Riau Governor Asks for Permission to Transit Abroad

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PEKANBARU, KOMPAS— Riau Governor Syamsuar has asked for permission from the coordinating economic minister to allow local government officials to transit in Malaysia or Singapore when conducting business trips to Jakarta and other cities in the country.

By using a transit route, the officials can fly with foreign airlines that offer lower fares than if they fly with local air carriers, the governor said, adding that since the increase in the ticket prices for domestic routes, a one-way ticket from Pekanbaru to Jakarta had reached almost Rp 2 million. The transportation cost for business trips to other cities was even more expensive.

"We have an alternative. From Pekanbaru, using a transit route abroad, the tickets will be cheaper. It can save the Riau provincial government’s budget according to the budget ceiling," Syamsuar said in Pekanbaru on Sunday.

He also said he had sent a letter asking the central government to control airline ticket prices in order to reduce inflation in the province. If the airline ticket prices remain high, the government should allow foreign airlines to serve domestic routes so that the airline business will be more competitive, Syamsuar added.

According to Syamsuar, a similar letter was also sent to the home affairs minister, the transportation minister, state-owned enterprises minister and the administrative and bureaucratic reform minister.

Data from Pekanbaru\'s Sultan Syarif Kasim (SSK) II Airport shows that as of June 10, the number of flights decreased by 31.3 percent to 1,047 flights from 1,524 flights in the same month last year. In the same period, the number of air passengers also dropped to 136,088 people from 212,450 people.

Financial losses

The general manager of SSK II Pekanbaru airport, Jaya Tahoma Sirait, said that the sharp drop in the number of flights to and from Pekanbaru had had a major impact. Until May, the airport suffered losses of about Rp 3 billion per month.

The chairman of the association of the Riau travel agencies (Asita), Dede Firmansyah, also complained about the expensive airline tickets, which he said had led the people to switch to land and sea transportation modes.

Secondly, there is a shift to tourist destinations abroad, especially Malaysia and Singapore, because the cost of traveling abroad is cheaper.

Data from the local chapter of Asita shows the number of air passengers during the Idul Fitri holidays declined 57 percent and return flights fell 21 percent compared to that in the previous year. The fall also occurred in other regions. “Secondly, there is a shift to tourist destinations abroad, especially Malaysia and Singapore, because the cost of traveling abroad is cheaper," he said.

This situation has contributed to the fall in the income of the companies in tourism, such as hoteliers souvenir craftsmen, food souvenir producers as well as tour guides.

According to Dede said, the price of a one-way ticket from Pekanbaru to Malaysia is currently less than Rp 1 million. From Riau to Malaka is only Rp 700,000 for a one-way trip. In contrast, the one-way ticket to Jakarta with Lion Air and Citilink reached Rp 1.3 million. As for the Batik Air and Garuda Indonesia planes, the ticket price reaches almost Rp 2 million.

"Ticket prices for Bali are even more expensive, above Rp 2 million. It is logical if the Riau people prefer visiting Malaysia or Singapore. The increase in airline ticket prices benefits neighboring countries,” he added.

Foreign airlines

Dede said that the dominance of Garuda Indonesia group and Lion Air in the local aviation market had led to unhealthy competition and burdened the people. He proposed that the government allowed foreign airlines that have already established joint ventures in the country to open more domestic routes including Pekanbaru-Jakarta.

"We also asked the government to reduce aviation fuel prices and the cost of the procurement of aircraft components. The price of aviation fuel should be at least the same with that in neighboring countries. The import duty for aircraft components should also be reduced to zero percent. We want ticket prices to return to normal in order to revive the related business sectors," he said. (SAH

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