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.
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