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LH increases[/reduces] fuel surcharge

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Old Jul 31, 2013, 4:56 pm
  #301  
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Originally Posted by N1003U
Here is a timely article that just appeared today in the SDZ (and corroborates oliver2002's price quotes):

Süddeutsche Zeitung
31. Juli 2013 16:56

Lufthansa
Erste-Klasse-Passagiere müssen mehr für Treibstoff zahlen


Reaktion auf steigende Kerosinpreise: Wer mit der Lufthansa in der Business-Klasse oder der ersten Klasse reist, zahlt künftig deutlich mehr.

Die Lufthansa bittet ihre Business- und First-Class-Passagiere wegen der steigenden Treibstoffkosten zur Kasse. Auf Langstreckenflügen werde der Kerosinzuschlag um 50 Euro angehoben, teilte Europas größte Airline mit. Die Preiserhöhung gelte ab dem 7. August für Reisen mit der Lufthansa, den Töchtern Swiss und Austrian sowie Brussels Airlines.

Abhängig von der Länge der Flugstrecke sollen die Treibstoffzuschläge bei Langstreckenflügen in der Business Class und der Ersten Klasse damit künftig zwischen 170 und 192 Euro liegen. Die Treibstoffzuschläge für Kunden der Economy Class auf Langstrecken würden nicht angehoben, teilte die Lufthansa mit. Ebensowenig würden die Zuschläge für Tickets auf Europastrecken in der Economy Class und in der Business Class erhöht.

Kerosin als Kostenfaktor

Bisher war die Höhe des Kerosin-Beitrags auf Interkontinentalflügen ausschließlich von der Entfernung abhängig. Mit der Reiseklasse führt die Fluglinie einen zusätzlichen Faktor bei der Kalkulation des Aufschlags ein. Die Frankfurter Airline ist mit der Idee nicht allein, sondern folgt einem Branchentrend - Rivalen wie die australische Qantas gingen jüngst ähnlich vor.

Für Fluggesellschaften sind die Kosten für Kerosin ein großer Kostenfaktor. Die Lufthansa will mit der Anhebung ihre rapide gestiegenen Tankkosten teilweise kompensieren. Allein von 2009 bis 2012 verdoppelte sich die Treibstoffrechnung des Konzerns auf 7,4 Milliarden Euro. Für dieses Jahr erwartet die Lufthansa eine Entlastung: Nach Angaben von Anfang Mai dürften die Ausgaben auf sieben Milliarden Euro sinken. Ob es bei der Kerosinprognose bleibt, wird sich bald zeigen: Am Freitag stellt die Lufthansa seinen Quartalszahlen vor.
Fast Translation Synopsis:

Response to rising fuel prices: If you travel with Lufthansa in business class or first class, in the future pay significantly more.


Well- I suppose you could always just fly another airline. Fuel costs are not rising according to IATA which is an industry lobby group......
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Old Jul 31, 2013, 5:07 pm
  #302  
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Originally Posted by kanor
updated the image
well the spikes have a good correlation between the curves but it clearly shows that YQ can hardly be called a tax. which is fine for revenue tickets but for awards ...
After 2011 it is very difficult to explain a correlation.
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Old Jul 31, 2013, 9:38 pm
  #303  
 
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Clearly the surcharges have nothing to do with fuel prices anymore. Case-in- point that I just came across when booking some flights: the same flight segments LAX-FRA-LAX bear completely different total fees/surcharges depending on if you purchase it with an origin in Germany or in the U.S. (~EUR 776 vs. ~EUR 358). The official tax component is the same (~EUR 100 for airport and state taxes); so just comparing the LH "fuel and security surcharge" elements (this is what they call it now - what is the security element, please, since the airport security services are charged separately?) makes the difference even more dramatic: ~EUR 260 of "fuel and security surcharge" for a German origin RT ticket, but ~EUR 676 of surcharges for the same flight segments in a U.S. origin RT ticket. This makes the LH surcharges a whopping 150% higher for a U.S. origin RT ticket! How do they justify that?

This makes it more evident than ever that this is purely a LH bogus surcharge scheme. Why not raise the biz surcharge to EUR 4000 for U.S. flights and the FC surcharge to EUR 9000? LH could become the first "1-EURO-airline", selling every ticket for EUR 1. Oh, of course only if you are willing to cough up some miscellaneous surcharges as well, tailored to each traveller. And if you want to use an award ticket, then LH actually waives the EUR 1 fare for you! Your travel is free like a bird, a 100% discount on LH's already low fares! Of course, only after you have covered those miscellaneous surcharges as well, plus some award processing fee (which I am surprised LH has not copied yet from the U.S. airlines). A brave new world!

Where are the consumer protection agencies, interfering with LH's (and other carriers') appalling pricing policies? This would be a high profile case to bring forward, with lots of public attention.
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Old Jul 31, 2013, 9:52 pm
  #304  
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Originally Posted by moeve
LH now charging higher YQ charges for business & first class tickets -- this applies to all tickets issued after 07 Aug 13. This will also apply to award tickets.
Who are they kidding. It is clear that this YQ charge increase only is meant to make render award redemptions even more expensive and unattractive. I believe in most market standard airfares are now quoted including all surcharges. Even the Japanese HIS has stopped advertising flights for $200 that cost around $700 after adding the surcharges, while the advertised $300 flight only cost $600 after adding the surcharges.

I know, the US are a notable exception to that...

HTB.
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Old Jul 31, 2013, 11:32 pm
  #305  
 
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Lufthansa should be forced to publish how much they are making every year out of the YQ/International Surcharge.

They are flying 100,000,000 passengers every year and the amount they are spending this year on fuel in total will be 7bn EUR. That's 70 EUR per pax.

If Lufthansa would actually fetch the lowest fuel surcharge of 43 EUR from all passenger, that would amount to 4.3bn EUR - more than 60% of their actual fuel cost. Factoring in that they are charging up to 142 EUR today already, I would think that should amount to 7bn and fully cover the cost of fuel.

Looks like there are still too many tickets where LH does not get any fuel surcharge and hence they need to milk those who actually pay.
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Old Jul 31, 2013, 11:34 pm
  #306  
 
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Originally Posted by oliver2002
LH sends out a press release that any ETS costs will be passed onto the customer using the YQ method:

http://presse.lufthansa.com/de/meldu...icle/2059.html

LH group supposedly has 130 mio € additional costs because of the EU emissions trading rules. What percent of revenue is that???
Same logic: 100,000,000 passengers = 100,000,000 segments.

If the number is right, that's 1.30 EUR per segment or pax.
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Old Aug 1, 2013, 1:58 am
  #307  
 
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Originally Posted by CalFlyer
Where are the consumer protection agencies, interfering with LH's (and other carriers') appalling pricing policies? This would be a high profile case to bring forward, with lots of public attention.
as an added bonus, these "taxes" do not get refunded if you cancel a non-refundable ticket - which they should as they are called taxes, and not fare, right?
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Old Aug 1, 2013, 2:03 am
  #308  
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Originally Posted by whiskey_sk
as an added bonus, these "taxes" do not get refunded if you cancel a non-refundable ticket - which they should as they are called taxes, and not fare, right?
I have often wondered about this.

Also- if following the same logic it is a "fuel surcharge"- for example if I book a container shipment and then do not follow through with the shipment- I do not pay the "fuel surcharge" as I didn't "consume" the fuel.

I can understand the airline difficulties and I don't want to see any of them go out of business- however I think they should be much more straightforward and bundle this with the fare. As well- for redemption tickets at this point they might as well just call them discounts for tickets- as it really isn't redemption when the fees cost as much as the ticket or in some bizarre cases even more.
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Old Aug 1, 2013, 2:05 am
  #309  
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Originally Posted by CalFlyer
Where are the consumer protection agencies, interfering with LH's (and other carriers') appalling pricing policies? This would be a high profile case to bring forward, with lots of public attention.
My general impression in Europe is that the consumer protection agencies rarely do anything to actually protect consumers. One exception to this however is Switzerland (although it is probably the point where someone will remind me that Switzerland is not part of the EU).
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Old Aug 1, 2013, 2:13 am
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Originally Posted by TRAVELSIG
as it really isn't redemption when the fees cost as much as the ticket or in some bizarre cases even more.
Or increasingly in many not-so-bizarre cases.
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Old Aug 1, 2013, 3:43 am
  #311  
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The Jet A1 price as LH sees it:

View Screen Capture
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Old Aug 1, 2013, 3:54 am
  #312  
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ANA has announced a reduction in the fuel surcharge though they still seem to charge more than LH...

https://www.ana.co.jp/wws/japan/e/as...chin/info.html
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Old Aug 1, 2013, 3:55 am
  #313  
 
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Originally Posted by htb
I know, the US are a notable exception to that...
US requires full cost in advertising. They also require certain number of seats available on the sale price for example. And they also prohibit post purchase price increases, protecting any lucrative fares.

Originally Posted by TRAVELSIG
My general impression in Europe is that the consumer protection agencies rarely do anything to actually protect consumers. One exception to this however is Switzerland (although it is probably the point where someone will remind me that Switzerland is not part of the EU).
How does LX canceling tickets, denying boarding or downgrading pax in transit on RGN fares fit into that exception? They've citied their shareholder interest as the reason, as icing on the cake.
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Old Aug 1, 2013, 4:01 am
  #314  
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Originally Posted by Lack
How does LX canceling tickets, denying boarding or downgrading pax in transit on RGN fares fit into that exception? They've citied their shareholder interest as the reason, as icing on the cake.
I was talking about the country Switzerland and their general approaches to customer protection and privacy laws as well- certainly not reflecting on specific cases.
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Old Aug 1, 2013, 5:11 am
  #315  
 
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Out of curiosity, I called the German CPA today. I was told that - as expected - they are currently not actively pursuing this matter. But the lady mentioned that, if they receive enough complaints on a specific topic, they normally investigate such a matter further (and she provided me with a central email address to which I could send a letter). If there are enough good arguments, and if enough citizens are affected, then they tend to pick up a case, she claims.

Maybe we should all write letters to that email address, with similar content. Listing all the good reasons mentioned in this thread why the surcharge pricing scheme is inappropriate (especially in a world where the oil price has now been relatively stable for some time and the fuel argument is gone): disconnected from fuel prices, arbitrary in amount, undermining historic frequent flyer program promises, non-refundable on non-refundable tickets, ...

At the end of day, we finance the CPA through our tax payments. Let us get something back from them and push them to raise a case. They have previously engaged on much less important travel topics (recently: travel package providers may not ask for full payment of a travel package too far ahead of the travel date). In my impression, it is much more impactful if the "socialist" CPA is driving a topic than if a privileged "upper class" professor is raising a case.

What do you think? There is no limit to such surcharges, and I fear they will continue creeping up until no value is left from my frequent flier miles if we don't interfere.

Last edited by CalFlyer; Aug 1, 2013 at 5:24 am
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