SIA to raise fuel levy again, citing oil costs

(AFP PHOTO / ERIC PIERMONT)

Singapore Airlines (SIA) said Friday it will raise its fuel levy for the third time since January to partially absorb the cost of soaring oil prices.

Jet fuel prices have escalated to more than $138 a barrel, an increase of over 30 percent since the start of the year, the carrier said in a statement.

"In light of the continuing rise in the price of jet fuel, Singapore Airlines will increase its fuel surcharge for tickets issued on or after 21 April 2011," it said.

"The adjustments will offer only partial relief from the higher operating costs arising from increases in the price of jet fuel."

SIA said the latest hike will see an increase of $4 to $32 in the fuel levy for all flights, including those offered by SilkAir, the carrier's regional wing.

Crude prices have breached two and a half year highs in recent weeks on the back of unrest in the oil-rich Middle East and North Africa, the Japanese nuclear crisis and increased confidence in the state of the global economy.

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