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.

       

 
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
Bali to Lampung and Beyond on Lion Air
Lion Air to Operate New Flight Bali – Lampung – Singapore Starting in June
(5/28/2017)
Not the Hokey Pokey!
15-year-old Balinese Boy Suffers Self-Inflicted Stab Wound While Dancing Traditional Trance Dance
(5/28/2017)
Farewell, Schapelle!
Schapelle Corby Deported Back to Australia After 12-Year Brush with the Law in Bali
(5/27/2017)
United with Manchester
Editorial: Manchester’s Lesson for Living in the ‘New’ Now
(5/27/2017)
Wellness at Westin
Westin Resort Nusa Dua, Bali Dedicates the Month of June to Wellness
(5/28/2017)
Weigh Heigh and Up She Rises
Indonesia Working to Increase Yacht Visits
(5/27/2017)
Fine Dining Sadly Interrupted
Popular Expat Chef Brandon Huisman Dies Unexpectedly at 40
(5/28/2017)
The Return of Fernandez to Bali
Jorge Fernandez Named Executive Assistant Manager - Sales, Marketing & Revenue
(5/28/2017)
Sichuan Served Four Times a Week
Garuda Indonesia Now Flies 4 Times a Week Between Chengdu and Bali
(5/28/2017)
A Yen to Travel
Now Cheaper to Fly Between Japan and Bali on AirAsia Indonesia X
(5/28/2017)
Central Bank Worried About Bali
Bank Indonesia Frets About Inequitable Economic Growth Between Bali’s North and South and Lack of a Provincial Master Plan
(5/26/2017)
A Pilot Badly Grounded in Safety
Facebook User Reports Lion Air Pilot Flying Bali – Jakarta Inviting Wife and Child to Fly in Cockpit
(5/28/2017)
All [News]!