Bangkok residents can tap a low-fare by taking a Thai Air Asia flight to connect with the long-haul service to Sydney due to start 1 April.

AirAsia X will operate the Kuala Lumpur-Sydney route daily and the departure time offers a reasonably good connection for ex-Bangkok passengers to transit conveniently between flights.

Thai AirAsia’s flight departs at 1830 arriving in Kuala Lumpur at 2140, while AirAsia X’s flight departs Kuala Lumpur at 2340 with an ETA in Sydney of 0945 on the following morning.

On the return sector, the Kuala Lumpur bound flight will depart Sydney at 1055 and arrive at 1730; with the connecting flight to Bangkok departing at 2220 with an ETA at Suvarnabhumi Airport of 2320.

AirAsia has been offering checked through baggage services for some time in its bid to compete head-on with full service carriers on selected routes.

British Airways will cut its Bangkok-Sydney services 3 March, reducing  available seats on the sector by a 747 load daily.

Fare options

AirAsia’s regular fares start from Bt18,595, including taxes and surcharges. Checked baggage costs Bt920 for 15 kg and Bt1,080 for 20kg, pre-booked via the website. Meals and entertainment will cost anotherRM30 or around Bt300).

AirAsia X offers a so-called premium class with almost flat bed seats, a free 20 kg checked baggage allowance, meals with water, a pillow and blanket. This low-cost version of business class sells at Bt63,107.

A premium economy seat on Qantas (very similar standard of service) costs Bt90,000. It is a nonstop service to Sydney, while  AirAsia X is a one stop.

In economy class, Qantas quotes Bt33,095, while its full business class fare costs Bt106,655.

QF’s ex-Sydney flight will depart at 1230 and arrive in Bangkok at 1850. It returns at 2055 and lands in Sydney 0900. Not much between the ETA’s of these two airlines. A passenger can save around Bt30,000 at the expense of a starting the trip about two hours and 45 minutes earlier on the AirAsia combination.

Other carriers operating nonstop services are Thai Airways International and Emirates.

THAI sells its online Fly-to-the-World promotional fare at Bt27,740 economy fare and Bt73,075, business, but travel must commence by 31 March. The lowest regular fares is Bt30,200, economy class and Bt89,115, business.

THAI operates 11 flights weekly departing Bangkok at 1915 and arriving in Sydney at 0720. The return flight departs at 1000 and arrives at Suvarnabhumi at 1630.

Emirates sells its economy fare at Bt31,420 and Bt91,265 in business on its daily service.

In the one-stop category, Singapore Airlines quotes its economy fares from Bt28,750 and business class from Bt174,370. It operates twice daily from Changi Airport with the shortest connecting time of around one hour.

Malaysia Airlines also offers a service  twice daily with its economy class fares starting at Bt29,485 and business fares at Bt99,100. Connecting time in Kuala Lumpur is two hours outbound and four and a half hours inbound.

Vietnam Airlines and Garuda Indonesia, both operate daily services, but the tedious waiting times in boring airports is a factor to be considered.

Vietnam Airlines, via Ho Chi Minh City, quotes its lowest fare at Bt27,965 with an horrendous seven and a half hours downtime on the outward leg and it gets worse with a 16-hour delay on the way back.

There are no time savers with Garuda either, but it does offer a slightly cheaper fare of around Bt26,000, but only until 31 March and with seven days validity.

Scoot will begin flying from mid-2012 with a fleet of four Boeing B777-200s bought from parent company Singapore Airlines in a challenge to Australian carriers Qantas and Jetstar.

“Scoot’s all about offering great value, fun and a unique attitude, ‘Scootitude’,” the airline’s chief executive Campbell Wilson said on the Gold Coast as he announced the new destination.

“Direct access to one of the world’s premier air hubs for Queensland and north New South Wales, and to one of the world’s best holiday destinations for Singapore,” added Wilson, who turned up in a wetsuit and carrying a surfboard.

While Scoot is a wholly-owned Singapore Airlines subsidiary, it is independently managed and will focus on the medium and long-haul budget segment.

The carrier will offer fares about 40% lower than the traditional airlines and will target the young, the adventurous, and those that wish to save money, Wilson said.

It also plans to fly to China and have 14 planes by 2016, with longer-term destinations including India, Europe, Africa and the Middle East.

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Flight disruptions were limited on Monday, the first day of a four-day action against restrictions on the right to strike, but there were a number of last-minute cancellations and delays.

At Paris’ Charles de Gaulle and Orly airports, officials said airlines had preventively cancelled 10% of flights scheduled for Monday.

An AFP reporter at Charles de Gaulle, a global aviation hub, said a number of flights were also cancelled at the last minute, including Air France flights to Geneva, Hamburg, Naples, Istanbul and Rio.

Budget airline easyJet also cancelled five morning departures.

The leading French carrier said it managed to fly 85% of its long-haul flights and 75% of short- and medium-haul flights on Monday.

“As staff are not obliged to inform in advance of their intention to strike, and to limit disruption caused by last-minute cancellations, on 7 February Air France expects to operate over 50% of long-haul flights,” it said in a statement.da

It added that it expected to fly 70% of short and medium-haul flights on Tuesday, including those operated by its regional subsidiaries.

Air France urged customers to postpone their travel to after the strike finishes, and sent out more than 25,000 emails and mobile phone text messages to clients warning them their flight had been cancelled or delayed.

Regional airports were also hit by delays and cancelations.

Aviation workers including pilots, flight attendants and ground staff voted on Friday to launch a nationwide strike from 6 to 9 February.

The unions are protesting a draft law that will require aviation workers to individually give 48 hours notice prior to striking, saying this limits labour rights.

The bill was approved by France’s lower house last month and is being debated in the Senate.

Labour leaders vowed the strike would pick up steam, with Yves Deshayes, the head of the SNPL pilots’ union, saying “the mobilisation will reach a crescendo” in the coming days.

The union said half of Air France pilots were on strike.

The airline did not provide information on the percentage of employees participating in the strike.

Hundreds of activists rallied in support of the strike at Charles de Gaulle and Orly on Monday.

Transport Minister Thierry Mariani said the government would not go back on the bill, which he said was aimed at protecting “passengers’ rights”.

“We will go all the way. This is necessary and that is something the French people understand,” he said on RTL radio.

© 1994-2012 Agence France-Presse

Beijing has said repeatedly that it opposes the new European Union plan, which was imposed with effect from 1 January and which Chinese state media have warned would lead to a “trade war” in the sector.

A statement on the website of China’s State Council, or cabinet, also said airlines were barred from using the EU’s emissions trading scheme (ETS) to increase fares or other passenger charges.

“The Civil Aviation Administration of China recently issued a directive to Chinese airlines that without the approval of relevant government departments, all transport airlines in China are prohibited from participating in the EU ETS,” said the statement.

The EU’s ambassador to China said he hoped the stand-off, which comes a week before Chinese and EU leaders meet in Beijing for a summit, could be resolved through negotiations.

“There are a number of avenues to be pursued — bilateral, multilateral and possibly legal,” Markus Ederer told journalists in Beijing.

“The EU would like to have an international solution to this… That’s the way forward, hopefully through negotiations, (to) find an agreement between all stakeholders.”

China has said it fears its aviation sector will have to pay an additional 800 million yuan (US$125 million) a year on flights originating or landing in Europe, and that the cost could be almost four times higher by 2020.

The European Commission argues that the cost for airlines is manageable, estimating that the scheme could prompt carriers to add between 4.0 and 24 euros (US$32) to the price of a two-way long-haul flight.

Nonetheless, some airlines have announced new ticket fees since the EU’s rules came into force.

US carrier Delta Air Lines, one of the world’s biggest airlines, added a US$6 surcharge for two-way flights between the United States and Europe.

Germany’s Lufthansa indicated it would raise its fuel surcharge, a move taken by Belgian carrier Brussels Airlines, which increased it by 10 euros to 135 euros for international flights and by three euros to 39 euros for EU routes.

Airlines denounce the system as a new tax and warn that it would cost the industry 17.5 billion euros (US$23.8 billion) over eight years.

The system went ahead despite a plea by US Secretary of State Hillary Clinton for the EU to halt or delay its application.

The Airlines for America association grudgingly indicated that its members would abide by the EU law, but “under protest” while pursuing legal options.

The China Air Transport Association, which represents the country’s airlines, said last month the government was considering “countermeasures” against the EU scheme, without giving any details.

It has said the charge would affect all of China’s major airlines, including Air China, China Eastern and China Southern. The last two refused to comment when contacted by AFP, and Air China was not immediately available.

Ederer said the EU was ready to exempt any airline from the carbon charges if their country decided to slap “equivalent” levies on their carriers in a bid to offset their own emissions.

“We are ready to engage in discussions on recognising equivalent measures which would exempt those airlines of those countries from the necessary dues which would have to be paid,” he said.

But Chinese airlines are unlikely to be penalised immediately as carriers have until 30 April next year to calculate their annual emissions and buy polluting rights for 2012.

The European Union launched the ETS in 2005 in a bid to reduce carbon emissions of power stations and industrial plants.

It decided to include airlines, responsible for 3% of global emissions, in the system in the absence of a global agreement to cap aviation emissions.

Airlines will only have to pay for 15% of their emission allowances in 2012, amounting to 256 million euros under current market prices. They will have to pay for 18% from 2013.

Airlines that refuse to comply could be fined and denied the right to land in the 27-nation EU in extreme cases, the bloc has said.

© 1994-2012 Agence France-Presse

Joyce said a bill, which would force Qantas to keep its headquarters and the majority of maintenance, flight operations and training in Australia, posed a “major threat” to the airline’s business and to jobs.

“If Australians want a truly competitive national carrier, this parliament cannot tie up Qantas in this way,” Joyce told a Senate hearing into the proposal.

Alan Joyce

“You would be responsible for making Qantas less competitive just when we most need the freedom to compete.”

Put forward by independent Senator Nick Xenophon, the so-called “Still Call Australia Home” bill aims to tighten conditions set down when the formerly state-owned airline was sold off in 1992.

Xenophon has also proposed amending aircraft crew laws to force all Australian airlines and their subsidiaries to offer overseas-based flight and cabin crew on its services the same wages and conditions as local staff.

Joyce said foreign crew were only used on a limited number of Qantas flights in Australia but they were paid “domicile country” rates — a standard international practice that was vital to keeping those services viable.

“If the amendments are passed, and international crews are treated as Australian in terms of wages and conditions on domestic legs of international flights, we will no longer be able to viably operate those international services,” Joyce told lawmakers.

“The proposed amendments would quite simply force the Qantas Group to withdraw from services connecting Darwin and Cairns to the tourism and trade markets of Asia and Europe.”

Xenophon’s proposals follow a bumpy year for Qantas in 2011 which saw its entire worldwide fleet grounded for 48 hours as part of a protracted labour row with staff over plans to shift its ailing international arm to Asia.

Angry unions repeatedly walked off the job, accusing Irish-born Joyce of attempting to “Asianise” Qantas and outsource jobs in the name of profit.

The dispute cost Qantas Aus$194 million (US$208 million), but Joyce has insisted he will push ahead with the plan, which features the establishment of budget carrier Jetstar Japan and a second Asia-based joint-venture premium airline.

Joyce urged the Senate committee to remember the “global and national realities that frame our times” including debt strains in the US and Europe, warnings of deep downturns from the IMF and World Bank and local job losses.

Ratings agency Moodys downgraded Qantas’s long-term senior unsecured rating to Baa3 from Baa2 with a stable outlook last week, citing high fuel prices, strong competition and a difficult operating environment.

“The reality is simple — we must all adapt or die. At Qantas we want to adapt, we must adapt if we are to survive,” Joyce said.

© 1994-2012 Agence France-Presse

This round of Smart Saver fares remains valid until 31 March for booking and travel ex-Bangkok.

Based on the lowest regular online fares, discounts on business class fares are between 7% and 33%. They are available for 14 Asian destinations as well as Los Angeles.

The biggest discount is to Los Angeles service at 33%, resulting in a business fare of Bt115,345 followed by Shanghai and Beijing; 28% to give passengers a  Bt33,230 fare to both cities.

Business fares to Tokyo, Japan are discounted by 7%  to Bt55,870. To its home base, Hong Kong, Cathay cuts the fare 26% to Bt20,765.

Other business fares to key destinations are: Bt16,350 to Singapore; Bt37,755 to Seoul and Bt25,270 to Mumbai.

In economy class, five cities in North America are also eligible – San Francisco, New York, Chicago, Vancouver and Toronto.

Discounts range from 8% up to 33%.

Seoul gets the deepest discount, 33% down to Bt17,085 while Mumbai, only -8% to Bt11,870.

Hong Kong economy fare is also cut by 26% to Bt9,530.

Economy fares to other key destinations are: Bt8,410 to Singapore; Bt18,915 to Tokyo; Bt14,600 to Shanghai; Bt12,845 to Delhi; Bt39,445 to Los Angeles; Bt41,605 to new York and Bt41,115 to Vancouver.

All fares include taxes and surcharges and are subject to change due to currency fluctuation and offered on limited seats.

Saudi Arabia

Mr Gokongwei cited Saudi Arabia as an example, where only 165,000 passengers flew direct nonstop flights from Manila (Civil Aeronautics Board 2010 data), compared to 293,000 Filipinos travelling to Saudi Arabia in the same year. This means that nearly half of Filipinos who flew to Saudi Arabia in 2010 had to take multiple flights to get to their destination. With Cebu’s lon- haul operations, the budget airline will provide more affordable, direct flight options to Filipinos overseas, a population estimated to be 11 million worldwide. Since its inception in 1996, Cebu Pacific has offered short-haul flights for Filipinos working and residing overseas. Passenger traffic to and from Hong Kong, where the Filipino population is high, grew by 88% since CEB started operating flights from Manila in 2001. With the current fleet of Airbus A320 aircraft, the airline cannot operate long-haul flights. The carrier needs a new fleet,  possibly A330s that can fly 11- hour routes. The carrier plans to lease up to eight the aircraft.

Blaming economic conditions in Europe  Garuda said it was reducing  its daily service Jakarta – Dubai – Amsterdam to four a week starting 1 March.

Amsterdam is Garuda’s only destination in Europe, launched in June 2010 after the airline was removed from EU’s safety blacklist.

Instead the airline will focus on Tokyo and Taipei, with new services, Denpasar – Tokyo (Haneda) from 27 April, and Jakarta – Taipei from 19 May.

The five weekly flights to Haneda will use an Airbus 330-300 with 257 seats (42 in business class and 215 in economy class).

Upon initiating the Denpasar – Haneda service, Garuda will close the Denpasar – Nagoya service, 10 April, due to declining bookings.

The Taipei service will use a Boeing 737-800 with 156 seats (12 seats in business class and 144 seats in economy class).

Beginning in February 2012, Garuda will also increase the frequency of its Jakarta – Kuala Lumpur service to three daily up from the current two.

Domestically it will add flights on several route; Jakarta – Batam from four to five daily; Jakarta – Pekanbaru from five to six daily, and will begin a daily Bandung – Surabaya flight from 10 February.

Late last year, the airline increased services:

Denpasar – Sydney from six weekly to daily;

Denpasar – Seoul from five weekly to daily;

Jakarta – Melbourne from three to four weekly;

Denpasar – Melbourne from four to five weekly;

Jakarta – Shanghai, from five weekly to daily;

Jakarta – Beijing, from three to five weekly;

Jakarta – Seoul, from six weekly to daily.

“All workgroups will have total costs reduced by 20%, including management,” Tom Horton, chief executive of American parent AMR Corporation, said in a letter to employees Wednesday.

“While the savings from each work group will be achieved somewhat differently, each will experience the same percentage reduction.”

Cuts of 13,000 workers, reported by several media outlets immediately following the management-union meeting, would amount to about 15% of the company’s workforce.

According to the NBC television local affiliate in the Dallas-Forth Worth, Texas area, home base of AMR, the cuts include 1,400 management and support staff, 400 pilots, 2,300 flight attendants, 4,600 maintenance workers and 4,200 fleet service employees.

“Our major competitors have used the restructuring process to overhaul their companies and become more competitive in every aspect of their business,” he said.

“Now it is time for American to move forward on a decisive path. We are going to use the restructuring process to make the necessary changes to meet our challenges head on and capitalize fully on the solid foundation we’ve put in place.”

He said the airline needed to cut US$1.25 billion a year in employee-related costs.

In exchange he offered employees a profit sharing plan that would pay out 15% of all pre-tax income.

He made no references to cutting flights, but said the airline aimed to increase departures in five key US markets — Dallas/Fort Worth, Chicago, Miami, Los Angeles and New York — by 20% over the next five years.

AMR, which operates American Airlines and American Eagle Airlines and employs nearly 88,500 employees worldwide, filed for Chapter 11 bankruptcy protection on 29 November.

The status allows the Fort Worth, Texas-based company to slash its debt burden and restructure operations, with more legal flexibility to renegotiate or cancel service and wage contracts.

AMR has a combined fleet of 900 aircraft serving more than 250 airports in over 50 countries.

AMR reported a huge net loss of US$904 million just in the month of December alone in a filing late Tuesday to the bankruptcy court handling its case.

The enormous December hole was more than the combined US$884 million in losses AMR had between January and September of last year.

© 1994-2012 Agence France-Presse

The state-owned airline said it will make three round-trips a week on the Johannesburg-Beijing route, roughly a 15-hour flight, operating an Airbus A340-600.

The new link will boost trade and tourism within the 15-nation Southern African Development Community, SAA chief Siza Mzimela said in a statement.

China became South Africa’s top trade partner in 2009. The Asian giant imported goods worth 78.4 billion rand (US$10.1 billion, 7.6 billion euros) from South Africa last year and exported 94.2 billion rand worth there.

SAA said the new route would also boost ties between the BRICS nations of Brazil, Russia, India, China and South Africa.

“We believe that the route will play a strategic role in the growing economic relationships and dependencies between the continents,” said Mzimela. “Commercially, SAA is able to deliver seamless travel from Sao Paolo via Johannesburg to Beijing, servicing all three continent.

© 1994-2012 Agence France-Presse