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(Updated: )
Ricky Lim ·
Posted on :- 07 Mar 2018
Samuel Lim ·
Singapore
What is the Government’s response to those airlines line JetStarAsia who started to shift its flights away from Changi because of this levy ?
Like · Reply · 2h
Ricky Lim ·
Singapore
- HongKong Air Passenger Departure Tax (APDT) of HK$120
- Dubai are paying a Dh35 departure tax
- What is the airport tax in China? Airport tax (they call it airport construction fee) is of 50 yuan (about US$6) per airport. This fee must be paid in cash before check-in. International Departure Tax (even flying to Hong Kong) is 90 yuan (about US$11).
- Malaysia RM35 (S$11) passenger screening levy in addition to airport tax.
- Thailand Suvarnabhumi International Airport 700 baht tax
--
So is Changi Airport levy competitive and justifiable?
The answer seems to be "yes".
Changi Airport will have done a detail competitive study before it levy the charge - in line with airport practices worldwide. Else taxpayers willing to pay more tax eg. GST?
Like · Reply · 1m
Alvin Leong
Ricky Lim Not quite that simple, there is also the landing fee, apron fee, servicing fees which are charged directly to the airline (which of course will be recharged to the pax) that had to be taken into account. The fees you listed are charged directly to the pax ticket as an listed item. Other fees are usually hidden into the ticket price.
Like · Reply · 1h
Ricky Lim ·
Singapore
Alvin Leong - Changi Airport is not stupid, they will have done a competitive analysis among all the airport before levying the charges.
If things don't turn out well, they will readjust.
Honestly, it is not only the airport charges that will attract the airlines - if there is need to come to Singapore due to reasons such as business, travel, meetings or other events, travellers will make the airlines land in Singapore.
With more and more multi-lateral trades and agreement being established, travel demand to land in Singapore will increase and it will be the loss of a particular airline not to land in Singapore.
Eg. with CPTPP in place, with EU-Singapore FTA, RCEP, Singapore-China FTA, ASEAN Economic Community etc more business travellers from Australia will need to come to Singapore for business, meetings, travel etc.
Also many travellers within the Asia Pacific due to the above multi-lateral trade deals will generate alot of travellers into Singapore and may instead hop into SIA to go Australia if there are no Jetstar.
Conversely, If Jetstar is moving away, travellers may hop onto SIA or other airlines to come to Singapore - and Jetstar will lose big.
Like · Reply · 1m
Samuel Lim ·
Singapore
What is the Government’s response to those airlines line JetStarAsia who started to shift its flights away from Changi because of this levy ?
Like · Reply · 2h
Ricky Lim ·
Singapore
- HongKong Air Passenger Departure Tax (APDT) of HK$120
- Dubai are paying a Dh35 departure tax
- What is the airport tax in China? Airport tax (they call it airport construction fee) is of 50 yuan (about US$6) per airport. This fee must be paid in cash before check-in. International Departure Tax (even flying to Hong Kong) is 90 yuan (about US$11).
- Malaysia RM35 (S$11) passenger screening levy in addition to airport tax.
- Thailand Suvarnabhumi International Airport 700 baht tax
--
So is Changi Airport levy competitive and justifiable?
The answer seems to be "yes".
Changi Airport will have done a detail competitive study before it levy the charge - in line with airport practices worldwide. Else taxpayers willing to pay more tax eg. GST?
Like · Reply · 1m
Alvin Leong
Ricky Lim Not quite that simple, there is also the landing fee, apron fee, servicing fees which are charged directly to the airline (which of course will be recharged to the pax) that had to be taken into account. The fees you listed are charged directly to the pax ticket as an listed item. Other fees are usually hidden into the ticket price.
Like · Reply · 1h
Ricky Lim ·
Singapore
Alvin Leong - Changi Airport is not stupid, they will have done a competitive analysis among all the airport before levying the charges.
If things don't turn out well, they will readjust.
Honestly, it is not only the airport charges that will attract the airlines - if there is need to come to Singapore due to reasons such as business, travel, meetings or other events, travellers will make the airlines land in Singapore.
With more and more multi-lateral trades and agreement being established, travel demand to land in Singapore will increase and it will be the loss of a particular airline not to land in Singapore.
Eg. with CPTPP in place, with EU-Singapore FTA, RCEP, Singapore-China FTA, ASEAN Economic Community etc more business travellers from Australia will need to come to Singapore for business, meetings, travel etc.
Also many travellers within the Asia Pacific due to the above multi-lateral trade deals will generate alot of travellers into Singapore and may instead hop into SIA to go Australia if there are no Jetstar.
Conversely, If Jetstar is moving away, travellers may hop onto SIA or other airlines to come to Singapore - and Jetstar will lose big.
Like · Reply · 1m
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