JAL, ANA plan to boost fuel surcharges 43%
and All Nippon Airways
plan to boost their fuel surcharges on Hawaii flights by 43 percent on July 1.
The surcharges will jump by $54 to $180 from $126 for routes from Japan to Hawaii, India, Indonesia, Malaysia, Singapore and Thailand. The fee hikes are subject to approval by the Japanese Ministry of Land, Infrastructure, Transport & Tourism.
Rising fuel surcharges have become an issue for Hawaii tourism officials trying to reverse the decline in Japanese visitors to the isles.
"We always have concerns when the price goes up," said David Carey, Outrigger Enterprises Group president and chief executive officer. "However, airlines everywhere are going to have to raise rates to cover fuel costs. The airlines have got to stay in business and customers are going to have to pay their fair share."
The fuel surcharge, based on the three-month average fuel price of Singapore kerosene, is in response to the rising price of crude oil and kerosene, as well as the increased cost of insurance coverage and airport security, according to ANA's Web site.
Singapore kerosene jet fuel prices has averaged $126.05 per barrel from February to April. Fuel prices reached a record of $159.10 per barrel on May 12, up $80 compared to a year ago.
JAL originally implemented the fuel surcharge on international tickets in February 2005 as a result of unprecedented rises in fuel costs. The fuel surcharge for tickets issued from October to December will be based on the average price of fuel from May through July.
JAL said it will limit the impact of the price increase by "fuel hedging, fuel consumption reductions, and the introduction of more fuel-efficient small and medium-sized aircraft to its fleet."
"Despite these measures, the company is still reluctantly obliged to ask its international passengers to bear part of the burden caused by the unprecedented increase in the price of fuel over the past few years," the airline said.