PUBLISHED : 28 Dec 2023 at 04:00
Airfares are expected to fall gradually next year due to an increase in licensed airlines and a higher number of aircraft in the air transport sector, according to the Civil Aviation Authority of Thailand (CAAT).
Eight airlines recently received air operator licences from Transport Minister Suriya Jungrungreangkit, the CAAT said yesterday. The airlines plan to deploy a total of 60 aircraft in 2024.
According to the aviation authority, five of the eight are domestic airlines. They include Ezy Airlines (formerly known as Landarch Airlines), Pattaya Airways, P80 Air, Really Cool Airlines and Siam Seaplane.
With a combined investment of 3.85 billion baht, these airlines have yet to receive air operator certificates to start services. The names of the other three airlines have not yet been disclosed.
The CAAT acknowledged that airlines need to make profits to support flights that yield marginal profits, as long as ticket prices remain within the ceiling prices set by the authority.
Concerning the increase in airfares during festivals, the CAAT said all airlines adhere to the stipulated airfare ceilings. The CAAT recommended passengers book tickets early to get cheaper flights.
It said that airlines downsized personnel, fleets, infrastructure and management systems during the Covid-19 pandemic. At present, demand for air travel exceeds supply and airfares have increased 17% worldwide. The CAAT added that domestic airfares have increased partly because a reduction in excise tax on jet fuel expired in July.