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Pax to be hit by Acsa tariff hikes
Tuesday, 07 January 2014
Acsa’s Passenger Service Charge (ZA) and ACS (Airport Co-ordination Services) charge (UM) will both increase on flights departing from April 1.

The increase in the Acsa Passenger Service Charge is in line with the authorised 5,6% increase in tariffs by the regulator. Landing and parking charges, charged directly to the airline, will also increase by 5,6%. ATNS has also increased its air traffic charges, charged directly to the airline, by 5,6% from April 1.

The new Passenger Service Charge will increase the cost of an airline ticket by R7 for a domestic flight and by R18 for international flights, says ce of Aasa, Chris Zweigenthal. 
 
“The increase of landing, parking and air traffic service charges will increase the airlines’ operating costs and it is up to them individually to determine whether or not they will increase fares to account for these increases,” he says. “The increased costs will have the impact of reducing operating margins if airlines take no action on increasing fares, but increasing fares can have the effect of negatively impacting passenger demand.  It is the airlines' decision on what action to take.”

Comair’s executive manager for commercial distribution, Iain Meaker, says this is an agreed and regulated increase to what they believe to be an existing high charge. “We would prefer that any increases are kept to an absolute minimum, given the current state of the economy and dwindling passenger demand, especially in light of the healthy profits Acsa declared in its last financial results. As an industry we would prefer to see the revenue made up in additional passenger volume.”

Mango spokesperson, Hein Kaiser, says: “An increase in the cost of air travel, whether oil prices, exchange rate fluctuation or any other increase, will affect accessibility to air travel in terms of price sensitivity.”

He adds that, conversely, South Africa has good airport infrastructure with flagship ports across the country, enabling greater or more efficient movement of people and goods. “Ultimately good infrastructure has a positive economic impact,” he says.
By : etnw
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