Minggu, 04 Oktober 2009

Regulation of Minister of Communication No. 25 of 2008 concerning Undertaking of Air Transport

The Indonesian government has recently issued Regulation of the Minister of Communication No. 25 Year 2008 on the Undertaking of Air Transport (Ministerial Regulation 25) which is intended to replace the revoked Decree of Minister of Communication No. KM 81 of 2004 concerning the Undertaking of Air Transport.

this Ministerial Regulation 25, we note of several new provisions, among other things:
(i) bank guarantee
which is required in the establishment of an airline company;
(ii) the minimum aircraft
s that must be owned and/or controlled by the airline company;
(iii) provisions
concerning pioneer flight that may only be undertaken by scheduled airline;
(iv) compensation
to passengers for flight delays, and
(v) provisions concerning foreign airlines
to engage in aviation business in Indonesia.

the implementation of some provisions under the Ministerial Regulation 25 remains unclear, the issuance of this Ministerial Regulation is, however, expected to promote improvement in airline business in Indonesia.

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