Travel agent calls for govt action after airline fuel surcharge notice

 The head of a Sabah-based travel agency says other airlines might follow suit after China Southern Airlines imposes a surcharge from April 6.

A Sabah-based travel agency has suggested that special policies be introduced for aircraft refuelling in Sabah.

PETALING JAYA:

 The head of a Sabah-based travel agency has called for government action to alleviate increases in travel costs following the surge in global fuel prices triggered by the ongoing Middle East conflict.

Liaw Kit Siong said a notice of a fuel surcharge by China Southern Airlines from April 6 might lead to other airlines following suit.

He said the additional cost will be passed on to consumers, Dayak Daily reported. The higher fuel prices would affect inbound tour package prices and outbound travel, which is estimated to increase by 10% to 30% depending on the routes.

Liaw, who is chairman of Airworld Travel and Tour Sdn Bhd, called for outbound package itineraries to clearly state that fuel surcharges are subject to fluctuation and are not included in tour fares, to prevent any confusion.

Liaw also urged the authorities to come up with solutions as the Middle East conflict is expected to continue for several months.

Among the solutions he proposed included exemptions on fuel price increases for all tourism-related transport vehicles or introducing special policies for aircraft refuelling in Sabah.

On Tuesday, transport minister Loke Siew Fook warned the public to prepare for higher flight ticket prices following a sharp increase in global jet fuel costs.

Jet fuel prices have surged since the start of the Middle East war at the end of February, rising from US$85-$90 per barrel before the war to between US$150 and $200 per barrel.

Airlines such as Cathay Pacific, AirAsia, Thai Airways, and Qantas have increased fares or introduced fuel surcharges – in some cases tripling them – to offset costs.

Loke also said local airlines would be forced to impose fuel surcharges, and cut flights on certain routes where passenger loads are too low, to maintain operational efficiency.

Two days ago Batik Air Malaysia said it will reduce 35% of its scheduled flights in the first half of April, while AirAsia said its fares may see a modest increase. -= FMT