New Aircraft Upper Limit Tariff to be Approved

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  • Pesawat Lion Air. Tempo/Aditia Noviansyah

    Pesawat Lion Air. Tempo/Aditia Noviansyah

    TEMPO.CO, Jakarta - The Transportation Ministry said increase in aircraft upper limit tariff will be signed soon. The document will be sent to Transportation Minister Evert Ernest Mangindaan this week.

    “The minister has been waiting. The document is being compiled,” said Djoko Murjatmojo, air traffic and transport director at the Transportation Ministry, on Monday.

    The increase is about 10 percent from the current upper limit tariff. The number is a result of the ministry’s calculation by referring to rupiah exchange rate assumption towards US dollar around Rp13,000. “We already imposed surcharge last January with US dollar at Rp12,000 and aviation fuel (avtur) price at Rp12,000,” said Djoko.

    He continued that the current surcharge is already enough to cover airlines’ operational costs. However, because airlines kept pushing for upper limit tariff rise, the ministry then decided to make alternative with dollar exchange rate assumption at Rp13,000 but avtur price still at Rp12,000 per liter. “After calculation, the rise is 10 percent,” said Djoko.

    Previously, the Indonesia National Air Carriers Association (INACA) kept urging for an increase in upper limit tariff. The weakening rupiah exchange rate towards dollar and the increasing avtur price have burdened airlines’ operational costs. The INACA proposed an increase of 25 percent from the current tariff. On September 4, at Dharmawangsa Hotel, Jakarta, Mangindaan promised to increase upper limit tariff before he leaves his position in October later.