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I get a report 3 times a day from our software that runs down all the fuel surcharges across the country on each airline between every city on every airfare(also international).
I thought I would share some of the “highlights” (if you can call it that) of the report I just received on the domestic U.S. fuel surcharges:
- As you might expect the most expensive fuel surcharges are to Hawaii — $280rt is the highest domestic fuel surcharge on a few US Airways walk-up airfares from New York/Washington D.C. to Honolulu
- Outside of Hawaii — US Airways wins the “door prize” for highest fuel surcharge of $220rt for some coast-to-coast walk-up airfares between Los Angles, New York and Washington
- Many of the coast-to-coast city pairs on all airlines have fuel surcharges of $200rt
- Between the top 50 U.S. Cities (by traffic) there are 208,190 publicly filed airfares, of these 13% have fuel surcharges of $160 an above, 38% between $100 and $160, 2% between $50 and $100, 13% between $20 and $50, 7% between $10 and $20, 27% have no fuel surcharges
- Among airfares with no fuel surcharges 60% are business airfares (less than 14 days advance purchase), 40% are leisure (14 or more days out)
- The airfares with no fuel surcharges almost exclusively overlap with low cost airline routes (Southwest, JetBlue, AirTran)
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According to the above statement, the fuel surcharge “on a few US Airways walk-up airfares” is $280. This statement implies that the fuel surcharge on the same NYC-HNL flight booked in advance would be less.
So here’s the $5 million (or $280) question - why is there a difference in the fuel surcharge based on the fare class the ticket is booked in? How is this a “fuel surcharge?” US Air is certainly not using any extra fuel on a passenger who books at the last minute, vs. one that books months in advance.
Why is there not some sort of legal requirement that surcharges are accurate for what they are used for. Just like i expect that the passenger facility charge on a ticket does in fact go toward improving the airport facilities I expect the fuel surcharge to be for fuel costs. I can only assume this is not the case if it varies based on how far in advance my ticket is bought.
I understand the airlines need to charge these fees to stay in business. However, in my opinion - they need to call it what it is. Just raise the fares if you want to discriminate different ticket classes.
My worst favorite example is Air Canada. On the good side, their intra-Canada fuel surcharge is based on distance - $20 each way for short-haul, $30 for mid-distance flights, and $45 for long-haul. However, their US - Canada fuel surcharge is a flat $50.
So for a 300 mile one-way flight, the surcharge is $50 for a flight crossing that happens to cross the border, but less than half that if it happens to stay in Canada (and still uses the same amount of fuel). It gets better though, because if I fly from, say, New York - Toronto, the fuel surcharge is the same as if I fly from New York - Vancouver.
If the “fuel surcharge” is meant to pay for fuel, why I am paying the same for a flight that is probably about 300 - 400 miles vs. one that is, say, 3500 or more miles and uses a lot of extra fuel?
Comment by Elliot Campbell — June 19, 2008 @ 11:16 pm
Unfortunately, for domestic airline tickets fuel surcharges have little to do with fuel and more to do with hiking airfares. There is minimal correlation between fuel surcharges and distance traveled - a fuel surcharge is used more for the marketing benefit of airlines (base airfare + fuel surcharge = actual fare then taxes are applied). There is one subtle difference, corporations only get a discount (if they negotiated one) off the base airfare only.
Comment by Rick Seaney — June 20, 2008 @ 8:31 am
What is the fuel surcharge from Dallas to Santiago, Chile?
Comment by Matt Wojo — June 20, 2008 @ 9:10 am
I loved your chart on domestic airline fees. Do you also have one on fuel surcharges?
Comment by Henry Dennis — June 21, 2008 @ 10:49 am
I have been trying to reach Spirit air to change a ticket. However when I call it is always busy or rings many times and then disconnects. Do you know what they are up to?
Thanks
DON
Comment by DONALD C SHAFER — June 25, 2008 @ 4:42 pm
Last Winter(2008) we, 3 travelers, purchaced 3 round-trip tickets for October(2008) travel to Myrtle Beach, SC from Spirit Air. It was one of their +/- $100.00 “specials”. A month later we were emailed that a baggage fee of $30.00 would be required for our bags if we check them in at the terminal or $15.00 if we purchased after a certain date but only $5.00 each bag for each flight by responding to their email. There were 3 of us so we opted for the $5.00 per bag ($30.00) round trip luggage charge.
Two weeks after that, around the first of March we were informed that the departure time had been changed to an earlier hour that we could not possible meet. We had the option to change our flight time to a 5:00AM or receive full reimbursment for our tickets. After many calls to the “busy line” we contacted an agent, they assured us that we would be reimbursed for the 3 advance purchaced tickets. It took a month of calling Spirit to remind them to credit us for the tickets before they agreed to a refund.
Then we attempted to recoup our baggage fees; it was only $30,00 but there’s a principal involved here. We did get through to a representive but to date we have not been credited for out prepaid baggage charge. Is there a contact number/site, other than the “busy line”,to follow-up with this detail?
Thanks,
Fran
Comment by Fran Laase — June 26, 2008 @ 9:31 am
So what does the Spirit Air comments have to do with fuel surcharges?
Comment by Jim — June 26, 2008 @ 1:09 pm
I was excited about BA’s SALE from Vancouver, Canada to London Heathrow.
When I checked the great fare of $535 CAD return - I was appalled to find the the taxes were $601.53 CAD. I am in the travel industry and never would have dreamed that the taxes would far exceed the airfare. Well, we live and learn!
Comment by Ginger — July 9, 2008 @ 6:39 pm
In Europe, if one can’t make a non-refundable flight, you lose the cost of the ticket but the fuel surcharges and taxes must be refunded (though I think one must claim them).
Is that the same in the USA? If so, is the refund automatic, or how does one claim it?
Thanks very much.
Comment by Larry — August 27, 2008 @ 11:31 pm