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  • 8 hours ago
Further flight disruptions are tipped as airlines struggle with surging fuel costs. Virgin has today joined Qantas in announcing fewer domestic flights will be on offer as the fuel crisis bites into margins.

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00:02Airlines are always hardest hit by any fuel crisis and this is no exception.
00:08International airfares, particularly to Northern Europe, to Europe, are significantly higher
00:14and there's less availability.
00:17Qantas and Virgin Australia are raising prices and streamlining domestic services
00:21while on international routes a dramatic reshuffle is underway.
00:25What they're doing is trying to manage those very high costs in a way which gives as much notice to
00:31Australians as possible.
00:32With the three Middle Eastern carriers, Emirates, Etihad and Qatar out of action, rivals are looking to fill the breach.
00:39There is some uncertainty still about flying through the Middle East.
00:43Qantas has pulled aircraft out of the US and right across Asia, similar moves are afoot.
00:49China's three big carriers have shifted aircraft off their Australian routes
00:53to cater to Asian travellers heading to Europe.
00:56Australians hunting for discounts will need to be quick.
01:00Although they've dropped capacity out of Australia, there's still some good fares in the next few months.
01:07Jet fuel has risen more than 150% since the war started, partly because oil prices have soared,
01:13but mostly because of the five-fold increase in refining costs.
01:18Virgin is facing a $30 million to $40 million blowout in fuel prices in the second half of this year.
01:24Qantas, a much bigger operation, is staring at an $800 million fuel price hike by the end of June.
01:31The cost of jet fuel is way up around the world, just as the cost of diesel is way up,
01:34and that's impacting on airline operations around the world.
01:39So far, both airlines have limited the pain for travellers by locking in cheap fuel prices before the war began.
01:46But those arrangements are expected to end soon, and without a quick resolution of this conflict,
01:51travel costs are expected to soar.
01:54Almost certain is more turbulence in the months ahead.
01:57A few minutes are expected.
01:58A few minutes are expected.
01:58A few minutes are expected to enter in China.
01:58If you want to make sure the cost of the Doctor would be 190.
01:59The power of the Force is much bigger than what this happened.
01:59You can see in China.
01:59And you can see in China.
01:59We conduct the sort of physical activity of the world,
01:59you can see in China.
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