Although global crude oil prices have recently hit a new high of US$60 per barrel, there will be no adjustment of aviation companies' fuel surcharges, a government official said.
Vice Minister of Transportation and Communications Chang Chia-chu (張家祝) said on Wednesday that the ministry will not consider allowing a new hike in fuel surcharges on plane tickets, as the summer peak season is just around the corner.
Neither the government nor the public will accept an additional increase in summer, as airlines usually raise their ticket prices for peak seasons, Chang said.
In Asian trading yesterday, light, sweet crude for the August contract on the New York Mercantile Exchange was up US$0.26 to US$58.35 a barrel.
Chang said that his ministry would not even consider the possibility before Sept. 14, the expiration date of the current transition period for existing fuel surcharges approved last year by the Civil Aeronautics Administration.
Beginning this month, domestic airlines like Far Eastern Air Transport Corp (
The aviation authorities last month approved price hikes of about 4.5 percent on average as operational costs for domestic airlines soared, especially the cost of jet fuel, which airlines expect will account for about 15 percent to 20 percent of their total costs.
The price of airline fuel, as charged by Chinese Petroleum Corp (
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