The ongoing Iran conflict is still affecting the aviation operations with Air India cancelling almost 2,500 flights to the West Asian region over the past three weeks, and is currently flying in the region at a mere 30 percent of its normal capacity. The chief executive officer of the airline named Campbell Wilson informed the company about the update in an internal communication and stresses that the geopolitical situation has already taken a severe toll on the carrier.
According to Wilson, the conflict has brought about massive airspace closures and operational risks, which have compelled the airline to reduce services drastically. He said that we can only fly about 30 percent of our usual Middle East schedule because of safety issues and limited air space, which is also dynamic and difficult.
The distortions have also caused a steep increase in operational expenses especially the jet fuel prices that have increased by more than 100 percent. The airline has come up with a fuel surcharge on new bookings so as to offset part of the financial burden. Wilson however warned that the limit to raising the fares exists because higher fares may reduce the number of passengers due to the uncertainty of the whole economy.
Other flights to other destinations such as UK, Europe and North America are also been diverted to other long routes to avoid war-torn areas and this has led to increased fuel use and time spent on the road.
Nonetheless, Air India has been finding new demand areas in the international markets and has been changing its capacity to meet the demand. The airline has remained focused on passenger safety, cost management and quality of service delivery as it tries to survive the current crisis.