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THE Ministry of Transportation will raise the upper limit tariff and the lower limit tariff on airplane tickets as stated in Minister of Transportation Regulation No. 18 of 2020 article 14. The policy received a positive response from the Indonesia National Air Carriers Association (INACA).
According to INACA Chairperson Denon Prawiraatmadja in his official press release said, a number of steps had been taken by the government, in this case the Ministry of Transportation, to break the chain of the spread of the corona virus (COVID-19). Among them with the enactment of Large-Scale Social Restrictions through physical distancing is very maximum.
“Not only at the airport, but also on the plane. Namely, by reducing the amount of seating capacity for passengers by 50%. We do not deny, with the reduced seating capacity, the load factor will come down, and this will certainly increase the cost per seat per aircraft,” he said.
Denon stressed, as we all know that the current condition of the aviation business is very bad. To reduce this burden, INACA responded positively to the move from the Ministry of Transportation which raised
upper limit tariff and the lower limit tariff airplane tickets to ease the burden on airlines.
“INACA sees that all these steps have been taken by the government solely to accelerate the handling of the COVID-19 pandemic. My views this policy as an effort by the government to seriously resolve the spread of COVID-19,” Denon noted.
Denon added, the government was also reviewing policies on incentives for airport, navigation and tax relaxation costs for airlines which would soon be formally informed. [photo special]
