Alaska to lower Charges to Cruise Lines

Updated June 28, 2010

Alaska: Governor Signs Tax Reduction Bill

Alaska Governor Sean Parnell has signed legislation lowering the state’s tax on cruise passengers, which will go into effect in October, and thus for practical purposes reduce cruise line’s operating costs in Alaska starting in 2011.

The state head tax will drop from $46 to $34.50 per /cruise’ per passenger. Voters had approved the tax in 2006 seeing it as a means to help cover the cost of infrastructure to accommodate the ships and the passengers.” …………….

The high cost of the tax combined with other issues have reduced cruise capacity numbers in Alaska. And some of the other issues remain, however, including the most restrictive environmental regulations anywhere.

Alaska after about two years of increasing Charges (rates per passenger aka : Head Tax) to cruise lines has agreed to lower these charges per various news on the Internet. Click on Title to see announcement.

This is after cruise lines began to announce withdrawal of some of their ships to Alaska.
Last year the cruise prices dropped a bit to ensure ships were full.
This year they have repositioned some ships away from Vancouver to Seattle as the starting point and other ships were sent to Europe as that market has increased.
With this announced drop in charge rates to cruise lines we can expect a return of Ships to this growth market probably next year(2011) but still see fare increases as the season is still a short one, normally from May to September and a popular one.

One of the more interesting areas to increase will be the marketing of Cruise and Tour options so one gets a feel of the Alaska community on Land and Sea.
Regardless a combination of the economy and the higher rates charged to cruise lines has caused a drop in passengers at least for this season(2010).


5 thoughts on “Alaska to lower Charges to Cruise Lines

  1. Liz, Harrogate April 15, 2010 / 18:51

    I understand that in the UK we pay more per day for cruises than our fellow guests from the US and Canada. I've heard that UK people have tried to book through US travel agents but that it hasn't been allowed so wonder if the same restrictions apply in Canada?


  2. RobBar's Cruise Area April 15, 2010 / 19:17

    Liz,See my post found the same problem with pricing when I discovered that P & O had a HOLD on cabins for Sea Princess and the Princess Web in Canada showed prices that were in essence GBP converted , almost $1,000 more then the prior month search.So, I talked to my TA who found someone in Princess who works with TA groups and got it back to CDN $. I agree that the price should be the equivalent across the world and in PC case based on US$ conversion.In summary, I challenged it and because of some intervention by I guess the right folks it happened.Today I was wondering of Princess buys their food and fuel in the UK like I do when visiting it is more expensive then in the US.Perhaps that might ne their side of the equation.Thoughts


  3. Anonymous April 25, 2010 / 21:48

    Bob, I like the look of the Barbados. Let's go sometime!Anthony


  4. Millis Glashaus May 1, 2010 / 22:21

    Problem on the different pricing across the world is also very strong with us in Germany (also difference to Switzerland, many Swiss fellows come across the boarder to book their vacation abroad in Germany….). We pay much more for exactly the same cruise / stateroom than our fellows in the UK. We could book, but travel insurance is denied, if no UK mainland address is available – even though we are all in the European Union – harmonization failed in this case, so not really good and better keep for German bookings, where properly insured. Or travel insurance exists separately due to really frequent traveling anyway, but for cruises payment it's much higher than the "regular" ones.


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