Amsterdam's Schiphol Airport has announced a temporary 10 per cent discount on daytime flight charges to help airlines cope with soaring fuel prices linked to the US-Israeli conflict with Iran. The reduction will apply from 27 April until 31 March 2027 at one of Europe's busiest aviation hubs.
The airport cited 'unexpectedly and sharply' increased costs for airlines due to high kerosene prices. While acknowledging a 'temporary negative' impact on its finances, Schiphol said it does not expect the measure to disrupt planned investments over the next decade.
The broader aviation industry is grappling with the fallout from the war, which has disrupted global energy supplies. Jet fuel costs have surged from around $85-90 per barrel to between $150 and $200 in recent weeks, driving up operating expenses for carriers where fuel can account for up to a quarter of costs.
United Airlines CEO warned fares may need to rise by as much as 20 per cent, while Lufthansa has cancelled 20,000 flights to mitigate the impact. Many European airlines are bracing for a challenging spring and summer, with ticket prices expected to jump and numerous carriers cancelling or postponing flights to the region.
In response, the European Commission has proposed a package of measures called 'AccelerateEU' to address energy market impacts, including optimising jet fuel distribution between EU countries to avoid shortages.
