Persian Gulf crisis forces EU to change strategy: less fuel from the Middle East, more from the US
The European Union is preparing a change of direction in its aviation fuel supply policy. In an attempt to reduce dependence on the Middle East, it is considering higher imports from the US.
Kerosene crisis affects air transport. PHOTO: archive
The European Union is preparing a major change in the way it secures its aviation fuel needs, as the war in the Middle East affects the balance of the global energy market and raises concerns about the security of supply.
According to the information obtained by Agerpres, Brussels intends to, shortly, ask the member states to reduce their dependence on fuel from the Middle East and to diversify their sources, with an emphasis on increasing imports from the USA.
Ways to adapt the distribution infrastructure to allow more efficient use of American Jet A fuel, which is not often used in Europe because it has a higher freezing point than the European standard, are being looked at, as well as strengthening import flows from the United States and other foreign markets.
Data already show a rise in imports of jet fuel from the US and Nigeria in April amid tensions in the Middle East. At the same time, European air hubs continue to depend on strategic infrastructure such as the NATO-operated CEPS pipeline, but its status remains unclear.
This orientation comes in response to increasing supply chain risks, affected by the conflict in the Middle East, which has already led to higher kerosene prices and additional pressure on air transport. In this context, Europe is all the more vulnerable as it imports between 30% and 40% of its jet fuel, and a significant part comes from the Middle East.
This dependence becomes a growing problem especially at the beginning of the summer season, when the demand for air transport increases significantly.
Amid these developments, International Air Transport Association (IATA) director general Willie Walsh warned that the sector could start facing flight cancellations as early as the end of May if the kerosene shortage deepens. Also, several airlines have already started reducing frequencies and capacity due to high fuel costs.
Use of SAF fuels
The EU executive is to present next week a package of measures to manage the energy crisis, including solutions for the aviation sector. A spokesperson for the European Commission stressed that ensuring the continuity of supply remains a major concern and specified that, in the event of a worsening of the situation, the coordinated release of aviation fuel stocks could also be considered.
In addition to increasing imports from the US, the European Commission is also considering a number of complementary measures, including more intensive use of sustainable aviation fuels (SAF), better utilization of existing refining capacities and optimization of European logistics infrastructure.
The European Union is banking on a longer-term transition to sustainable fuels under the RefuelEU regulation, which foresees a gradual increase in the share of SAF from 2% currently to 6% in 2030, 20% in 2035 and 70% in 2050. However, production remains limited and costs are three to five times higher than conventional fuel, SAF being made from recycled or used cooking oil or from waste animals.
