4 replies to this topic

[MAZvt]

I am trying to operate a few airlines flying turboprops in less populated places. E.g. I want to run a safari airline in East African countries and maybe an airline that covers Northern Canada.

 

One important factor with these airlines I that taxes and fees are frequently over half the costs for airlines with very small planes. Is this realistic? My limited understanding of this is that most real taxes and fees are proportional to the number of passengers flown and are not a fixed number per flight. Also, there often are actually subsidies for service to small airports in many countries. I attached an example for a small plane flying in Eastern Europe. 

 

 Screen Shot 2018-03-05 at 10.18.14 AM.png   88.88KB   3 downloads

 

There was a previous topic that suggested that this would be changed. I'm wondering if there is any attempt to change this? Perhaps to make taxes/fees proportional to the number of passengers carried? Or if people think these high taxes/fees are a realistic and desirable thing. 

[Tesla]

It’s high but not that unrealistic. Large aircraft tend to be cash cows for cash strapped small airports.

And yes, this is my first post here in almost 6 months I think.

[MAZvt]

Thanks for the interest. I'm not exactly sure what you mean, though. 

 

My understanding is that airports make money on gate fees and landing fees. The landing fees are $36 for that flight and the gate fees aren't included there. I am not sure what the "Other Taxes and Fees" are, and who they go to, but they are about 100 times the landing fees. 

 

The Other Taxes and Fees seem to make it almost impossible to make any profit flying anything with less than 20 or so seats, like a DHC-6 Twin Otter. Given that several of these are actually flying, it seems like it might be desirable to make them economical under some business model. Maybe someone knows what "Other Taxes and Fees" are, and how to control them with small planes?   

 

In the US it seems like taxes become subsidies at small airports, so taxes should be smaller: https://en.wikipedia...ial_Air_Service

[Jamesthomeson]

I'm not exactly sure how taxes and fees are calculated but I have noticed that they are higher on international routes. I found this out by comparing the taxes and fees of domestic routes from Hanoi to other Vietnamese cities with routes to other countries within a similar range.

[MAZvt]

Thanks. I also saw that they are higher internationally. Should have said that. They are still high within a country, though.