Oil prices may bring flight fuel surcharges down
Posted October 29, 2014 11:27 am.
This article is more than 5 years old.
VANCOUVER (NEWS1130) You may soon be able to spend more on fun in the sun and less on the plane ticket to get to that tropical destination.
Fuel surcharges for flights may be going down.
It has to do with the drop in oil prices.
That’s coming from the International Air Transport Association, which says the surcharge is often connected to the price an airline is paying for fuel.
The price of jet fuel has gone down twenty percent this year.
The association says fuel prices lag the price of oil by about a month, but competition and pressure from consumers should cause airlines to bring their surcharges down.
It says surcharges should start to come down as the decrease in oil price moves through the fuel system.
Airlines aren’t saying much.
Southwest and Delta have said their fuel costs have decreased but they’re wanting to look at this from a long-term perspective because of the oil market’s volatility.
