Airlines Urged to Offer Affordable Airfare



Laila Afifa

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  • Transportation Minister Budi Karya Sumadi. TEMPO/Fajar Pebrianto

    Transportation Minister Budi Karya Sumadi. TEMPO/Fajar Pebrianto

    TEMPO.CO, Jakarta - Transportation Minister Budi Karya Sumadi has called on airlines to offer domestic flight tickets at more affordable prices to the public. 

    "We urge airline companies to offer more reasonable tariffs (for domestic flights) to the public," Sumadi told reporters in Jakarta on Thursday, May 30. 

    The Transportation Ministry has lowered the airfare to between 12 percent and 16 percent, and a 12 percent drop to be made on busiest routes, including those in the Java region, whereas other tariff reductions were made for flights on routes, including to Jayapura, Papua.

    Read: Air Carriers Reluctant to Drop Airfare despite Tariff Revised 

    The decision was made following a coordination meeting by the Economic Coordination Ministry that agreed to change the upper limit tariff (TBA) for domestic flights. 

    This new decision will be reviewed in a three-monthly period and at any time in the event of major changes that affect the sustainability of the activities of the air transport business entity. 

    Director General of Civil Aviation of the Transportation Ministry, Polana Banguningsih Pramesti, remarked that the reduction by 12-16 percent in TBA continued to prioritize major factors, including security and flight accuracy (On-Time Performance).

    She explained that the cost component contributing to the reduction in TBA arose from the operational effectiveness of aircraft at the airport to ensure fuel efficiency and also optimize the efficiency of aircraft operating hours.


    Read: Airfares Finally Drop, Lion Air Cuts Prices Down to 25%