Monday, August 4, 2014

Tuzla Airport to hike Wizz Air fees

Fee increase could jeopardise Wizz Air operations in Tuzla

The Tuzla Canton government has confirmed it is looking to increase fees and taxes for low cost airline Wizz Air which currently operates flights from five cities to the airport that previously struggled to attract any customers. The Minister for Transport in the Tuzla Canton government, Mustafa Isabegović, said over the weekend, “When an airport has its own market, we can say we want this and that, do you want to work with us or not”. The minister added, “We want Tuzla Airport to become a profitable business, as early as next year”. The government is looking at a fivefold increase in fees and charges. Both local authorities and the low cost airline have been locked in talks over the past week.

The news comes in the backdrop of Wizz Air’s recent decision to reduce operations from its Belgrade base as a result of a hike in fees. Only last week the budget carrier said in a statement, “The airline’s continued presence in Belgrade has been put into doubt earlier this year when it had to halve capacity following a significant increase in charges. This not only undermined our growth plans for the country, but also in the trust that Serbia is committed to fomenting low cost air travel”. Wizz Air launched flights to Tuzla, its only destination in Bosnia and Herzegovina, last year. Flights have proved successful so far with the airline steadily increasing its operations to the city over the past twelve months. However, it is unknown whether Wizz Air is subject to fees and charges and to what amount at Tuzla Airport.

The newly named acting CEO of Tuzla Airport, Rifet Karaselihović, said during the weekend, “We plan to expand our cooperation with Wizz Air as well as other airlines. We also want to establish regular charter flights to European destinations, primarily Vienna and Zurich. This government has requested for taxes to be increased for Wizz Air. Wizz Air has said it is not prepared for such a move and talks are continuing”. Mr. Karaselihović added the original contract signed with Wizz Air last year gives the government an opportunity to renegotiate fees after twelve months. “The year has passed”, Mr. Karaselihović said. Ahead of talks between the two sides last week, local authorities said Wizz Air could open a base in Bosnia and Herzegovina’s third largest city and launch up to seven new routes. However, the recently dismissed CEO of Tuzla Airport, Esed Mujačić, said “Interests of certain groups of people, who do not wish to see Tuzla Airport develop, such as the land transport lobby, are now being put in charge”. In the first half of the year, Tuzla Airport handled 53.053 passengers, up 691% on the same period last year, primarily as a result of Wizz Air flights.

31 comments:

  1. Sad ce Wizz Air pobeci iz Tuzle napada ih Ministar. Najbolje da im daju da za dzabe uzlecu i slecu. Najgori su ubedljivo. Nece u VIE da slecu zato sto je preskup, nek se ugledaju na druge LCC
    INN

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    1. Naravno da nece u VIE da slecu zato je preskup. Da lete na glavne aerodrome ne bi mogli da odrze niske cene i zato lete na jeftine aerodrome. To je uostalom i poenta LCC. A ako pod "druge LCC" podrazumevas Easyjet, Norwegian, Vueling itd. samo se seti da takvi opsluzuju trziste zapadne Evrope koje ima visi standard od istocne Evrope koju opsluzuje Wizz...

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    2. easyJet,Norwegian i Vueling su dostupni i na srpskom trzistu pa nekukaju,neplacu i neprave se zrtvama kao WIZZ AIR, njima je i Gatwick preskup.
      INN :-)

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    3. I Croatia je na srpskom trzistu.

      Inace, zasto OU ne nudi letove BEG-SPU-CDG na primer?

      Znam da oni imaju hybrid low-cost model ali zar ne bi mogli da zapravo vrse tranzit sa vise baza, umesto samo jedne kao Air Serbia?

      Hvala.

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    4. Croatia nema ni približno dobru uslugu kao Norwegian...

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    5. Norwegian ima porucenih 100 737MAX
      100 A320 NEO .
      Zasto da lete kad ASL ima codeshare sa AF i predobar LF i ko bi leteo za CDG sa DASHOM.
      INN

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    6. Niko od njih nema bazu u Srbiji. Avikompanija koja je prosle godine Beogradu donela pola miliona putnika, po meni, ima potpuno pravo da se zali...

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    7. Gospodine kraspeed oni su imali i dobru zaradu od tih pola miliona putnika + dosta popusta na LYBE.
      Sad placu i u Tuzli :)

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    8. Naravno da su imali dobru zaradu, stavise, to je i cilj poslovanja aviokompanije - da zaradi na vazdusnom prevozu putnika. Ali, isto tako je imao zaradu i aerodrom. Ali sada je konkurencija Er Srbiji, koja je, naravno, miljenik trenutne vlasti.
      P.S. Zasto nisi stavio INN na kraju? Krajnje je ocigledno iz tvog nacina pisanja...

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    9. Nisam namerno zaboravio, slucajno sam stvarno :-)
      INN

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  2. Sto ja volim SFRJ i sve njene idijote po spisku.
    Akcionarima nisu dostupne poslovne knjige.
    U ovom slucaju , gradjani- vlasnici Aerodroma Tuzla ,nemaju mogucnost da znaju za koje pare njihova komapnija pruza usluge drugoj kompaniji. Uzrocno posledicno ne moze se znati niti profit pogotovo ne izgled za profitom niti eventualno planiranje prihoda od dividendi.
    stavilmo li to u pravilan kontekst jasno je da je po sredi neka otimacina ili radnje i aktivnosti koje bi po sluzbenoj duznosti trebale biti predmetom interesovanja javnog tuzioca.
    Da je samo Tuzla jos bi se nekako ali ne postoji daans aktivnost koja nije u toj kategoriji ,da ne nabrajam.
    I naravno da se ovi bune.
    Do sada su placali smao mito, a od sada im neko trazi mito,plus taksa.
    Boze, fali ti sto ne zivim u SFRJ . :)

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  3. vizer je aviokompanija kojoj je najmanji interes zadovoljstvo putnika. jedina na svetu gde mozes da putujes samo sa malim skolskim rancem na ledjima, a sve ostalo naplacuju i uzimaju ogromne pare, za deset godina postojanja 20ak baza i 40ak aviona gde jedan kosta oko 100 mil eur. a kada dodje na aerodrom mole da im ne naplacuju nikakav fee, pa onda ta moljakanja u vidu pregovora traju mesecima. beda..

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  4. Replies
    1. I only hope WZZ will have enough patience and wisdom in this...

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    2. The problem over there is a very strong "autobus" lobby. With flights to Tuzla they have been seriously affected - evidently somewhere in cacophony Cantonal government someone is representing their interest (oiled with some bribe of course)

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  5. Threre is a reason LCC stay away from the Balkans. This is one of them

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  6. I'm wondering what the catchment area of Tuzla airport is beyond Tuzla Canton? I mean do people from Sarajevo, Banja Luka, Osijek, Bijeljina etc. use it? Is it a significant percentage?

    -- Charlie

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    Replies
    1. I know a bunch of people from Sarajevo and Brcko that used it. Even some people I know from Sweden flew there instead of SJJ. It shows what people are ready to put up with to save some money.

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    2. I also used it once and saw some people from Loznica , Sabac etc.

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    3. Registration plates from Western Serbia and Eastern Croatia are regular sight in front of TZL, and not to mention people coming from Sarajevo or Central Bosnia.
      Remeber that TZL is only 100 km away from Sarajevo

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  7. Wizz is not in love with Belgrade airport any more, they are now being pushed out of Tuzla, Nis airport is asking LCC's to move in - are we going to see Wizz move from Belgrade and Tuzla to Nis?

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  8. OT: Update on Privatization of Belgrade Airport

    From yesterday’s interview:

    "Treba da sednemo sa rukovodstvom, ali očekujem da to bude završeno 2015, da to bude dodatni podsticaj razvoju srpske ekonomije i do sada najveća investicija u Srbiji", rekao je Vučić

    It looks like this brief update went under the radar thanks to the error in Tanjug article. Expected deadline for privatization has been quietly pushed back, first to the second part of 2014 and now is the first time it was officially pushed out to 2015. Without commitment to any specific quarter of 2015, this could possibly mean deal could be pushed out to the end of 2015.

    Without going into potential reasons for this delay, let’s look at implications for Air Serbia and overall traffic at BEG. Assuming privatization/concession deal being signed in the last quarter of 2015, it would not be realistic to expect opening a new terminal in the 18 months following the deal. That would bring the earliest timeline for opening a new terminal past 2017 summer season. For all intents and purposes, summer of 2018 is now the earliest possible high season for new terminal at BEG.

    While there is some room for improvement with current setup, BEG does not seem to have much room for growth in peak months beyond current July/Aug capacity. That means Air Serbia could also be growth constrained for the next three peak seasons unless they grow at the expense of other airlines being pushed out or having reduced passenger numbers at BEG. Flights to the US, planned for 2016 summer season, and required increase in regional feed needed for those routes could also be limited by this development. With expected growth at other regional airports and opening of new ZAG terminal, this could put additional pressure on Air Serbia.

    With planned start of A320neo deliveries from 2018 and potential end of 5 year Etihad contract after that, there seems to be very little overlap now between potential opening of new BEG terminal and those developments. We’ll have to keep looking for silver lining in those developments for Air Serbia and Belgrade Airport.

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    Replies
    1. +1

      One of the rare professional posters on this blog. Could you please share your contact details?

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    2. He isn't a professional, he just reposted things other people wrote during the last couple of months...

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    3. Just to clarify, I don’t work for or on behalf of Air Serbia. I can be reached at AirCEO2014@gmail.com but can’t commit to respond to every message.

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  9. Ljudi na fb stranici od ASL celo vece objasnjavam zasto ASL kasni, i ja zivim u Inostranstvu ali nisam bas toliko zaostao kao oni :)
    INN

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    Replies
    1. Ne objasnjavas nista osim koliko nista ne znas. ASL bez obzira na kise bori sa nesposobnim radnicima Aerodroma Beograda i losa organizacija poput one koju utovaraju prtljag. To i nije njegov problem, niti moj, niti bilo ciji, osim Er Srbije i BEG.

      Sto taj drugi lupeta gluposti je to sto zali da je platio za usluge na Erbas floti a ne na B733. Njegova karta kupuje gorivo za let CH - BEG, kao i ketering, pice toplih i hladnih, te bezbedan prevoz od tacke A do tacke B, aerodromskih i ostalih takse itd. To sto on zali kako ASL leti sa starim letelicama ne pije vodu, jer i dosta kompanija koriste stare letelice, i DL je do nedavno obavljao letove sa DC9 avionima koju su cak neke bili stare JAT-ove letelice.

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  10. Ljudi na fb stranici od ASL celo vece objasnjavam zasto ASL kasni, i ja zivim u Inostranstvu ali nisam bas toliko zaostao kao oni :)
    INN

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  11. Znaci ti si Marko Lukic :D

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  12. Kriminalci se bogate, dok narod ispasta! Sta vam je ljudi to je danas sasvim normalno na Balkanu...

    ReplyDelete

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