Airlines suffering from high fuel prices are incurring even more costs from
fuel wasted by flight delays, according to a US government report. The US
airline industry paid out $19bn in crew, fuel and maintenance costs as aircraft
waited for late flights to arrive, said a report from the Congressional Joint
Economic Committee.
Wasted fuel accounted for $1.6bn of the total amount lost according to the
report,
Your
Flight is Delayed Again, which added that aircraft burned 740 million
extra gallons of fuel thanks to delays.
However, the cost impact of delays are likely to be worst still this year as
the report assumed an average 2007 price of $2.15 per gallon. Jet kerosene fuel
was trading at $3.95 on May 20th, and the Air Transport Association has
predicted an average cost of $3.40 this year – up 61 per cent from last year.
Over a third of delays were caused by other aircraft arriving late. "Other
top reasons for delay point to a system under strain," said the report, which
also found that 29 per cent of delays were due to circumstances within the
airlines control, including bagging handling and fueling, while 28 per cent were
due to national aviation system delays. Less than six per cent of delays were
down to extreme weather.
Soaring fuel costs, coupled with environmental pressures are forcing growing
numbers of airlines to address the problem and the
Air Transport Association is currently
pushing for the modernisation of the analogue air traffic control system, which
it hopes would make air routes more efficient. The organisation's
Smart Skies campaign is calling for the
modernisation of air traffic systems as well as a change to existing funding
programmes, which it claims unfairly subsidises corporate jets using the air
traffic control system.
"We're investing millions in an RNP
[Required
Navigation Performance] system to outfit our entire fleet to help fly more
direct routes and deliver more fuel savings" said Marilee McInnis, spokeswoman
for South West Airlines, which saw net
income jump to $695m in 2007 from $495 a year earlier.
Many experts believe that with jet fuel prices continuing to rise airlines
have little choice but to invest in systems and approaches capable of curbing
fuel use. South West's own plans were affected following the shutdown of partner
ATA — one of eight airlines to shut down since the end of 2007 as the industry
feels the strain of high fuel prices.
"We have hedges in place which are helping, but we're not immune," said
McInnis "We're looking at every way possible to keep costs down - the industry
wasn’t designed for these prices."
Earlier this year the company also announced that it will save $42m this year
by cutting flight speeds – a fuel saving moves that a number of other airlines
are reported to be investigating.
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