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  #1 (permalink)  
Old October 7th, 2008, 08:41 AM
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Default Fuel Surcharges

Many airlines have long since removed or refunded their fuel surcharges for flights booked this coming winter. Why have the cruise lines not followed suit? Is there any indication they will in fact offer refunds
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Old October 8th, 2008, 07:24 AM
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Default Re: Fuel Surcharges

Quote:
Originally Posted by Snowbird
Many airlines have long since removed or refunded their fuel surcharges for flights booked this coming winter. Why have the cruise lines not followed suit? Is there any indication they will in fact offer refunds
Good question and one that I have no answer for. I am concerned that the surcharge will become permanent instead of temporary. Hopefully the cruiselines will surprise me.

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Old October 8th, 2008, 08:17 AM
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What airlines have dropped their fuel surcharges?
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Old October 8th, 2008, 09:11 AM
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Quote:
Originally Posted by Marc
What airlines have dropped their fuel surcharges?
Air Canada has dropped their surcharge and a number of Asian airlines and Qantas have also dropped the fuel surcharge. So far no major American carrier has dropped theirs.

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Old October 8th, 2008, 06:19 PM
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fuel surcharges are probably like most programs in any area that are introduced. they never go away. it is easy to start a program; it is almost impossible to get rid of it. alas. hombre
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Old October 9th, 2008, 10:12 AM
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I hope it goes away eventually.

FYI-I got fuel for the ranch yesterday. Gasoline has dropped (~$2.95 gal) but diesel isn't going down near as fast. Ship use diesel.
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Old October 27th, 2008, 12:54 PM
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If they were to do away with the fuel surcharge, I wonder if it would only effect new bookings or if they would refund those that were already booked!

Gas this morning 10/27/08 was $2.33 here.
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Old October 27th, 2008, 01:28 PM
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sadly, as i said on an earlier post, once the cruising public has adjusted to higher fees - for whatever reason: fuel, port taxes, DINING, -- the lines won't relinquish them. they may do away with fuel surcharges - on paper -- but you can bet cruise prices are going to rise to cover the 'loss.' just check out HAL'S recent proclamation. nothing ever really goes down in price; lower basic fares? higher priced food, drinks, and so forth. and more nickel and diming. just 'gird your loins' as it says in the Good Book.'
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Old October 30th, 2008, 11:46 PM
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Some have--CCL, RCL, NCL are working on it in the form of OBC there are other posts on this subject telling how they will.
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Old November 22nd, 2008, 04:23 PM
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From yesterday's Blog:

Carnival Corp. announced fuel supplement rebates if the price of oil is $70 or less for 25 days in a row. It has been 12 days. To be exact, the company said you will get a full refund on your fuel supplement payment if the price of oil is $70 or less for 25 days in a row at the 2:30 p.m. close of business on each of the 25 consecutive trading days ending five trading days prior to the your cruise departure date.

OK, that is complicated, but according to my charts the price of light crude closed below $70 on November 5 and has stayed below that price ever since. This means that 12 trading days have passed with the price below $70/barrel.

Since the price is now at $49.62/barrel, I contacted Carnival to see if they are tracking this and they confirmed that if the price stays below $70 then they will start giving discounts starting with the December 18 cruise sail dates. By the way, I originally saw that the price closed below 70 on Oct 21, which would have meant the cutoff date was Dec. 1st. But it did close above 70 for ONE DAY on November 4 setting the deadline back by three weeks - because weekends are not counted.

This is a significant onboard credit, equal to the fuel supplement they charged these customers. The supplement was $10 per person per day. In other words, the onboard credit should equal $140 per couple for every 7-day cruise.

Furthermore, while Carnival has suspended the fuel supplement for cruises departing in 2010, they are still charging it for all cruise sold that sail in 2009. However, based on the current economic situation it appears to me a reasonably safe bet that a cruise you book now for 2009 will very likely qualify for the onboard credit.

In other words, while you will still have to pay the fuel supplement for any 2009 cruise, there is a very good chance you will get it back in the form of an onboard credit on the day you cruise. Remember, the price of oil has dropped below $50/barrel for the first time today, actually trading at $49.62 as I write this. That means it has dropped about 27% since the day it first dipped below $70 barrel. Nothing in this economy has gone UP 27% in the last few months, so it is pretty good bet you will get your rebate.

If you don’t it probably means our economy has improved significantly, and that is also good news. Either way you win. Naturally, the only reason why this shouldn’t remain true for an extended period of time will be if the price of oil creeps back up, or if (Heaven forbid) somekind of cosmic event should push the price of oil up overnight.

This is great news for cruisers - you can effectively take away the fuel supplement from the total cost for any cruise sailing after December 18 st, although you will pay it, you will get it back in the form of an onboard credit.

This will apply to all Carnival Corp cruise lines: Carnival, Holland America, Princess, Cunard, Seabourn and Costa.

Royal Caribbean has a schedule to check quarterly, the first date to check is December 18. If the price of oil is under $65/barrel (it is now $49) THEN they will rebate the fuel surcharges beginning in january.
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Old November 27th, 2008, 06:28 AM
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UPDATE: The stock markewt has rebounded the last week. Oil is still just above $50/barrel, but some analysts are saying it has been over-sold, meaning the price is lower than the market can justify.

Some market people are saying the price could come above $70/barrel again in the next two weeks. If it does then Carnival will NOT be offering the promised discounts. If it is above $65/barrel on December 18 then RCL and NCL will put off their rebates until after the first quartter of 2008, minimum.
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Old November 27th, 2008, 09:03 AM
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Prices above $40 is profitable to oil producers, so around $50 is fine for them. I think this week is just a bounce off the bottom. I don't see it above $65 in the next two weeks. Time will tell.
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