Mr Bijleveld continued by saying that Thai AirAsia should soon start to reap the benefits of the steady decline in the cost of fuel over the past six months. He added that this windfall would be passed on to passengers in the form of reduced overall fares.
The CEO explained that the reason the carrier had not been able to wipe out the passenger surcharge thus far was on the fact that ticketing prices were fixed when the price of oil was still very high. He also claimed AirAsia’s fuel surcharges were only 30 per cent of those levied by other carriers.
Thai AirAsia currently tacks on fuel surcharges on tickets for all its international routes, but not on domestic ones. The fuel charges that apply are calculated on flight lengths. Anything up to two hours is THB275, two to three hours is THB405, three to four hours is THB565 and four hours-plus is THB715.
Thai AirAsia posits scrapping fuel surcharge
News in Asia
Thai AirAsia’s CEO has said the carrier might scrap passenger fuel surcharges on all of its routes. Tassapon Bijleveld said the plan is to cut the surcharges from the first of next month and that it is a direct reflection of the significantly lower cost of jet fuel.