New provincial Thai airlines seek licences

[Admin]

New provincial Thai airlines seek licences 
Bangkok Post: 8 Dec 2009
Two more provincial carriers apply for licences


Despite the difficulties plaguing the aviation industry, two new airlines hope to take to Thailand's skies to operate inter-provincial routes.

Nakhon Chiangmai Air and Legacy Air have applied for commercial air services licences with the Department of Civil Aviation (DCA).

But the promoters of the Thai-owned airlines have yet to meet prerequisites including paid-up capital of 200 million baht each, said Wuthichai Singhamanee, the DCA deputy director-general.

Nakhon Chiangmai Air aims to use Chiang Mai as a hub, initially for regular flights to Udon Thani and Phitsanulok. Legacy Air would fly from Nakhon Ratchasima to Chiang Mai, Phuket, Phitsanulok and Bangkok.

Both airlines propose to use turboprops - the French-made ATR-72 for Nakhon Chiangmai Air and the Swedish-made Saab 340 for Legacy. Both also want to launch services next month.

The profiles of the backers of the two new carriers remain sketchy. Nakhon Chiangmai Air is said to be promoted by a local northern business while Legacy's owner is reportedly a Thai businessman who runs oil tanker businesses.

The DCA has asked the two airlines to cover routes served by PB Air, the now-defunct carrier founded by Boon Rawd Brewery baron Piya Bhirom-Bhakdi. Specifically, the DCA urged the two to offer flights from Don Mueang Airport to Mae Sot, Lampang and Nan.

Nok Air, the budget airline 39% owned by Thai Airways International, last Thursday took over flights on three PB Air routes - from Don Mueang to Sakhon Nakhon, Nakhon Phanom and Buri Ram - using an ATR-72 leased from THAI.

The deputy DCA chief said the chances of Nakhon Chiangmai Air and Legacy Air sustaining their proposed ventures were quite good because they use low-capacity non-jet aircraft and there is demand on the routes. The ATR-72 can seat 70 passengers while the Saab 340 can carry 33 passengers.

The latest Thai startup airline was Happy Airways in October with flights from its Phuket hub to Hat Yai, and from Hat Yai and Phuket to Langkawi.

As of September, 48 air transport and airborne activities held licences. But the bulk of them have no active operations.

[nookiebear]

It will always prove difficult for new airlines with one or two aircraft to succeed in a cut throat marketplace.