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Charter airline Pelita Air may take over Garuda
The government is planning to replace flag carrier Garuda Indonesia with charter airline PT Pelita Air Service (PAS), which operates Pelita Air.
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Workers arrange food and medicine supplies in a Pelita Air Service aircraft at Pertamina-owned Pondok Cabe Airport in South Tangerang, Banten, on Tuesday. State oil and gas company Pertamina is the parent company of Pelita Air, which is helping deliver free supplies to victims in Palu, Central Sulawesi. (Antara/Muhammad Iqbal)
T
he government is preparing a plan for state-owned charter airline PT Pelita Air Service to take over Garuda Indonesia’s domestic routes as courts pass decisions, both favorable and unfavorable, over the financially-ailing national air carrier.
The plan entails turning Pelita Air into a full-service airline in helping meet domestic flight demand once the government lifts travel restrictions, according to State-Owned Enterprises (SOE) Deputy Minister Kartiko Wirjoatmodjo as reported by bisnis.com.
The government devised the plan in the event Garuda fails to renegotiate leases and restructure its Rp 70 trillion (US$4.94 billion) debt.
“It looks like the government wants to maintain a direct involvement in an airline,” aviation consultant Gerry Soedjatman told The Jakarta Post on Friday.
“Even if Garuda survives, it appears that Pelita will be the main airline in the government’s ownership.”
Gerry said Pelita Air had five years' experience in operating scheduled flights between 2002 and 2007, but the company chose to focus on its core business of charter flights.
He added that because the COVID-19 pandemic had forced many airlines across the world to sell their aircraft, it would be relatively easy for Pelita Air to expand its fleet. Pelita has 23 aircraft as of 2019, according to its latest annual report.
