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Thu, February 8, 2007 : Last updated 19:21 pm (Thai local time)



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Home > Business > Different service fees cause concern





TWO INTERNATIONAL AIRPORTS
Different service fees cause concern

IATA points to greater inconvenience for passengers and reduced cost-efficiency for the airlines

The International Air Transport Association (IATA) and the Airline Operators Committee (AOC) have urged the government not to cross-subsidise airport charge allocations between Don Muang and Suvarnabhumi airports.

IATA has expressed concern over plans to reopen Don Muang Airport, saying that operating two airports with a huge gap in service fees between the two would cause trouble for the aviation industry.

Operating costs at Don Muang are expected to be much lower than at Suvarnabhumi. Thus, international airlines speculate the government or Airports of Thailand (AOT) might allocate some revenues from Suvarnabhumi to subsidise Don Muang, where besides national carrier Thai Airways International, most operators will be budget airlines.

IATA corporate-communications manager Albert Tjoeng commented on plans to operate two airports in Bangkok, saying that if Bangkok wanted to be a strong regional aviation hub, the long-term goal should still be to have a single airport in operation. He said two airports would split passengers, airlines and AOT's resources and lead to inconvenience for passengers and reduced cost-efficiency.

Nonetheless, given that the government has made its decision, what is important is to have a level playing field for all airlines in Bangkok. "Carriers should be free to choose which airport they wish to operate from, and the airport charges should be transparent and accurately allocated. There should not be any cross-subsidisation between the two airports," said Tjoeng.

Sopin Daengteth, chairwoman of the AOC, which represents more than 65 airlines and association bodies, said AOT should treat airlines fairly in terms of airport service fees, whether they use Don Muang or Suvarnabhumi.

She said service fees for landing, parking and ground services at Don Muang should be the same as at Suvarnabhumi.

"Operating costs at Don Muang are much lower than at Suvarnabhumi. This will be unfair to airlines that have invested in Suvarnabhumi," she said.

Sopin said most airlines supported having a single airport. At this stage, they are ready to revise their business plans to resume operations at Don Muang.

She also urged the government to provide a mass-transport link between the two airports for the sake of passenger convenience.

An aviation analyst said AOT, which operates both Don Muang and Suvarnabhumi airports, would face higher operating costs after moving some flights back to Don Muang.

The operating cost at the old airport is expected to increase Bt1.5 billion annually.

Tourism Authority of Thailand (TAT) governor Pornsiri Manoharn said using two airports could result in more visitor arrivals, because airlines would increase their traffic allotment.

"Using two airports means open skies for more carriers to come to Thailand, and that will bring more tourists," she said.

The TAT plans to speak with airlines and travel agents about preparing to use two airports.

Suchat Sritama

The Nation


 
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