Qantas lifts fares
HIGH f uel p r i c e s have forced Qantas Airways Ltd to hike fares for Australian and trans-Tasman flights for the second time since February.
Qantas says fares on domestic routes and flights to regional centres would rise by up to $ 10 per sector.
Meanwhile, ticket prices would increase by up to eight per cent for trips to and from New Zealand.
The increase, announced yesterday, were for tickets issued on or after March 31 and comes on top of a similar move in February this year.
The national flag carrier has also twice raised fuel surcharges for tickets on international flights to the US, Europe, South Africa and elsewhere. Qantas chief executive Alan Joyce said since the last round of increases in February jet fuel prices had gone up by a further 15 per cent to sit at $ US134 a barrel.
Mr Joyce described the situation as a ‘‘ major concern’’ for the Qantas group of airlines and represented a significant threat to carriers around the world.
‘‘ The situation today is very different to the last fuel crisis, when the global economy was strong,’’ Mr Joyce said.
‘‘ This time, the world is still emerging from the global economic crisis, and demand is still recovering.’’
Fuel costs were expected to reach $ 2 billion in the s e c o nd hal f o f 2 0 1 0 / 1 1 , Qantas said.
Figures from the airline showed Singapore jet fuel was at its highest level since 2007/ 08, and prices in the second half of 2010/ 11 were expected to be 20 per cent higher than in the first half of the year.
Mr Joyce said the airline group could not rule out further increases in fares and surcharges in the future.
Rising fuel costs have forced Qantas to increase prices for the second time since February