As recently as the beginning
of this century, oil prices were
around US$25 per barrel. In 2013,
a relatively short period of time
later, oil prices averaged US$110
per barrel, a 340% increase.
Despite this growth, passenger
air traffic grew 70% between
2000 and 2013.These figures
help to illustrate the tremendous
improvements in the efficiencies
achieved by the air transport
industry since the beginning of
this century, and the importance
people place on flight.
Given its importance it was
thought of interest to examine
some of the arguments and
factors linked to fuel price, in
terms of supply and demand, and
what this means for aviation, in
terms of both cost and response.