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Air tickets to get cheaper as fuel surcharge disappears

DOMESTIC flight tickets got slightly cheaper today, as Chinese airlines stopped charging fuel surcharges on domestic routes due to declining jet fuel prices.

Domestic airlines, including Xiamen Airlines and Lucky Air, they are halting the surcharges altogether after they had been cut for five continuous months.

Other airlines will follow and publicize the notice soon, said Ctrip, the nation’s biggest online ticket-selling platform.

In January, passengers had to pay 30 yuan (US$4.80) fuel surcharge on domestic routes of over 800 kilometers, and 10 yuan for shorter routes. The surcharge for routes over 800 kilometers was 120 yuan as recently as February 2014.

Passengers on domestic routes still must pay a 50-yuan Civil Aviation Development Fund fee - the former airport construction fee - along with their ticket fare.

The cuts are the result of a drop in the price of domestic jet fuel by 1,013 yuan per ton to 3,782 yuan this month due to the fall in the benchmark price of Singapore jet kerosene, according to Ctrip. The jet fuel price was 7,055 yuan per ton last February.

According to civil aviation regulation, a fuel surcharge comes into play only when the fuel cost is over 4,140 yuan.

The National Development and Reform Commission and the Civil Aviation Administration of China issued rules in November 2012 to allow airlines to adjust fuel surcharges only when the factory price fluctuates by more than 250 yuan a ton.

Meanwhile, domestic flight tickets will get cheaper in March in the non-peak period after the Spring Festival.

“Passengers are urged to book flight tickets for flying in March and April this month to enjoy both the low price and no fuel surcharge,” said a Ctrip spokesman surnamed Shi.

During the Spring Festival holiday that begins on February 19, a ticket from Shanghai to Sanya in Hainan Island is over 1,800 yuan but the price will drop to only about 400 yuan in early March. A ticket between Beijing and Lijiang in southwest China’s Yunnan Province will be cut to about 1,000 yuan from over 2,300 yuan late this month.




 

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