Ministry's spokesperson, Elba Damhuri, noted in his written statement here on Wednesday that President Prabowo Subianto expects the fare reduction to help people planning to travel to domestic destinations during the holiday.
"The government reached the consensus on reducing domestic flight ticket prices by 10 percent during the Christmas-New Year's holiday period in airports nationwide," Damhuri stated, adding that the decision was taken during a cabinet meeting on Tuesday (November 26).
Damhuri expected the flight ticket discount to help bolster domestic tourism and economic performance in the last quarter of 2024.
The fare adjustment will apply to available tickets for flights on December 19, 2024, until January 3, 2025, he remarked.
"Passengers who had earlier purchased tickets for flights within the period shall receive incentives from airline companies whenever possible," the spokesperson noted.
However, Damhuri said the discount excludes the value-added tax levied for every ticket purchased since taxation is subject to the Finance Ministry.
Meanwhile, the spokesperson remarked that aviation industry stakeholders have announced their planned contribution to help reduce flight ticket prices.
While airline companies have agreed to reduce the jet fuel surcharge levied to passengers, state-owned oil company Pertamina will provide jet fuel discounts in the range of 7.5-10 percent at 19 airports nationwide.
"Any increase in jet fuel price in December 2024 will not affect the airlines serving the public," he assured.
He noted that airport operator Angkasa Pura and other airport operator units under the Transportation Ministry have also agreed to reduce the airport service fees.
However, Damhuri remarked that the decision to apply the airport service fee discount at Jakarta's Soekarno-Hatta and Bali's I Gusti Ngurah Rai airports would be subject to the State-owned Enterprises Ministry's approval.
Moreover, the spokesperson noted that air traffic management company AirNav Indonesia is ready to provide advanced and extended services and serve longer hours to prepare for an anticipated surge in flight frequency during the Christmas and New Year's holiday period.
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Translator: M Harianto, Nabil Ihsan
Editor: Azis Kurmala
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