9-Apr-2010 10:58 AM

Indonesia’s Department of Transportation urged to prepare carriers for Asean open skies

Indonesia’s Department of Transportation (DoT) has reportedly been requested to launch an acceleration programme to prepare Indonesian carriers for the launch of the ASEAN open skies agreement in 2015 (Bisnis Indonesia, 08-Apr-2010). Former Indonesian representative to ICAO, Fachri Mahmud, stated the acceleration programme may involve capital injections to allow carriers to expand their fleets ahead of the agreement. Mr Mahmud added the Department will need to facilitate cross-border investment for the appointed Indonesian carriers to allow them to acquire additional funding. He also called on the Department to appoint national carriers to represent the country in the open skies market. Batavia Air, Garuda Indonesia, Mandala Airlines and Lion Air have all been identified as being ready to compete in the liberalised market.

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