Airlines Confident of Smooth Summer Despite Jet Fuel Concerns
1421 Min Read
Fears of major flight disruptions across Europe this summer have eased significantly, as airlines and energy officials say jet fuel supplies are now expected to remain stable despite ongoing tensions in the Middle East.
Just weeks ago, concerns were mounting that the conflict involving Iran and disruptions to shipping through the Strait of Hormuz could trigger severe jet fuel shortages across Europe. However, rising fuel prices encouraged refiners and traders to redirect cargoes towards European markets, helping offset reduced supplies from the Gulf region more quickly than expected.
Ryanair chief executive Michael O’Leary said fuel suppliers expect no major disruption until at least mid-July, adding that increased imports from West Africa, the United States and Norway are compensating for lower Middle Eastern volumes.
The International Energy Agency also reported increased jet fuel production in the United States and West Africa, while European refiners, including Repsol, have expanded output to support demand during the busy tourism season.
Although officials remain cautious about supply levels later in the year if tensions persist, confidence has improved considerably. Air traffic agency Eurocontrol is now forecasting summer air traffic growth of between two and 2.5 per cent compared with last year.
