Oil price surges will affect ticket costs, says Delta’s CEO

“It really depends on where fuel prices settle. It’s probably about $25 on a (U.S. domestic) ticket, that could be anywhere between 5 percent to 10 percent at these high levels of oil”, Bastian declared for the BBC.

International ticket prices will also increase, in a percentage that is expected to be even higher.

The price increase is no surprise, as most aviation authorities have anticipated more expensive services. The context was offered by the Russian invasion of Ukraine last month and oil costs increasing exponentially.

With air travel almost completely recovered from the Covid-19 pandemic, the industry had high hopes for consistent revenue this season. Yet, high oil prices and consecutive expenses for carriers continue to hinder official plans.

"I think the $100 [oil] we are experiencing today may not be the highest level of prices we'll be seeing in the next weeks,” commented Dr. Fatih Birol, International Energy Agency’s executive director.

Companies such as Emirates, Japan Airlines and AirAsia have already increased their ticket fares. Delta Airlines as well as other carriers are currently expected to follow this move and boost transport prices.

 

Source: travelpulse.com