Principles for Determining Domestic Air Transportation Service Prices from October 1, 2015

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Circular 36/2015/TT-BGTVT stipulates the principles for determining the prices of domestic air transport services and specialized aviation services as follows:

- General principles for the prices of domestic air transport services and specialized aviation services:

- Service prices are determined based on the actual and reasonable business production costs; appropriate to service quality, market supply and demand conditions.- The price level is suitable for economic-social development policies in each period and consistent with the price level of the same type of services in the ASEAN region.- The service price must ensure competitiveness and not abuse monopoly positions.

- In addition to the general principles stated above, organizations and individuals providing specialized aviation services must comply with the following principles:

- Aviation service prices for international flights are determined on the basis of ensuring investment capital recovery, creating unit accumulation, appropriate to the volume and scale of investment; allowing the application of pricing methods to improve the quality of services provided by airports.- Aviation service prices for domestic flights are determined based on the domestic market prices, taking into account the relationship between domestic and international prices for the same type of service.- Non-aviation service prices at airports are implemented on a non-monopoly principle, appropriate to the market, ensuring the rights of customers and complying with legal regulations on pricing.

For details, see Circular 36/2015/TT-BGTVT, effective from October 01, 2015

Le Hai

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