Jakarta. Indonesia has approved a 38% increase in fuel surcharges for domestic airlines, as the government moves to cushion the impact of surging global oil prices while maintaining affordability for consumers.

Transportation Minister Dudy Purwagandhi said on Monday the adjustment followed consultations with airlines, aiming to strike a balance between rising operational costs and passenger purchasing power.

“We have set the fuel surcharge increase at 38%. This decision was not taken unilaterally, but through coordination and input, particularly from the airlines,” Dudy said at a press conference in Jakarta.

The policy comes as global energy prices climb amid geopolitical tensions, prompting higher aviation fuel costs worldwide.

Separately, Energy and Mineral Resources Minister Bahlil Lahadalia said Indonesia’s aviation fuel prices remain competitive compared with neighboring countries, despite recent increases.

“Aviation fuel prices follow global market mechanisms. There has been an increase from Pertamina, but compared with other countries, especially in the region, we remain more competitive,” Bahlil said.

He added that jet fuel pricing is determined by international market dynamics rather than set unilaterally by the government, with state energy firm Pertamina adjusting prices accordingly to reflect global trends.

Industry data underscore the magnitude of recent cost pressures. According to the Indonesian National Air Carriers Association (INACA), domestic aviation fuel prices surged sharply as of April 1, 2026.

At Soekarno-Hatta International Airport, jet fuel prices rose to Rp 23,551.08 per liter in April from Rp 13,656.51 per liter in March — an increase of 72.45%. Compared with the 2019 average, prices have climbed by 295%.

Meanwhile, aviation fuel prices for international airlines increased by 80.32% to $1.34 per liter.

The surcharge adjustment is expected to help airlines absorb part of the cost increase while avoiding a sharper rise in ticket prices, as authorities seek to preserve the sector’s recovery momentum.

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