Sunday, November 11, 2007

Thai AirAsia fuel surcharge to rise

No-frills carrier Thai AirAsia (TAA) will increase its fuel surcharge on both domestic and international routes by about 100 baht if the global crude oil price reaches US$100 per barrel, TAA chief executive Tassapon Bijleveld said Tuesday.

Oil price hikes are affecting the aviation industry. Fuel costs are increasing and TAA is closely monitoring the oil price changes.

If the world market price of crude oil really touches US$100, the Thai carrier will inform the Department of Civil Aviation to raise fuel surcharge on both domestic and international routes by approximately 100 baht. The company must reconsider how much it will increase the fuel surcharge, depending on each route, he said.

Malaysia-based budget airlines Thai AirAsia introduced a new domestic Thai route, Bangkok-Ranong on Tuesday.

Flying from Suvarnabhumi Airport three times a week, to Ranong, has potential growth for health tourism, according to the TAA executive.

Ranong is an Andaman coastal province, famous for hot springs and natural mineral water, which supports spa-related business and recreational facilities for tourism.

Next year the airline will embark on a number of new routes to China. (TNA)

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