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Ministry of Transportation Proposes Multi-Provider Management for Aviation Fuel

EnergyTransportation and Logistic Service
  • The Minister of Transportation, Budi Karya Sumadi, has proposed that aviation fuel should be managed in a multi-provider manner and should be prohibited from being monopolized so as to ensure more competitive flight ticket prices. The management of aviation fuel by multi-providers is one of four proposals that has been submitted by the Minister. Another proposal addresses the removal of value-added tax, which has proved difficult to implement.
  • The Minister has also proposed that other relevant fees should be studied. Finally, in a related development, Indonesia’s Minister of Tourism and Creative Economy, Sandiaga Salahuddin Uno, has mandated the establishment of a Task Force by the government in an effort to decrease the prices of flight tickets as a part of measures aimed at creating more competitively priced air travel throughout Indonesia. In this regard, in addition to aviation fuel, various other factors are causing a spike in the price of flights, including tax aspects and operational costs. (ANT)
......

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  • The Minister of Transportation, Budi Karya Sumadi, has proposed that aviation fuel should be managed in a multi-provider manner and should be prohibited from being monopolized so as to ensure more competitive flight ticket prices. The management of aviation fuel by multi-providers is one of four proposals that has been submitted by the Minister. Another proposal addresses the removal of value-added tax, which has proved difficult to implement.
  • The Minister has also proposed that other relevant fees should be studied. Finally, in a related development, Indonesia’s Minister of Tourism and Creative Economy, Sandiaga Salahuddin Uno, has mandated the establishment of a Task Force by the government in an effort to decrease the prices of flight tickets as a part of measures aimed at creating more competitively priced air travel throughout Indonesia. In this regard, in addition to aviation fuel, various other factors are causing a spike in the price of flights, including tax aspects and operational costs. (ANT)
......

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