Increased Fuel Prices Have Forced Air Chathams’ Airfares to Rise

    The price of fuel has spiked by 96 cents per liter for the airline.

    Air Chathams has announced it is introducing a $20 fuel surcharge on all flights, including the Whakatāne-Auckland route, due to increased jet fuel costs.

    The Airline said $20 will be added to ticket prices when booking, but it will not apply to existing fares.

    "This surcharge will be reviewed regularly and will be removed once fuel prices return to more normal levels," it said.

    Air Chathams' Chief Executive Duane Emeny hopes prices will stabilise they can "can remove it quickly."

    He said the price of fuel has spiked by 96 cents per liter for the airline.

    “Every 10-cent increase in price is about $300,000 per year in extra fuel costs,” he said. “So if it stayed at this level, that’s roughly $3,000,000 a year in additional cost for us.”

    Emeny said while the increase was expected to be temporary, it could still mean an extra $200,000 to $300,000 per month in expenses for the regional airline.

     

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