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In reponse to public demand for a better-served fare system for individual
users whose needs are growing ever more diversified and sophisticated, the civil
aeronautical law was revised in June 1994, and as of December 1994 a reporting
system was adopted for reductions of up to 50% in airline fares and other fees
that may be made according to business policies of business operators. This
provided more freedom for them to fix diverse fare cuts as business requires,
and in May 19 95 a new system, in which the advance sale of tickets at reduced
rates to anyone without restrictions, was introduced for the first time in Japan.
Decisions were also made to introduce within seven years a system which
would allow air carriers to set their ticket prices within a certain range with
the maximum cut limited to the standard cost. In this system air carriers can
fix their fares more freely to match conditions of season, time, route and other
conditions. This will also lead the carriers to more efficient operations coupled
with the government policy for double or triple tracking. (picture)
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