Hong Kong approves higher airline fuel surcharges
Three airlines - Cathay Pacific, All Nippon Airways, and Singapore Airways - have secured Hong Kong approval to increase the ceilings on fuel surcharges that they charge their passengers departing from the Chinese Special Administration Region.
Approved by the Hong Kong Civil Aviation Department (CAD) for the period from May 1 to 31, 2011, the adjusted maximum fuel surcharges will be HK$222 (around US$28.55) for short-haul flights and HK$1,030 for long-haul flights.
The new surcharge limits are higher by 14.4 percent and 16.5 percent, respectively, against rates of HK$194 for short-haul flights and HK$884 for long-haul flights imposed at present.
The applicable surcharge levels are based on the ticket issue date, CAD pointed out in its announcement.
CAD said it reviews passenger fuel surcharges periodically and makes adjustments to help airlines partially recover cost increase due to changes in prices of aviation fuel.
The fuel surcharge applications from the airlines are considered under the terms of Hong Kong's bilateral air services agreements with the airlines' governments.
Also as of April 21, CAD had approved 79 applications for increases on cargo fuel surcharges, with the additional amounts ranging from HK$0.20 per kilogram to HK$0.80 per kilogram for short-haul and long-haul flights, respectively.
The increases pushed the highest cargo fuel surcharge to HK$8.00 per kilogram that most of the airlines collect for long-haul flights.
For short-haul flights, most of the airlines now charge HK$4.00 per kilogram, with the regional budget airlines charging amounts lower than that.
Following the approved increases, 28 airlines are set to start implementing the new surcharges in the coming week, most of them on April 25.
On the other hand, 15 of the airlines plan to make the increases in the first week of May, according to information filed with CAD. The others have already started charging the new cargo fuel surcharges.