Indonesia and Australia have signed an air service agreement governing details of transport capacity, frequency and types of planes operated by each other`s airline companies. “Much progress has been achieved in implementing the air transport agreement between Indonesia and Australia, with the number of air passengers continuing to increase. Therefore, we deem it necessary to revise the air service agreement,” Indonesian Transport Minister EE Mangindaan said in a press statement carried by ANTARA News. He expressed hope that the Indonesian airline companies would benefit from the rapid growth of the Indonesia-Australia air transport now that demand for flight services in a number of Australian cities was high. The air service agreement covers appointment, licensing and cancellation of airline companies, transport right, acknowledgement of certificates, application of safety standard, flight security, tariffs, capacity, and opportunity to apply business competition law.