Indonesia National Air Carriers Association (INACA) have protested to Ombudsman regarding the Transportation Minister decree Number 106 Year 2019 concerning upper limit tariff for economy class or the domestic passenger: Photo by Special

JAKARTA (TheInsiderStories) – Indonesia National Air Carriers Association (INACA) have protested to Ombudsman regarding the Transportation Minister decree Number 106 Year 2019 concerning upper limit tariff for economy class or the domestic passenger.

The organization assessed that government’ request to reduce upper limit tariff was 12 percent -16 percent is maladministration practice. The¬†Ombudsman spokesman Alvin Lie rated the government was too involved in determining airfare tariffs cause the airlines have authority to set the price.

“The government sets airline tickets price without providing incentives to burden the airlines. Except, government finances airline tariff reduction program,” Lie said on Tuesday (07/16).

He told to media, that INACA‘ complain have passed verification last week. Than, the complain will submitted to special team and followed up it.

“The protest will be clarification to Transportation Ministry¬†in two weeks,” he stated.

Is known, government has issued two policies as an efforts to lowering the flight ticket prices, which soared since the beginning of this year. In May, the government decided to reduce upper limit tariff by 12 – 16 percent.

Furthermore, starting July 11, government also requires discount of 50 percent from Upper Limit Tariff for Low-cost Carrier on certain flight days and hours.

Commenting on the complained, Coordinating Minister for Economic Affairs (CMEA) Darmin Nasution said he did not care with INACA’ complain. He opined the regulation is not wrong.

He continued, that the government has reasoned to set the upper limit tariff. There are several goods prices in the regulation such as premium fuel, electricity, land transportation, including air transportation.

Reportedly, Secretary of CME Susiwijono Moegiarso said the government is still continuing to evaluate these policies. Government also schedules technical evaluations every week, while evaluating overall policy every month.

“This evaluation was made to assess whether the aircraft tariff reduction policy is effective. then, to determine whether this policy can be applied further,” he said last week.

Written by Willy Matrona, Email: theinsiderstories@gmail.com