Air travel set to be hectic this Christmas, despite fuel price rise

International airlines servicing Guyana are almost fully booked for this season, from December 15 through to the New Year, and at least one is trying to put on extra flights.

This is despite surging fuel prices across the globe, which have been taking their toll on the aviation industry. One international airline, which serves Guyana, last month increased its fuel surcharge on tickets, although another is hoping to hold its tickets at a steady price.

On November 5, North American Airlines (NAA) raised its fuel surcharge from US$75 to US$105 per round trip, and one-month tickets have surged from US$650 to as much as US$1,135.

NAA Sales Manager Junior Horatio, in a telephone interview with this newspaper last week, said the new price was not expected to change again unless there were drastic changes in the price of fuel on the world market. He said NAA’s flights for the coming holiday season were almost sold out and a special US$398 fare package had been introduced for persons travelling to the United States for Christmas.

Asked about the airline’s plans with regard to delays during the season, Horatio said NAA had ensured that back-up arrangements were in place, such as the availability of extra jets should there be mechanical problems. He said he hoped this would boost the public’s confidence in the airline.

Caribbean Airlines (CA), which plies North America, Europe and Caribbean routes is booked to capacity for the season with flights from the USA, Canada and the United Kingdom.

CA Country Manager Carlton De Four said the airline was observing the trends with the rising oil prices, but would try to hold its surcharge constant for as long as possible. “At the moment there are no plans to change the fuel surcharge,” he said.

CA’s current fuel surcharge for a return trip to New York or Canada is US$40 and US$162 for a round trip to London. Reservations Supervisor Mrs Worrel told this newspaper that the fuel surcharge could be changed if a passenger altered his/her journey.

Meanwhile, persons who booked their Christmas flights in August or September would have paid fares as low as US$680; in October, they would have paid from US$900 and US$1,000. Persons attempting to book flights in December could pay as much as US$1,200, she said.

The airline said that there had not been much traffic from London to date. Return tickets for this flight cost as much as US$2,500 for bookings made after September. Earlier bookings would have cost around US$1,700.

Marketing Manager of Travel Span GT Incorporated Kadija Persaud said her airline was also looking forward to the season and would also be putting on extra flights to cater for the increase in passengers.

That airline has launched a series of offers to its customers and anyone wishing to make a booking now to Guyana by December 15 could take advantage of a US$709 offer. However, the fare could go as high as $1,099 for later bookings for the Christmas season.

Travel Span has also not gone the route of passing on any fuel increases to passengers by way of the fuel surcharge.

“While it may be forthcoming with the increases in world fuel prices, we have not taken the initiative to pass this on to customers; not at this time,” Persaud said.

She said the airline would not reveal its current fuel surcharge, but noted that it fluctuated based on fuel prices.

The world has been grappling with rising oil prices for months now. Last week, crude oil hit the US$100 mark for the first time ever, a situation which analysts have blamed on the currently weak US dollar. It subsequently dropped and fluctuated between US$97 and US$98 a barrel. Reuters said that when the markets closed on Friday, crude was US$98 a barrel, having risen US$1 from the previous day.

The BBC reported that the weaker dollar had been driving up oil prices as investors had been using the commodity as an alternative to holding dollars. Oil prices have risen by 60% this year. Tight supplies, winter demand and ongoing geopolitical concerns had also contributed to oil prices climbing by about 45% since August, the BBC said.