Qantas cuts fuel surcharges on frequent flyer tickets

By David Flynn , June 25 2015
Qantas cuts fuel surcharges on frequent flyer tickets

Qantas is moving to further reduce the fuel surcharge on tickets bought with frequent flyer points, following a similar cut earlier this year and continued low fuel prices.

The savings are estimated to range from 3% to 25%, with the average saving around 12% according to the airline.

The biggest winners will be economy travellers flying Australia to North America and South America, where a cut of 25% on the fuel component of the frequent flyer booking means those add-on charges will drop by up to $140 per passenger. 

(Honolulu is one exception to the US tariff trim, with a smaller 9% cut in economy).

Premium economy redemption bookings on the same routes will see a smaller cut of 9%, for a saving of $50 on a return ticket.

Flights to London will see a 12% cut ($70 return) for economy passengers and 6% ($50 return) in premium economy; however, if Dubai is your final destination the cuts are much smaller, at a 3% reduction for economy and nothing for premium economy.

Singapore economy bookings are also being reduced by 9% ($30 return).

Second cut in six months

"These further reductions mean that since January Qantas has reduced carrier charges on Frequent Flyer redemption tickets by an average of 21%, and on some routes as much as 37%" a Qantas spokesperson told Australian Business Traveller.

Qantas has reportedly seen points-based flight bookings or 'redemptions' grow by 1.4% between January and March this year compared to the same period in 2014.

?"We review these charges from time to time to ensure we continue to offer excellent value to our most loyal customers" the spokesperson added, "and we’re really pleased to be able to offer what is the second reduction in five months."

The airline's move comes as the ACCC continues its probe into fuel surcharges, which in the past 12 months year have fallen from US$110 a barrel to around US$65.

In January this year, as oil prices clipped a six-year low of US$50 a barrel, Qantas and Virgin Australia both chose to roll the fuel surcharge into their base fares on international tickets.

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David

David Flynn is the Editor-in-Chief of Executive Traveller and a bit of a travel tragic with a weakness for good coffee, shopping and lychee martinis.

Qantas - Qantas Frequent Flyer Platinum

07 Feb 2013

Total posts 558

Still a joke compared to redemptions via velocity

A move in the right direction but I hope this does not mollify the ACCC. 

Qantas - Qantas Frequent Flyer

26 May 2014

Total posts 415

Does that mean that there is no change to the fuel surchare for J points bookings ?  Clearly not a fuel surcharge in that case.

14 Apr 2015

Total posts 7

Earn miles with AAdvantage instead... You spend less in most cases. And zero fuel surcharges whatsoever when redeeming award tickets.

Qantas - Qantas Frequent Flyer

11 Apr 2014

Total posts 25

Buy AA miles and redeem on Qantas Business and First. Say goodbye to exorbitant surcharges. 

09 Mar 2015

Total posts 3

Will this affect booking Points Plus Pay tickets?

Qantas - Qantas Frequent Flyer

02 Nov 2014

Total posts 24

Yesterday when I booked I was charged $1700 fees for a business class frequent flyer ticket to Europe.

United Airlines - Mileage Plus

12 Sep 2011

Total posts 116

I like UA mileageplus    for redemtions on UA and other Star Aiiliance carriers Very low taxes/surcharges Much less than when  booking with EU an Asian *A carriers directly through their own  programs

United Airlines - Mileage Plus

12 Sep 2011

Total posts 116

OH BTW last time I redeemed QF points for an award  internationally  a few years agoit was on ElAl from TLV-ZRH in C 30K Miles and 12 GBP  taxes Cant do that anymore  Now 46 K   No Elal flights No direct flights  and no widebody flights for a 4-5 hour flight  -Sorry just love UA  1K Saver Award TLV-ZRH-MXP for 45K and US$46.76  in C Widebody A330-300 with flatbeds  then an embraer type in C for the short kaunt fro mZRH-MXP  Go Star Alliance!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

Qantas - Qantas Frequent Flyer

23 Nov 2010

Total posts 20

A joke is an understatment, I call it corporate fraud. Bloody Qantas make me sick. Geez I hope the ACCC go them big-time. They probably won't though, look who's on the board of QF and look who's at the ACCC. Very cozy. 

I have just started the transition to QR.

The final straw for me, I just tried to get a flight in J from JFK to OSL with QF points. The fees and charges were $USD1232 + the points required. I ended up buying a ticket on AY for less than QF's excess charges. 

I called QF and asked if I could speak to an "expert" on the QFF program and explain to me in detail how the charges are calculated. Not one of 3 idiots I spoke with knew. No one could explain. Friggin outrageous. 

Qantas - Qantas Frequent Flyer Platinum

07 Feb 2013

Total posts 558

Yep don't get me wrong I love qantas and their lounge network worldwide through the onworld alliance not to mention their domestic first class lounges are superior. But having to pay literally 5 times the fees on a reward ticket did it for me. BNE-SIN $100 vs $500 approximately. Been platinum with both for years now but my QFF will begin a downward slide now status wise unfortunately. Being based on the gc and having the ability to fly hourly to sydney compared to 3 times a day with the red rabbit probably also sways it for me though.

01 Aug 2012

Total posts 30

Wow. Fuel has fallen by 40% in the last 12 months and Qantas have reduced their fuel surcharge by 21%. I am truly impressed.

Qantas - Qantas Frequent Flyer

02 Nov 2014

Total posts 24

Surcharges on frequent flyer tickets are artificially high making it difficult to get value from the points. For example, I have seen cash prices on short hop domestic flights that are less than the FF surcharge.

 


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