Travel News - US DOT on Fuel Surcharges

Business Travel News reports USA Dept of Transportation has issued a notice to carriers that that fuel surcharges "must accurately reflect the actual costs of the service covered."

Could prove interesting.......

Read the article here:
http://www.businesstravelnews.com/Business-Travel/DOT-Adds-Teeth-To-Fuel-Surcharge-Rules/

It's about time. I recently took a trip on BA that was quoted as something like $15 airfare, $350 fuel surcharges in each direction. The only thing I don't understand is why they thought they could push it to these absurd lengths and not eventually see a backlash.

It's about time. I recently took a trip on BA that was quoted as something like $15 airfare, $350 fuel surcharges in each direction. The only thing I don't understand is why they thought they could push it to these absurd lengths and not eventually see a backlash.

No kidding...I was looking at a LHR-CDG-LHR ticket today on AF...$27 fare and $158 in taxes...while not in the US, I see this sort of thing all the time with my TATL fares on DL, AA, and BA.

:rolleyes:

I see this sort of thing all the time with my TATL fares on DL, AA, and BA.

I recently saw a price for December TATL on DL to FRA. Ticket $384, plus $638 Taxes and Fees. Wow.

Why was this not a higher priority than ai pricing for domestic itins? Other than Spirit, the advertised price + taxes and fees was not that big of a spread on US based carriers compared to BA's pricing methodology

I'm surprised more governments haven't stepped in earlier to plug this huge leakage of tax revenue. Airlines love it for two financial non-passenger reasons:

1) Taxes are usually based on the "official fare" but not on the add-ons. More % of the revenue for the airline, less for the government (pick any government, we're not being US-centric here).
2) Airlines can cover their butts when they screw up their forward fuel cost hedging. Usually the add-ons including fuel surcharges can be raised almost at will, without having to go through red tape. Notice how they rarely go down, even when fuel pricing takes a period downturn? Uh-huh.

We won't pay the fuel surcharge. You know why? It's illegal! They can't do that to pay the higher fuel prices. Must bring the fuel prices back down to $1 gallon. No one ever to pay the fuel surcharges. Airlines are not allowed to increased the higher fares & fuel surcharge, too.

Must bring the fuel prices back down to $1 gallon. No one ever to pay the fuel surcharges. Airlines are not allowed to increased the higher fares & fuel surcharge, too.

Good luck with that. You're flighting basic economics.

1) Taxes are usually based on the "official fare" but not on the add-ons. More % of the revenue for the airline, less for the government (pick any government, we're not being US-centric here). Bingo! And until recently those 'low' fares (excl. fees) could be used to lure the unwary.

That said, if I think back 20-30 years the bottom line to the consumer was pretty much the same. Service was better of course but the outlay was a greater % of one's income.

The extras that really get my goat are those airport 'improvement' fees and the like. It's an airport; it doesn't need to pretend to be a palace. :mad:

We won't pay the fuel surcharge. You know why? It's illegal! They can't do that to pay the higher fuel prices. Must bring the fuel prices back down to $1 gallon. No one ever to pay the fuel surcharges. Airlines are not allowed to increased the higher fares & fuel surcharge, too.

what are you going to do, stand in the middle of the runway and wave your hands.?

i wanted to go to venice(from iad) so paid the $1100 for two tickets. that was the surcharge.

We won't pay the fuel surcharge. You know why? It's illegal! They can't do that to pay the higher fuel prices. Must bring the fuel prices back down to $1 gallon. No one ever to pay the fuel surcharges. Airlines are not allowed to increased the higher fares & fuel surcharge, too.

Do tell how we are going to achieve $1/gal AVGAS or even auto gas. Cut consumption by 80%?

What it does allow the European airlines to do is generate revenue from corporate fares and award tickets. The US DoT wishing they wouldn't won't change the practice. On some level, I don't mind them doing it, but that level was passed a few hundred pounds back :(

The fact that they then add insult to injury by making them non-refundable (logically, how can I be charged for fuel that is not needed to transport me :confused: ) :mad:

A so called "free award" ticket on British Airways, LAX - LHR is 50K Adios Points, and an unbelievable $ 1169. in bogus fuel surcharge fees. I think the word that best describes this is criminal fraud.
British Airways should be converted into a Theme Park dealing with the bizarre, strange illusions, fraud, sleight of hand and confidence games. The number one attraction would be the British Airways Chamber of Redemption Horrors.
The BA Chamber of Redemption Horrors, based on the Inquisition would be even more dramatic than blood-curdling displays in other famous museums. With modern technology they could even reproduce the blood-curdling screams as people try to redeem Adios Points for a ticket.
They could even have a burning of an Award ticket at the stake. If customers rebel, they could "Put them to the word".

Well, I guess we don't need all of that, however, filing a complaint with DOT wouldn't hurt.

Apparently at least a few of us wrote to Congress about this. Maybe someone is listening. Naw...

This is great news! ^

I just booked award travel with one of the most commonly referenced offenders of this policy. Hopefully this will let me get some of that YQ back.

I recently saw a price for December TATL on DL to FRA. Ticket $384, plus $638 Taxes and Fees. Wow.

Recently saw one to BCN for $251 (round-trip base fare). Fuel surcharge was nearly $500 and full airfare was around $900 all-in.

Now they're showing the all-in price below the actual fare to comply with being transparent -- but the gap can be extreme on trans-Atlantic and trans-Pacific flights.

SDF

Recently saw one to BCN for $251 (round-trip base fare). Fuel surcharge was nearly $500 and full airfare was around $900 all-in.

Now they're showing the all-in price below the actual fare to comply with being transparent -- but the gap can be extreme on trans-Atlantic and trans-Pacific flights.


Sometimes "award" tickets can also have a higher YQ than a revenue ones.

I posted on DL forum last year an example where the taxes/fees on DL award within Europe on AF where higher than LH's paid ticket.

Here is one of my major gripes: even if the fare paid is non-refundable, how can airlines get away with not refunding fuel surcharges and taxes on an unused ticket?