Commercial Fuel Policy

- May 17, 2016-

A reliable supply of jet fuel at transparent prices

Jet fuel accounts for almost 30% of airlines’ operating expenses. IATA’s commercial fuel campaigns aim to ensure airlines have access to a reliable supply of jet fuel at transparent and competitive prices.


Driving down costs

In driving down the cost of the provision of jet fuel, IATA works to:

  • Reduce unjustified duties, fees and taxes on jet fuel which often contravene ICAO policy and air services agreements concluded between states

  • Secure transparent pricing practices

  • Encourage competition at airports for fuel supply and into plane services

  • Seek economic regulation at locations where there is no competition

Supply reliability

Shortages in jet fuel supply at airports can become very expensive for airlines, causing delays and forcing them to tanker fuel from other destinations. IATA’s activities to ensure a reliable supply of jet fuel include:

  • Addressing fuel supply reliability issues at airports prone to stock-outs

  • Ensuring adequate jet fuel storage/tankage facilities are available

  • Assisting airlines, airports and fuel suppliers in better managing fuel shortfall incidents and crises

Industry best practice

IATA promotes the sharing of industry best practices in the provision of fuel by:

  • Developing industry standards to facilitate electronic data exchange for fuel invoicing

  • Providing model contracts for fuel purchase negotiations

  • Working with the industry to ensure fuel quality compliance standards are assured worldwide

In addition, the bi-annual Aviation Fuel Forum gathers some 600 member airlines and jet fuel IATA Strategic Partners to drive consensus on both commercial and technical issues faced by the jet fuel community. 

Previous:Infrastructure Issues Next:Transparency And Consultation