PT Angkasa Pura raised tariff 4% best

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PT Gapura Angkasa claims to be able to control its operational costs by simply raising the average service tariff by 4% at the beginning of the year despite pressure from tightening airline spending.

JAKARTA (infolog): CEO and President Director of Gapura Angkasa Sucipto admitted to getting pressure from internal and external. Internal is in the form of minimum wages of employees who continue to rise each year, while external from the fluctuations in the rupiah exchange rate, the price of industrial diesel, and the tightening of spending by airlines.

“This semester we are still able to control the operational costs,” said Sucipto, Monday (16/7/2018) as quoted by as saying.

The increase in service rates at the beginning of last year averaged only 3%.

He added that all airlines, both local and foreign, claimed higher operational costs, hoping that ground handling rates will not be raised.

However, at the beginning of the year the ground handling rates of airlines were raised.

Sucipto said the majority share of the revenue or about 70% of the company still comes from ground handling business.

The rest, is divided into logistics which includes cargo and warehousing, as well as services for passengers (hospitality).

Revenue from ground handling, he continued, as much as 60% still comes from Garuda Indonesia despite also serving foreign and domestic airlines.

Other domestic carriers are Citilink Indonesia, Batik Air, and Lion Air, while foreign airlines comprise Korean Air, Japan Airline, Air China, China Southern, Hong Kong Airlines, KLM Royal Dutch Airlines, Qatar Airways, Thai Airways and Royal Brunei Airlines .

According to him, the volume of revenue generated by local airlines more than foreign airlines. The reason, local airlines in a day can fly up to 100 times, while foreigners only two to three times per day.

Sucipto mentioned this year there is a request for additional services from KLM which originally only chose ground handling at Airport I Gusti Ngurah Rai Denpasar, plus at Soekarno-Hatta Airport Cengkareng.

In fact, KLM also requested Gapura, which has been certified by the European Union, to serve cargo flying directly to the Blue Continent. (ac)

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