Few fees are as maddening to travel agents and consumers alike as fuel surcharges.
Even when the total fare is reasonable, there’s something particularly frustrating about seeing a price in the fare display, and then seeing another price that, to Europe in particular, is $400-$500 more than the original price, and over half of that additional difference is a fuel surcharge; especially when gas prices have been relatively stable.
It’s one thing to add a surcharge if some world event results in fuel prices shooting up. But when those prices have stabilized, well, it seems to me it’s just a cost of doing business. Airlines don’t add “crew surcharges” when their unions win some concession (yet), nor “weather surcharges” for flying in winter (again, yet). Why should fuel be singled out?
In addition, fuel surcharges are neither discountable not commissionable. Which means that big corporations that have discounts with that particular airline, consolidators with net fares and travel agents who have commission deals, are all out of luck. That in turn means either directly higher costs, or higher service fees.
There is just something psychologically irritating about seeing a required charge broken out. Most travel agents are familiar with the phenomenon that many clients would be happier say, with a $1,000 ticket price and no service fee, than a $900 ticket and a $100 service fee.
Lufthansa, however, to their credit, is moving in the direction of honesty in fares. The airline announced they were raising many fares on June 22. At the same time they will lower fuel surcharges.
These increases and decreases aren’t huge, the biggest fare increase on frst-class fares will be €150 (US$180) per roundtrip, and economy fare hikes will top out at €30 (US$36). But fuel surcharges to North America will be reduced to about €130 (US$156) to €82 (US$98) each way. And it’s a start.
I’m not holding my breath that U.S. carriers will be quick to follow suit. Although if they match Lufthansa’s base fares as they usually do, they may find themselves with higher prices if they keep the higher fuel surcharges. So stay tuned.
Janice Hough is a California-based travel agent a travel blogger and a part-time comedy writer. A frequent flier herself, she’s been doing battle with airlines, hotels, and other travel companies for over three decades. Besides writing for Travelers United, Janice has a humor blog at Leftcoastsportsbabe.com (Warning, the political and sports humor therein does not represent the views of anyone but herself.)