Decision No. 2604/QD-BTC dated October 31, 2011 of the Ministry of Finance on the amendment and supplement some articles in the price list and charge frame for certain aeronautical services promulgated as attachment in the Decision no. 426/qd-btc dated 25th February 2010 of the Ministry of Finance on level of prices and charges frame for certain aeronautical services at airports and aerodromes of Viet Nam

DECISION

ON THE AMENDMENT AND SUPPLEMENT SOME ARTICLES IN THE PRICE LIST AND CHARGE FRAME FOR CERTAIN AERONAUTICAL SERVICES PROMULGATED AS ATTACHMENT IN THE DECISION NO. 426/QD-BTC DATED 25TH FEBRUARY 2010 OF THE MINISTRY OF FINANCE ON LEVEL OF PRICES AND CHARGES FRAME FOR CERTAIN AERONAUTICAL SERVICES AT AIRPORTS AND AERODROMES OF VIET NAM

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THE MINISTER OF FINANCE

- Pursuant to the Law on Civil Aviation of Viet Nam No. 66/2006/QH11 dated 29th June 2006;

- Pursuant to the Decree No. 170/2003/ND-CP dated 25th December 2003 of the Government providing detailed implementation of some articles in the Price Ordinance; the Decree No. 75/2008/ND-CP dated 9th June 2008 of the Government on the amendment and supplement of the Decree No. 170/2003/ND-CP dated 25th December 2003 of the Government;

- Pursuant to the Decree No. 118/2008/ND-CP dated 27th November 2008 of the Government on the functions, duties and organization structure of the Ministry of Finance;

- Pursuant to the Joint Circular No. 103/2008/TTLT-BTC-BGTVT dated 12th November 2008 of the Ministry of Finance and Ministry of Transport instructing the management of domestic air tariff and aeronautical services charges at airports and aerodromes of Viet Nam;

- Pursuant to the assessment result and in considering the request of the Ministry of Transport at its official letter No. 5891/BGTVT-VT on 21st September 2011;

- At the request of the Director General of the Price Administration Department.

DECIDES:

Article 1:Amendment and supplement some articles of Price list and Charge frame for certain aeronautical services promulgated by the Decision No. 426/QD-BTC dated 25th February 2010 of the Ministry of Finance as follows:

1. Amendment Clause 1 of Article 2 on the classification of airports as follows

“1. Airports of Viet Nam are classified into 2 groups:

a) Group A: Airports of Noi Bai, Da Nang, Tan Son Nhat, Phu Bai, Cam Ranh, Cat Bi, Can Tho, Lien Khuong.

b) Group B: airports other than those specified in Group A.

2. Amendment and supplement Article 5 on the Subjects of the reduction of prices as follows:

“1. The charge favorable policy shall be applied in case of:

a) The first air carrier operates a total new international route to/from Viet Nam;

b) The air carrier operates to/ from Viet Nam at the low hour. Based on the actual situation at each airport and aerodrome, the Civil Aviation Authority of Viet Nam publicize the peak and low hours and submit the charge favorable policy applied to the air carriers to the Ministry of Transport.

c) The new Vietnamese air carrier starts its operations into air transport market.

2. The period of time, applicable level in favorable policy in this Article, paragraph 1 as follows:

a) The period of time shall be applied: From the date that the air carrier begins to operate until the date of average seat load factor in three months reaches 80% (eighty percent). The period of time apply will last no than consecutive 36 months.

b) Applicable level: The amount of price reduction is no more than 50% of the basic charges. The highest price reduction level shall be applied to the air carrier whose entitled more than one price reduction level.

3. The price reduction policy shall be applied to the air carrier whose total payment on the monthly invoice on the aeronautical services charge level and frame of charges regulated by the Government (excluding the charges for over flight air navigation aids services and Passenger Service Charges)

3.1. For the aeronautical services provided to international flights:

3.2. For the aeronautical services provided to domestic flights:

3.3. The determination method of the total payment on the monthly invoice shall be as follows:

a) For the aeronautical services of provided by Airport Corporation: Total payment on the monthly invoice shall be the amount which the air carrier have to pay to the airport corporation, based on the charges list stipulated by the Government at Section I, Chapter II (excluding the charges for over flight air navigation aids services and passenger service charges) and the charges prescribed by the Airport Corporation, within the frame of charges stipulated by the Government in Chapter II, Section II (excluding charges for refueling services for domestic flights), applied to the services which the Airport Corporations or its enterprises provide for air carriers (include domestic and international flights) in the period of 01 month.

b) For the air navigation services charges for arrival/departure flights: Total payment on the monthly invoice shall be the amount which the air carrier has to pay to the Vietnam Air Traffic Management Corporation (include international and domestic flights) in the period of 01 month.

4. Re-number the third and fourth sub-clauses in the second clause of this Article to be the fourth and fifth sub-clauses”

3. Amendment Article 8, Clause 2, Sub-clause b. on landing charges as follows

“b) For domestic flights at airports in the Group A:

4. Amendment Sub-clause a, Clause 2, Article 10 on Passenger Service Charges as follows:

“a) Passenger service charges for international flights:

Payment unit: USD per passenger

5. Supplement Clause 6, Article 15 on the Charges frame for check-in counter rental as follows:

“6. In case check-in counter is used for serving both international and domestic flights: monthly rental charges shall be calculated by the average monthly rental charges applicable for international and domestic flights.”

6. Amendment Clause 2, Article 19 on the Charges frame for package ground handling services at airports in the group B as follows:

“2. Service charges frame:

Payment unit: VND per flight

7. Amendment Clause 2, Article 20 on the Charges frame for refueling services for domestic flights as follows:

“2. Service charges frame:

a) Maximum: 930,000 VND/ton

b) Minimum: An applicable charge of 50% of the maximum charge.

The above maximum charges are defined in the condition that Platts price is 145 USD/barrel and exchange rate is 20,895 VND/USD. Base on international oil prices, import tax each times, USD exchange rate, fuel supplier shall calculated and stipulate specific price for contract with its customers. Fuel supplier is required to submit its owned stipulated specific price to the Civil Aviation Authority of Viet Nam and the Price Administration Department for reporting (including its service prices statement)

Article 2.Implementation

The Decision shall be in force since 1st December 2011.

2. Other contents stipulated in the Decision No. 426/QD-BTC which are not amended and/or supplemented by this Decision shall remain in force.

3. The Director General of the Price Administration Department, the Director General of Civil Aviation Authority of Viet Nam, Head of agencies, enterprises using these services are responsible to deploy this Decision.