Druk Air cuts flights to offset fuel hike

Druk Air, Bhutan's national airline, has temporarily slashed its flight frequency on several routes to deal with the 25 percent average hike for the year 2007-08 in aviation turbine fuel prices and the lean tourist season.
Flights to Bangkok have been reduced to six from eight flights a week, with the Friday flight via Kolkata and the Saturday flight via Dhaka gone to the chopping block. The four flights a week on five routes from Paro to Dhaka, Delhi, Gaya, Katmandu and Kolkata, have been cut by a flight each.
Druk Air expects to make a cost saving of 28 percent of the operating cost, or Nu 6.5 million a week, from the reduced flying frequency.
It is also timely for the national airline as passenger numbers drop in July, August and September, the lean season for tourists visiting Bhutan.
The regular air timetable will, however, resume with the start of the autumn tourist season in October, said Druk Air officials.
Following the global crude oil price hike, state-owned oil firms in India have increased additional fuel surcharges by Rs 300 on short-haul routes and Rs 550 on long-haul routes per passenger to cushion the 18.5 percent increase in price of aviation turbine fuel in India
The fuel is transported from the Hashimara aviation fuel station in West Bengal, India.
A finance officer in Druk Air, Rinzin Dorji, said that aviation turbine fuel costs Rs 56.10 in Kolkata, Rs 51.88 in Delhi, Rs 65 in Katmandu, Rs 52.95 in Gaya, Nu 54.31 in Dhaka, Nu 43.80 in Bangkok and Nu 63.17 in Bhutan.
Druk Air also uplifts fuel from Bangkok, Delhi and Kolkata, where the prices are relatively lower.
19/06/08 Kuensel, Buhutan's National Newspaper, Bhutan

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Categories: Foreign Jun 2008