FlySafair introduces temporary fuel surcharge
After Jet A1 fuel prices at South African coastal airports increased by about 70% in one week, airline FlySafair has introduced a temporary fuel surcharge for flights from March 12 to May 12.
Passengers who have already booked flights will not be required to pay the new surcharge. Surcharges will be shown as a separate cost item for new bookings and changes to existing bookings.
Fuel typically makes up 50% to 55% of FlySafair’s direct operating costs. At current price levels, the airline estimates an additional cost of around R35 000 per flight hour for each Boeing 737-800 aircraft in operation.
It has absorbed the cost increases since the conflict in the Middle East started nearly two weeks ago, but cannot further absorb costs without threatening its long-term viability and sustainability, the airline states.
FlySafair has never implemented a fuel surcharge before.
“The persistence and scale of these fuel costs have left us with no reasonable alternative,” says FlySafair chief marketing officer Kirby Gordon.
“We have chosen to introduce a clearly labelled, temporary surcharge to give customers full visibility into what they are paying for and enabling us to remove the surcharge once prices stabilise.”
The surcharge will be reviewed frequently based on Jet A1 fuel price movements, and will be reduced or removed once market conditions improve. The surcharges will vary by route length and will be linked directly to the fuel used per journey, the airline says.
“Our teams are modelling fuel prices airport by airport and reviewing potential tankering strategies to ensure the surcharge reflects the minimum required amount. This surcharge is a temporary measure to maintain service continuity,” Gordon adds.
Exact surcharge amounts can be viewed on the FlySafair website.
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