Close
Bali Discovery Tours: Homepage
Bali Hotels, Bali Villas and Bali News from balidiscovery.com
Home Bali Contact Bali Practicalities Bali News Bali Services Bali Transportation Bali Sports Bali Excursions Bali Villas Bali Hotels
Home · News · Garuda Drops Bali as a Secondary Hub
Bali Hotels, Bali Villas and Bali News from balidiscovery.com
Bali Hotels
Bali Villas
Special Deals!
Packages
MICE Handling
Bali Excursions
Culinary - Dining
Guided Tour
Bali Spas
Bali Sports
Diving
Golf
Bali Transportation
Car Rental - Selft Drive
Private Jet Charter
Bali News
Bali Services
Bali Practicalities
Bali Contact
Bali Career
Home
 
Bali Update
Subscribe to our free weekly newsletter!
 
PATA header
PATA Gold Award 2007
Bali Update
PATA Gold Award Winner 2007
 
Bali Contact
Bali Discovery Tours
Komplek Pertokoan
Sanur Raya No. 27
Jl. By Pass Ngurah Rai,
Sanur, Bali, Indonesia

Tel:
++62 361 286 283

Fax:
++62 361 286 284

U.S.A. Fax:(toll free)
1-800-506-8633

U.K. Fax:
++44-20-7000-1235

Australian Fax:
++61-2-94750419

24h:
++62 812 3819724

Bali Discovery

SITE PATA ASITA
Bali News

Garuda Drops Bali as a Secondary Hub

ASITA Bali Chairman Says Decision to Drop Bali as a Hub is Now 99.9% Certain.


Bali News: Garuda Drops Bali as a Secondary Hub
Click Image to Enlarge

(10/28/2006)

As reported on balidiscovery.com [Garuda to Abandon Bali as a Secondary Air Hub], Garuda Indonesia has apparently confirmed that Bali will be dropped as a secondary hub commencing from the start of its Summer Schedule for the Southern hemisphere.

Confirmation of the decision by the national carrier to re-centralize its operation to a single Jakarta-base was reported to colleagues in the Bali travel industry by Al Purwa, Chairman of the Bali chapter of the Association of Indonesian Travel Agents (ASITA), following a meeting last week with a member of Garuda's management team.

In explaining the reasons given by Garuda, Purwa reported:

Garuda claims it has lost large sums of money serving Japan and Australia with Bali acting as an air hub.

Garuda's managers claim that operating services from 2 separate hubs incurs costs almost on a par with operating two airlines. Reportedly, if an engine failure happens in Bali a new engine has to be shipped from storage in Jakarta requiring the charter of a special Russian aircraft, a process requiring 1 to 1.5 months during which the airplane remains idle.

• Negotiating traffic rights flying with other carriers serving Jakarta are complicated by the use of Bali as a secondary hub.

Garuda complains that landing and parking fees in Bali are too expensive with insufficient uplift of cargo traffic ex Bali.

Cities Affected

Commencing from the actual date of the change in schedules:

• Sydney and Melbourne Garuda flights will operate directly to Jakarta from where Bali-bound passengers will change to domestic flights.

• Brisbane and Auckland services by Garuda are suspended until further notice.

• Japanese service from Nagoya is also being suspended.

Garuda flights from Tokyo and Osaka will now fly directly to Jakarta with Bali-bound passengers changing to domestic flights.

Garuda will reportedly add more domestic flights between Jakarta and Denpasar to the increase in international passengers destined for Bali.

Predicting the Fallout of Garuda’s Decision

While it's difficult to predict the total impact of Garuda’s decision to close Bali as its secondary hub, the lack of direct seats from Australia and Japan can only further complicate efforts to establish recovery from those markets. Consumers from these markets will now face potentially higher air fares and trips that will now be 4-6 hours longer in flying to Bali or on their return trips home.

Meanwhile, many tourism observers will be watching carefully to see if the Government and Garuda adopt a more liberal "open skies" policies towards all airlines seeking more flight or greater seat capacity to Bali. Despite the poor arrival totals experienced by Bali over the past several years, applications by airlines seeking added capacity to Bali have often been stonewalled by the Indonesian authorities in close consultatrion with Garuda.

The Reaction from Bali

When ASITA's Bali Chairman, Purwa, was asked by balidiscovery.com to comment on Garuda's latest move he said: "Although we can understand the reasons why Garuda made the decision to close Bali as a hub, we are very sad to face these facts. Bali has faced so much since 2002, that we are really back to the bottom in tourist arrivals. With this decision, Bali will move further away from its tourism sources, including the traditional tourists sources of Australia and Japan. . . Adding between 3 hours to a half-day's time on transit, that is if the connection is not delayed in Jakarta, will make the passengers feel very inconvenienced . . . . Bali stakeholders should try to persuade other carriers to fly more planes to Bali directly in the short term, but in the long term Bali should its own airline, so that this favorite island will not be overly dependent on others."


© Bali Discovery Tours. Articles may be quoted and reproduced if attributed to http://www.balidiscovery.com.


 
UBUD WRITERS & READERS FESTIVAL
 
Bali News by Bali Update
Subscribe to the Bali Update
Receive the latest news from Bali by email!



Our [Privacy Statement] explains how we handle the data you are providing.

 
Bali News by Bali Update
Explore the Archive of the Bali Update
Find related articles in our news archive!




or try to use Google Search :

Home · Bali Hotels · Bali Villas · Bali Excursions · Bali Sports · Bali News · Site Map · RSS

Bali News: More News
Bolllywood is Calling!
Indian Consul General to Bali Invites Indian Film Industry to Shoot Film Projects in Bali
(8/27/2014)
Tourists Who Shop ‘Till They Drop
Indonesia Needs More Great Sales and Events to Expand Tourist Travel
(8/27/2014)
Major Bali Condotel Deal Signed for Jimbaran
121-Room and 121-Suite Springhill Condotel at Green Jimbaran to be Managed by Australian Mantra Hotels Group
(8/27/2014)
GWK Reopens
Demonstrators Reopen Access Road to Garuda Wisnu Kencana Park in Bali
(8/26/2014)
Join a Table of Chefs
Bali Culinary Professionals Monthly Gathering August 30, 2014 at Basilico Prama Sanur Beach Restaurant.
(8/25/2014)
Roadblock Ahead
Angry Local Residents Close Access Road to Garuda Wisnu Kencana Park in Bali
(8/24/2014)
Chefs Who Play Golf
Bali Culinary Golf Tournament January 18-20, 2014
(8/24/2014)
Coming Bubble for Condotels in Bali?
Bali to Soon Have 13,000 Condotel Units
(8/24/2014)
Better Safe than Sorry
Bali Hotels Warned to Obtain Security Management Certification
(8/25/2014)
Winning Combination
Joko Widodo & Jusuf Kalla Declared Winners of Presidential-Vice Presidential Race by Indonesian Constitutional Court
(8/24/2014)
Lost and Presumed Dead
2 Presumed Lost as Search Abandoned for Survivors of Komodo Cruise Boat Sinking Near Sangeang Island
(8/25/2014)
You'll Need a Number
PIN Number Required for Credit Card Purchases in Indonesia after January 1, 2015
(8/24/2014)
All [News]!
 
Tourism and Transport Tourism Agents