The government has officially set a new ceiling for fuel surcharges at 38 percent for all commercial aircraft, including both jet and propeller-powered planes. This adjustment comes in response to significant increases in aviation fuel prices, attributed to the ongoing conflict in the Middle East.
Previously, the maximum fuel surcharge was capped at 10 percent for jet aircraft and 25 percent for propeller aircraft. The new policy represents a 28 percent increase in the permissible surcharge for jet operators and a 13 percent increase for propeller operators.
Coordinating Minister for Economic Affairs Airlangga Hartarto confirmed the adjustment on Monday, explaining that a fuel surcharge is an additional fee levied by airlines to manage the volatility of global fuel costs.
The minister noted that several countries are experiencing similar price surges. For instance, aviation fuel prices have reached approximately Rp29,518 (US$1.71) per liter in Thailand and Rp25,326 (US$1.45) per liter in the Philippines. Domestically, aviation fuel at Soekarno-Hatta International Airport is priced at around Rp23,551 (US$1.34) per liter.
This government intervention aims to manage the escalation of airline ticket prices amidst rising fuel expenses. The objective is to contain domestic airfare increases within a range of 9 to 13 percent.
In related comments, Minister of Energy and Mineral Resources Bahlil Lahadalia stated that aviation fuel prices offered by Pertamina remain competitive compared to those in other countries, particularly within Southeast Asia. He clarified that aviation fuel prices are linked to global market rates due to Indonesia’s role as a refueling hub for international flights.
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