Aceh Government Purchases N219 Airplane, This Is The Price

BANDUNG - The Government of Aceh has signed a cooperation agreement or Memorandum of Understanding (MoU) for the procurement of N219 aircraft and the development of human resources and the operation of Aceh's air transport with PT Dirgantara Indonesia (Persero) in the Plenary Meeting Room, PT Dirgantara Indonesia's Management Center Building, Bandung , Monday (9/12).

The aircraft procurement was carried out to improve connectivity between regions in Aceh in the context of improving the community's economy and regional development.

"Our hope, PT. Dirgantara Indonesia can meet this pioneering transportation needs, so that relations between regions in Aceh will be better," Nova said ahead of the signing procession. Nova admitted, building pioneering flights between regions in Aceh was not easy.

A number of private parties have tried, but later stopped their operations for economic reasons. As a result, there are currently only 5 airports in pioneer flights in Aceh that are still running. Even then, with a limited frequency, between 1 to 2 flights per week.

While other flights more often make Kuala Namu Airport in North Sumatra as the link. While 7 airports in the Regency / city in a state of no activity. That condition, said Nova, made the Aceh Government must intervene to overcome the problem.

"Especially in the development program that we planned, connectivity between regions is one of the priorities," Nova said. Nova continued, the effort to connect regions in Aceh was not only carried out in the air transportation sector. In the sea transportation sector, the Government of Aceh has also established cooperation with a number of domestic shipping industries to procure Ferry vessels to increase the intensity of inter-island shipping.

On the other hand, Nova also explained, Aceh is currently also developing the tourism sector and pioneering the development of investment which of course requires smooth transportation.

Cooperation between the Government of Aceh and PT. Dirgantara Indonesia which was approved today is basically a revision of the previous MoU. Previously, the two parties had signed a MoU on 7 February 2018, to coincide with the Airshow event in Singapore.

As quoted from Detik.com, the N219 aircraft made by PT Dirgantara Indonesia (PTDI) which was developed together with LAPAN.

The mass production of aircraft made in Bandung can be done after obtaining a Type Certificate estimated in 2018 from the Directorate of Airworthiness and Aircraft Operation (DKPPU) of the Ministry of Transportation.

According to PTDI's Production Director, Arie Wibowo, the selling price of N219 aircraft is in the range of US $ 6 million per unit or around Rp 81 billion.

"We are in the range of US $ 6 million," said Arie when talking with detikFinance, Jakarta, Tuesday (8/22/2017).

While capital requirements for aircraft production with a capacity of 19 passengers are 50% of the selling price, or are at US $ 3 million per unit or around Rp 40.5 billion.

"The minimum capital I can get is about 50% of the selling price to get started," Arie added.

Some domestic airlines are also interested in buying N219 aircraft made in Bandung. This pioneering aircraft has a cruising range of up to 880 km in one way to reach remote areas.

"Actually, the approach of several airlines states that they have the intention to buy, but they are not sure if they will buy it," Arie said.

Some prospective buyers, said Arie, need to be encouraged by various incentives that need to be provided by the government, ranging from tax incentives to the obligation to use domestically made aircraft.

"For example, there is the name of a tax reduction or tax policy. Second, he was given a kind of protection that airlines buy domestic aircraft. That way can increase domestic production," Arie said.

In addition, ticket subsidies also need to be given to N219 aircraft passengers later. So that domestic airlines are encouraged to buy domestic aircraft, especially those made by PTDI.

"There is a possibility of using pioneer subsidies. Pioneer subsidies are given N219 airliners," Arie said.