With the increasing cost of fuel, many airlines have started charging fuel surcharges on redemption tickets. All fuel surcharge amounts are applied by Aeroplan on behalf of the ticketing carrier and are passed through directly to the ticketing carrier. Fuel surcharge amounts are determined by each airline and may change from time to time. Aeroplan has applied fuel surcharges for flight rewards on Air Canada since 2004. The fuel surcharge amounts to be applied by Aeroplan for flights on Star Alliance airlines will be the same as those applied by the individual airlines within their own frequent flyer programs.
Fuel surcharges to flight rewards on the following Star Alliance airlines will be effective as of the dates noted below:
November 30th, 2011: Asiana Airlines, THAI, ANA, Austrian Airlines, LOT Polish Airlines, bmi
December 14th, 2011: Aegean Airlines, Adria Airways, TAM, South African Airways, TAP Portugal
These are in addition to fuel surcharges to flight rewards on Lufthansa that became effective on November 9th 2011 at 7pm.
Members making voluntary changes after the applicable effective date to existing bookings with these airlines will also be subject to the fuel surcharges.
Fuel surcharges to flight rewards on other Star Alliance member airlines not referenced in this notice will come into effect only if those airlines elect to apply them within their own frequent flyer programs.
So as you can see fuel surcharges are back on the carriers that were first mentioned and even more. Some Star Alliance carriers will still not have any fuel surcharges but the door has been left open for Aeroplan to add them in the future
In addition to charging a fuel surcharge on behalf of the airline like Air Canada, Aeroplan adds hidden fees to these charges for themselves, particularly for Classic Redemptions. The charges for tax, fuel surcharge plus Aeroplan's money grab are greater than when you book a revenue fare on Air Canada. This often makes paying for the ticket a better deal. What kind of a program does that? and continues in business?
ReplyDeleteI agree. I've been an Aeroplan partner since 1998 and it has become a very lousy deal. Was trying to get my in-laws (2 people) to fly from Kiev to Vancouver so 75000 pts X 2 = 150,000 points PLUS $1800 in surcharges ! What a rip-off - I hope someone takes them to task on this.
DeleteThe program is a decent value when you redeem for Business class tickets, of course you need a large amount of points which prices most people out of the best rewards
ReplyDeleteTotal bullshit. These fuel surcharges do not even go to the operating carrier, AC keeps them. That $440 LH 'fuel surcharge' is split btw AC and Aeroplan.
ReplyDeletePieces of shit.
How the hell can they justify charging fuel as a TAX? It's a core part of operating costs. Yes, the price will go up over time- sometimes sharply- as is the case with other costs that may rise (wages, security costs). These costs apply to all airlines fairly evenly and are therefore passed on to the consumer in the form of higher ticket prices- WHICH WE PAY. This is nothing but an underhanded cash-grab from consumers with inadequate alternative options. What's next, a Pilot Tax? Flight Attendant Tax? Why not just breakdown the ticket into every minute component part and charge it as a tax, therefore the advertised ticket price could be, say , $1, while the actual amount you have to pay for your reward ticket being 99% of the real purchase price?
ReplyDeleteRBC rewards adds $30 per ticket in surcharges for an online booking which they say is related to a NavCan charge (at least in Air Canada tickets). This is BS as the NavCan charges are included in the base price of the ticket and comparing an identical ticket purchased direct from AC the prices are the same except for the charges. I am following this scandal up with RBC Rewards directly as IMHO this is simply the $30 per ticket that you would pay if going through an RBC rewards agent.
ReplyDeleteThe ToC stipulate that you should only get this charge if booking over the phone and that it is not charged if self-service booking online.
Aeroplan and the fuel surcharge will likely increase migration to other reward cards.
ReplyDeleteTo say the least, we are very annoyed as long term members of Aeroplan and active collectors.
We only use the points for flights.
The Amex Gold card is wonderful alternative to this Aeroplan made problem.
I notice when they increase redemption cost to us, their stock price/profits also go up. For those of us who can buy the stock.
I looked at an AC flight to Europe on Aeroplan website and I would have to pay the fuel surcharge.
ReplyDeleteI went on the United website and found the EXACT flight available to their mileage plus members and there is no fuel surcharge.
How can Aeroplan collect fuel surcharge from it's members on behalf of AC and United does not have to??
If this is not enough. Some one at Air Canada has told me that the full surcharge amount has noting to do with the actual distance you fly. It is determined based on the amount of competition on the route. In other word (not as nice) if Air Canada feels that they can rip you off, they will do it happily. It is about of time that people will wake up, and move a way from Air Canada and Aeroplan to other options. The United option mentioned above is one way to go. I personally after been a Super Elite customer for 11 years in a raw, and a 1 million miler am going to switch to this option in 2013.
ReplyDelete