Reductions will be applied to service fees for transfer passengers, landing fees for larger aircraft types, and franchise fees for flight catering and ground handling services. Refunds that are already issued for landing fees for long-haul flights, aircraft parking and aerobridge charges will also be extended.
Support will also be put in place to encourage airlines and ground handlers to achieve high service and efficiency standards at Changi Airport, which, together with the implementation of productivity enhancement initiatives, aims to strengthen the competitiveness of Changi airport as a global air hub. Further to this end, the CAG seeks to increase transfer and long-haul traffic and subsequently intends to reduce the Passenger Service Charge for transfer and transit passengers by two-thirds from S$9 to S$3 from July 1 2015. The 50% landing fee refund offered for long haul flights, which is currently due to expire on March 31 2016, will also be extended by another year to 31 March 2017, in the hope of enhancing the attractiveness of Changi Airport as a long-haul transfer hub for both airlines and passengers. The existing 50% landing fee rebate for scheduled freighter operations - due to expire on 31 March 2015 – has also been extended to September 30 2015, after which, the rebate will be adjusted to 30% and apply until 31 March 2016.
There are also plans to decrease landing fees by up to 5% for large aircraft weighing over 360 tonnes, and to extend a number of existing rebates enjoyed by airlines. The ongoing 50% parking fee refund and 15% aerobridge fee refund – which were originally scheduled to end on June 30 2015 – will be extended to 31 March 2017.
From May 1 2015, there will additionally be a 20% rebate on both flight catering and ground handling franchise fees, giving ground handling companies more scope to improve services on the ramp, for example by employing more staff during peak periods.
