Budget carrier Air Premia wins gov t approval for operations
Posted : 2021-07-16 11:58
Air Premia / Courtesy of Air Premia
Budget carrier Air Premia has obtained government approval for its operations amid the extended COVID-19 pandemic, the transport ministry said Friday.
The ministry issued an air operator certificate (AOC) to Air Premia to allow it to use aircraft for commercial purposes. Air Premia needs to report its routes to the aviation authority before it begins flight services, a ministry official said.
South Korea has two full-service carriers ― Korean Air Lines Co. and Asiana Airlines Inc. ― and 10 LCCs ― Jeju Air, Jin Air, Air Busan Co., Air Seoul Inc., Eastar Jet, T way, Fly Gangwon, Air Premia, and Air Incheon Co.
Analysis
The COVID-19 pandemic has sent many airlines spinning into financial ruin, and some will not survive the industry’s largest crisis.
However, there are still a handful of Asia-Pacific start-up airlines that are defying the bleak environment and persevering with plans to launch operations.
In Hong Kong, Vietnam, South Korea and Pakistan, new airlines are pushing ahead with their market entrances. In most cases the pandemic has delayed their plans, either due to disruptions to their own preparations, slower regulatory approvals, or changes to aircraft delivery schedules.
There is no doubt they are entering service during extremely challenging market conditions. However, they do have some advantages.
How Does South Korea Sustain So Many LCCs?
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South Korea may not be the country that comes to mind when thinking about a bustling low-cost airline market. However, the country is home to eight low-cost carriers and continues to steadily add more. So how does South Korea sustain so many budget airlines? Where are they flying? Let’s find out.
The growing low-cost market has made South Korean routes some of the busiest in the world. Photo: byeangel via Wikimedia Commons
Competition
While Korean Air and Asiana may be the most recognizable airlines in South Korea, low-cost carriers (LCCs) are growing. The entry of LCCs has seen the Korean aviation market double in size over the last decade, according to CAPA. As prices of tickets fall, more passengers take to the skies every year, with South Korea seeing a 20% rise in passenger traffic in 2018 alone.