Are extra fuel charges going to go in effect again?

[lovelights]

I just seen on the news that the price of a barrel of oil is up to $65.00+. Does this mean that the cruise lines are now going to charge extra?

 

I noticed that on NCL's website, they indicate that they can re-instate the charge for fuel if the price goes above $65.00 per barrel. I can't locate what the rule is for Royal Caribbean. Does anyone know?

[Retired LEO]

I seem to remember that $65.00 was the magic number, so the possibility does exist.

[Sue L]

I believe it is 70$ a barrel, but someone will correct me if I am wrong

[elleluv]

The retained the right to reinstate them at any time, so it is a possibility...

 

The magic number to waive it was if West Texas Intermediate fuel according to the NYMEX went below $65. They were using a date 2 weeks before the quarter ending to remove the charge for the following quarter... For example, if it was less than $65 on 6/17/09 there wouldn't be a fuel supplement for July 1 through Sept 30.

 

I'm not sure if they are using the same criteria for the reinstatement of the fuel supplement or not...

[pcur]

It's $65 a barrel according to RCCL's web site. They will look at the price as of:

 

June 17, 2009

September 17, 2009

December 18, 2009

March 18, 2010

June 17, 2010

September 17, 2010

[elleluv]

I believe it is 70$ a barrel, but someone will correct me if I am wrong

 

 

I *think* it may have been Carnival Corp that was $70... RCI was $65...

[Retired LEO]

It's $65 a barrel according to RCCL's web site. They will look at the price as of:

 

June 17, 2009

September 17, 2009

December 18, 2009

March 18, 2010

June 17, 2010

September 17, 2010

 

If it continues to climb I guess we'll know in a few weeks.

[megr1125]

everyone cross your fingers and toes that the price is BELOW 65 bucks on 6/17!!!!!!!!!!:eek:

[Gonzo70]

Royal made a slight change to the policy. The initial policy was the fuel surcharge would be active for the upcoming quarter on the dates a prior posted listed based on the price of WTI Crude (currently at $65.08) being over $65 on the specified dates.

 

The revised policy made it so that the $65 price would not automatically restart the fuel surcharges, but that they would reserve the right to start them back up.

 

My personal opinion is that unless oil goes to $80 or more in 2009 that the cruise lines would be reluctant to commence charging a fuel surcharge once again. They would be extremely unpopular and be a PR nightmare during these difficult economic times. If oil does go over $80 then all bets are off and many people would be more likely to view a fuel surcharge as fair/reasonable. However, this is merely my opinion so who knows what they will actually do if WTI does remain in the $65-$70 range.

[Bases5]

i like your answer best

 

royal made a slight change to the policy. The initial policy was the fuel surcharge would be active for the upcoming quarter on the dates a prior posted listed based on the price of wti crude (currently at $65.08) being over $65 on the specified dates.

 

The revised policy made it so that the $65 price would not automatically restart the fuel surcharges, but that they would reserve the right to start them back up.

 

My personal opinion is that unless oil goes to $80 or more in 2009 that the cruise lines would be reluctant to commence charging a fuel surcharge once again. They would be extremely unpopular and be a pr nightmare during these difficult economic times. If oil does go over $80 then all bets are off and many people would be more likely to view a fuel surcharge as fair/reasonable. However, this is merely my opinion so who knows what they will actually do if wti does remain in the $65-$70 range.

[carbon]

If you already booked for march 2010 can they add the fuel charge?

[elleluv]

If you already booked for march 2010 can they add the fuel charge?

 

 

Sure can... there's fine print in your reservation that says that they reserve the right to do so...

[Tucker in Texas]

Even though the price of a barrel is up, I noticed today the price for a gallon of gas has dropped 6 cents at our local filling station. Of course, that is today. Tomorrow it may be up a dime. They aren't shy about jumping the price a dime at a time and then dropping it a couple of pennies for a day or two before raising it again another dime.

 

Tucker in Texas

[dennbr9]

I think you can plan on Oil prices going up over the summer and probably will see some type of charge for awhile; at least through the summer and early fall.

 

Might as well expect it, at least then if it does not happen you will be happy about it. If it does then you won't be shocked.

[SliderNc]

It will be interesting to see how they have hedged their fuel for the rest of the year and what prices they locked into. However, I'm not surprised that the price of gas is up because summer travel season has officially started, which at the same time with some economic recovery, has also driven up the price of crude. OPEC wants it in the $70-80 range from what I've been reading as they feel that is a fair price of barrel of oil.

 

I don't see them jumping to add in the fuel surcharges right at $65. I would expect that if you see the price of oil approach the $75-80/barrel range, they might re-instate the surcharge for just that quarter.

 

I think that the past few months have been a learning lesson for many Americans about how volatile things can be. I don't think oil will get as high as it used to be with new regulations about MPG's, etc and the fact that people are just not spending as much as they used to for whatever reason they choose.

[Illmaxict]

so that means I'm in the clear for my June 6th cruise.

[Retired LEO]

Even though the price of a barrel is up, I noticed today the price for a gallon of gas has dropped 6 cents at our local filling station. Of course, that is today. Tomorrow it may be up a dime. They aren't shy about jumping the price a dime at a time and then dropping it a couple of pennies for a day or two before raising it again another dime.

 

Tucker in Texas

 

I always know exactly when gas is going to go down. It's the day After I fill up.

[BEAV]

so that means I'm in the clear for my June 6th cruise.

 

Yes, you are clear. But not because your cruise is sailing before June 17, but because I don't believe RCCL imposes fuel surcharges if you're already paid in full (assuming you are for a June 6 departure).

 

Someone please correct me if I'm wrong that RCCL won't impose fuel surcharges for passengers already paid in full.

[pcur]

Yes, you are clear. But not because your cruise is sailing before June 17, but because I don't believe RCCL imposes fuel surcharges if you're already paid in full (assuming you are for a June 6 departure).

 

Someone please correct me if I'm wrong that RCCL won't impose fuel surcharges for passengers already paid in full.

 

I believe you are correct. I was not charged for a cruise last year because I was paid in full. I was thinking today after reading this thread that I might pay up all my bookings in full to avoid the chance of getting charged again. I need the credits on my Southwest Airlines Visa, anyway; we're close to another roundtrip.

[Illmaxict]

even better than

[Gonzo70]

Yes, you are clear. But not because your cruise is sailing before June 17, but because I don't believe RCCL imposes fuel surcharges if you're already paid in full (assuming you are for a June 6 departure).

 

Someone please correct me if I'm wrong that RCCL won't impose fuel surcharges for passengers already paid in full.

 

Last year RCL got in trouble with the Attorney General's office for invoking a fuel surcharge in people who had already placed a deposit because the cruise contract read that once you pay a deposit your fare will not go up aside from for government taxes/fees and/or increased port fees. A cruise line imposed fuel surcharge does not fall under these categories so RCL violated people's cruise contracts by invoking the fuel surcharge on those that already had paid a deposit.

 

However, the current language in RCL's cruise contract states that they may invoke fuel surcharges after someone has already paid a deposit. I am not sure if this also applies to someone paid in full or if it only applies to those who have just paid a deposit.

[Rancher Dave]

Last year RCL got in trouble with the Attorney General's office for invoking a fuel surcharge in people who had already placed a deposit because the cruise contract read that once you pay a deposit your fare will not go up aside from for government taxes/fees and/or increased port fees. A cruise line imposed fuel surcharge does not fall under these categories so RCL violated people's cruise contracts by invoking the fuel surcharge on those that already had paid a deposit.

 

However, the current language in RCL's cruise contract states that they may invoke fuel surcharges after someone has already paid a deposit. I am not sure if this also applies to someone paid in full or if it only applies to those who have just paid a deposit.

 

 

I believe even paid in full would get the surcharge. Princess in particular makes notes on every rezzie that if it goes up over $70 I think it is, even if paid in full you will be hit with the surcharge...I expect RCCL has the same language built into their contract as well.

 

Just glad we depart before July 1st so no worries here.

[pcur]

I believe even paid in full would get the surcharge. Princess in particular makes notes on every rezzie that if it goes up over $70 I think it is, even if paid in full you will be hit with the surcharge...I expect RCCL has the same language built into their contract as well.

 

Just glad we depart before July 1st so no worries here.

 

Actually, I pulled out my two cruise folders from last year. One I had paid in full in 2007, but the cruise was for 2008. They did not charge me the fuel surcharge, and even honored that when the booking was cancelled and moved to another date which was a lower price.

 

The second cruise I booked during the fuel surcharge and did have to pay it.

 

So, if it looks like they might start up again, I say pay up folks!!!

[pcur]

Me, again. I just figured what I'd be out-of-pocket early to pay my booked cruises in full. At the interest rates today, I'm losing less than one person's fuel surcharge in interest. I think I'll do this in the next two weeks just to protect us from paying a surcharge. Our cruises are the end of this year and 1st quarter next year, and I have to pay in full from July - January, anyway.

[booboo4031]

The economy being what it is, I would think that the cruise lines would wait as long as possible to re-instate the fuel surcharge. I would think it would have to go quite a bit over the base lines they have set before they would move in that direction. They are already sailing with ships that are not full and the passengers that are sailing, are sailing with incredibly discounted rates. The last thing they really want, is for passengers to start cancelling due to the implementation of the fuel surcharge.