Indonesian airlines reduced air fares for some local routes by as much as 60% starting last week in response to a backlash over a surge in ticket prices during the peak holiday season.
PT Garuda Indonesia, Lion Air and PT AirAsia Indonesia are among the carriers which cut prices from Jan 11, the Indonesian National Air Carrier Association said in a statement yesterday.
Ticket prices on the Jakarta-Denpasar, Jakarta-Yogyakarta and Jakarta-Surabaya routes were slashed between 20% and 60%, I Gusti Ngurah Askhara Danadiputra, chairman of the association, told reporters in Jakarta.
The airlines are planning to drop fares for more routes following a commitment by state-owned airport operators, air navigation agency and PT Pertamina, which supplies jet fuel, to lower logistics and navigation costs, the association said.
The price cuts may make air travel affordable to more Indonesians and contribute to the nation’s economic and infrastructure growth, it said.
The association, which also comprises cargo carriers and chartered operators, won’t compromise on flight and passenger safety with the reduction in fares, Danadiputra, who is also the president-director of Garuda, said.
Meanwhile, Emirates plans to reduce its number of flights by 25% during the closure of Dubai International Airport’s southern runway for 45 days.
The closure, scheduled between April 16 and May 30 for maintenance, will result in up to 48 Emirates aircraft not being utilised, the world’s largest long-haul carrier said in a statement.
The northern runway, one of the two at the airport, was closed for 80 days in 2014 as it underwent refurbishment.
The closure cost Emirates Group an estimated US$467mil impact on revenue, according to its financial statement.