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The Civil Aviation Department (CAD) today (November 24) gave approval for passenger fuel surcharges levied by four airlines to be reduced for the period from December 1, 2008, to January 31, 2009.
The new maximum levels of fuel surcharges will be $108 for short-haul flights and $499 for long-haul flights, which represent a reduction of 45% and 40% from the current maximum levels for short-haul flights and long-haul flights respectively. (These airlines and their newly approved fuel surcharge levels are listed in the Annex.)
It is an international practice for airlines to levy passenger fuel surcharges. The current average passenger fuel surcharges at other major international destinations are at levels of about $413 per passenger for short-haul flights and about $1,256 per passenger for long-haul flights.
A CAD spokesman said: "When compared with the average amounts of surcharges at international level, the surcharges on the local routes remain at a lower level.
"Fuel surcharges are a type of aviation tariff which requires the approval of the relevant aeronautical authorities before they can be levied," the CAD spokesman added.
When dealing with the latest applications for levying fuel surcharges, the CAD has followed the same approach, having regard to changes in the prices of aviation fuel, the justifications provided by the airline operators, and other relevant factors such as the charges levied by other airlines. This approach has been consistently followed in dealing with fuel surcharge applications (which are submitted every two months), regardless of whether the oil prices are on the increase or decrease.
The CAD spokesman explained, "The CAD has taken into account the need to safeguard the interest of the travelling public as well as the need for airline operators to recoup their costs. When approving fuel surcharges, the CAD will ensure that the revenue generated will not exceed the additional costs borne by the airline operators due to increased fuel prices during the corresponding period."
Passenger fuel surcharges are reviewed and adjusted regularly by the CAD. The last review was done at the end of September when the maximum surcharge levels approved by the CAD were $196 for short-haul flights and $832 for long-haul flights.
Ends/Monday, November 24, 2008
Issued at HKT 18:31
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