Credit: HK Express
HONG Kong-based LCC HK Express has expressed its support for Hong Kong International Airport’s third runway project but at the same time it is also condemning the airport’s proposal to incorporate departure fees into airfares.
The airline believes that the added departure fee – which effectively forces passengers to pre-pay for the runway construction – will be unfair to those already paying other airport-imposed fees.
Andrew Cohen, CEO of HK Express, remarked: “With the introduction of yet another government levy, most people will be paying more in taxes and fees than they will for their airfare!
“Drivers don’t pay to use a cross-harbour tunnel until it is actually built – aviation should be no different,” he illustrated, adding that the levy is “outrageous”.
According to a press statement, IATA also takes a very clear position on pre-funding fees, believing that pre-funding capital projects through charges is costly, unreasonable and does not reflect the most efficient use of airline investments in an airport.
“As a monopoly operator, the Hong Kong Airport Authority (HKAA) is already a hugely profitable organisation with over a 50 per cent profit margin. This existing profit can be used to finance the capital expenditure instead of imposing even more fees on the public,” Cohen said.
HK Express is seeking to revise the fare structure so that any additional fees would be based on a percentage of the base fare instead, but even then, should only be implemented once the runway is operational.
Ultimately, HK Express, together with the Board of Airline Representatives, believes that the construction should be funded by HKAA, rather than by departing passengers.
