SEPANG: AirAsia Group Bhd (AirAsia) has hedged over 50 per cent of its fuel consumption throughout this year, said executive chairman Datuk Kamarudin Meranun.
He said the move was made after factoring in the additional flights and fare promotions that would be introduced during the festive seasons this year.
“Previously, we have done between 50 per cent and 60 per cent of fuel hedging. Next year, we are also looking at hedging when the price is lower,” he said at the press conference after launching AirAsia’s special flights for Chinese New Year here today.
Kamarudin said the fluctuation in the fuel prices could be a permanent or temporary depending on the situation in the Middle East.
“When the time the fuel prices is low, we will take the opportunity to hedge. As far as we are concerned, we are fairly comfortable this year,” he said.
AirAsia (Malaysia) is offering additional late night flights with 12,960 seats at fixed low fares to selected cities in Peninsular and East Malaysia for travelling period between January 21 to January 31 January, 2020.
“This is not the first time we are doing this. We have done this before. It is a continuous effort on AirAsia part, working together with the Ministry of Transport, providing a lot more affordable fares during festive seasons,” he added.
AirAsia Malaysia chief executive officer Riad Asmat said this promotion typically garners enough interest and take up from customers.
“This year, we expect the trend will be the same as last year. This is all about Shared Prosperity as AirAsia has championed the commitment in line with the government’s vision since the very beginning, not only in form but in spirit and substance.
“As the people’s airline, we truly value the feedback from our guests to have fixed low fares to and from East Malaysia for the upcoming Chinese New Year,” he said.
Transport Minister Loke Siew Fook said the additional flights and fixed fares help some people (younger and working adults) to go back to their respective hometowns at affordable air fares.
“Festive season brings the opportunity for all of us to reunite with our family and friends beside strengthening our ties as Malaysians.
“Hence, we are pleased that AirAsia continues to support the government’s initiative to bring down fares during the festive season and increase the convenience of flying for the rakyat, especially to help the students who reside in East Malaysia,” he said.