understands the meaning, which its interest is to know about physical events and behavior are taking place, how participants make sense of the events and behavior, and how their understanding influences of their behavior. Second, understanding the particular context within which the participants act and influence that the context has on their action. Third, identifying unanticipated phenomena and influences and generating new, grounded theories about the latter. Fourth, Understanding the process by which events and actions take place. Fifth, develop causal explanation. He also provides three practical goals as the advantages of the qualitative research. They are generating results and theories that are understandable and experientially credible, both to the people that is studied and to others; conducting formative evaluations, ones that are intended to help to improve existing practice rather than to simply assess the value of the program or product being evaluated; engaging in collaborative or action research with practitioners or research participants. 2.2 Case Study Research Based on Yin (2003) there are three conditions that has to be considered before choosing a research strategy. First, it is the type of research questions posed. Second, it is the extent of control an investigator has over actual behavioral events. And last, it is the degree of focus on contemporary as opposed to historical events. Based on those three considerations above, because this research is more focus on how and why questions, which the researcher cannot control the behavioral events and also it is about a contemporary events, this makes more suitable to select a case study strategy approach. The case study will be investigate the integration of ticketing system between public transports in JABODETABEK, Indonesia, in this case is between TransJakarta busway and JABODETABEK Commuter train, which is not applied yet; and public transport in Värmland, Sweden which is already applied an integrated ticketing system. Case study approach works to investigate an issue in-depth and provide an explanation that can cope with the complexity and subtlety of real life situations. The tendency of this approach is stressed on the detail of a relationship and process of a work, and not about the outcome which make it tend to be holistic rather than deal with isolated factors. Case study is also investigating a naturally occurring phenomenon, and used multiple resource and multiple methods as a part of investigation (Denscombe, 2007). Based on Gummesson (1995; 2000), case studies is vary in character, but there are two types of particular interest, such as to derive general conclusion from a limited number of cases and to arrive at specific conclusions regarding a single case. And Yin (2003) also divided case study into three types of uses. They are exploratory, descriptive and explanatory. Because this research goal is to asses an integrated public transport in JABODETABEK, Indonesia based on experience of integrated public transport system in Värmland, Sweden, so, first, I will describe the existing condition of TransJakarta Page 4

busway and JABODETABEK commuter train in Indonesia. Then I will try to have an in-depth investigation to know the process of integrated public transport system in Värmland, Sweden which I will use as a benchmark to compare it with the condition of public transport in JABODETABEK, Indonesia. Then I will try to identify things to asses an integrated ticketing system in JABODETABEK. And to do so, an description and exploratory research is done which will arrive to a specific conclusion regarding an integration of ticketing system in JABODETABEK, Indonesia 2.3 Methods of Collecting Data Based on Miller and Fredericks (1994), qualitative data which can be used as qualitative evidence are field notes; interview data; historical accounts, including logs, journal, official documents, etc; biographies, autobiographies, novels and other literary works which may provide direct and indirect insights as to a time, place or event; films of various kinds; artifacts as defined by archeologists and anthropologists; and physical and documentary materials which are classified as evidence in the practice of law. Based on Maxwell (2005), the data in a qualitative study can include virtually anything that you see, hear or that is otherwise communicated to the researcher while conducting the study, but there is ethic of prohibited in citing which could violate confidentiality or privacy or be potentially damage to particular individual. The researcher is the research instrument in a qualitative study. So, in order to decide data collection methods, two conceptual key issues that has to consider is the relationship between research question and data collection methods; and triangulation of different methods. Collecting data using different sources and methods or called triangulation, is done to reduce the risk that the research conclusion reflects the systematic biases or limitations of a specific source or method. Triangulation also allows gaining broader and more secure understanding of the issues that is investigated. And related to this research, in order to describe the existing condition of public transport in JABODETABEK area, I will have an interview to few key persons which related to TransJakarta busway and JABODETABEK commuter in JABODETABEK, Indonesia. And to know about the history of integration process in Värmland, Sweden, I will interview two persons that have responsibility about integrated ticketing system in Värmlandtrafik, Sweden. I also used some of my experience as one of the user of both TransJakarta busway and JABODETABEK commuter train. I collect data from websites, journals and newspaper which can be used as primary and secondary data based on its relevance to the research. 2.4 Method Analysis Based on Yin (2003), the best preparation for conducting case study analysis is to have a general analytic strategy which is relying on theoretical propositions, rival explanations and case descriptions. These three general strategies underlie the specific analytic techniques which consist of pattern matching; explanation building; time-series analysis; logic model; and cross-case synthesis. This research will analyze using the cross-case synthesis to create word tables that display the data from the individual cases according to some uniform framework and the analysis of the entire selection of word tables enabled the study to draw cross-case conclusions about the intervention centers and their outcomes. Based on Maxwell (2005), by construction of cross-case displays and matrices, patterns and themes will Page 5

be sought. The goal is to build a logical chain of evidence and to construct a theoretically and conceptually coherent explanations and looking for the negative evidence. Based on the data and theory that used in this research, I will try to analyze the process of ticketing integration in Värmland, Sweden. Then it will be compare to existing condition in JABODETABEK area. Next step is to identify things that have to be fixed and provided to assess the integration. It also will classify problems that may occur in the process itself and the advantage or disadvantage of the integration. 2.5 Research Process The process of doing the research describes on figure 1. First, it is all started by describing the transportation problems in JABODETABEK, Indonesia in introduction. And based on literature review and theoretical and conceptual framework, we define findings which will be discussed next. The research will finish after the conclusion and contribution is made. Figure 1 The Research Process 2.6 Limitation Due to time and distance limitation, there are some inputs from the actors of public transport in JABODETABEK, Indonesia that could not be reached. There are also limitations in resources, because i cannot reach the websites in my university in Indonesia. This situation makes the research resource from Indonesia is limited. And for several issues, some of the participants request to not be mentioned their status. This research is just focused on TransJakarta busway and JABODETABEK commuter train. Page 6

3 Theoretical and Conceptual Framework 3.1 Integrated Public Transport System Janic and Reggiani (2001) explain that the objective of integrated service in public transport is to reduce the use of individual cars and increase use of public transport. By a significant shift from car to other public transport modes could be achieved by improving public transport services of each mode and by promoting door-to-door integrated services. And apart from improving the performance of public transport modes in terms of reliability, accessibility, comfort, safety and flexibility, an essential issue has emerged to be how to achieve an efficient integration of urban passenger transport systems. The solutions that emerged by integrating individual transport and public transport systems; and integrating of different public transport systems. Between individual transport and public transport system, integration may carried by the construction of interconnecting infrastructure (e.g multimodal terminals, park-and-ride facilities) and by setting up an information and traffic management system (incorporating the use of transport telematics), which would allow the reassessment of travel choice before and during the journey with addition, both walking and cycling would be chased. Between public transport systems, the most important elements of integrated transport systems are multimodal terminals (hardware), coordinated timetable (orgware) and through ticketing (finware). On the book with the title Bus Rapid Transit planning Guide which published by Institute for Transportation and Development Policy (ITDP) on 2007 based on experience of countries that already implemented the bus system, one of its chapters is discussed about the guidelines related to the modal integration for the bus system. First, it has to integrate to itself. This means that the bus system has to integrate between one corridor to other corridor in order to ensure the physical and fare integration through the system. Second, it has to provide access for the pedestrian. In order to encourage people to use the public transport, it has to give a safe, convenient, and secure access. This access has to consider the movement of people from their home to reach the bus system corridor, movement from the corridor to reach the station and movement on the station. This movement is also influenced by the bus system design and its shelter location. Third, it has to provide access for the bicyclist. This is also as a campaign for people to use the cycle for their activities. Fourth, it has to integrate with other public transport. The integration is through physical connection between the two systems, complementary marketing and promotion of the two systems, and the unification of fare structure. The physical connection which done on the planning stage, is had the most important role to integrate the two system beside the clear signage and integration of ticketing system. Fifth, it has to provide access for taxis. And last, it has to provide park-and-ride facilities. These facilities are also in order to decrease the use of private vehicle. Page 7

Based on Luk and Olszweski (2003), measures for integrating transport services include the following five broad categories: a. Physical integration the close proximity and ease of access at mode interchanges will greatly enhance public transport services. Walkways should be carefully designed for passengers to change mode. Passengers should be within a short walking distance from their residences to a transit stop. b. Network integration bus and rail systems should be an integrated network in their own right and these separate networks should further complement one another. Feeder services using buses, trams or light rail should be designed to maximize the patronage of the trunk routes. Network integration is closely linked to physical integration and both contribute towards the integration of infrastructure. c. Fare integration a single fare card for multiple transit services will facilitate the transfer between modes. Rebates can be implemented as an inducement for those who transfer from one mode to another. d. Information integration a comprehensive, easy-to-use passenger travel guide is critical to successful multi-modal travel. The signage at rail and bus stations should be properly designed to convey effective information to travelers. Information Technologies (IT) and Intelligent Transport Systems (ITS) can play important roles in integrated transport in general and information integration in particular. e. Institutional integration a common institutional framework is better able to undertake land-use planning, travel demand management and integrated public transport services. In the absence of common framework, cooperation and coordination amongst government agencies, and between the private and public sectors, become vitally important. 3.2 Public Transport Based on Enquist, Johnson and Camen (2005), there are four actors who are influenced to the public transport development in a country or region. They are principal or politician, i.e the owner or the authority responsible, representing the political level; the executive management of a regional public transport company, i.e the Public Transport Authority (PTA); the employees or, as is the case in public transport, the operators (contractors); and the customers, i.e passengers and citizens. The stakeholders of the network are driven by different interests, which is an important thing to bear in mind when discussing this; the common good of the principals; the external efficiencies of the PTA, and the customer satisfaction and external efficiencies of the contractors. And the relationship between these actors is shown in Figure 2. Page 8

Figure 2 The Relationship of Actors in Public Transport Source : Enquist, Johnson, Camen (2005) The planning of public transport is made based on the type of service of the public transport. There are two types of public transport service, they are a fixed route service and demand responsive service. And this research is focused on a fixed route service, because it will discuss about railway and busway (one type of Bus Rapid Transit System) in JABODETABEK, Indonesia. The planning process on fixed route service contains of strategic planning and operational planning (Shown in Figure 3). On the strategic planning, it is divided into three steps; they are the network design, frequency setting and timetabling. Network design is related to types of public transport that will be built; the feasibility to build the public transport, based on its demand and its cost; the route of the public transport that will be implement; how many shelters will be provided; the location of its shelter and terminal; what kind of operational system that will be used, etc. This step is more concerned to the infrastructure. And the basic point of this step is the OD-matrix. So, it will need an accurate OD-matrix in order to create a good public transport network. Then, the most crucial step is the frequency setting, because it will influence to the operational planning, which are vehicle and crew scheduling. This step is also influence by the network design. For example, in order to set the frequency of a bus operation, it will need to know how long the travel time from origin to destination, because this is influenced by the route that is chosen. Other example is, the time travel is also influence by the sum of the shelter that will be serviced and the time to stop on each shelter. On this step, the type of vehicle that will be used is also had an important role. Because by knowing its capacity, it will also influence the need of the fleet and its frequency, which will be used for our next step, timetabling. Figure 3 Planning Process of Public Transport Source : Hall (2006) Page 9

Based on Nash (1982), public transport operations give an impact to the social and environmental aspects. First, it influences on social need for some level of service. Second, it effects on the existence of economies of scale and monopoly power. And third, it is the externalities of private and public transport. These externalities can be formed into delay to other vehicles and pedestrians; environmental degradation such as noise, air pollution, visual intrusion and destruction of facilities to provide new infrastructure; accidents; and depletion of non-renewable natural sources. 3.3 Service Concept Based on Lovelock and Wirtz (2007), he sees services as economic activities offered by one party to another. Edvardsson (2005) sees service as a link in time and space activities and interactions which provided solutions to customer problems. He defines that service from the customer aspect is a matter of value-in-use which resulting customer experience. And Gronroos (2006) defines service as a process that consists of a set of activities which take place in interactions between a customer and people, goods and other physical resources, systems and/or infrastructures representing the service provider and possibly involving other customers, which aims at assisting the customer s everyday practices. Lovelock and Wirtz (2007) is developing the conceptual framework of a service into 3 categories, they are service operations, service delivery, and other contact points. Service operations are related to conditions where inputs are processed and the elements of the service products are created. Service delivery is related to conditions where final assembly of these elements takes place and the product is delivered to the customer. And other contact points are related to conditions which embraces all points of contact with customers. Based on Gustafsson and Johnson (2003), in order to survive on competition, a company needs to do service development. This service development are consists of 3 stages, they are service maintenance, improve service performance and service innovation (Shown on figure 4). On service maintenance stage, it focuses to remove things gone wrong. On the next stage, improve service performance, it focus to improve things gone right. And the last stage, service innovation, it focus to create and implement new idea for the service. Figure 4 The Hierarchy of Service Development Source : Competing in a Service Economy (2003) Page 10

On their book Competing in a Service Economy, Gustafsson and Johnson (2003) describe the service maintenance process is shown in Figure 5. On this process, it needs to identify service quality defects. Then, it needs to pick a defect that is going to be solved. Next step is identifying the solution which can be done. And before it is implemented, the solution should be test first. Figure 5 Service Maintenance Process Source : Competing in a Service Economy (2003) 3.4 Research about the major issues of Transportation In JABODETABEK, Indonesia Based on Joewono, Parikesit, Santosa and Susilo (2007), there are several things which need to be concerned in order to create a better public transport system in JABODETABEK area. First, the government has to have greater commitments to develop public transport. This is emphasized to the government commitment in order to create a good public transport system which encourages people to use it. Second is improving the existing public transport conditions. The main problem of public transport in JABODETABEK area is the poor management, regulation, supervision, and financial sectors. These things have to be the priority to be solved, instead of implementing new systems which need a lot of efforts and money to invest. Related public transport parties should give a good achievement on the existing public transport service before involving for the next period service or further public transport project. Third is the government initiative to encourage Transit-Oriented Development (TOD). Jakarta already has a commitment to implement TOD planning system but its result and comprehensiveness is still disputed. Fourth is integrating and funding TOD development with the road charging scheme. There is no single strategy to overcome the transportation problems. Based on transportation experience in Singapore, they can cover all expenses on externalities of using automobiles, supports public transport finance and, at the same time, restrain the use of private vehicles by using the road charging scheme. Fifth is maintaining the consistency of commitments, cooperation, and coordination between stakeholders through a regulation. But to make all the stakeholders follow the regulation, it also needs Page 11

law enforcement. Sixth, it is supervising the government s decision-making processes. This is needed to prove the consistency of the government. Jakarta has City s Transportation Board (Dewan Transportasi Kota), to supervise the government policy. But in the reality, they approved some policies which not relevant with the TOD planning system. And the last is developing a unique approach for each developing country, based on its culture, society, and travel behavior, as well as resources. This means a depth study of people behaviors are really needed to make a successful transportation policy. Because each country, and even each region in a country, has its own characteristics which make it needs a special treatment to solve the transportation problems. Other issue that is considered by Djoko Setijowarno (2007) is the fuel consumption, because 50 % of fuel consumption in Indonesia is used by the transportation sector and 60% of it is happened in JABODETABEK area. 3.5 Research about Integrated Public Transport System in JABODETABEK, Indonesia There are few researches that had been published to asses an integrated transport system in JABOTABEK, Indonesia. First, it was The Study on Integrated Transportation Master Plan for JABODETABEK (Phase II). This study is a request from Government of Republic of Indonesia to the Government of Japan, which done by the Japan International Cooperation Agencies (JICA) in 2004. The results of this study are suggesting things to do as the next step to assess the integrated public transport system in JABODETABEK. They are legal framework of JABODETABEK transportation master plan; establishment of JABODETABEK transportation planning committee; detailed transportation master plan for DKI Jakarta and local governments in the BODETABEK area; ensuring funds for transportation system development; appropriate formulation of private-public partnership and cooperation among public sectors; and done post evaluation of the projects. The other one is a report of a grant from the US Agency for International Development which done by the Institute for Transportation and Development Policy with the title Making TransJakarta a World Class BRT System in 2007. This report recommends a lot of things to do to increase the TransJakarta performance. One point of them is to set-up an integrated, reliable and trustworthy fare collection system to secure public confidence. On this point, from the evaluation, they see that the current ticketing system on TransJakarta busway has limited security. This can be seen because of few reasons. They are no multi-trips ticket (smart card) are available now; still using coupon (paper) ticket in the new corridors (4-7); poor reliability of turnstiles and point of sales (POS); and the revenue collected by ticketing operator isn t going directly deposited to the bank. On the report, they also provided the criteria of a good ticketing system. It should have the money manager (usually a bank); the equipment provider; the ticket provider; the ticketing system operator; and the transit authority. Based on that, in order to improve the TransJakarta performance, the ticketing system in Jakarta needs to be retooled to provide full range of ticketing needs; to be sufficiently secured to public confident the revenue was used properly; institutional structure to give good ticketing service and operation; and to be integrated with other transport providers. But to be integrated with other transport provider, the ticketing system of TransJakarta busway has to be good first, because, it will Page 12

become the pioneer and the role model for other transport provider. It has to develop its business plan; negotiate contract for clearing; receive a fee from the total revenues; promote the city card; and supervise the clearing operation. Then, TransJakarta busway will suggest to the local government to create the clearing center operator, which will establish the technical standards, guarantee the integrity of the clearing service, sign the contract with all the operators and provide the smart card. And this clearing center operator is the one that do the integrating ticketing system between the transports operator through its smart card by signing a contract to different transport providers such as TransJakarta itself, feeder bus operator, ship operator and rail operator. This process is shown in figure 6. Based on Dirgahayani, Harata and Ohmori (2007), they made a conclusion that TransJakarta s system is operating insufficiently, because of the lack of intermodality measures implementation in improving the system accessibility and uncertainty risk of travel time caused by long transfer and waiting time. They also recommended reducing physical effort carried out by passenger to interchange by providing parking facilities, minimize transfer and waiting time through finware and software improvement measures. The barriers identified are land availability and institutional issue. Figure 6 Planning Process of Public Transport Source : ITDP (2005) Based on Asri (2005), to solve transportation problems in JABODETABEK was not only about how the physical development of transportation network evolved but also how to ensure the required funds including sharing responsibility, regulatory reform, institutional rearrangement, and consensus among stakeholders. And it was also indicated the failures of planning coordination in a region-wide context and what should be done to make the master plan materialize by establishing a new agency or organization with strong power for authorization of region-wide plans that covers multiple local governments and supported by sufficient technical staff and funds. Page 13

3.6 Experience of Integrated Ticketing System Ireland Dublin Bus (2009) is replacing their ticketing system into three phases. First phase is completed in 2006 by replacing the drivers ticket into machines. Second phase is completed in June 2008 by installing smart card readers on all buses. This phase is converting the prepaid tickets from magnetic stripe cards to smart cards. Third phase is introducing the integrated ticketing scheme, which allows customers to use one card to access services of all licensed public transport operators in Dublin area. The integrated ticketing system which used in Dublin is based on smart cards. Smart cards are plastic cards with embedded microelectronic chips that contain data. Smart cards need only to be touched against the card reader for the reader to check the validity of the ticket. The ticketing integration is developed by Railway Procurement Agency (RPA), which has been given a mandate from Government of Ireland to provide the integrated ticketing system for public transport in Dublin. Dublin Bus is working closely with RPA and other transport operator in order to ensure that the ticketing system in Dublin Bus would integrate with the ticketing systems of other transport provider. And the smart card tickets were available to public in July 2008. And through their websites, RPA (2009) noted the benefits of integrated ticketing system, which is felt by the customer and the operators. For the customers, it will reduce boarding time; shorter queues for tickets; need to have the correct change; fast, secure and convenient transaction; minimizes need for cash; and reusability (the ability to recharge the card). For operators, it will minimize the need for cash and cash management; facilitate seamless travel and transfer across different operators; improve transportation service by making it easier to use the system; temper proof storage of transaction activities; decrease levels of fare evasion and fraud loss; reliable and proven technology in volume production; cards can support multiple different applications on the chip, each with its own dedicated keys and memory area; cheaper maintenance costs as readers do not have moving parts; card can be used for other purposes other than travel e.g. toll roads, building access control etc.; provide a tool to implement creative and flexible fare policies and hence influence usage; and it also can be used to manage passenger number (e.g. prevent overcrowding) in a closed system. Germany, Austria and Switzerland Based on Pucher and Kurth (1996), by carefully coordinating fares and services for all routes, all types of public transport, and all parts of the metropolitan region, Verkehrsverbund system in Hamburg, Munich, the Rhein-Ruhr region, Vienna and Zurich have greatly improved the quality of the public transport alternative to the automobile. It succeed in attracting more public transport riders and, in most cases, increasing or at least stabilizing public transport s share of modal split through service expansion, better quality service, more attractive fare structures, and better marketing. Related to the attractive fare structures, most Verbund offered monthly tickets and yearly tickets with large amount of discount compare to the single trip ticket. So it is possible for the passengers to save money, especially for them who travel about 20-30 one-way trips per month. This also increased the convenience for them because they do not have to purchase the ticket anymore for each trips. Beside the monthly and yearly tickets, Page 14

there are also semester tickets for university students, school pupils, and apprentices; weekly tickets; four-day tickets; three-days tickets; one-day tickets; and strip tickets. All of them are cheaper than the one-trip ticket. Pucher and Kurth also noted that there are two factors in designing the fare structures. First is the purchasing system which permitted the use of credit cards. Second is the zonal fare structure. But still, on their research, they also found that there are problems related to financial in all the case study. They suggest that in order to solve the financial problems, it needs to increased taxes, fees and user charges for automobile ownership and use. Singapore Based on Luk and Olszweski (2003), Singapore is the world s first country to introduce Area Licensing Scheme (ALS) and followed by Electronic Road Pricing (ERP) system in order to reduce congestion. In 1995, Singapore made a big change to its road and public transport system. Before, it was manage separately. But in 1995, most of land transport functions brought under Land Transport Authority (LTA). And in January 1996, LTA issued a White Paper on transport with mission to provide Singaporeans with a world class transport system. Four key planks strategy which identified in the White Paper are integration transport and land use planning; expanding the road network and maximizing its capacity; managing demand for road usage; and providing quality public transport choices. And later, it added an application of information technology to enhance and maintain the capacity of the system to the strategy (May, 2004). LTA sets and controls car ownership by keeping car ownership costs high through a Vehicle Quota System, which is 3% of the previous year's vehicle population, and other ownership fees. It has done all the integration aspects. Related to the fare integration, Singapore has a single fare card which can be used on all public transport modes. It started with a magnetic stripe, stored-value TransitLink fare card in 1990 for bus/rail travel. Then, in 2002, they introduced a contactless smart card, called the EZ Card, as a common fare card for all bus, MRT and LRT services. This card was designed by the same company (the ERG Group of Australia) that implemented the Hong Kong Octopus Card (contactless) and the Melbourne Metcard (magnetic stripe). Other applications on this card are park-and-ride and small retail purchases. They also provide rebates for intermodal transfer on using this card. Based on May (2004), the key success attributes in Singapore are its development of a long-term vision and strategy, and adherence to it over 30 years; a sound economic basis for the strategy, avoiding dogmatic approaches; inclusion in that strategy of policies on land use, demand management, highway improvement and public transport enhancement, and the integration of these; single tier of government, enabling much more rapid decision-making; absence of serious constraints on the implementation of the strategy; gradual implementation of the strategy, allowing public support to be generated and maintained; willingness in this context to experiment with novel measures; high-quality tools for the planning and evaluation of policy measures; land-use strategy that ensures that the impacts of transport measures cannot be undermined by relocation of activities; extensive range of demand management measures; quality public transport system designed to cater for both main and niche markets; and intensive application of information technology. Page 15

4 Empirical Study This research will be focused on assessing an integrated ticketing system between TransJakarta and JABODETABEK Commuter train. But on this section, it will describe overview of region and transportation in JABODETABEK area, especially about TransJakarta and JABODETABEK Commuter train. And it will also describe overview of region and transportation in Värmland, especially Värmlandstrafik AB. 4.1 Potrait of JABODETABEK region JABODETABEK is a region on the north of Java Island that consists of DKI Jakarta Province, the capital of Republic of Indonesia, as the center of activities, and 7 other regions such as Bogor Regency, Bogor City, Depok City, Tangerang Regency, Tangerang City, Bekasi Regency, and Bekasi City, which surroundings Jakarta, as the hinterland. Picture below is showing the JABODETABEK area. Figure 7 JABODETABEK Area Source : (Picture) Bekasi City website, 2009,(insert) SITRAMP, 2004 DKI Jakarta Province area is about 661.52 km-square with population around 8.49 million people. DKI Jakarta consists of 5 municipals and a regency; they are North Jakarta, West Jakarta, South Jakarta, East Page 16

Jakarta, Centre of Jakarta and Thousands Island Regency on the north region of Jakarta which consists of lots of small islands. Bekasi Regency, Bekasi City, Bogor Regency, Bogor City and Depok City are parts of municipals of West Java Province. Bekasi Regency area is about 1,484.37 km 2 with population of 2,032,008 inhabitants. Bekasi City Area is about 210.49 km 2 with population of 2,084,831 inhabitants. Bogor Regency area is about 3,440.71 km 2 with population of 4,316,236 inhabitants. Bogor City area is about 21.56 km 2 with population of 866,036 inhabitants. And Depok City area is 200.29 km 2 with population of 1,412,772 inhabitants (West Java Province website, 2009). And the last two regions are parts of municipals of Banten Province, they are Tangerang City with region about 164.539 Km-square and population 1,531,666 persons; and Tangerang Regency with region about 1,110.38 Km-square and population 3,574,048 persons based on Banten in Figures 2008 from the Banten Statistic Agency website. 4.1.1 Portrait of Transportation in JABODETABEK, Indonesia Regulations for public transport are divided into each type of mode Act. For bus, there is Road Traffic and Transport Act. And for train, there is Railways Act. In DKI Jakarta Province, there is also a local government regulation about transportation system in Jakarta. And in each regulation, there is chapter about integrated public transport but still it was not regulated specifically. Public transport has to be seen as a whole system. This makes public transport in DKI Jakarta Province cannot be separated with public transport in regions surroundings. Although the electric train is just connecting between DKI Jakarta Province to Depok City, Bogor Regency and Bogor City on south area, to Bekasi City on the east area, and Tangerang City on the west area, but the attraction demand for public transport to DKI Jakarta also comes from Bekasi Regency on the east area and Tangerang Regency on the west area, which is the reason why these regions are consider to be part of the JABODETABEK region. Other name for JABODETABEK region is also called Jakarta Metropolitan Area (JMA) or Greater Jakarta (The Jakarta Post, 2003; Juwono, Tri B., Parikesit, D., Santoso, W. & Susilo, Yusak O., 2007). 4.1.1.1 Road Networks The length of roads in this region is 6,540.22 km, which consists of toll roads, primary and secondary artery roads, primary and secondary collector roads and local roads (Jakarta in Figures 2007). Figure 8 is describing the road networks in DKI Jakarta Province. The length of roads for each region in municipals of West Java which part of JABODETABEK area are 925.95 Km in Bekasi Regency, 562.54 km in Bekasi City, 1,507.52 Km in Bogor Regency, 749.21 Km in Bogor City and 485.35 Km in Depok City (West Java Statistic Agency, 2009). And the length of roads in Banten is 491,289.01 Km. The numbers of registered vehicles in 2007 in Jakarta is 7,967,498 units. This number is the sum of all types of vehicles that has been registered in the region such as motorcycles, passenger cars, cargo cars and buses. From this fact, it can be seen that if all the registered number of vehicles are operated on the Page 17