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JAKARTA - Indonesia and Australia have signed an air service agreement governing details of transport capacity, frequency and types of planes operated by each other`s airline companies.
"Much progress has been achieved in implementing the air transport agreement between Indonesia and Australia, with the number of air passengers continuing to increase. Therefore, we deem it necessary to revise the air service agreement," Indonesian Transport Minister EE Mangindaan said in a press statement released on Thursday.
He expressed hope that the Indonesian airline companies would benefit from the rapid growth of the Indonesia-Australia air transport now that demand for flight services in a number of Australian cities was high.
The air service agreement covers appointment, licensing and cancellation of airline companies, transport right, acknowledgement of certificates, application of safety standard, flight security, tariffs, capacity, and opportunity to apply business competition law.
Under the Memorandum of Understanding on air relations signed by Indonesia and Australia on July 15, 2011, both sides have agreed to increase the transport capacity of each other's airline companies for destinations from and to Sydney, Melbourne (including Avalon), Brisbane and Perth.
In addition, the agreement also allows 2,500 additional seats a week for each of the destinations.This way, the airline companies of the two countries can carry up to 27,500 passengers a week for each of the destinations.
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