Air fares to vary at different times

Domestic airlines are likely to introduce a system of fixing variable air fares depending on the travel time as early as next year. At present, a single airline company sets uniform rates for the same route. This causes frequent disputes with the communities served by the airlines whenever fares are raised, according to the Ministry of Construction and Transportation. The ministry said Sunday it is considering a plan to charge different rates for different time periods.

Such a system is used in most advanced countries, where higher fares are imposed during peak times and lowered in the early morning hours when there are fewer passengers. It could allow local clients to make use of airlines at a convenient time when the rates are more affordable to them. Airlines are also in favor of the plan as it could attract more passengers in time periods when the seats are not fully booked.

Another plan under consideration by the ministry calls for giving a bigger discounts for reservations made further in advance. Transportation authorities asked Korean Air Lines and Asiana Airlines to submit blueprints for improving their rates scale and hope to finalize the plan in the first half of the year, after further consultation with the airlines concerned.

Yonhap