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The Truth About Aviation Fuel and Expensive Plane Tickets in Indonesia

Jakarta

Avtur was accused of being the cause of high plane ticket prices in Indonesia, even though fuel is still much cheaper than in other countries. Then, there are a number of other reasons why fuel is not the main cause of expensive plane tickets.

Director of the Center for Public Policy Studies (PUSKEPI) Sofyano Zakaria said that accusations that aviation fuel was the cause of expensive tickets were incorrect. The reason is, compared to other countries, the price of aviation fuel in Indonesia is still much cheaper.

“The price of aviation fuel in Indonesia is still cheaper compared to Singapore, for example, so if you say that the price of aviation fuel makes flight ticket prices expensive, that is wrong,” said Sofyano in his statement, Thursday (8/2/2024).

According to Sofyano, aviation fuel prices also do not contribute much to the components of airline ticket prices. In addition, Indonesia’s vast territory means aviation fuel prices vary at each airport.

“Our airports are spread throughout Indonesia, the prices of our aviation fuel vary according to regional conditions, it is impossible for the price of aviation fuel in Jakarta to be the same as in Papua,” he said.

The price of aviation fuel also refers to world oil prices, which is why the price of this fuel will change according to fluctuations in world oil prices. Sofyano then continued, Indonesia’s diverse geographic conditions make the distribution of aviation fuel in Indonesia very complicated, this results in high logistics costs.

However, the business entity currently tasked with distributing avtur, namely Pertamina, is still trying to keep the price of avtur at airports in remote areas standard.

“Considering the size of our region with such transportation problems, the price of avtur that we have is still standard, whether it’s very expensive or not, it’s very cheap or not. Many other countries whose conditions are almost the same as ours have higher prices than ours,” he explained. .

Sofyano also touched on the view that the aviation fuel business is monopolized so the price is high. According to him, there are no business entities interested in supplying aviation fuel at airports in remote areas.

“This is related, Pertamina will be reported to the KPPU, saying it has monopolistic prices. It is accused of being a monopoly which causes the price of avtur to be high. Now there are private companies who want to sell avtur in Papua, indeed there are those who want to sell it in Kalimantan or other remote areas,” he said.

(kilo/kilo)

2024-02-08 15:00:22
#Avtur #plane #tickets #expensive

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