Published on : 08 April 20223 min reading time
In 2018, nearly 4 billion passengers used aircraft as a means of transport. Air traffic has grown considerably in recent decades. The International Air Transport Association or IATA reported that airlines made a profit of nearly $33 billion in 2018. These figures mean that air traffic is in a stable financial situation. But contrary to what one might think, these figures show a decrease of 12% compared to previous years. The reason is that fuel prices have risen significantly, which could slow the growth of air traffic.
Energy dependence on black gold
The modern world today needs, for its development, a high consumption of oil. As a result, modern civilization is highly dependent on oil-based energy. Despite various research efforts to supplement this fuel, oil is still the simplest and most abundant energy source. Therefore, a change in the price of oil can have serious consequences on the world economy. Air traffic is not exempt from these rules, as it is the most dependent on oil and the largest consumer of oil. An increase in oil of about 33% has been recorded in recent years, so that air transport has been severely affected, as the expert in the field of air transport Christophe Bejach points out in an article on the relationship between oil growth and air traffic.
Low-cost airlines are the most affected
With a market share equivalent to 36%, low-cost traffic represents a considerable share of air traffic. The sales force of these companies is in their way of betting on the price of fuel but also on the number of staff. By combining these two parameters, they can offer a very attractive price that allows many people to travel the world with ease. But since the rise of oil, this situation has become critical because, to keep the price, companies must modify their staff and especially reduce the quality of their service. This could lead to a serious economic slowdown.
Solutions to address this problem
For the first time in the history of the world, man is only now connected with his fellow human beings through air transport. Day by day, the demand for air transport continues to increase. Therefore, solutions must be found to satisfy consumers. In recent years, renewable energy research has taken a major step forward in replacing fossil energy. However, it is still difficult to use biofuels on a large scale because their production sometimes requires additional energy. Nevertheless, the willingness of countries to find alternative energies is on the right track.
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