The European Commission is set to urge EU countries to share jet fuel voluntarily as concerns mount over potential shortages at airports across Europe.
The blockage of exports from the Persian Gulf war has cut imports of kerosene in half in a bloc that can only produce 70% of the kerosene it needs to keep its airlines running. Operators are have already been forced to cancel flights, raising fears of a broader fuel crisis.
The EU executive now plans to propose “voluntary coordination” to redistribute jet fuel around Europe to avoid regional shortages, according to an official with knowledge of the matter. Some countries have deeper reserves of jet fuel than others, but EU countries all agree that none should face shortages, the official added.
The Commission plans to put forward its crisis management plan on Wednesday, 22 April. A leaked draft suggested earlier this week that officials had yet to decide what to do about looming kerosene shortages.
“We are aware that jet fuel markets are tighter and they are being closely monitored. Europe maintains emergency stocks in line with EU law, which can be released if needed,” transport commissioner Apostolos Tzitzikostas told reporters on Friday.
His comments came just a day after Fatih Birol, who heads the International Energy Agency, warned supplies could start drying up as soon as six weeks from now.
Tzitzikostas sought to dispel any sense of panic. “The market is managing this tightness and there is no evidence of actual shortages,” he said.
In its crisis response, the EU executive wants to double down on electrification and hydrogen to replace fossil fuels across the economy.
The official, who requested anonymity, said the communication next week would include plans for a “fuel observatory” to address significant gaps in data on fuel availability across Europe.
As well as being urged to pool their resources, countries will be asked to use incentives to encourage airlines to save jet fuel, while providing subsidies to help cover temporary periods of high prices.
Should the Strait of Hormuz, a global energy chokepoint, remain closed, European kerosene stocks would start to hit their limits in June, prompting a likely blizzard of flight cancellations, the official said.
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