INDONESIA has cracked down on the sale of cheap tickets for domestic flights to ensure that airlines do not cut corners on safety, the transport ministry said yesterday.
The decision to tighten the rules on the fares came into effect on December 30, two days after AirAsia flight QZ8501 crashed into the Java Sea en route from Indonesia to Singapore. There were no survivors among the 162 people on board.
The price floor for economy class domestic flights has been raised, according to ministry documents seen by Reuters, with airlines prevented from selling tickets at less than 40% of a ceiling price set by the ministry.
The previous floor was 30%, though the ministry could grant certain exemptions.
The ministry hopes to boost airlines’ profit margins, allowing them to spend more on safety. – Reuters