Jetstar may be barred from Singapore-KL route: report
5 hours ago
KUALA LUMPUR (AFP) Malaysia may bar the low-cost Australian
airline Jetstar from flying the lucrative Singapore-Kuala Lumpur
route which is being opened up after a long monopoly, a report said
Wednesday.
"I think the (aviation) agreement with Australia does not allow
that," Transport Minister Chan Kong Choy was quoted as saying by
the Star newspaper, referring to the government-to-government
pact.
"Currently Jetstar is only allowed to operate from the Kuala Lumpur
International Airport to Sydney," he added.
Malaysian transport officials could not be reached for
comment.
Last month JetStar, a budget airline backed by Australia's Qantas
Airways Ltd., received approval from Singapore's government to fly
the route from February 1.
Subsequently, Jetstar advertised promotional fares from 1.88
ringgit (0.57 dollars) plus taxes and surcharges, but stated that
the flights were still subject to regulatory approval.
Singapore also granted Tiger Airways rights to operate the route
from February, while from its side Malaysia proposed Kuala
Lumpur-based AirAsia -- the region's largest budget carrier.
Malaysia Airlines and Singapore Airlines have enjoyed a profitable
lucrative 35-year stranglehold on the short KL-Singapore hop.
http://afp.google.com/article/ALeqM5hZfiRJ7JzYBo8luWzDrTL4fYIpFA
