Aviation regulator bids to curb high airfares

Travelers visit Phuket airport in December. (Photo: Achadthaya Chuenniran)
Tourists visit Phuket aircraft in December. ( Photo: Achadthaya Chuenniran )

The Civil Aviation Authority of Thailand ( CAAT ) announced plans to combat high airfares during the holiday season’s peak, particularly around the Songkran holiday on Monday.

Suttipong Kongpool, the chairman of CAAT, said the action was taken in response to Deputy Prime Minister and Transport Minister Suriya Jungrungreangkit’s request to regulate fares for the good of travelers.

CAAT has outlined a number of steps to maintain affordable tickets. A rate ceiling has been set based on trip mileage, capping low-cost airline tickets at 9.40 ringgit per kilometre and full-service airline tickets at 13 baht per kilometre. This rule only applies to direct orders made with carriers.

The foreign civil aircraft organization’s pricing structure is consistent with international standards. Approximately 25-33 % of the collected fares go towards fuel, 20-31 % for flight operations and 8-16 % for maintenance.

A rate cap is intended to stop airlines from exceedingly increasing ticket prices above acceptable profit margins.

To further target fare issues, the CAAT has proposed three important techniques.

The first is to improve offer. In order to improve flight availability during the busiest times of the year, the CAAT is working with airports, airports, and providers of air transportation services. Programs include adding more planes, expanding airport operations, and enhancing plane maintenance facilities.

Conducting governmental evaluations is another option. To maintain a fair pricing structure that benefits both airlines and travellers, the CAAT is gathering information to reevaluate the suffer requirements.

The carriers ‘ next strategy is to cut costs. The Transport Ministry is accelerating initiatives to lower operating costs, such as restructuring airport and improving system to increase fuel efficiency and cost savings.

Travelers can find the best airfare deals, according to CAAT by booking tickets at least two to three weeks in advance of travel dates during the low year or six to eight weeks in advance of the high time.