In Africa, the cost of jet fuel is changing faster than you can fly – SABC News

Airlines are grappling with soaring jet fuel prices as the US-Israeli war on Iran has caused a supply shortage – leaving consumers facing surcharges and airlines struggling to manage volatile costs as the fuel gets scarcer.
Africa is among the most exposed regions to both supply disruptions and higher prices.
Around 70% of jet fuel and kerosene imports to the continent flow via the Strait of Hormuz, according to financial and commodities analytics firm S&P Global.
Since the conflict began in late February, shipping of fuel from refineries in the Middle East through the Strait of Hormuz has almost ground to a halt, removing roughly a fifth of global oil and liquefied natural gas supplies from the market.
Since the conflict began in late February, shipping of fuel from refineries in the Middle East through the Strait of Hormuz has almost ground to a halt, removing roughly a fifth of global oil and liquefied natural gas supplies from the market.
“You fly to airports across Southern, West and East Africa and you negotiate prices on arrival,” Jannie de Klerk, executive director of flight operations at South Africa’s National Airways Corporation, a charter business which also includes air ambulance services, told Reuters.
“By the time you get there, the price has changed. If the war continues, availability will become a problem. The instability of (jet fuel) prices makes it very challenging to move around.”
De Klerk cited a recent return flight from Lanseria to Cape Town via St Helena to collect a medical emergency patient, where jet fuel prices jumped by six rand (US$0.355) a litre to R24/litre within 10 hours between the outbound and return legs.
“We now have to be very careful of how far ahead you quote for jobs; otherwise, you can quote short and lose money instead of making money,” he said.
Jet fuel prices in north-west Europe have surged to record highs near US$239 a barrel since the conflict began, according to LSEG data. Asian jet fuel prices are approaching US$200 a barrel, close to recent records.
African carriers feel those increases more acutely than most. Jet fuel typically accounts for between 30 per cent and more than 40 per cent of operating costs, compared with a global average of 20 per cent to 25 per cent, according to the African Airlines Association.
South African low-cost carrier FlySafair said in a statement that jet fuel usually makes up 50 per cent to 55 per cent of its direct operating costs.
The company does not hedge its fuel purchases. At current prices, it estimates an additional cost of about R35 000 per flight hour (US$2 071) for each of its 37 Boeing 737-800 in operation, which can do up to 165 flights a day. The airline said coastal airports in South Africa saw jet fuel prices rise by 70 per cent in a single week.
Prices may continue to rise in tandem with crude oil. Benchmark Brent futures settled at US$112.19 a barrel Friday, highest since the summer of 2022, in the wake of Russia’s invasion of Ukraine.

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