Domestic airfares are to drop by an average of 4.3 percent from Dec. 31, following a cut in fuel prices by state-owned CPC Corp, Taiwan, the Civil Aviation Administration (CAA) said yesterday.
Under the local air ticket pricing mechanism, domestic flight operators must cut fares if fuel prices set by CPC fall below a certain threshold, which is NT$21.74 per liter for the October-to-December period.
Mandarin Airlines, a wholly owned subsidiary of state-run flag carrier, China Airlines, would see the biggest fare cut, with one-way tickets on its Taipei-Kinmen route dropping from NT$2,641 to NT$2,459, down NT$182 or 6.1 percent.
Photo: CNA
One-way tickets between Taipei and Kinmen on flights run by EVA Airway’s subsidiary UNI Airways would see the second-largest drop, falling from NT$2,618 to NT$2,458, down NT$160 or 6.1 percent.
Daily Air passengers flying from Taitung to Green Island would see the smallest reduction, with one-way fares dropping only NT$30, or NT$2.7, percent from NT$1,130 to NT$1,100.
Carriers would refund the price difference to passengers who have already bought tickets for flights departing from Dec. 31, the CAA said.
According to market analysts, fuel accounts for about 40 percent of a carrier’s operating costs.
In other news, the Tourism Administration yesterday said that for the first three quarters of this year, the average hotel room price decreased by NT$30, or 1.01 percent.
In Hualien and Taitung counties, the occupancy rate recovered slightly to 30 percent, following the April 3 earthquake.
The average room rate decreased from NT$2,973 to NT$2,943, slowing the trend of price increase, the agency said.
The room occupancy rate for the first three quarters was 48.33 percent, a 3.03 percent decrease from 49.84 percent for the same period last year, it said.
The reasons behind the lower occupancy rates include the reopening of borders, which has led to more people traveling abroad, and exchange rate fluctuations, the agency said, adding that the earthquake in April, typhoons and lack of traveler confidence negatively affected tourism to Hualien and Taitung.
The occupancy rate in Hualien County in the second quarter was about 10 percent, and rose slightly to between 20 percent and 30 percent in the third quarter, it said.
Meanwhile, Taitung County’s room occupancy rate was between 20 percent and 30 percent in the second quarter, and rose to 32 percent to 36 percent in the third quarter, it added.
Local activities can entice travelers to stay the night, as the room occupancy rates in Hsinchu, Tainan, New Taipei City, Kaohsiung, Penghu and Yunlin improved in the third quarter compared with the same period last year, the agency said.
That shows local cultural attractions, such as food, musical events, art shows, athletic competitions and the like, can increase travelers’ desire to visit Hualien, it said.
The Hualien travel subsidies provide monthly accommodation funds of NT$1,000 for the first night and NT$1,500 for the second night until Dec. 20, or until the funds run out, it added.
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