AirAsia scraps fuel fee

News in Asia
AirAsia scraps fuel fee

AirAsia scrapped the fuel surcharge on all of its flights with effect from yesterday. The budget carrier’s CEO, Tony Fernandes, told media sources late last week that the decision had been made to do away with the fee in response to plummeting global oil prices.

The CEO continued by saying that AirAsia had made the decision to scrap the charge two months ago, but was unable to actually carry it out at that time. He pointed out that the carrier was the first to cut fuel surcharges in 2008 when oil prices were also dropping.
 
Mr Fernandes finished off by saying AirAsia was committed to offering premium passenger service at the lowest possible prices. As a codicil, he added that lower fares would be a boost for the travel and tourism industries and an incentive for consumers to book flights.

The reduction in the fare costs applies to all AirAsia’s affiliates and these are Thai AirAsia, Indonesia AirAsia and the medium-haul AirAsia X carriers. After scrapping the fuel fee in 2008, AirAsia reintroduced it in 2011 in response to the increasing per-barrel cost of jet fuel.

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