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Hotel Chains Adding Power Surcharge

February 27, 2001|Associated Press

Recent spikes in power prices have prompted several hotel chains in the Western United States to tack on an electricity surcharge rather than turn down the heat or lights.

Marriott International Inc. is charging an extra $2.50 per night at some hotels in California, and Hilton Hotels Corp. is considering similar surcharges. Marriott has even added the surcharge at hotels that haven't yet been affected by higher power costs in order to cushion anticipated price increases.

Starwood Hotels & Resorts Worldwide Inc. began charging an extra $2.50 per night a few weeks ago at hotels in California, Oregon, and Washington.

Energy usually accounts for about 10% of a hotel's operating costs. But the recent problems are forcing companies to review their energy costs.

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