Receh.in - Garuda Indonesia, one of Indonesia's leading airlines, has faced a dilemma over what to do with its Airbus A330 aircraft, which have become unprofitable for passenger use. The company has instead opted to repurpose the majority of these planes as cargo carriers.
"We are now using the Airbus A330 mainly for cargo because we already own them, but using them for passenger flights is no longer cost-effective," said Ade R Susardi, the Director of Service and Commerce at Garuda Indonesia. He believes that the company would be better off selling the aging Airbus A330s and replacing them with newer planes.
Despite this, Garuda Indonesia has no plans to purchase new aircraft. According to Ade, the company faces several challenges that prevent them from independently owning and maintaining a fleet of planes. Firstly, the high cost of maintenance, which continues to rise as the planes age.
"The cost of maintenance is getting more expensive as the planes get older, so owning them is becoming increasingly costly," he said. Secondly, the rapid pace of technological change in the aviation industry. Ade believes that by only leasing planes for a set period of time, the company can quickly adjust to changes in technology.
"Newer planes come with newer technology, which is more efficient for our business," he explained. Garuda Indonesia currently owns six Airbus A330s that were manufactured and first used in 1996-1997, making them quite outdated by today's standards.
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