European regional airlines don’t need to be told that fuel prices could stunt their growth. But one industry official believes that operators must start to view high fuel costs in the broader context of all expenses, and resist the temptation to blame them for all losses. Speaking at the ERA gathering, Professor Judith Patterson reminded operators of commercial aviation’s fundamental dependence on petroleum, “unlike other transport modes.”
A world without oil is a breeding ground for alarmists, some say, blithely confident that it can’t run out and “we’ll find more,” but if it ever does run out “we’ll have found something else by then.”
What goes up must come down, unless of course you’re talking about the price of crude oil. Last month, oil topped $55 a barrel after an April report from Goldman Sachs warned of a possible “super spike” period during which the price of oil could surge to as much as $105 a barrel.