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EXPLAINER: How Iran War Forces Airlines Hike Fare Over Jet Fuel Supply

Air ticket prices for both international and domestic flights to and from Kenya could rise further as the country’s transport sector faces potential disruption in the coming weeks.

Which is driven by global fuel supply shocks that are already straining the aviation transport system.

Reports on Saturday, March 21, indicated that airlines operating in and out of the country are already grappling with rapidly rising jet fuel and kerosene prices.

This is also driven by escalating tensions in the Middle East that have blocked key supply routes along the Strait of Hormuz and tightened global availability.

According to industry players, among them Consultancy CITAC, the situation has become unpredictable, with fuel prices shifting sharply within hours.

The situation, they say, has complicated planning for flights and forced operators to reconsider pricing and routes.

“You fly to airports across Southern, West, and East Africa and you negotiate prices on arrival,” Jannie de Klerk, executive director of flight operations at South Africa’s National Airways Corporation, told Reuters.

The impact is especially severe for Kenya and other African carriers, where jet fuel accounts for a larger share of operating costs compared to global averages, leaving airlines exposed to sudden price spikes.

Jomo Kenyatta International Airport (JKIA) is a major fueling hub for international as well as local flights, with demand fluctuating based on international travel trends, often in the millions of litres per month. 

The airport handles approximately 9,300 total aircraft movements per month, which includes both landings and takeoffs.

Recent traffic data indicates that JKIA handles 4,600 to 4,700 landings monthly, with a high volume of these aircraft fueling at the hub as it serves as a primary regional aviation center.

According to reports from Reuters, as of March 10, Kenya had around 50 days of jet fuel stocks.

Globally, jet fuel prices have surged to near record highs in key markets, pushing up the cost of operations and raising the likelihood of increased airfares and additional surcharges for passengers.

At the same time, fuel stocks across parts of Africa are thinning, with Kenya reported to have reserves that could last roughly 50 days, placing pressure on the government and industry players to secure alternative supplies.

Further, the situation is compounded by the continent’s limited refining capacity, which has since forced Kenya to begin scouting for alternatives to meet domestic demand.

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On Friday, it emerged that Kenya and other African nations are now turning to Nigerian billionaire Aliko Dangote for fuel as traditional supply chains come under strain.

Dangote’s refinery has emerged as a key fallback option, but its capacity is limited, producing about 650,000 barrels per day, most of which is reserved for Nigeria’s domestic market, leaving only a fraction available for export.

The scramble comes as concerns mount locally, with reports indicating that motorists in Kenya could soon struggle to access fuel due to emerging supply constraints.

The early signs are already visible, with some fuel stations reporting stockouts and suppliers beginning to ration petrol and diesel. This has mainly been reported in the rural areas. 

EXPLAINER: How Iran War Forces Airlines Hike Fare Over Jet Fuel Supply

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