AIRPORT SERVICE FEES TO INCREASE FROM OCTOBER

Airline passengers will have to pay more for tickets starting October 1 when the Ministry of Transport starts applying increased airport service charges to cover investment costs of the airport system and raise service quality. However, the extent of the increase is not expected to be significant and airlines will still offer reduced price tickets.

A representative of the low-budget airline Jetstar said the firm will adjust its ticket price in early October. Vietjet Air has also told its agents about the upcoming adjustment of passenger service charges and security fees. The airport charges and security screening fees are usually incorporated into the airfare.

According to the transport ministry regulation issued in August, the take-off and landing charges will increase by 5 per cent from October 1, 2017. The airport service cost will be increased in four phases.

In the first stage (from October 1 to December 31), charges applied at Group A and Group B airports will rise 7 per cent - to VND75,000 per head (about US$2.75) and VND70,000 per passenger, respectively. Group C airports will maintain the current cost of VND60,000 per passenger.

Group A includes airports which operate 24/7, such as Noi Bai, Da Nang, Tan Son Nhat, Cam Ranh, Cat Bi, Vinh, Can Tho, Phu Quoc, Lien Khuong, Phu Bai and Buon Ma Thuot. Group C contains airports serving poorer areas, including Con Dao, Dien Bien, Ca Mau and Rach Gia. The remainder are in Group B.

In the second phase (from January 1, 2018 to March 31, 2018), the charges of Group A and B airports will rise to VND80,000 and VND75,000 per passenger, respectively.

In the third phase (from April 1, 2018 to June 6, 2018), passengers in Group A and B airports will have to pay VND85,000 and VND75,000.

In the final phase, Group A airports will be charged VND100,000 per head and Group B - VND80,000.

The regulation also increases charges for aviation security services to $2 per passenger from $1.5 for international flights as of October 1.

The increase in security service will be applied in three stages.

From October 1, 2017 to December 31, 2017, the new charge will be VND11,818 per person compared with the current price of VND9,090. The next period (from January 1, 2018 to March 31, 2018) will apply VND13,636 per passenger. The last from April onwards, will charge VND18,181 for each flyer.

Source: VIR