Fuel price rise in Azerbaijan hikes airfares

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24 JANUARY 2014

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  After fuel prices jumped Azerbaijan Airlines CHSC increased the cost of the fuel surcharge  depending on the flight duration. 

 

According to the new decision the fuel surcharge  for flights lasting less than two hours in the economy class costs 12 Euros, for business class 18 Euros. The fuel surcharge for flights of more than two hours duration in the economy class now costs 18 Euros, in business class 27 Euros. 

The fuel surcharge for all flights before was 6 Euros. Fuel surcharge, airport tax fee is included in ticket price and can’t be paid separately. The fuel surcharge is not significant portion of the air travel cost, though eventually it sparks the price rise. AZAL explains the reason for the  price hike was the Tariff Council's decision to increase the price for plane fuel. However the Council did not envisage fuel price increase for the flights. 

AZAL's decision is believed to be a barrier for the attraction of  tourists  who may want to travel to Azerbaijan. It is expected that if air fare prices continue to rise it will  obstruct  the flow of tourists  to Azerbaijan. Those travelers who change their route as a result  will  chose another destination  instead, for instance our neighboring country Georgia.

Low cost plane tickets and the presence of several low-cost airlines are considered one of those factors that gain momentum for tourism development in Georgia. For comparison when round trip flight by AZAL from Baku to Moscow costs 463AZN (590USD) Tbilisi-Moscow–Tbilisi by Georgian airlines costs 397AZN (506USD). AZAL offers Baku-Kyiv-Baku ticket for 370AZN (472USD), the same destination from Tbilisi is 280AZN (358USD). Under these circumstances  faced  with two choices  potential travelers  are more likely to avoid  our country.

Some foreign airline companies flying to Baku have also increased ticket prices.

Ticket sales offices in Baku admitted that  several airlines belonging to Russia and Ukraine have already  relatively increased prices because they refuel in Baku. Now passengers will have to pay 15-20 manat (20-25USD) more more than before.

 

Vusal Azizov