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THE Ministry of Transportation respects the ruling of the Business Competition Supervisory Commission (KPPU) regarding Alleged Violations of Article 5 and Article 11 of Law Number 5 of 1999 relating to Domestic Economy Class Scheduled Passenger Air Transport Services involving seven national airlines that have been proven to have violated airplane ticket fares.
According to the Spokesperson of the Minister of Transportation Adita Irawati in Jakarta, said from the beginning of the process, the Ministry of Transportation welcomed the KPPU’s steps positively in order to implement fair competition practices in the aviation world.
“This is in line with the mandate of Law Number 1 of 2009 concerning Aviation, where the Ministry of Transportation is mandated to determine the upper limit tariff (TBA) and the Lower Limit Rate (TBB) as consideration for fulfilling safety aspects, consumer protection and avoiding unfair competition between transport business entities domestic scheduled commercial air for economy class,” Adita said.
She explained, regarding the KPPU’s decision to provide advice and consideration to the Ministry of Transportation, we are very open to all input and suggestions from various parties including KPPU as an effort to provide protection to consumers and business actors in the industry and national efficiency.
“The Ministry of Transportation throughout 2019 had evaluated TBA-related policies which previously were PM 14/2016 to PM 20/2019 and KM 106/2019, where the application of TBA was carried out with regard to consumer protection and the sustainability of the aviation industry,” she noted.
In addition, Adita also said that in the midst of the current COVID-19 pandemic, aviation stakeholders including airlines, showed extraordinary support to serve the needs of air transportation. Although the flight is carried out with the necessity to implement health protocols and maintain distance, which certainly has an impact on occupancy, flight services are still carried out at the same rate as before, in accordance with KM 106/2019.
“We appreciate this step, because we know that aviation stakeholders are among the sectors that were strongly affected during this pandemic,” she added.
Adita also emphasized that the Ministry of Transportation will work hard while maintaining supervision to maintain flight safety and security while still observing health protocols and ensuring connectivity throughout Indonesia. [antaranews/photo special]
