Fuel has a significant impact on the airline industry results. IATA supports the industry’s safe and efficient fuel management through two main streams: fuel servicing, focused on the commercial and technical aspects of fuel and fuel efficiency, focused on operational best practices for fuel management. We also promote the interests of our members in all aspects of commercial and technical fuel, with a focus on ensuring the reliable supply of quality jet fuel at optimal price levels, available at airports worldwide. And we support airlines in aligning the fuel provision agreements with their operational needs while covering regulatory requirements.
Jet fuel accounts for almost 30% of airlines’ operating expenses. IATA’s commercial fuel campaigns aim to ensure airlines have access to a reliable and efficient 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 while supporting secure and transparent pricing practices. We also encourage competition at airports for fuel supply and into plane services, and where there is no competition, seek economic regulation
Shortages in jet fuel supply at airports can become very expensive for airlines, causing delays and forcing them to tanker fuel from other destinations. We strive to ensure a reliable supply of jet fuel by:
- 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
Fuel management best practices & guidance
IATA promotes the sharing of industry best practices in the provision of fuel with standards to facilitate electronic data exchange for fuel invoicing, with model contracts for fuel purchase negotiations and by working with the industry to ensure fuel quality compliance standards are assured worldwide.
- Guidance for Sustainable Aviation Fuel Management (pdf)
- Guidance on Airport Fuel Storage Capacity (pdf)
- IATA Guidance on Incident and Crisis Management Planning (pdf)
- Aviation Fuel Supply Model Agreement (pdf)
- Aviation Fuel Supply Model Agreement - editable version (doc)
- Best practices for fuel supply chain return to service (pdf)
- Fuel Concession Fees (pdf)
- Jet Fuel Pricing (pdf)
- Competition in Jet Fuel Supply Chain (pdf)
- Tax Exemption on Jet Fuel (pdf)
- Fuel Infrastructure fees in the COVID-19 crisis (pdf)
In addition, the bi-annual Aviation Energy Forum gathers some 600 member airlines and jet fuel IATA Strategic Partners to discuss and drive consensus on both commercial and technical issues faced by the jet fuel community.
Fuel data standards
The data standards for the entire fuelling cycle from tender/bid to invoicing were developed with airlines and industry partners through the Fuel Data Standards Group. These standards allow a paperless fuelling cycle to be conducted. The standards are available for free.
> See whichDownload Fuel Data Standards are available for download
The Commercial Fuel Working Group (CFG) acts as a sounding board for global positions on fuel and prioritization of fuel campaigns to secure a reliable supply of fuel at competitive and transparent prices and address the uptake of Sustainable Aviation Fuel. Reporting to the Sustainability and Environment Advisory Council, the CFG provides oversight and direction to further the interests of IATA member airlines in all commercial aspects of aviation fuel.
- Ensuring reliable fuel supply for both Conventional Aviation Fuel and Sustainable Aviation Fuel at international airports
- Eliminating or moderating unacceptable duties, fees and taxes
- Promoting open access to fuel infrastructure and competitive jet fuel markets at airports, as well as market-based pricing for fuel and related services
- Promoting the use of Sustainable Aviation Fuel