Wednesday, 22 January 2020

Lion Air to Cut Prices in Half



Mahinda Arkyasa

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  • TEMPO.CO, Jakarta - Lion Air Group will provide promotions by reducing airline tariffs by 50 percent of the upper limit tariffs. The reduction will be applied on certain scheduled time departure, and on certain terms and conditions.

    Corporate Communications Strategic Lion Air Group Danang M. Prihantoro said that the airline will comply with the government's decision on the reduction of airplane ticket prices for domestic routes served by airlines offering no frills services.

    "Currently we are making preparations and process in relation to ticket price adjustment," Danang said on Friday, June 21, 2019.

    According to Danang, the valid tariff will not include baggage charge, passenger service charges, value-added tax, and mandatory insurance fees. In addition, the promotion tickets can only be purchased 10 days before the scheduled departure.

    Danang added that Lion Air will try to provide choices of quality air transportation services to facilitate high mobility of travellers by focusing on passenger safety, security, and comfort.

    Danang explained that the airline has managed to reduce ticket price by applying a number of promotions in commemoration of Lion Air anniversary. The special tariffs were provided for popular domestic routes.

    He added that the special prices were part of the airline’s effort to provide equal opportunities for passengers and potential customers to travel to various destinations. Danang also explained that the ticket prices for domestic economy class flights were determined based on regulations made by lawmakers.

    Danang further stated that there are a number of components used to determine the price of airplane ticket. He mentioned that some of those components include basic fare based on range; government tax, which is set at around 10 percent of the basic fare; mandatory insurance fee; passenger service tax, and airport tax.

    "[Airport tax] are different for each airport in certain cities," he concluded.