It sets and supervises airport and airworthiness standards as well as regulating air traffic control, air service licenses and air route structures. DGAC also manages all government funded aviation development projects and is the nominated agency to the International Civil Aviation Organisation. The maiden flight took place on 10 August 1995. The commercial launch of the aircraft, however, has been delayed by difficulties in the certification process and the difficulties caused by the economic crisis. The future of IPTN is unclear.
Funding is the issue.
Over the years IPTN has been a huge drain on the public purse. To be attractive to foreign investors the company would need to carry out a major restructuring plan. Limited aviation education and training facilities has resulted in a shortage of well-trained professionals in Indonesia. DGAC estimates that, whilst Indonesia currently employs approximately 2,500 pilots, an additional 1,200 will be required to keep pace with the increasing demand for air travel services. In addition, there are two other airlines, Indonesia Airlines and PT Internusa Air that will be fully operated shortly.