Cruise line to raise fuel surcharges. Others to follow?

cruise fuel surchargesIt’s not just gas at the pump rising in price, cruise lines too are paying more for fuel and some are passing along the cost to passengers.

Cunard Line, already charging a fuel surcharge since last May, today announced an increase from $3.85 to $6.00 per person per day on new bookings made on or after December 31, 2010. The supplement is capped at $200 per person on longer voyages and includes all guests traveling.

Cruise lines have resisted adding back on the unpopular fuel surcharge even though fuel prices have exceeded the threshold they commonly notify guests it would take to resume the fee. Fuel surcharges started in 2007 when oil went above $100 per barrel but were removed in late 2008 after pricing went down below $70.

The current price of a barrel of crude oil is about $90.

Other signs point to seeing more of cruise line fuel surcharges too. Earlier this month, British Airways raised their fuel surcharge for the first time since 2008 on long-haul flights by 10 pounds (about $16) each way.

Still, the cruise industry does not want to add the fee back. When speaking of fuel surcharges earlier this month, Carnival Corp Vice Chairman and COO Howard Frank told USA Today, “I don’t see that in the cards … not based on where we see fuel for this year.”

Photo courtesy Cunard Line