Europe’s largest airlines have warned that surging fuel prices caused by war in Middle East will drive up ticket costs, urging passengers to book flights early to avoid higher fares, reports Gwyn Topham for The Guardian.

Carriers including Air France-KLM, Lufthansa and EasyJet acknowledged they cannot avoid passing additional costs to passengers despite partial hedging of jet fuel prices. Warning comes as kerosene prices jumped 94 percent above annual average by end of last week, with crude oil rising sharply on March 19 following escalating hostilities.

Kenton Jarvis, EasyJet chief executive, dismissed fuel shortage fears affecting European flights despite Asian supply concerns. Vietnamese airlines warned this week they may reduce schedules.

“We are not seeing any issues with fuel supply. However, passengers should book as early as possible, with hedges on price starting to unwind, spelling higher fares”, Jarvis said.

Ryanair chief executive Michael O'Leary downplayed immediate changes but cautioned that fuel price increases dragging on for six months would become problematic for airlines.

Long-haul carriers are adding flights via Asia as Gulf hubs either shut or operate at reduced capacity since US-Israeli attack on Iran. Lufthansa added 40 flights to Asia compensating for Gulf disruption. Air France-KLM is boosting Asian capacity, recapturing market share on routes to Asia and Africa amid very healthy demand.

British Airways announced direct Melbourne flights this week, extending services via Kuala Lumpur from London Heathrow. Airline is adding Caribbean destinations avoiding congested Middle Eastern airspace.

However, European tourism faces risks. Oxford Economics consultancy warned nearly 2 crore 80 lakh outbound trips from Middle East are threatened. Turkey, France and United Kingdom are particularly vulnerable with higher share of Middle Eastern visitors. Mediterranean destinations including Spain, Portugal and Greece could benefit as alternatives for Gulf-bound tourists.

Airlines for Europe, representing 16 airline groups including BA owner IAG, urged EU leaders to cut green taxes. Industry claims it is losing competitive ground to non-EU airlines and hubs without similar regulatory obligations.

Carriers called for postponement of EU mandates requiring minimum 6 percent sustainable aviation fuel blend by 2030, including 0.7% eSAF synthetic fuel.

Jarvis said, “We are calling for eSAF mandate to be postponed until eSAF is actually available.”

EU Transport Commissioner Apostolos Tzitzikostas indicated call unlikely to be heeded, telling Reuters industry must invest in fuels. Transport & Environment campaign group condemned the request, with aviation policy officer Camille Mutruelle stating airlines are ‘generating very uncertainty preventing scale-up of sustainable aviation fuel’.