KPPU Investigates Cause of High Jet Fuel Prices

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  • Bahan bakar pesawat Avtur. ANTARA FOTO

    Bahan bakar pesawat Avtur. ANTARA FOTO

    TEMPO.CO, Jakarta - The Business Competition Supervisory Commission (KPPU) is planning to investigate the high price of aviation fuel sold by PT Pertamina (Persero). The expensive sales price has caused airlines' operational cost to surge.

    KPPU director of assessment, policy, and advocacy Ahmad Taufik said the commission read the complaints about expensive jet fuel prices from the newspaper. "We will try to find out whether the high price is caused by monopoly or other factors," he said Monday, September 29th.

    According to Taufik, KPPU has called a number of people from the Indonesian National Air Carriers Association (INACA) and Pertamina to question. "Soon will call the Regulatory Agency for Upstream Oil and Gas (BPH Migas)," he said.

    Earlier, INACA chairman Arif Wibowo said that the price of jet fuel in Indonesia is the most expensive in ASEAN. The same thing was stated by flagship carrier Garuda Indonesia.

    State-Owned Enterprises Minister Dahlan Iskan has even allowed Garuda to buy fuel from other seller. "If they believe that Pertamina's jet fuel is too expensive, they are welcome to buy from other sellers," he said on September 18.

    Once they information from BPH Migas, the KPPU will announce the conclusion of their investigation. 

    HUSSEIN ABRI YUSUF