Bright future for low-cost carriers<\/p>\n
Deutsche Presse-Agentur, Singapore<\/p>\n
The potential for budget travel growth in Asia is so huge a top
\nSingapore minister predicted on Wednesday intra-regional air
\ntransit will one day overtake the United States.<\/p>\n
Minister for Transport Yeo Cheow Tong noted budget carriers
\nglobally are offering 19 percent more flights this year compared
\nto a year ago at the launching ceremony for the low cost terminal
\nat the Changi Airport.<\/p>\n
\"The potential for growth in Asia is tremendous,\" he said,
\nadding budget travel in the region is still in its infancy.<\/p>\n
A vast proportion of ASEAN's 500 million people have never
\nflown before, presenting a large potential pool of air travelers,
\nYeo said, referring to the 10-member Association of Southeast
\nAsian Nations.<\/p>\n
\"If we add the combined population of 2.3 billion in China and
\nIndia, there is an exciting possibility that intra-Asian air
\ntravel will one day overtake even the U.S.,\" Yeo said.<\/p>\n
The ceremony marked the first anniversary of services by
\nSingapore's first low-cost carrier. It was a year ago when
\nValuair, owned by former Singapore Airline (SIA) executives, took
\nto the skies.<\/p>\n
Within six months, Tiger Airways -- owned by SIA, Indigo,
\nIrelandia and the Singapore government's investment arm -- and
\nQantas-owned JetStar Asia started services.<\/p>\n
\"The operating environment in Asia is vastly different from
\nthat of the U.S. or Europe,\" Yeo said, citing the regulatory
\nenvironment among other factors.<\/p>\n
\"While some countries, such as China, Thailand and Brunei have
\nliberalized their aviation markets, most Asian countries are
\nstill very protective of their air rights,\" Yeo noted.<\/p>\n
In outlining the upcoming terminal design and layout, Yeo
\nsaid, \"Low cost carriers do not require many amenities, such as
\nbusiness lounges, travellators or aerobridges... This low cost
\nterminal will ensure that our infrastructure and services suit
\ntheir business model.\"<\/p>\n
With construction expected to be completed in a year's time,
\nYeo said the two adjacent single-story buildings will be cheerful
\nand relaxing, with travellers greeted by soothing colors on the
\nwalls, floors and decorative ceiling features.<\/p>\n
A range of shops will include money changers, retail
\nestablishments, food and beverage outlets and duty-free shopping.<\/p>\n
The 25,000 square-meter facility will be able to handle about
\n2.7 million passengers a year.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/bright-future-for-low-cost-carriers-1447893297",
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"sponsor": "Okusi Associates",
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