Airports of Thailand announces help for concessionaires and airlines
The Airports of Thailand Public Company Limited (AOT) has announced assistance measures for concessionaires and airlines affected by the COVID-19 outbreak.
These assistance measures are in effect for all six airports under AOT’s supervision, to mitigate impacts of the decline in flight and passenger numbers on the concessionaires and airlines, in line with the government policies.
If the airport in which the concessionaire or airline has temporarily closed, or if the concessionaire or airline has temporarily suspended its operations, AOT will exempt the collection of office and state property rents, terminal and building service charges and fixed monthly concession charges for nine months, from April 1 to December 31, 2020, or until the date the concessionaires and airlines resume operations, whichever comes first.
If airlines suspend operations or if a specific airport under AOT’s supervision is temporarily closed, AOT will exempt parking charges for nine months, from April 1 to December 31, 2020; this exemption must be approved by the Minister of Transport.
If airport, airline or concession continues to operate
If the concessionaire or airline continues to operate, the AOT is offering a 50 percent reduction in office and state property rents for nine months, from April 1 to December 31, 2020. Additionally, the company will collect terminal and building service charges at the rate of 15% of office and state property rents, which have been reduced by 50%.
For airlines that continue to operate, the AOT is offering a 50% reduction in landing charges and in parking charges nine months, from April 1 to December 31, 2020. Charter flights will be eligible for these assistance measures from May 1.
Airlines will not be allowed to add up assistance measures; they will have to choose the one that benefits them most.
Request for credit term
For concessionaires and airlines that make the request, a six-month credit term of payment for office and state property rents, terminal and building service charges, landing and parking charges and aircraft service charges will be offered, and a credit term of payment for concession charges to the concessionaires, for previously each of the six monthly installments (February – July 2020) to each of the 11 monthly installments (August – December 2020) is available if requested by the concessionaires and airlines.
Determining factors
The AOT will consider adjustment of the rates of fixed concession charges and minimum guarantees for commercial activities after completion of assistance measures. These will depend in part on whether agreements were signed and licenses granted and operations begun by AOT before February 19, 2020.
In determining concession charges and assistance, the AOT will make a comparison with passenger figures from previous years. The AOT reserves the right to make any change, correction, or cancellation of conditions of assistance measures for concessionaires and airlines whenever appropriate, in accordance with the situations and impacts caused by the COVID-19 outbreak.
