How You Can Plan for Fuel Shortages

Experts share insight on what to expect and how you can try to minimize its effects.

Michael Wildes

Thursday, May 12, 2022 at 08:58 AM ET

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[File photo: Shutterstock]

Key Takeaways:

The aviation industry is experiencing widespread fuel supply chain disruptions, resulting in low inventories, high costs, and sustained volatility across nearly every U.S. region.
Operators are advised to mitigate these challenges through proactive measures such as extensive pre-planning, confirming fuel availability, and tankering extra fuel, which can also lead to cost savings.
While fuel cards offer market insights and planning support, hedging programs are gaining interest as a strategy for flight departments to protect against expected continued increases in crude oil prices.

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As global reports of disruptions in the fuel supply chain continue to emerge, FLYING recently spoke with representatives from Avfuel, a global supplier of aviation fuel with more than 3,000 locations in nearly 150 countries. With a clientele of more than 5,500 flight departments, it’s tied to the fuel issues as closely as anyone.

“The entire industry is feeling the impact of low fuel inventories,” Muneeb Ahmed, director of trading and logistics for Avfuel, told FLYING. Ahmed said his company had been doing what it could to procure enough fuel from its suppliers and minimize disruption for customers. To achieve that, though, comes at a cost.