Originally Posted by Xandrios

With a static increase of 25 euros (one-way) it depends on the route to see if that covers the increase cost.

A rough calculation shows that, per pax, about 50-100 gallons are required depending on the (long haul) route (AMS-JFK & TYO in this example). The 25 euro surcharge covers therefore an increase of up to 25 to 50 cents per gallon. A gallon is sold at $ 3,80 in the EU currently (according to IATA), up from $ 2,50 last week. Showing that even on shorter routes that 50 cent is far below what would be needed to cover the increase.

If the market does not stabilise and prices are reduced, I'd expect further increases of that surcharge. Hedging only works on the short term and at some point these will run out, or will have to be renewed at much higher prices. From that point on prices much closer to the market will be applicable for AFKL.