The Indonesian government has approved a 38% increase in fuel surcharges for domestic airlines to help carriers cope with rising global oil prices while keeping air travel affordable for passengers.

Transportation Minister Dudy Purwagandhi said the increase came after discussions with airline operators, aiming to balance higher operational costs with passengers’ purchasing power. “The decision was coordinated with stakeholders, particularly airlines, to ensure it is fair,” he stated.

The move follows sharp increases in aviation fuel costs worldwide, fueled by geopolitical tensions. Energy and Mineral Resources Minister Bahlil Lahadalia noted that Indonesia’s jet fuel remains competitively priced in the region despite recent hikes. He explained that fuel prices are aligned with global market trends and adjusted by state-owned Pertamina.

Industry data show domestic aviation fuel prices jumped to Rp 23,551 per liter in April from Rp 13,657 per liter in March, marking a 72% rise. Compared to 2019 levels, prices have nearly quadrupled. International airlines operating in Indonesia have also faced an 80% surge in fuel costs, reaching $1.34 per liter.

Authorities say the surcharge increase will allow airlines to absorb part of the fuel price rise without passing the full cost onto passengers, supporting the continued recovery of the aviation sector.