Legal Study of Competition on Violations of Price Determination in Commerce Air Transport Services Scheduled Domestic Economy Class Passengers

Oct 13, 2025 by windailys.com 46 views

Legal Study of Competition on Violations of Price Determination in Commerce Air Transport Services Scheduled Domestic Economy Class Passengers

Explores the Determination of Prices in the Aviation Industry: Legal Review of Competition on KPPU Decision No. 15/KPPU-I/2019

In the realm of business competition law, prices agreement is a strictly prohibited practice that can have detrimental effects on consumers and hinder healthy competition in the market. This practice can occur between airlines to set ticket prices together, eliminating the option for consumers to get a ticket at a cheaper price and reducing airline choices. The aviation industry, in particular, is a sector where pricing agreements can have significant consequences.

Understanding the Context of KPPU Decision No. 15/KPPU-I/2019

This study discusses violations of pricing in the scheduled commercial air transportation services in the domestic economy class, specifically related to KPPU's decision No. 15/KPPU-I/2019. This decision is significant because it marks the KPPU's efforts to enforce the law of business competition in the aviation sector. The KPPU's decision is based on Article 5 of Law Number 5 of 1999 concerning Prohibition of Monopoly Practices and Unfair Business Competition and KPPU Regulation No. 4 of 2011.

Analysis of KPPU Decision No. 15/KPPU-I/2019

Decision No. 15/KPPU-I/2019 considers that there has been a violation of a price determination agreement in the aviation industry. This decision is based on indirect evidence, as stipulated in KPPU Regulation No. 1 of 2019. Economic evidence and evidence of communication collected are the basis for determining the decision. The use of indirect evidence is a strategic step in facing the challenges of evidence that is often difficult to obtain.

Challenges and Economic Considerations in the Aviation Industry

The aviation industry in Indonesia faces various challenges, including intense competition and fluctuations in fuel prices. This condition, coupled with the impact of Pandemi Covid-19, can trigger the behavior of business actors who tend to make a pricing agreement in order to maintain their financial stability. The decision of the Commission Council in this case considers economic factors in the aviation industry, showing that law enforcement business competition needs to be done proportionally by considering the context of industry and economic conditions.

The Importance of Law Enforcement in Business Competition

Decision No. 15/KPPU-I/2019 is proof that KPPU is active in overseeing and enforcing business competition law in the aviation sector. The application of indirect evidence as a basis for proving violations is a strategic step in facing the challenges of evidence that is often difficult to obtain. It is essential to continue to increase education and socialization regarding business competition law in the aviation sector. Increasing transparency and access to information about ticket prices is also an important step in protecting consumers and encouraging healthy competition in the aviation industry.

The Role of KPPU in Enforcing Business Competition Law

The KPPU plays a crucial role in enforcing business competition law in the aviation sector. The KPPU's decision to consider economic factors in the aviation industry demonstrates its commitment to proportionally enforcing business competition law. The use of indirect evidence as a basis for proving violations is a strategic step in facing the challenges of evidence that is often difficult to obtain.

Recommendations for Encouraging Healthy Competition

To encourage healthy competition in the aviation industry, it is essential to increase education and socialization regarding business competition law. Increasing transparency and access to information about ticket prices is also an important step in protecting consumers and encouraging healthy competition. The KPPU's decision to consider economic factors in the aviation industry demonstrates its commitment to proportionally enforcing business competition law.

Conclusion

This study emphasizes the importance of law enforcement in business competition in the aviation sector to protect consumers and maintain healthy competition. KPPU Decision No. 15/KPPU-I/2019 is an important reference in understanding the regulations and practices of pricing in the aviation industry in Indonesia. The study highlights the challenges and economic considerations in the aviation industry and the importance of law enforcement in business competition.

Recommendations for Future Research

Future research should focus on the impact of KPPU Decision No. 15/KPPU-I/2019 on the aviation industry. The study should also explore the challenges and economic considerations in the aviation industry and the importance of law enforcement in business competition. Additionally, the study should examine the role of the KPPU in enforcing business competition law in the aviation sector.

Closing

This study provides an in-depth analysis of KPPU Decision No. 15/KPPU-I/2019 and its implications for the aviation industry. The study highlights the importance of law enforcement in business competition and the role of the KPPU in enforcing business competition law in the aviation sector. The study provides recommendations for encouraging healthy competition in the aviation industry and highlights the challenges and economic considerations in the aviation industry.

References

Law Number 5 of 1999 concerning Prohibition of Monopoly Practices and Unfair Business Competition
KPPU Regulation No. 4 of 2011
KPPU Regulation No. 1 of 2019
KPPU Decision No. 15/KPPU-I/2019

Appendix

List of abbreviations
List of tables and figures
List of references

Index

Index of keywords
Index of authors
Index of subjects
Frequently Asked Questions (FAQs) on Legal Study of Competition on Violations of Price Determination in Commerce Air Transport Services Scheduled Domestic Economy Class Passengers

Q: What is the main focus of this study? A: The main focus of this study is to explore the determination of prices in the aviation industry, specifically in relation to KPPU Decision No. 15/KPPU-I/2019, which deals with violations of price determination agreements in the scheduled commercial air transportation services in the domestic economy class.

Q: What is the significance of KPPU Decision No. 15/KPPU-I/2019? A: KPPU Decision No. 15/KPPU-I/2019 is significant because it marks the KPPU's efforts to enforce the law of business competition in the aviation sector. The decision is based on Article 5 of Law Number 5 of 1999 concerning Prohibition of Monopoly Practices and Unfair Business Competition and KPPU Regulation No. 4 of 2011.

Q: What are the challenges and economic considerations in the aviation industry? A: The aviation industry in Indonesia faces various challenges, including intense competition and fluctuations in fuel prices. This condition, coupled with the impact of Pandemi Covid-19, can trigger the behavior of business actors who tend to make a pricing agreement in order to maintain their financial stability.

Q: What is the role of the KPPU in enforcing business competition law in the aviation sector? A: The KPPU plays a crucial role in enforcing business competition law in the aviation sector. The KPPU's decision to consider economic factors in the aviation industry demonstrates its commitment to proportionally enforcing business competition law.

Q: What are the recommendations for encouraging healthy competition in the aviation industry? A: To encourage healthy competition in the aviation industry, it is essential to increase education and socialization regarding business competition law. Increasing transparency and access to information about ticket prices is also an important step in protecting consumers and encouraging healthy competition.

Q: What are the implications of KPPU Decision No. 15/KPPU-I/2019 for the aviation industry? A: The implications of KPPU Decision No. 15/KPPU-I/2019 for the aviation industry are significant. The decision demonstrates the KPPU's commitment to enforcing business competition law in the aviation sector and highlights the importance of law enforcement in business competition.

Q: What are the future research directions for this study? A: Future research should focus on the impact of KPPU Decision No. 15/KPPU-I/2019 on the aviation industry. The study should also explore the challenges and economic considerations in the aviation industry and the importance of law enforcement in business competition.

Q: What are the limitations of this study? A: The limitations of this study are that it is based on a single case study and may not be generalizable to other industries or contexts.

Q: What are the contributions of this study? A: The contributions of this study are that it provides an in-depth analysis of KPPU Decision No. 15/KPPU-I/2019 and its implications for the aviation industry. The study highlights the importance of law enforcement in business competition and the role of the KPPU in enforcing business competition law in the aviation sector.

Q: What are the practical implications of this study? A: The practical implications of this study are that it highlights the importance of law enforcement in business competition and the role of the KPPU in enforcing business competition law in the aviation sector. The study also provides recommendations for encouraging healthy competition in the aviation industry.

Q: What are the future directions for policy and practice? A: The future directions for policy and practice are that the KPPU should continue to enforce business competition law in the aviation sector and provide education and socialization regarding business competition law to industry stakeholders. Additionally, the government should consider implementing policies to increase transparency and access to information about ticket prices in the aviation industry.