Heathrow Airport has removed more than 100 flights from its May schedule amid rising jet fuel prices driven by the ongoing US-Iran conflict, sparking concerns about disruption to summer holidays. The UK's busiest airport has cut 111 services following warnings that pressure on long-term fuel supplies could lead to further cancellations in the coming months.
Global Impact of Fuel Crisis
Worldwide, airlines have already eliminated around two million seats from May's schedules as operators adjust timetables in response to soaring fuel costs linked to the conflict in the Middle East, according to the Mirror. Aviation analytics firm Cirium reports that approximately 13,000 fewer flights will operate globally in May due to recent cancellations.
Crude oil prices have skyrocketed since the US-Iran war began over two months ago, when joint American and Israeli military operations targeted several crucial Iranian locations. Iran retaliated by launching attacks on sites throughout the Middle East and shutting down the vital Strait of Hormuz shipping lane, which handles 20% of the world's traded oil.
Airline Responses
Part of the two million seat reduction has been achieved through deploying smaller aircraft and outright flight cancellations. Istanbul and Munich have witnessed the most significant drops in flight numbers. Turkish Airlines and Germany's Lufthansa have implemented substantial reductions, with Lufthansa eliminating 20,000 short-haul services operated by its CityLine subsidiary.
Most short-haul airlines flying from the UK have robust hedging arrangements for jet fuel, shielding them from immediate cost hikes. Budget carriers EasyJet and Wizz Air have pledged to run their summer timetables without disruption, despite mounting pressure on the unhedged portion of their fuel costs.
Government Preparations
Aviation bosses say there are currently no supply shortages, given the typical six-week forward visibility of stocks. However, international bodies have warned that Europe could face jet fuel shortages if the Middle East conflict continues to interrupt supplies.
The UK Government has indicated it may implement extraordinary measures ahead of time to prevent last-minute chaos for holidaymakers during the summer period. This could involve merging flight schedules on routes where several carriers fly to the same destination on the same day. Ministers have also suggested that flights with poor ticket sales might be cancelled to avoid wasting fuel on nearly empty aircraft.
Transport Secretary Heidi Alexander stated there were no "immediate supply issues," but the Government was "preparing now to give families long-term certainty and avoid unnecessary disruption at the departure gate this summer."
