KPPU Asks 7 Reported Airlines To Make Reports On Each New Policy

Illustration (Photo: Doc. ANTARA)

JAKARTA - Member of the Gopprera Panggabean Business Competition Supervisory Commission (KPPU) asked the seven airlines to be reported and have been found guilty before in carrying out ticket price cartels, in order to make a written report if they make a new policy.

"Especially for carrying out the KPPU's decision which requires the Reported Party to notify KPPU of every policy that will affect the map of business competition, ticket prices paid by consumers and the public, before the policy is taken," Gopprera said as quoted by ANTARA, Friday, April 5.

Gopprera said that the KPPU had summoned seven airlines to ensure their compliance with the implementation of KPPU Decision Number 15/KPPU-I/2019, as well as to explore information about the causes of the current increase in ticket prices.

KPPU said the seven airlines summoned were PT Garuda Indonesia, Tbk, PT Citilink Indonesia, PT Lion Air, PT Batik Air Indonesia, PT Wings Air Abadi, PT Sriwijaya Air, and PT NAM Air.

The summoning process was carried out by KPPU on the seven airlines from March 26 to April 2, 2024. However, of the seven airlines, only six fulfilled the KPPU's summons.

One of them, namely PT Batik Air Indonesia, did not attend the summons and did not submit the documents requested by KPPU until his party issued a release on Friday, April 5, 2024.

"Currently, the KPPU is processing data obtained from various airlines and the Ministry of Transportation," said Gopprera.

Goppprera emphasized that airlines must comply with Decisions that have permanent legal force.

They must show cooperative attitude to inform in writing any policies that will affect the map of business competition, as well as the information and documents requested so that they can be assessed whether they carry out the Decision or not. "The obligation is valid for two years from September 18, 2023," said Gopprera.

The KPPU also invited the Directorate General of Civil Aviation of the Ministry of Transportation to complete the information needed.

In the meeting with a number of these airlines, KPPU clarified the implementation of the implementation of the decision, the trend of increasing ticket prices, and selling sub-class tickets at a maximum price seven days before and after Eid.

PT Garuda Indonesia, Tbk, PT Citilink Indonesia, PT Sriwijaya Air, and PT NAM Air were present and submitted the documents requested by KPPU.

Meanwhile, PT Lion Air and PT Wings Air Abadi were present to fulfill the summons, but have not submitted the documents requested by KPPU until this release was issued.

"In response to the various responses of the airlines that were reported, KPPU asked them to cooperate in implementing the Decision," said Gopprera.

After the airline calls, KPPU will also summon travel agents to obtain information regarding the policies made by the seven airlines.

Especially those that affect business competition maps, such as ticket prices paid by consumers and the public, and those that are not notified in writing to KPPU such as sub-class ticket prices sold, frequency of flights and so on.

After receiving all documents from airlines and other related parties, KPPU will conduct an analysis to see the behavior of airlines in complying with the KPPU a quo Decision, as well as determine whether there are indications that lead to allegations of unfair business competition between airlines.

"If there are indications, KPPU can follow up by conducting an initial investigation of the initiative case on the alleged violation," concluded Gopprera.