Transportation Minister Talks of Pelita Air, Citilink Merger Plan

TEMPO.CO, Jakarta - Transportation Minister Budi Karya Sumadi talked about the merger plan of two state-owned airlines, Pelita Air and Citilink. He answered issues that Pelita Air's aircraft and licenses will be transferred to Citilink.

Budi Karya did not give a clear answer on whether the transfer is possible without dismissing Pelita. However, he said the Transportation Ministry would ease the process.

“In principle, if it can be made easier, why make it more difficult?” Budi Karya said in Kuningan, Jakarta, on Thursday, September 28, 2023.

He emphasized that the ministry would seek a win-win solution for all parties. “So there is no problem with the merger. Whether there is a merger or not, we will find a way out,” he said.

Budi Karya also said the Transportation Ministry would ask for a legal opinion on how to realize the merger.

On September 20, Deputy Minister of State-Owned Enterprises Kartika Wirjoatmodjo said Pelita Air's license and aircraft would be transferred to Citilink. Pelita will then become part of the Garuda Indonesia Group, together with Garuda Indonesia and Citilink.

However, the company will remain separate or will not merge with Citilink. Kartika said the move would be taken to improve Pelita Air, which is a subsidiary of state-owned oil and gas company Pertamina.

“We will actually develop Pelita,” Kartika told Tempo via a text message on Sunday, September 24, 2023. However, he was reluctant to reply when asked further about the development of Pelita Air.

AMELIA RAHIMA SARI

Editor's Choice: Pelita Air and Citilink Response to Merger Plan with Garuda

Click here to get the latest news updates from Tempo on Google News