Thailand seeks measures to bring down airfares

Thai Prime Minister Prayut Chan-o-cha has ordered the Transport Ministry to proceed with a five-point plan to tackle the soaring prices of air tickets in the short and long term.
Thailand seeks measures to bring down airfares ảnh 1Thailand seeks measures to bring down airfares (Photo: bangkokpost.com)
Bangkok (VNA) - Thai Prime MinisterPrayut Chan-o-cha has ordered the Transport Ministry to proceed with afive-point plan to tackle the soaring prices of air tickets in the short andlong term.

Deputy Transport Minister Atirat Ratanasate saidthe ministry has informed the PM of the measures taken and those inthe pipeline to address the substantial hikes, which is due to the surge indemand after the COVID-19 pandemic.

The Civil Aviation Authority of Thailand (CAAT)has looked into the causes and factors and developed its five-point plan todeal with the issue that has frustrated passengers, affecting tourism industry.

The measures include increasing ground handlingcapacity, relaxing rules to create flexibility for airlines, and considering asubsidy programme.

According to the CAAT, limited ground-handlingcapacity causes airlines to limit flights, so more ground-handling operators shouldbe allowed. Positive incentives should be introduced to encourage airlines toreturn their flight slots as early as possible if they cannot operate theflights so that the slots can be reallocated.

Airlines are operating with a limited number ofaircraft, so related rules could be eased to enable them to procure moreaircraft to solve the seat capacity problem, the authority said.

The CAAT suggests airlines be given moreflexibility regarding maintenance work carried out in other countries. When planes are serviced, the airlines' flight capacity is reduced. As along-term measure, laws should be improved to promote investment in maintenancecentres to serve the country's growing airline business. One short-termmeasure is to allow Thai-registered airlines to be serviced at a facility runby Thai Airways International.

Air tickets on certain routes are expensive dueto low market demand or the service being provided by a single operator. Thehigher the airfares are, the lower the demand is. The government shouldconsider a subsidy policy for airlines that operate flights to less populardestinations. The measure would drive demand and make these airportsmore attractive to investors, according to the agency./.
VNA

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