Iran war disrupts African aviation through fuel cost surge
Jet fuel prices have doubled in some markets as conflict-related supply disruptions push crude oil above $97 per barrel.
Iran war disrupts African aviation through fuel cost surge
Jet fuel prices have doubled in some markets as conflict-related supply disruptions push crude oil above $97 per barrel.
African airlines faced mounting operational pressures as jet fuel costs surged in response to disruptions linked to the Iran war, according to industry observers.12
Brent crude oil traded near $98 per barrel in early Wednesday trading, representing an increase of more than 30% since the war began in late February.2 Analysts attributed the rise to concerns that a fragile ceasefire between the United States and Iran could collapse, particularly after US authorities seized an Iranian cargo ship and shipping traffic through the Strait of Hormuz remained largely halted.12
The price increases affected African carriers' fuel purchasing capacity, according to Dominick Andoh, managing partner of AviationGhana, an online aviation news portal.12 Jet fuel prices doubled in some markets, leading to supply shortages.12
"The impact is that it has affected how much African carriers purchase aviation fuel for their operations," Andoh said.12
Airlines passed the increased costs to passengers through higher ticket prices and fuel surcharges, Andoh noted.12 Kenya Airways rerouted flights from Europe through Kenya rather than Middle Eastern airports in response to the crisis.12
Jet fuel, a kerosene-based product refined from crude oil, constitutes a significant portion of airline operating expenses.12