Govt: Domestic Air Ticket Prices Officially Cut Down By 10 Percent

Doc: Humas Menko Infrastruktur dan Pembangunan Kewilayahan

Govt: Domestic Air Ticket Prices Officially Cut Down By 10 Percent

Wednesday, 27 Nov 2024

The government has officially announced a reduction in domestic flight ticket prices by up to 10 percent during the Christmas and New Year (Nataru) period of 2024/2025. Agus Harimurti Yudhoyono (AHY), the Coordinating Minister for Infrastructure and Regional Development, stated that this policy is the result of intensive collaboration involving various stakeholders over the past two weeks. This collaborative effort aims to ensure that tickets are more affordable for the public.

"The price reduction is intended to assist our citizens and stimulate the economy, including the tourism sector. Therefore, all involved elements, including the reduction of costs or services at airports, as well as aviation fuel and fuel surcharges, have contributed to an approximate 10 percent decrease in ticket prices," Minister AHY remarked on Tuesday, November 26, 2024.

He elaborated that the decrease in flight ticket prices is driven by three significant interventions: a 50 percent reduction in airport service fees, a 5.3 percent discount on aviation fuel prices compared to the previous month, and an 8 percent reduction in fuel surcharges for jet engines.

According to him, these interventions have successfully lowered flight ticket prices by 9.9 percent, equating to an average savings of IDR 157,500 per ticket. Data indicates that the impact of this policy will be felt across all passenger categories, from full-service to no-frills airlines. The total estimated savings during the holiday period is projected to reach IDR 472.5 billion.

"We hope this news will be well-received by the public, especially those with families wishing to travel during the year-end holidays. We also anticipate that this will help stimulate our creative economy sector," Minister AHY added. This price reduction will be applicable at 19 major airports in Indonesia from December 19, 2024, to January 3, 2025. The government expects this policy to yield positive effects for both the community and the broader economic sector. (deriz@insightinnews.com)

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