HK carriers seek higher fuel surcharge

MANILA, Philippines - Two foreign airlines are seeking the approval of the Civil Aeronautics Board (CAB) to raise the fuel surcharge on flight tickets.

“Notice is hereby given that Cathay Pacific Airways, Ltd. has filed with the CAB a petition for authority to impose upward adjustment of fuel surcharge on international passenger tickets,” a notice on the CAB website said.

The regulator said Cathay Pacific wants to hike the fuel surcharge to $115 from $110.10 for flight tickets between Hong Kong and South West Pacific, North America, Europe, Middle East, Africa and South Asian sub-continent including same day transit in Bangkok or Singapore.

For flight tickets for other destinations, Cathay Pacific wants to raise the fuel surcharge to $27.80 from $25.60.

In a separate notice, the CAB said Hong Kong Dragon Airlines, Ltd. has also filed a petition for fuel surcharge adjustment.

In particular, Hong Kong Dragon Airlines wants the fuel surcharge to increase to $115 from $110.10 for flights between Hong Kong and South West Pacific, North America, Europe, Middle East, Africa and the South Asian sub-continent.

It also intends to impose a higher fuel surcharge of $27.80 from $25.60 for flights covering other routes not mentioned above.

Hearing for both petitions has been set on September 24.

Fuel surcharges, which form part of the airline ticket prices, allow the carrier to recover the cost of fuel, which account for the bulk of an airline’s operating costs.

The International Air Transportation Association’s (IATA) price monitor showed that jet fuel price reached $130.1 per barrel as of Aug. 30, up five percent from a month ago.

IATA’s data also showed the jet fuel price is down by 4.4 percent compared to the same period last year.