Indonesia carriers protest high jet fuel prices
Indonesia’s airline industry has joined forces to protest a jet fuel supply monopoly which they claim costs about 20% more than in other countries.
Most aviation fuel supply comes from state owned Pertamina which has the contract to supply airports.
Carriers such as Garuda-owned Citilink and Indonesia AirAsia have received backing from transport minister Ignatius Jonan and have requested an urgent review of the situation by the government.
The Indonesian National Air Carriers Association (INACA) recently held talks with government ministers to press their case.
"Indonesian airlines have no other choices but to ‘squeeze’ Pertamina, which holds the monopoly on jet fuel distribution. That is not healthy," Indonesia Air Asia board commissioner Dharmadi said.
Citilink Indonesia commercial director Hans Nugroho said any reduction would ‘be helpful’ as jet fuel typically accounts for about 50% of operating costs.
"If the industry had a choice of price, that would mean ticket prices could also go down, and we could offer improved services," Nugroho said.
Pertamina said it subsidises fuel deliveries at smaller regional airports which is funded by higher fuel prices at the major hubs.
This was dismissed as not part of the role of a state-run fuel supplier by minister Jonan.
"Pertamina is not required to supply aviation fuel at small airports and if they no longer provide fuel at smaller, government-operated airports, the private sector can supply them," he said.
TravelMole Editorial Team
Editor for TravelMole North America and Asia pacific regions. Ray is a highly experienced (15+ years) skilled journalist and editor predominantly in travel, hospitality and lifestyle working with a huge number of major market-leading brands. He has also cover in-depth news, interviews and features in general business, finance, tech and geopolitical issues for a select few major news outlets and publishers.
Vegas’s Billion-Dollar Secrets – What They Don’t Want Tourists to Know
Visit Florida’s New CEO Bryan Griffin Shares His Vision for State Tourism with Graham
Chicago’s Tourism Renaissance: Graham Interviews Kristin Reynolds of Choose Chicago
Graham Talks with Cassandra McCauley of MMGY NextFactor About the Latest Industry Research
Destination International’s Andreas Weissenborn: Research, Advocacy, and Destination Impact
Graham and Don Welsh Discuss the Success of Destinations International’s Annual Conference
Graham and CEO Andre Kiwitz on Ventura Travel’s UK Move and Recruitment for the Role
Brett Laiken and Graham Discuss Florida’s Tourism Momentum and Global Appeal
Graham and Elliot Ferguson on Positioning DC as a Cultural and Inclusive Global Destination
Graham Talks to Fraser Last About His England-to-Ireland Trek for Mental Health Awareness
Kathy Nelson Tells Graham About the Honour of Hosting the World Cup and Kansas City’s Future
Graham McKenzie on Sir Richie Richardson’s Dual Passion for Golf and His Homeland, Antigua
ADS PRO 
Airbnb eyes a loyalty program but details remain under wraps
Airlines suspend Madagascar services following unrest and army revolt
Qatar Airways offers flexible payment options for European travellers
Air Mauritius reduces frequencies to Europe and Asia for the holiday season
Major rail disruptions around and in Berlin until early 2026