Home » Business » ‘Doomsday’ Air Ticket Prices Happened, Minister of Transportation Opens Voice

‘Doomsday’ Air Ticket Prices Happened, Minister of Transportation Opens Voice

Jakarta, CNBC Indonesia Minister of Transportation Budi Karya Sumadi spoke about the soaring price of airline tickets. According to him, this matter cannot be solved from one side alone.

“Regarding plane tickets, there is indeed one thing that we have to work on together. Maybe we just set something (fuel surcharge rules),” said Budi Karya after a Working Meeting with Commission V DPR RI, Tuesday (7/6/2022).

He said there were several things that caused the flight tickets to be expensive. Starting from the decrease in the number of aircraft fleets and the increase in the price of avtur.

So for short-term settlements, what the Ministry of Transportation can do is to make plane ticket prices cheap by increasing the occupancy.

The former president director of Angkasa Pura II explained that if the aircraft occupancy rate is below 50%, the flight will be at a loss. So, like it or not, ticket prices have to be increased.

“Let’s say occupancy is below 50%, with below 50% the airline will lose. Therefore, we are working with the Regional Government to provide something like sharing block seat (ordering an airplane seat), so that the minimum sales (occupancy) can be above 60%,” he said.

When the occupancy rate is above 60% according to the Minister of Transportation, a more appropriate or cheaper rate can be applied. So with block seat occupancy certainty is created, so that air transportation fares can be more affordable.

“So we try to do things like in Toraja, Silampari, we collect that the Regent talks about bearing the burden block seatwhich is used by local government employees or relations,” he said.

Aircraft Fleet Addition

Currently, the Ministry of Transportation also hopes that there will be additional aircraft fleets from airlines. Which also has an impact on ticket prices so that they come back cheaper.

“We certainly encourage and hope that the number of aircraft will increase so that the public is well served. And the effect on ticket prices is also sought to be better,” said Transportation Ministry Spokesperson Adita Irawati on the same occasion.

It’s just that Adita explained that this is a corporate domain, where currently many airlines are having financial difficulties due to the pandemic. However, the Ministry of Transportation will continue to provide convenience for airlines to increase the number of aircraft.

“We have provided ease of permits, audits, but when it comes to the cost (of aircraft procurement) it will return to the company. With the improvement in this situation, the airline’s performance will also improve,” he explained.

[Gambas:Video CNBC]

Next article

There’s a ‘Tsunami’ Airline Ticket Prices Rise, Airlines Get Ready!




(Hi Hi)


Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.