Fuel surcharge a fairytale

ARE we being conned by Australian airlines over the cost of fuel and the surcharges introduced over a number of years to combat oil price rises?

Some believe we are with many reducing the international surcharges by about 10 per cent, but none getting rid completely. Qantas and Singapore Airlines have reduced their surcharges by 10 per cent and both Qantas and Virgin Blue have reduced domestic surcharges by about 20 per cent.

But the 'spot price' for jet fuel on the Singapore market has dropped by more than 60 per cent since July this year.

The stats show that jet fuel is much, much cheaper than it was a year ago - even with the fall in the Aussie dollar.

Aviation experts are now calling for the complete scrapping of fuel surcharges.

There is some light at the end of the runway, though, with one airline AirAsia, which operates from the Gold Coast to Kuala Lumpur, announcing they are the first in the world to completely scrap fuel surcharges.



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