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Nine Indonesian carriers fined for fuel surcharge price fixing

6-May-2010 10:43 AM

Indonesia's Business Competition Supervisory Agency (KPPU) fined nine local carriers USD64.6 million for fuel surcharges price fixing (Xinhua News Agency/Jakarta Post/ANTARA News, 05-May-2010). KPPU stated the price fixing had resulted in additional costs of up to USD1.5 billion. for customers. Carriers include Garuda Indonesia, Kartika Airlines, Lion Mentari Airlines, Mandala Airlines, Merpati Nusantara Airlines, Metro Batavia, Sriwijaya Air, Travel Express Aviation Service and Wings Abadi Airlines. Riau Airlines, Linus Airways, Trigana Air Service and Indonesia AirAsia were found not guilty of taking part in the action. Garuda Indonesia denied engaging in the price fixing and is considering an appeal. Garuda was ordered to pay the largest fine.