The Jakarta Post
The Tourism Ministry is working hard to achieve its target of 20 million tourist arrivals by 2020, including by proposing the establishment of low-cost carrier (LCC) terminals in airports across the country.
Tourism Minister Arief Yahya said in Jakarta on Sunday that he had received approval from President Joko “Jokowi” Widodo to turn Soekarno-Hatta International Airport’s Terminal 2 into a low-cost carrier terminal (LCCT).
He said he had met with state-owned airport operator PT Angkasa Pura II (AP II) president director Muhammad Awaluddin to discuss the issue.
“We agree that Terminal 2 is the best terminal [available] to be converted into an LCCT,” he said as reported by kontan.co.id.
Previously, Awaluddin also said that an airport in Banyuwangi, East Java, would also focus on serving low-cost carriers.
The arrival of foreign tourists to Indonesian airports grows 13 percent annually on average, said Arief, adding that the number of visitors who arrived with full-service carriers (FSC) grew 7 percent, while those using low-cost carriers grew about 55 percent annually.
“The establishment of an LCC terminal is important because the LCC passenger growth is above 20 percent – in line with the government’s tourism target of 21 percent annually. Meanwhile, the passengers of flag carrier Garuda Indonesia’s FSC only grew less than 5 percent,” he said.
With the availability of LCC terminals, low-cost carriers can cut operational costs by up to 50 percent, while traffic is estimated to double, he said, adding that about 45 LCCs could potentially open flights if Indonesia had terminals for them. (bbn)