Thai Airways considers reducing fuel surcharges

Thai Airways is considering a reduction in fuel surcharges it has imposed on airfares that would be in line with fuel price reductions, but other airlines in the country are as yet undecided whether they would follow the flagship carrier’s lead.

Executives at the airline said on Thursday that a reduction across the board would be put in place ”as soon as possible,” and would likely occur before the end of September.

”I think we are moving towards that direction (cutting fuel surcharges) in response to how the airline industry is reacting to the recent decline in fuel prices,” said the executive vice-president of Thai Airways, Pandit Chanapai.

Earlier in the week, Singapore Airlines reduced its fuel surcharges on flights to south-east Asian countries, other east Asian hubs and Australasian destinations by US$4 to $10 on each leg. Surcharges on long-haul flights, however, remain in place at this time.

The price of oil has dropped by around 27 per cent from record highs in July, when the per-barrel price hit US$147. The price of jet fuel has followed a similar trend, dropping to US$120 this week.

Two low-cost carriers, based in Bangkok, Nok Airlines and Thai AirAsia, both stated yesterday that they currently have no plan to reduce fuel surcharges.

Bangkok Airways, a full-service carrier operating domestic and regional services, commented that fuel surcharge reductions had not yet been discussed.

www.thaiairways.com