We’re not sure of the full implications yet but basically the Ecuadorian government is eliminating fuel subsidies for flights within the country. The full text from domestic airline Aerogal is below but at heart it’s just a warning that prices of all flights within Ecuador are likely to see price hikes from January 2012 and that these hikes will be applied to all bookings whether or not the tickets have been issued.
We’ll keep an eye on the situation and hope to have more concrete information soon.
“As is public knowledge, on Saturday November 25, 2011 the President of the Republic, Economist Rafael Correa, announced the total elimination of the subsidy on fuel for domestic airlines to take effect from next January 1, 2012 .
This government decision requires us to those who work in the area of air transport of passengers and cargo review some aspects of the operation and marketing of our services from early next year.
Therefore, we inform you that valid from January 1, 2012 shall be charged a fuel surcharge on airline tickets are issued under the contract.
At the moment, we are waiting to know the official decree to define the percentage of the rise and immediately share it with you.
We are working to find the best alternative to the elimination of the subsidy the least possible repercussions on the national and international tourism. Therefore, AeroGal invited to continue to promote and investments that have developed in different markets around the world in support of tourism to our country.
Sincerely,
Mario Cruz
Director General AeroGal “