2000 2001 2002 2003 2004 2005 2006*
Year *Average for January to July 2006
Figure 1-2 ATA Jet Fuel Report – Annual Average Cost
(Us Major, National and Large Regional Passenger and Cargo Airlines)
- 4 -
The dramatic increase in jet fuel cost in recent years has had a significant effect on the division of operating costs. In 2003, jet fuel was around US$0.85 per US Gallon. At that time, fuel represented about 28% of the total operating cost for a typical A320 Family operator. By 2005 fuel prices had doubled, meaning that fuel now represents around 43% of all operating costs.
Nav./Landing Nav./Landing 21% Crew 19% Fuel 28%
Fuel 43%
Figure 1-4 Figure 1-5 Cost of Operation Breakdown 2003 Cost of Operation Breakdown 2005 (Fuel at US$ 0.90/US Gallon) (Fuel at US$ 1.80/US Gallon)
Airlines with fuel hedging policies may have been able to postpone or minimize the effects of these price increases but others have been exposed to the full impact since the beginning. The airline industry is highly competitive and many operators have sought ways to avoid passing these costs onto their customers. The identification of practices or procedures that could save money can be a time consuming process and there may be a tendency to fall back on past experience. However, given the change in operational cost breakdown, fuel economy initiatives that were previously considered as marginal may merit re-examination.
Much has been written to support Airlines in wishing to minimize their fuel costs. Industry bodies and manufacturers have both made contributions. Airbus’ principle contribution in this field has been the development of a number of documents under the generic title of, “Getting to Grips”. These documents provide an in-depth insight into topics such as cost index, aerodynamic deterioration and fuel economy. For further details refer to the text box on the following page.
This document has been written as a further aid to operators of Airbus A320 Family of aircraft. It is a compilation of best practices, derived from the in-service experience of Airbus and its Customers. As such, it aims to provide, for a broad range of aircraft standards and a wide variety of operations, concise advice on the operation and maintenance practices that have been shown to limit in-service performance degradation.
The recommendations cover both operational and maintenance aspects. This helps to illustrate that adopting a holistic or airline-wide approach, as opposed to making fuel economy the responsibility of any single entity in the organization, will best serve an airline wishing to minimize its fuel bill.
Getting to Grips with… brochures
The following titles are available and cover all Airbus types:
Direct influence on Fuel Economy Issue No. Issue Date
Getting to grips with Fuel Economy ........................................................... 4...............Oct-04
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