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The purpose of this website is to provide consumers with information about existing and future options for paying for fuel to power their vehicles, homes and more.

While we do not endorse any of the products or alternative fuel sources featured on this site, we are open-minded and optimistic about the chances that one or more of these products and theories will eventually help eliminate our dependence on foreign oil, improve the environment and provide a cheaper alternative to existing fuel and energy power options.

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Posts Tagged ‘airlines’

Will Lower Fuel Costs Lower Fares?

Thursday, October 23rd, 2008

Good question, and so far, the answer is “NO!”  There are all sorts of questions about this issue and they all lead to trying to figure out what is going to happen with the airlines.  Many of us thought that when the fuel crisis eased a bit, we might be able to run off on a short, quick vacation because it would be affordable for a minute or two.  Those of us who thought that were apparently wrong.

According to numerous statements by numerous airlines in answer to all the questions about what will happen to fares in the wake of fuel prices that are falling, the airlines cannot afford to lower fares.

Here’s how it theoretically works.  David Castelveter spokesman for the Air Transport Association has explained that because the fuel prices were so high and kept the airline companies way over budget most of this year up until a few weeks ago, the airlines are still struggling to catch up because they are still in the hole.

Castelveter stated that “you don’t recover from multi-billion dollar increases in your fuel bill in a few weeks.  The carriers are on line to lose $5 billion this year.”  Part of the reason for this is that they were slow to react to rising fuel prices and once they did react, they acted slowly and cautiously trying to save money for customers in order to keep people traveling, and also hoping that fuel prices would level off or go back down sooner than they did.

There are still some good deals to be found, especially if you live in an area that is served by Southwest Airlines or other airlines that are known for their low cost flights.  Overall, however, air fares have increased 20% to 40% depending upon the airport, where you are traveling and how far in advance you book a flight.  In addition higher and more taxes and fees, and fees for baggage (how can you be expected to pay for your one and only suitcase?).

The airlines are simply trying to survive.  They have cut down on the number of flights they offer so that they can save money flying half-empty planes by consolidating more passengers to fill up fewer flights. 

The Air Transport Association and some of the airlines feel that once everything levels out, the fuel crisis eases and the economy becomes balanced, we can look for some gradual decreases in fares.  Until then, all we can do is wait.

Fuel Crisis Driving Airlines to Close

Saturday, September 6th, 2008

During the past year, fuel prices have shot up to hefty triple digits, making it impossible for many people to travel on vacations the way that they used to.  As a result, many are simply staying home. 

Add to this scenario the fact that jet fuel isn’t exactly inexpensive, so that puts the world’s airlines in a dilemma, as well.  They say they can’t lower ticket prices because they cant afford to.  However, because ticket prices are so high, travelers can’t afford to buy them.  As a result, airlines have been closing operations and many have gone out of business during the past year or two.  In fact, more airlines have gone out of business during the past year than after 9/11 when people were afraid to fly.

At least 26 airlines have gone out of business and nearly 200,000 jobs have been lost in the airline industry during the past year.  Airlines that had been hoping to hold on until fuel prices and other economic factors settled, could not hold on long enough and had to close their doors.

Some of the airlines are major international carriers, such as Alitalia, the Italian airline that has been a staple in travel to and from Italy for decades.  Part of the dichotomy is that travelers who could still afford to fly to their vacation destinations but cannot afford the fuel for a rental car to explore the destination once they arrive there.

There are ideas on the table about how to make things work and how to keep other airlines afloat.  Researchers are looking for ways to create biodiesel jet fuel and feel that it is a real possibility, but it will take time and money.

Meanwhile, the fuel situation in the world has forced us to look at the obvious problems and search for realistic solutions.  Researchers must look for alternative fuels, lawmakers must work with airlines, manufacturers and others to find ways to produce and distribute those fuels.  Individuals must do what they can to conserve.

It is important to note that when the world’s airlines are going out of business, this is no small crisis.  For now, if you want to fly on vacation, watch for specials, go on EBAY or one of the discount travel sites, find a good price, and go for it while you can!

Alternative Fuel for the Airlines?

Thursday, August 28th, 2008

Even though prices for fuel have gone down a bit during the past few weeks, the fuel crisis is still alive and well.  After all, we are still looking for alternative fuel sources as well as taking less vacations and trying to conserve on our driving. 

There are huge issues as far as the airlines are concerned, as well.  After all, the gas tanks on airplanes are so much larger than the ones on our cars. 

We are looking at alternatives for fuel everywhere.  Plants are being seriously considered.  Vegetable oils, steam and other substances are being tested, tried, experimented with and looked at closely to try to end dependence on fossil fuels. 

Biodiesel and other eco friendly, sustainable and renewable fuels are being looked at closely as alternatives to the fuels that we have relied on through the end of the 20th century.  As we move further into the 21st century, we are moving forward toward alternatives that will do a better job for all of us in the future.

The airline industry is pursuing alternative fuels that can be created at home rather than being purchased abroad.  Ongoing studies have yielded ideas for these alternatives, but most of them are still being developed.  Unfortunately, it is essential to find alternatives that will work now. 

Jet engines run on kerosene but can be retrofitted to run on other fuels, such as hydrogen.  There is a logistical problem with this, however, in that in order for jets to run on hydrogen, they would have to be fitted with massive tanks for the fuel.  In today’s economy, that might be an overwhelming financial issue.

There are synthetic fuels available, notably from South Africa, using coal as a base.  Because these synthetic fuels are blends and work like actual jet fuel, planes will not have to be redesigned to use this fuel source.  Numerous American companies are now creating these fuels and will be able to provide millions of gallons in the near future.  Another biofuel made from tree oil will be tested this spring b several of the major air carriers.  In addition, algae-based fuel is being developed.

It may take some time for these developments to be available on a wide scale, however there are alternatives for the airlines.  Maybe vacations are not a thing of the past after all.

 

Fuel and the Airlines: Many Jobs Could Be Lost

Thursday, July 24th, 2008

We have seen the effects of the fuel crisis on the airlines when they have been reducing services, charging extra for luggage – on a graduated scale by the bag.
Ticket prices are high and getting higher, and there seems to be no end in sight at this point.

If that was not enough, recently various airlines have talked about cutting costs by cutting employee rolls.  So, in addition to all the changes taking place to bring in more revenue, there are more changes by eliminating employees that could help with those suitcases that you are paying extra for.

More important than the luggage, though, is the fact that thousands of people will be losing their jobs.  The airlines are reeling because of the extreme rise in fuel costs coupled with the fact that people can’t afford to travel because of the expense involved.  As a result of these costs and others, jobs are being cut because of the crisis.

To demonstrate the severity of the fuel crisis, it is important to know that since the economy of one country affects another.  The airlines in the United States are having their difficulties and having to raise prices and cut some employees,

Sometimes it is important to put these issues into some sort of perspective, especially a global perspective.  Quantas Airlines, the largest airline in Australia, has announced that 100,000 employees very will be laid off.  This large of a number should help people see that this fuel crunch is serious.  It should show lawmakers and the public that it is absolutely time to come up with some viable solutions. 

Dealing with this issue as effectively and efficiently as possible is essential.  If we think globally and realize, as stated before, that the economies of one country or one industry are connected, we need to move forward now.  Ticket prices on airlines have gone up 21 times since winter.

With the cuts that Quantas plans, it is important to think about what companies in the United States will do.  For starters, by November 1st higher ticked prices will be issued again – about $100 higher per major flight.  It is expected that there will be about 10 more rate hikes this year.

It may be time for some local vacationing that includes hiking and biking. 

How Far Will the Fuel Crisis Reach?

Friday, July 11th, 2008

OK, so we are all trying to do our part to conserve fuel. Many of us are doing it because we want to do the right thing.  Many of us are also doing it because at over $4 per gallon and rising for a gallon of gasoline in the United States, we simply have no choice.  So we are planning out our errands and doing them all at once.  We are carpooling where possible.  We are driving less often and not as far.  We are not leaving our cars idling, not leaving the air conditioning on for long periods of time.  We are keeping our tires inflated to the right amount, getting lubes and oil changes and tune ups, as well as cleaning out our fuel injectors, driving the speed limit and using additives to make a tank of gas take us further.
As we hear about more things to try we are willing to try them to save money and to save fuel.

Many of us have not taken vacations because of high fuel prices.  We haven’t even taken vacations with semi-short drives because the gas is too expensive.  We are getting to be more careful when we shop because prices of food and other essentials are rising due to the fact that it costs more to transport everything to the grocery store.

Now there is yet another casualty of the fuel crisis.  In addition to airlines raising fares, canceling the number of flights, firing thousands of employees and charging for luggage (who is going to fly across the country without a change of clothes and other personal items?),  we are now at an all time low.  Several airlines have eliminated in flight entertainment.  That’s right.  No movies.  If you want to keep little Johnny or Jane occupied during a long flight, you had better bring a laptop, a portable DVD player or a portable game system.  You could bring crayons and books, to, at least as a backup. 

The airlines say that if they raise prices, charge for luggage and eliminate entertainment which adds weight to a flight and costs more in fuel, they might break even.  The question is: Don’t those laptops, portable DVD’s and other entertainment items that passengers bring on the flight weigh as much or more than the earphones and small built in screens?  

It will be interesting to see what the fuel crisis eliminates next.  Maybe it will be those overhead reading lights.  Keep abreast of what’s happening because you may need to bring flashlights on your next flight just in case you want to read!