TEMPO.CO, Jakarta - The government is set to raise prices for economy class flights following an increase in the lower threshold tariff by 40 percent of the current upper price caps set by the Transportation Ministry. The government regulation previously mandated that the lowest price for economy flight tickets is 30 percent of the upper price caps.
Transportation Minister Budi Karya Sumadi explained that he had already discussed the matter with airliners and reached an agreement.
The government’s plan to increase the airline ticket prices is related to the flight cost, which will influence the safety level of airlines operating in Indonesia. Budi hopes by doing so, it will guarantee a better and improved level of flight safety.
“40 percent is a favorable price range that can provide a guarantee of airline safety. How can one manage a taxi fleet if they cannot afford to buy tires,” said Budi.
By guaranteeing flight safety, the Indonesian aviation business can be more competitive at the global scale.
CAESAR AKBAR
