Bali Discovery Tours: Homepage
Bali Hotels, Bali Villas and Bali News from balidiscovery.com
Home Bali Contact Bali Practicalities Bali News Bali Services Bali Transportation Bali Sports Bali Excursions Bali Villas Bali Hotels
Home · News · Keeping Indonesian Skies Price Friendly
Bali Hotels, Bali Villas and Bali News from balidiscovery.com
Bali Hotels
Bali Villas
Special Deals!
Packages
MICE Handling
Bali Excursions
Culinary - Dining
Guided Tour
Bali Spas
Bali Sports
Diving
Golf
Bali Transportation
Car Rental - Selft Drive
Private Jet Charter
Bali News
Bali Services
Bali Practicalities
Bali Contact
Bali Career
Home
 
Bali Update
Subscribe to our free weekly newsletter!
 
PATA header
PATA Gold Award 2007
Bali Update
PATA Gold Award Winner 2007
 
Bali Contact
Bali Discovery Tours
Komplek Pertokoan
Sanur Raya No. 27
Jl. By Pass Ngurah Rai,
Sanur, Bali, Indonesia

Tel:
++62 361 286 283

Fax:
++62 361 286 284

U.S.A. Fax:(toll free)
1-800-506-8633

U.K. Fax:
++44-20-7000-1235

Australian Fax:
++61-2-94750419

24h:
++62 812 3819724

Bali Discovery

SITE PATA ASITA
Bali News

Keeping Indonesian Skies Price Friendly

Minister calls for Independent Regulatory Agency to Monitor Domestic Air Tariffs.


Bali News:
Click Image to Enlarge

(1/27/2005)

As reported recently in the Indonesian-language Bali Post, Transportation Minister, Hatta Rajasa, is recommending that the government no longer be solely responsible for regulating flight fares. "We must have an independent regulatory body, comprised of representatives from the government, the public, and the aviation operators," he said, indicating that these three groups of stakeholders all have a right to some guarantee of fairness in setting domestic air fares.

Commenting on the ongoing role of The Trade Competition Monitoring Commission (KPPU), the Minister said that this body has the responsibility of monitoring pricing activities and taking action against unfair tariff manipulation, which can occur due to monopolies, oligopolies, or price dumping. The KPPUis concerned with tariff monitoring and is not presently charged with the responsibility of setting air tariffs.

Indonesian Tariffs Still Relatively High

The Minister said that despite heavy competition in the Indonesian domestic air ticket market, Indonesia's so-called "low cost carriers" are relatively quite expensive, averaging around 5 US cents per seat per flown kilometer, compared to about 2.5 cents netted by discount carriers in neighboring countries, like Malaysia and Singapore.

Explaining that no airline would intentionally sacrifice passenger safety, the Minister said current costs levels have no direct relation to passenger safety. Hatta emphasized that the government maintains a direct hand in civil aviation safety regulation, providing rules and guidelines for flight safety.

In matters of pricing, the government currently only sets limits on maximum, not minimum, fare prices. He stressed that the government has little desire to involve itself in determining prices, preferring to leave that to market forces.

If the Minister's recommendation for the establishment of an independent price regulatory authority for domestic airlines is accepted and if such an agency allows market forces their full reign, domestic air travelers may be able to look forward to continuing access to competitively priced tickets on Indonesian domestic air flights.


© Bali Discovery Tours. Articles may be quoted and reproduced if attributed to http://www.balidiscovery.com.

       

 
Plaga Wine
Bali News by Bali Update
Subscribe to the Bali Update
Receive the latest news from Bali by email!



Our [Privacy Statement] explains how we handle the data you are providing.

 
Bali News by Bali Update
Explore the Archive of the Bali Update
Find related articles in our news archive!




or try to use Google Search :

Home · Bali Hotels · Bali Villas · Bali Excursions · Bali Sports · Bali News · Site Map · RSS

Bali News: More News
Be an Idol!
Open Mike Amateur Night for Aspiring Singers with the Bali Community Choir at The Onion, Sanur, Bali on Tuesday, May 17, 2016
(4/30/2016)
Sink and Win!
Emirates Airlines Sponsors Hole in One Extravaganza at Bali National Golf Resort
(4/30/2016)
Rise and Shine in Good Health
E-Series 2, 4 and 8-Kilomter Healthy Run at Pan Pacific Nirwana Bali Sunday, May 22, 2016
(4/30/2016)
Extended Education
Bali Begawan Foundation Provides Educational Opportunities to School Children from Papua
(4/30/2016)
Staying High and Dry
Bali Conduct Successful Test of Shoreline Tsunami Warning System
(4/30/2016)
New Man in Charge at Holiday Inn Resort Bali Benoa
Holiday Inn Resort Bali Benoa Names Franck Rodriguez General Manager
(4/30/2016)
Rules Apply
Tourism Ministry Clarifies Use and Validity of 30-Day Free Visa on Arrival Available to Citizens of 168 Countries
(4/30/2016)
Bali Shark Attack
Rare Shark Attack off Bali's West Coats Send American Surfer to the Hospital
(4/30/2016)
It's My Party and I'll High if I Want To!
Singaporean Tourists Plans for a Birthday Party in Bali Put on Hold Until Further Notice Following Drug Arrest
(4/30/2016)
All Creatures Great and Small
'Tumpek Kandang' Ceremony Blesses the Animals at The Bali Safari and Marine Park
(4/30/2016)
It Might as Well be Printemps
Printemps Francais Comes to Bali May7-June 10, 2016
(4/30/2016)
Follow the Money
Bali Corruption Watch and Anti-Corruption Agency Asked to Investigate Financing of Benoa Reclamation Project
(4/30/2016)
All [News]!