Tourism Minister Pledges Swift Action to Reduce High Airfares in Indonesia

Tourism Minister Sandiaga Uno pledges swift action on high airfares in Indonesia by collaborating with the Ministry of Transportation to increase the number of airlines by mid-2024. Despite new routes from airlines like TransNusa, overall flights haven't increased, raising fares. Citing Bali, where a 10% rise in tourists coincided with a 20% flight reduction, Uno is optimistic airfares will drop as more aircraft become operational by late 2024.

Tourism and Creative Economy Minister Sandiaga Salahuddin Uno has committed to taking swift action to address the issue of high airfares in Indonesia. Recognising the concerns of the public and the tourism sector, he assured that responsive measures will be implemented without delay. Key among these measures is his collaboration with the Ministry of Transportation to increase the number of airlines operating in the country.

High Airfares in Indonesia
Tourism and Creative Economy Minister Sandiaga Salahuddin Uno

Acknowledging Public Concerns

Minister Uno highlighted that he has been actively listening to the public’s complaints regarding expensive airfares. "We hear the complaints and continue to make efforts for immediate follow-up action," he stated during a press briefing at the Ministry of Tourism and Creative Economy.

Collaboration with the Ministry of Transportation

To tackle the high airfare issue, Uno revealed that he has engaged in discussions with Transportation Minister Budi Karya Sumadi. The objective of these discussions is to increase the number of airlines bymid-2024. By doing so, the government aims to enhance competition and there by reduce ticket prices.

High Airfares in Indonesia
Garuda Indonesia Flight Attendant

Expanding Airline Operations

Since April 2024, new airlines have commenced operations, particularly focusing on eastern Indonesian flight routes. Trans Nusa, for instance, has started servicing routes such as Bali-Manado, Manado-Sorong, and Manado-Ambon. Despite these additions, the overall number of flights has not seen a significant increase.

Read more : Boosting Tourism Access: Government's Flight Subsidy to Lombok in 2024

The Case of Bali: A High Demand Destination

Minister Uno cited Bali as an example to illustrate the current situation. Despite a 10 percent increase in domestic tourists interested in visiting Bali, the number of flights to the island has decreased by around 20 percent. This reduction in flights has led to an increased load factor (occupancy), which in turn has contributed to higher airfares.

High Airfares in Indonesia
Soekarno Hatta Airport

Unwavering Travel Interest

Despite the rise in airfares, there has been no noticeable decline in travel interest among the populace. This persistent demand underscores the need for immediate and effective solutions to the airfare issue.

Read more : Boosting Lombok's Gateway with Enhanced International Connectivity

Recommendations for the Interim Period

During the press briefing, Nia Niscaya, an expert staff member at the Ministry of Tourism and Creative Economy, expressed hope that high airfares would not deter people from traveling, especially during the school holiday period from June to July. She suggested that residents of Jakarta, for instance, could consider visiting closer destinations such as the Seribu Islands to mitigate travel costs.

High Airfares in Indonesia
Lombok Island

Projections for the Future

Minister Uno is optimistic that airfares will start to decline once the number of operational aircraft increases. He forecasted that by the second half of 2024, travelers can expect to see a reduction in airfares as airlines expand their fleets and increase the frequency of flights.

Conclusion

The issue of high airfares in Indonesia is being addressed with urgency by the government. Through strategic measures such as increasing the number of airlines and expanding flight routes, Minister Sandiaga Uno aims to make air travel more affordable and accessible. The continued interest in travel despite rising costs indicates a resilient tourism sector, which the government is keen to support and develop further.

By addressing these challenges head-on, the Ministry of Tourism and Creative Economy hopes to sustain and grow the tourism industry in Indonesia, making travel more economical for both domestic and international tourists.

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