Indonesia raises domestic flight fuel surcharge cap to 40 percent
Jakarta (ANTARA) - Indonesia raised the maximum fuel surcharge for scheduled domestic flights to 40 percent, citing higher aviation fuel prices and a regular review of national airfare components.
Airlines may set surcharges below the ceiling, depending on their business strategies and market conditions, the Transportation Ministry's Civil Aviation Director General Lukman F. Laisa said here Wednesday.
The ministry's Directorate General of Civil Aviation periodically reviews fuel surcharge policy based on changes in aviation fuel prices set by suppliers, he said.
The reviews use the national average aviation fuel price and the price range established under prevailing regulations, he said.
Supplier data as of Sept. 1 showed average aviation fuel prices at Rp23,315, or about US$1.32, per liter, up about 6.5 percent from the previous period.
The new ceiling allows airlines to charge economy passengers up to 40 percent of the upper-limit fare for each service category, compared with 30 percent previously.
The adjustment reflects the government's regular review of airfare components, including fuel costs, airline operational sustainability and the interests of air travelers.
The directorate will monitor airfare implementation, including fuel surcharges, to ensure transparency, accountability and compliance with applicable regulations.
Monitoring will cover airline fares, aviation fuel prices and whether carriers separately disclose fuel surcharges on passenger tickets, he said.
The Transportation Ministry will oversee fares charged by all domestic airlines to help maintain competitive prices while considering market conditions and consumers' purchasing power.
Lukman said the ministry would continue monitoring aviation fuel prices and reviewing policies to support national connectivity and the sustainability of the aviation industry.
The ministry also aims to ensure airfare policies provide benefits to passengers while maintaining the industry's long-term viability, he said.
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Translator: Muhammad Harianto, Raka Adji
Editor: Rahmad Nasution
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