Govt warns Lion Group

JAKARTA. The Transportation Ministry has warned Lion Group against monopolizing services at Halim Perdanakusuma Airport after its subsidiary, PT Angkasa Transportindo Selaras (ATS), won managing rights over the airport, a former air force base that shares its airstrip and flight slots with commercial planes.

The ministry's airport director, Agus Santoso, said all airport business entities (BUBU) that managed a civilian airport must provide proportional services to all its partners.

"No monopoly, not in slot (shares) either. They must be fair," he said in Jakarta on Saturday, adding that ATS had yet to receive a BUBU certificate from the ministry despite a Supreme Court decision that granted Lion Group rights to manage the airport.

As stipulated in a 2015 ministerial regulation on airport business operations, ATS, which is owned by Rusdi Kirana, a National Awakening Party (PKB) politician who supported President Joko “Jokowi” Widodo during his presidential campaign, must submit an application to obtain a BUBU certificate.

ATS secured the managing rights of the airport after the court rejected a judicial review request submitted by state-owned airport operator Angkasa Pura II (AP II) over a dispute surrounding operations of the airport.

Lion Group president director Edward Sirait said in a press statement that the group did not intend to fully take over management of the airport from AP II. The group will only become an investor in the airport’s development.

"Lion Air Group will cooperate with other airport business entities such as Angkasa Pura II. We have no intention to take over everything," he said, adding that the company has allocated investment to develop the airport.