Low-cost carriers

Low-cost carriers

The initiative by the Indonesian government to close major
airports to foreign low-cost carriers is totally wrong. It's
actually the existence of competition that will ultimately lead
to improvements in terms of the safety, cost, efficiency and
quality of Indonesian airlines, and a better deal for consumers
all round.

With the government's move, the ailing Indonesian airline
industry, characterized by old, high cost aircraft (which are
subject to constant technical delays and ultimately endanger
people's lives), old-fashioned management and in some cases
collusion with the regulators to sweep deficiencies under the
carpet, will be protected and allowed to continue in its current
deplorable state.

If the government wants to help Indonesian airlines to
improve, it should pressure them about the age of their fleets,
enforce maintenance regulations and let only those that have a
sound financial basis continue to operate. So, it's truly amazing
that the House of Representatives has come up with a
protectionist move that will render local carriers complacent
rather than forcing them to "shape up or ship out". Nobody can
afford monopolistic structures in a world of competition.

MELINDA TAN
Jakarta