Fuel costs are skyrocketing. That means air carriers are cutting back on routes... and airports say they're losing revenue as a result. (Photo courtesy of Boeing)
The airport industry says high fuel prices are
threatening the stability of the entire system. Rebecca
Williams reports the industry wants its fuel needs to be
given top priority:
Transcript
The airport industry says high fuel prices are threatening the stability of the entire system. Rebecca Williams reports the industry wants its fuel needs to be given top priority:
Fuel is a big deal for the airline industry. The industry says for every dollar increase in the price of a barrel of oil – fuel costs go up 465 million dollars for the airlines.
So they’ve been cutting back… stopping service on more than 400 routes since March.
And for airports… that means losing their main source of revenue.
So they want the federal government to bail them out if fuel keeps going up.
Sean Broderick is with the American Association of Airport Executives.
“Petroleum based products are what make airplanes fly, period. And while industry and aircraft manufacturers are working on alternatives there is no equivalent to wind power.”
The group wants the government to allow airlines to borrow from the Strategic Petroleum Reserve… or be given subsidies for jet fuel.
For the Environment Report, I’m Rebecca Williams.