To assist airlines combat the severe impact of rising fuel prices IATA has launched a Fuel Action Campaign to supplement its existing fuel activities.
While we cannot influence the commodity price of oil, we can take measures to reduce the amount of fuel consumed, simplify business practises, reduce duties, fees and taxes and improve market conditions.
IATA is working with industry partners worldwide to reduce the industry's fuel requirements and associated environmental emissions. In addition, we are working with individual airlines to ensure they have a robust internal "fuel conservation programme" in place.
Opening of new, more direct routes, realignment of inefficient routes and improved ground traffic flows can reduce industry costs by $2.5 billion per year.
Airlines individual efforts to improve their own operating efficiencies can yield significant savings. Each 1% improvement in fuel efficiency across the industry can lower fuel costs by $700 million per year.
Greater priority is being given to ongoing initiatives to increase competition among fuel suppliers at local levels and to challenge unreasonable and potentially illegal duties, fees and taxes where they exist.
To simplify the business, IATA is working with airlines and industry partners to establish and adopt industry data standard.
To help airlines better control fuel costs IATA is working with leading global banks to expand credit and reduce costs associated with hedging activities.