Government Efforts to Reduce Plane Ticket Prices by Up to 10%

Government Efforts to Reduce Plane Ticket Prices by Up to 10%

Jakarta

Coordinating Minister for Infrastructure and Regional Development Agus Harimurti Yudhyono (AHY) said the government had made efforts to reduce plane ticket prices. Airline ticket prices could drop by up to 10% in the near future.

AHY said the government’s efforts were to reduce the cost of Passenger Service Charge (PSC) and also cut the amount of aviation fuel surcharge compensation.

“All elements include reducing costs or services at airports, yes, airports including aviation fuel and of course fuel surcharges, so the ticket price can be reduced by approximately 10% from the usual price nationally or domestically,” explained AHY at the Presidential Palace Complex, Central Jakarta , Tuesday (26/11/2024).

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Meanwhile, Minister of Transportation Dudy Purwaghandi claims that his party has guaranteed a reduction in PSC fees at 19 airports in Indonesia.

Dudy said the 19 airports included several large airports such as Soekarno Hatta Airport and also Denpasar’s Ngurah Rai Airport.

“Meanwhile, we have just determined the 19 airports. Yes, all of them are related to costs incurred at airports,” said Dudy at the same place.

“Yes, that is included. So the 19 airports include large airports, Soekarno-Hatta airport, then Denpasar. There are 19 airports,” he continued firmly.

Meanwhile, according to detikcom notes, the Ministry of Transportation has just released the Decree of the Director General of Civil Aviation number KP 250 DJPU of 2024 concerning the imposition of a 50% non-tax state revenue tariff on airport services at airport management units within the Directorate General of Civil Aviation during the Christmas period. 2024 and New Year 2025 which were signed on November 22 2024.

Types of airport services that are subject to a Non-Tax State Revenue rate of 50% are in the form of rates for Aircraft Passenger Services (PJP2U), Aircraft Landing Services, Aircraft Placement Services, and Aircraft Storage Services.

The 50% special tariff applies to flights from 19 December 2024 to 3 January 2025 and during the flight ticket booking period starting from 25 November 2024.

However, what needs to be underlined is that the special PSC rate, also known as airport tax, only applies to airports under the operation of the Ministry of Transportation. For large state-owned airports, there are no written regulations regarding reducing airport taxes.

Meanwhile, it is reported that the fuel surcharge will be reduced to 2% from the initial 10% of the upper limit rate for passenger jets. Meanwhile, for propeller aircraft themselves, the amount has been reduced to 20% from the initial 25%.

The fuel surcharge itself is an additional component of airline ticket rates which is provided as compensation for the increase in aviation fuel prices since the war between Russia and Ukraine raged in 2022.

(shc/hns)

(Deep breath) Alright, folks, let’s talk about the thrilling world of airline ticket prices. I mean, who doesn’t love getting gouged by the airlines, am I right? (Jimmy Carr-esque sarcasm)

So, it seems the Indonesian government is trying to make flying a bit more affordable for the masses. Bless ’em. The Coordinating Minister for Infrastructure and Regional Development, Agus Harimurti Yudhyono (try saying that three times fast, Rowan Atkinson-style), claims that plane ticket prices could drop by up to 10% in the near future. Oh, joy!

But, let’s not get too excited just yet. This reduction is only due to the government cutting the Passenger Service Charge (PSC) and aviation fuel surcharge compensation. You know, the usual suspects. It’s not like they’re actually doing anything revolutionary, like, say, making the airlines reduce their profits. (Ricky Gervais-style eye-roll)

And, of course, there’s always some fine print to ruin the party. The 50% special tariff on airport services only applies to flights from December 19 to January 3, and only to airports under the operation of the Ministry of Transportation. Ah, because who needs holiday travel to be affordable, anyway? (Lee Evans-style exasperation)

Now, I know what you’re thinking: "But what about the fuel surcharge?" Ah, yes! The government has kindly reduced it to 2% from the initial 10% for passenger jets. Because, you know, 2% is a whopping big deal. I mean, who needs to save money on flights when you can still get soaked on everything else? (Sarcasm alert!)

And let’s not forget the pièce de résistance: the special PSC rate, or airport tax, only applies to airports under the operation of the Ministry of Transportation. Because, naturally, large state-owned airports are exempt. Because, priorities. (Shaking head)

So, there you have it, folks. The Indonesian government’s attempt to make flying more affordable. Slow applause It’s not exactly a game-changer, but hey, we’ll take what we can get, right? Now, if you’ll excuse me, I need to check the price of flights to Jakarta… (Wink)

Disclaimer: Prices may vary, travel dates may be restricted, and the whole thing might be a load of old codswallop. (Wink)

Here is the rewritten article:

Jakarta

Coordinating Minister for Infrastructure and Regional Development Agus Harimurti Yudhyono (AHY) announced that the government has implemented measures to reduce plane ticket prices, which could lead to a decrease of up to 10% in the near future. This reduction is expected to be achieved through a combination of cost-cutting measures, including the reduction of Passenger Service Charge (PSC) and aviation fuel surcharge compensation.

AHY explained that the government’s efforts aim to reduce costs and services at airports, including aviation fuel and fuel surcharges, which will ultimately lead to a reduction in ticket prices by approximately 10% from the usual national or domestic prices. This move is expected to benefit millions of air travelers in Indonesia.

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Minister of Transportation Dudy Purwaghandi revealed that his ministry has ensured a reduction in PSC fees at 19 airports in Indonesia, including major airports such as Soekarno Hatta Airport and Denpasar’s Ngurah Rai Airport. This move is expected to provide significant relief to air travelers during the upcoming Christmas and New Year periods.

The 19 airports subject to the PSC reduction were determined by the Ministry of Transportation, taking into account the costs incurred at these airports. This decision is part of the government’s efforts to make air travel more affordable for the public.

According to detikcom notes, the Ministry of Transportation has issued Decree of the Director General of Civil Aviation number KP 250 DJPU of 2024, which imposes a 50% non-tax state revenue tariff on airport services at airport management units within the Directorate General of Civil Aviation during the Christmas and New Year periods of 2024 and 2025. The decree was signed on November 22, 2024.

The 50% special tariff applies to flights from December 19, 2024, to January 3, 2025, and during the flight ticket booking period starting from November 25, 2024. The types of airport services subject to the Non-Tax State Revenue rate of 50% include rates for Aircraft Passenger Services (PJP2U), Aircraft Landing Services, Aircraft Placement Services, and Aircraft Storage Services.

Notably, the special PSC rate, also known as airport tax, only applies to airports under the operation of the Ministry of Transportation. However, large state-owned airports are not subject to written regulations regarding reducing airport taxes.

Furthermore, the fuel surcharge is expected to be reduced to 2% from the initial 10% of the upper limit rate for passenger jets, while for propeller aircraft, the amount has been reduced to 20% from the initial 25%. The fuel surcharge is an additional component of airline ticket rates, which is provided as compensation for the increase in aviation fuel prices since the war between Russia and Ukraine began in 2022.

(shc/hns)

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