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South Africa’s leading low-cost airline, FlySafair, will introduce a temporary fuel surcharge as it grapples with a sharp rise in global jet fuel prices triggered by escalating tensions in the Middle East.
South Africa’s leading low-cost airline, FlySafair, will introduce a temporary fuel surcharge as it grapples with a sharp rise in global jet fuel prices triggered by escalating tensions in the Middle East.
The temporary surcharge will take effect from March 12 and will apply to flights departing on or before May 12, “reflecting the airline’s hope that this is a short-term crisis requiring a short-term response,”
South Africa relies heavily on imported refined petroleum products, including Jet A1 fuel, making it particularly vulnerable to global supply disruptions.
Fuel typically comprises about half of FlySafair’s direct operating costs, and it estimates an additional expense of about 35,000 rand ($2,158) per flight, per Bloomberg. It will reduce or remove the surcharge once market conditions improve.
Concerns have intensified after the United States and Israel carried out airstrikes on Iran, prompting retaliatory attacks that have pushed crude oil prices above $100 per barrel for the first time in two years and disrupted shipping through the vital Strait of Hormuz.
“Instead of increasing fares across the board or hiding costs, we have chosen to introduce a clearly labelled, temporary surcharge,” said Kirby Gordon, chief marketing officer at FlySafair. “This approach gives customers full visibility into what they are paying for and allows us to remove the surcharge once prices stabilise.”
Jet A1 fuel prices at South African coastal airports have surged by about 70% in just one week, prompting the airline to adopt the surcharge to maintain operational sustainability, Gordon said.
According to the African Airlines Association, fuel typically accounts for between 30% and over 40% of operating expenses for African airlines—significantly higher than the global average of 20% to 25%.
Soma South Africa’s largest airline adds temporary surcharge as Middle East conflict drives fuel prices higher
South Africa’s leading low-cost airline, FlySafair, will introduce a temporary fuel surcharge as it grapples with a sharp rise in global jet fuel prices triggered by escalating tensions in the Middle East.
The temporary surcharge will take effect from March 12 and will apply to flights departing on or before May 12, “reflecting the airline’s hope that this is a short-term crisis requiring a short-term response,”
South Africa relies heavily on imported refined petroleum products, including Jet A1 fuel, making it particularly vulnerable to global supply disruptions.
Fuel typically comprises about half of FlySafair’s direct operating costs, and it estimates an additional expense of about 35,000 rand ($2,158) per flight, per Bloomberg. It will reduce or remove the surcharge once market conditions improve.
Israel-Iran war
Concerns have intensified after the United States and Israel carried out airstrikes on Iran, prompting retaliatory attacks that have pushed crude oil prices above $100 per barrel for the first time in two years and disrupted shipping through the vital Strait of Hormuz.
“Instead of increasing fares across the board or hiding costs, we have chosen to introduce a clearly labelled, temporary surcharge,” said Kirby Gordon, chief marketing officer at FlySafair. “This approach gives customers full visibility into what they are paying for and allows us to remove the surcharge once prices stabilise.”
Jet A1 fuel prices at South African coastal airports have surged by about 70% in just one week, prompting the airline to adopt the surcharge to maintain operational sustainability, Gordon said.
According to the African Airlines Association, fuel typically accounts for between 30% and over 40% of operating expenses for African airlines—significantly higher than the global average of 20% to 25%.
Soma South Africa’s largest airline adds temporary surcharge as Middle East conflict drives fuel prices higher