Transportation Minister Assures No Airfare Cartel Practice
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21 January 2019 15:31 WIB
TEMPO.CO, Jakarta - Transportation Minister Budi Karya Sumadi has invited the Business Competition Supervisory Commission (KPPU) to look into an alleged cartel practice on simultaneous airfare hike.
“KPPU has the authority to handle the case. So, We’ll see,” said Budi Karya after delivering a speech at an event titled "I am an Anti-corruption Woman" in Jakarta, Monday.
However, Budi Karya doubted such a cartel existed. “I don’t think so,” he said.
Budi made the statement following a heated polemic on the possible involvement of airlines in the cartel as each of the airfare increase and decrease took place simultaneously.
Read: Airlines Might Go Bankrupt If Airfares Not Raised: Jusuf Kalla
The fact that Garuda Indonesia Group (Garuda Indonesia, Citilink Indonesia and Sriwijaya Air) and Lion Air Group (Lion Air, Batik Air and Wings Air) dominate the national aviation industry also fuels the suspicion.
KPPU commissioner Afif Hasbullah earlier said the commission was still canvassing the airfare issue. “This is only an indication. If it turns out to be a fact and data, an investigation will ensue,” he noted.
A cartel practice is against Law No. 5 of 1999 on Monopolies and Unlawful Business Practices.
ANTARA
