Press release -
Fred. Olsen Cruise Lines clarifies position on rising fuel costs
Fred. Olsen Cruise Lines wishes to clarify its position with regards to Fuel Cost Supplements and Fuel Surcharges, which it has levied in response to the increasing cost of fuel oil and the significant impact this has had on its operating costs.
Fuel Cost Supplements
With effect from 19th January 2011, Fred. Olsen Cruise Lines has simplified the charging structure for Fuel Cost Supplements. To bring it in line with the EU Package Travel Directive and ABTA requirements for the levying of fuel surcharges, the company has switched from a 'per person, per night' charge to a 'percentage of fare' charge.
This will mean that – with effect from 19th January 2011 – the Fuel Cost Supplement will be 5.5% of the cruise fare paid, after any relevant discounts have been deducted. This will apply to all bookings made on departures featured in the ‘Fred. Olsen Cruises 2011/2012 Worldwide Second Edition’ brochure, with the exception of the 2012 ‘Grand Voyage’ cruises – i.e. Black Watch’s ‘Around the World’ cruise W1201, and Balmoral’s ‘Around South America’ cruise L1201, whether full or sector cruises, which will attract no Fuel Cost Supplement.
In the event that the price of Brent crude oil falls back to £45 per barrel, or below – averaged across the month prior to the date of departure – the Fuel Cost Supplement will be refunded to the guest in the form of an onboard spending credit.
Fuel Surcharges
On bookings taken prior to 23rd December 2010, for cruise departures from 10th April 2011, Fred. Olsen Cruise Lines is implementing a Fuel Surcharge of 4.5% of the cruise fare paid, capped at a maximum of £250 per person, per cruise, and taking into account any Fuel Cost Supplement already paid by guests. However, no Fuel Surcharge will be levied on Fred. Olsen Cruise Lines’ 2012 ‘Grand Voyage’ cruises – i.e. Black Watch’s ‘Around the World’ cruise W1201, and Balmoral’s ‘Around South America’ cruise L1201, whether full or sector cruises, based on today’s level of operating costs.
In accordance with the EU Package Travel Directive, and as notified to ABTA, Fred. Olsen will be absorbing 2% of the total 6.5% increase in operating costs due to oil price rises.
Fred. Olsen Cruise Lines will review its Fuel Surcharge policy on a monthly basis to ensure that it is in line with oil trading prices.
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Fred. Olsen Cruise Line operates in the UK with four intimately sized ships for a more personal cruising experience.
Fred. Olsen Cruise Lines
