Mumbai: Air Deccan — the country’s first low-cost, no-frills airline — plans to emulate Ryanair’s strategy of not levying a fuel surcharge on its air fares.
Air Deccan joined other airlines recently in slapping a Rs 300 fuel surcharge levy in response to rising prices of aviation turbine fuel (ATF).
But it doesn’t intend to have the levy around for very long, emulating Ryanair which has sworn never to levy a fuel surcharge even if jet fuel prices continue to mount.
“Oil prices can double again to $150 per barrel and Ryanair still won’t apply fuel surcharges,” it said in an April 18 filing with the Securities and Exchange Commission (SEC) of the US.
RyanAir is the only major airline in Britain that guarantees no fuel surcharges.
Air Deccan isn’t just following RyanAir’s lead: it has already recruited Warwick Brady, former head of operations at Ryanair, as its chief operations officer. It intends to phase out the fuel surcharge that it recently levied on its airfares across all sectors.
12/05/06 Chandralekha Tulal/Calcutta Telegraph
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Friday, May 12, 2006
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Fuel surcharge: Ryanair inspires Air Deccan
Friday, May 12, 2006
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