Thai AirAsia lifts surcharge

Bangkokpost (May24),The low-cost carrier Thai AirAsia (TAA) will increase fuel surcharges on its international routes by 50 baht per sector from the existing average of 750 baht in the middle of next week.The rise reflected climbing jet fuel prices but still dis not fully cover the actual increase in oil prices, TAA chief executive Tassapon Bijleveld said yesterday.

He insisted that despite the increase, TAA's surcharge remained lower than those of other airlines operating on the same routes, which are collecting between 900 and 1,000 baht extra per leg.

''If we really needed to pass on the whole burden (of higher fuel costs), we would need to hike fuel surcharge by several hundred baht,'' he said.

The fuel surcharge on TAA's domestic flights remains unchanged at 550 baht a sector, 100 baht lower than those of competing budget carriers.

He said TAA would opt for a small gradual increase in fuel surcharge so that the charges would not cause a drop in passengers.

''Frankly, we don't have any real solution to the problems caused by rising oil prices. Like other airlines,what we are doing now is putting in place short-term survival measures.''

An industry source said that Bangkok Airways would decide next week on an increase in its fuel surcharge, which was likely to come into effect on June 1.