On Feb. 1, budget airlines kicked off lights between Singapore and Kuala Lumpur of Malaysia, ending 30 years of dominance operation by Singapore Airlines and Malaysia Airlines on the lucrative route.

The operations follow the agreement between the two countries in November last year to open up the route to low-cost carriers.

Malaysia-based AirAsia will fly out twice daily from Kuala Lumpur while Singapore-based Tiger Airways and Jetstar Asia will fly a daily service from Singapore.

On Feb. 1, guests onboard AirAsia's maiden flight, including its Group Chief Executive Officer Dato' Tony Fernandes, were received at a welcome ceremony organized by the Civil Aviation Authority of Singapore (CAAS).

CAAS' Director-General and Chief Executive Officer Lim Kim Choon said at the ceremony that he looks "forward to further liberalization of the Singapore-Malaysia Air Services Agreement which will then pave the way for new services between Singapore and cities in Malaysia."

Close to 2.5 million passenger movements carried between the two countries last year. With the five budget carriers serving the popular route, there will be 254 weekly flights between the two cities.

Singapore Airlines and Malaysia Airlines charge almost S$450 (about US$317), including taxes, for a return ticket, while the low-cost carriers charge less than S$200 (about US$142).