Wednesday, December 10, 2008
Cruise Lines Eliminating Fuel Surcharges
It's about time things got better for the consumer this holiday season. With the cost of oil now 70% below its summer peak, its a really hard sell to keep fuel surcharges in the fare. Last week, the Carnival family of cruise lines pulled the plug on the fuel surcharges, refunding everyone who paid them and is sailing on or after December 18. Other cruise lines have followed suit as well, including Royal Caribbean and Norwegian as well as many other smaller lines in the last week. They all will end their fuel surcharges for sailings leaving January 1, 2009 or later. Will this be a temporary suspension?
We're betting the answer is yes. Carnival Corporation, in their press release says that once the price of crude hits $70 again, its game on with a $9 per day fuel surcharge. Other cruise lines, have the bar set lower at just $65 per barrel. And just because you book now, doesn't mean that if the price of oil jumps again that you will be immune. The press releases seem to be worded with the intent of retroactively charging these fuel surcharges when and if the cost of oil spikes again.
We're betting the answer is yes. Carnival Corporation, in their press release says that once the price of crude hits $70 again, its game on with a $9 per day fuel surcharge. Other cruise lines, have the bar set lower at just $65 per barrel. And just because you book now, doesn't mean that if the price of oil jumps again that you will be immune. The press releases seem to be worded with the intent of retroactively charging these fuel surcharges when and if the cost of oil spikes again.
Roger, 11:21 AM
