Move will put Changi high on list of priciest air hubs: Analysts

It may also be at disadvantage against other regional hubs with lower costs, they say

- Kok Yufeng

An increase in the fees and levies that passengers will need to pay when departing from Changi Airport puts Singapore high on the list of the most expensive air hubs, said aviation analysts.

While the increase in fees is necessary to fund infrastructural projects and offset rising costs, it may lead to a reduction in budget flights to smaller cities, where demand is more sensitive to price hikes.

The higher fees may also put Changi Airport at a disadvantage against other regional hubs with lower costs, analysts told The Straits Times.

Already, the $65.20 in fees and taxes that travelers pay when booking a flight from the airport today is more than double those of Kuala Lumpur International Airport and Bangkok's Suvarnabhumi Airport.

From April 2027, fees levied on departing passengers at Changi will go up in stages, reaching a total of $79.20 in April 2030, a 21 percent jump.

Assistant Professor Awad Khireldin, who teaches air transport management at the Singapore Institute of Technology, said Singapore's aviation charges remain competitive when compared with major air hubs in Europe and the US.

But the latest fee hike may deter budget-conscious travelers and impact route planning and pricing for airlines, as Changi would appear to be costlier than regional hubs such as Bangkok and Hong Kong, he added.

Mr Mayur Patel, head of Asia at aviation data consultancy OAG Aviation, said the hike in fees at Changi Airport is necessary in today's high-inflation environment, and airports worldwide are adjusting their charges in response to cost pressures.

ST looks at how the departure fees for passengers here stack up against those of other major airports.