Low demand for flights could mean higher ticket prices - Gordhan
Public Enterprises Minister Pravin Gordhan says reduced demand for air travel when the lockdown end may mean more expensive ticket prices.
Gordhan briefed Parliament's Standing Committee on Public Accounts (Scopa) regarding plans for South African Airlines (SA) and SA Express Airlines on Friday afternoon.
"The impact if one sums it up globally has been a devastating one.
"The best prediction is that it will take about three years for the aviation industry - globally - to recover in any way shape or form.”
He added: "We are not going to be saved from the impact of the pandemic as well. SAA is but one example".
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Gordhan says low loading capacity means that airlines have to find other ways to make money.
"Some of the airlines are now engaging in domestic flights.
"The bottom line is that the load factors and the seats available on an aircraft are going to take a long time to recover - largely because of fear.
"But if the low factors are low the prices that airlines are going to charge are going to be quite significant. One airline was putting two passengers ina three-seater then both passengers shared the cost of the middle seat."