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November 16, 2009

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Station Casinos, Riviera add power cost surcharge

Wednesday, April 18, 2001 | 11:15 a.m.

Two more Las Vegas casino operators are the latest to add a surcharge to room rates to meet rising power costs.

The Riviera hotel-casino on the Las Vegas Strip and locals' casino giant Station Casinos said Tuesday they added a $3 per room, per night surcharge to help offset power rates that have increased 20 percent during the quarter that ended March 31.

However, it's unclear how much incremental revenue the casino industry will see from energy surcharges.

This is because many Las Vegas hotel rooms are comped and because room rates are based on demand -- not fixed or variable costs -- and therefore fluctuate dramatically.

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