When traveling, one of the most important personal preferences we consider is the price. With the global economic crisis, price is even more important than before and certainly applies to the price of flights.
So, when ACSA first put forward the proposed tariff hikes in 2010, many breathed a sigh of relief when the application was delayed with the regulator. However, this was not a relief, particularly for passengers.

As of 1 October 2011, the Airports Company of South Africa (ACSA) increased taxes for the airlines by around 70% for passenger service, landing and aircraft parking charges. The delayed implementation of the 34.8% increase approved by the regulator in April 2011 added to the implementation of the 33% increase awarded in 2010, and the increase seems far more daunting.
The airport operator is seeking to recover revenue lost since April 1, when the increase was initially planned to come into effect.

The affect of the increases on air travel for local and international travelers are the biggest concern for the Airlines Association of Southern Africa (AASA). Already battling to cope with the increase in fuel prices, the new tax could mean a serious problem for an already struggling industry.

But for passengers, the most important question remains: What does the ACSA tax hike mean to me? How will all the new amenities and tax hikes impact on my travel plans and costs?

Consumers are charged a number of different regulated and non-regulated charges, depending on if it’s domestic or international flight. Obviously, it cannot be expected of the airlines to absorb the cost of the increase, and it will naturally be passed onto the consumer.

Passengers can be expected to face an average increase of R100 to R200 more per flight, with the taxes 70% higher than what they have been previously. The 34.8% increase implemented on 1 October this year, effectively doubles charges over the next six months and will certainly have an affect on travel plans in South Africa, particularly for domestic travel over the festive season.

This kind of increase will further affect how much travelers spend on the rest of their travels and may show a negative impact for the rest of the South African Travel industry, as passengers look to reclaim the money by spending less on other travel arrangements such as car hire, shuttles, accommodation and food.