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Airlines to refund flights
BravoSewe
#1 Posted : 02 December 2011 02:37:42 PM(UTC)
BravoSewe

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Source : News24

Quote:

While South Africa is in a tizz about the Freedom of Information Bill, one piece of lawmaking should have South Africans smiling. According to Tourism Update, the Consumer Protection Act makes provision for a total refund of air tickets, including taxes and fuel charges.

The National Protection Commision recently looked at airline contracts and found most terms and conditions were not adhering to the CPA. One of the major breaches included non-refundable tickets. According to the Act, a consumer has the right to cancel an advance reservation, booking or order and refunds must then be made within 15 days. The commission has given airlines until December 2 to respond.

Commissioner, Mamodupi Mohlala, was quoted as saying airlines could sign consent agreements specifying a timeline within which they would amend their terms and conditions to comply. Alternatively, airlines will receive a compliance order, which states terms and specifies a fine that will be applicable.

According to Tourism Update, Axel Simon, Director Southern Africa for Lufthansa and SWISS, confirmed the new regulations and said currently Lufthansa's fuel surcharge (YQ) was refundable if the fare, as such, was refundable but not if the fare was non-refundable. "This is in accordance with the regulations stipulated by the CPA. As of April 1, all fares originating in South Africa will be refundable against a fee, which will also mean that the YQ surcharge is refundable."

However at present, most airlines refuse to refund fuel surcharges on non-refundable tickets, saying the surcharges are a crucial part of the operating cost of the airline. British Airways said in a statement: " Although we have refunded the surcharge on our best value fares in the past, we are no longer able to do this in the current economic climate. The YQ surcharge is part of the fare but is shown separately so we can be transparent with our customers."

However, by charging fuel surcharges separately from the base fare they are not discountable using corporate discount or travel agent-consolidator commissions. Fuel surcharges are also not discountable for child fares.

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