That pyramid on the left is a graph of oil prices over the last year. We’re lower now than we were a year ago–$77.70 a barrel.
With that lowered cost in mind, why are the airlines still charging fuel surcharges? Actually, I think I know the answer.
Back when oil was nearly $30 bbl more than it is now the AP said airlines weren’t considering rolling the surcharges back. As far as I can see nothing’s changed. Didn’t they also justify other price increases on fuel costs?
I have expressed my distaste for airlines (other than Southwest) more than once. They have managed to game the business to the point where we’ve no choice but to take it. They have created a system where rules are one sided and never benefit the passenger.
Except for our money, airlines have no use for us.
Best way to keep abreast of what’s going on with airline fuel surcharges:
http://rickseaney.com/category/fuel-surcharges/
My personal bet is that if oil prices are still down when the huge holiday travel period ends 12/31 the airlines will announce surcharge reductions.
Thanks Woody.
I know it’s not obvious when people read the blog, but before I write an entry like this I do some research. I’m not claiming to be Woodward and Bernstein, but I do try and find support for anything I say.
I found RickSeaney.com very valuable and used it for this entry. It’s a site I hadn’t seen until yesterday.
Geoff