FUEL RECOVERY CHARGE POLICY
31 JULY 2015
In line with many other airlines Flybe has, since 2011, operated a fuel recovery charge policy, commonly known as the fuel surcharge. Flybe was forced to adopt a variable fuel recovery charge due to the steep and enduring escalation of crude oil prices from that time.
In addition, to help protect the business against yet further crude oil price movements, the company adopted a policy of “hedging” where it buys a majority of its fuel requirements up to 18 months in advance.
The recent fall in the crude oil price has led to questions on the future of the fuel recovery charge. Our policy is to keep the matter under review. We recognise that it will take time for a) our fuel hedging positions to unwind; and that b) fuel is likely to remain a significant cost component for the foreseeable future.
We strive to be able to remove the fuel surcharge completely in time.