Several Improvements to Aviation Sector Regulations

Deputy for Connectivity Coordination of the Coordinating Ministry for Infrastructure and Regional Development Odo Manuhutu encouraged steps to improve a number of regulations in the air transportation sector. According to Odo, Indonesia needs to emulate the policies of a number of neighboring countries such as Singapore, Malaysia, Thailand or Japan which have a more competitive aviation business climate.

"We have to see what the rules are, at least we have to have the same policy (as neighboring countries). Because sometimes in Indonesia it can be wrong," said Odo.

The steps to identify the rules that are currently being carried out, according to Odo, include expanding the exemption from import taxes on aircraft spare parts. In addition, the government is reviewing the equalization of avtur prices throughout Indonesia. Both problems were identified as the cause of Indonesia's less competitive aviation business climate.

"So that's what we plan, and how we check the regulations that need to be deregulated or completed, so as not to cause unnecessary pressure," he added.