Cancelled 2,500 flights a day costs Aeronautical Radio of Thailand 4.2 billion baht at loss

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AEROTHAI’s daily expense amounted to about 25 million baht a day or 750 million baht a month. In the 2020 fiscal year, the organization expected to suffer a loss of about 4.2 billion baht.
AEROTHAI’s daily expense amounted to about 25 million baht a day or 750 million baht a month. In the 2020 fiscal year, the organization expected to suffer a loss of about 4.2 billion baht.

BANGKOK– The coronavirus disease 2019 (COVID-19) cuts the daily revenue of Aeronautical Radio of Thailand Co (AEROTHAI) from 35 million baht to zero and the organization expected a loss of 4.2 billion baht in the 2020 fiscal year.

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AEROTHAI president Somnuk Rongthong said that normally AEROTHAI collected traffic control fees worth about 35 million baht from about 2,500 flights a day.

Amid the COVID-19 pandemic, he said, it served 263 flights a day and should generate the daily revenue of about 3.1 million baht. However, COVID-19-affectd airlines did not pay the fee and also sought moratoriums and exemption of overdue payment fines. As a result, AEROTHAI did not have daily revenue, Mr Somnuk said.

The civil aviation board ordered AEROTHAI to halve its fee for domestic airlines and cut it by 20% for international airlines. However, airlines refused to pay it, he said.



AEROTHAI’s daily expense amounted to about 25 million baht a day or 750 million baht a month. In the 2020 fiscal year, the organization expected to suffer a loss of about 4.2 billion baht, he said.

To cope, it suspended the recruitment of new staff, cut unnecessary spending and reduced the remunerations of its executives by 30-50%. The measures should decrease its cost by 1.48 billion baht in fiscal 2020, Mr Somnuk said. (TNA)