Latest news with #LinusBauer
Yahoo
15-05-2025
- Business
- Yahoo
Qatar Is Excited to Dump That Private Jet on Trump (It's a Disaster)
The Qatari government used Trump to pawn off a hunking chunk of metal that they had been trying to get rid of for five years, according to reporting from Forbes. The president—easily swayed by gifts—likely just saved this foreign government thousands if not millions of dollars in storage fees and maintenance by accepting the 'palace in the sky,' a super-luxury Boeing 747 that the Qatari government has been trying to sell since 2020. Trump intends to use it as a 'temporary Air Force One.' 'Qatar, like many modern states, is shifting toward leaner, more versatile aircraft, which offer better economics and more discreet presence for official travel,' said Linus Bauer, a managing director of aviation consulting firm BAA & Partners. Qatar's decision to give the plane to Trump is 'a creative disposal strategy' and'a farewell to a bygone model of geopolitical theater in the skies.' This plane, which the Qatari government owns three of, has been phased out of air fleets across the world for the last decade due to its unreasonable gas-guzzling and the security-risk that its ginormous size presents. 'These things are big targets,' said aerospace consultant Richard Aboulafia. 'There are a lot more airports you can get into if you have a narrowbody, and many more still if you have a traditional business jet.' The temporary jet will need to be disassembled and searched for bugs before it is reinforced to the level the Air Force One is required to be. Former Air Force acquisitions chief Andrew Hunter estimated it could cost tens of millions to do a full security sweep of the plane. 'I can't imagine any well-trained senior Air Force officer saying this is a good idea,' Aboulafia said.
News18
30-04-2025
- Business
- News18
600 Indian Flights Diverted In 5 Days Due To Pakistan Airspace Closure After Pahalgam: Report
Last Updated: Following the closure of Pakistan's airspace following the Pahalgam terror attack, Indian flights have been forced to take longer alternative routes, raising fuel costs. In the wake of the barbaric terror attack in Jammu and Kashmir's Pahalgam on April 22, India imposed a series of measures downgrading ties with Pakistan, including the suspension of the Indus Waters Treaty. Pakistan responded by suspending trade and closing its airspace for Indian airlines, forcing them to divert. Around 600 West-bound international flights of Indian airlines have been forced to divert in the first five days since Pakistan's move on April 24, while 120 flights have had to make an extra stop to refuel while flying to Europe, North America and other destinations, according to News18′ s sister publication The report cited data shared by online travel agents and flight tracking platforms. Indian airlines are forced to reroute international flights over Mumbai and Ahmedabad, turning over the Arabian Sea to head to Muscat, and then flying to their destination. As of March 2025, Indian airlines operated around 800 international flights per week that relied on Pakistani airspace. With recent disruptions, rerouting these flights has become increasingly complicated and expensive. Routes originating from cities like Delhi, Amritsar, Srinagar, Chandigarh, Ahmedabad, Kolkata, Lucknow, and Jaipur — especially those bound for the Middle East — are now taking 15 to 45 minutes longer. Flights heading to Europe are facing even steeper delays, with extended durations of up to 1.5 hours. 'All IndiGo, Akasa Air, Air India and Air India Express international flights from Delhi, Amritsar, Jaipur, Lucknow and Srinagar to countries in the Middle East including Oman, the United Arab Emirates, Saudi Arabia, Qatar, Kuwait, countries in Eastern Europe including Turkey, Greece, Georgia, and to the US and Canada have been rerouted since April 24," a senior executive from an online travel platform told Linus Bauer, founder and managing director of UAE-based consultancy BAA & Partners, said if Pakistan's airspace closure continues over a month, the financial impact on Indian airlines could be in the range of $10-15 million, including direct operational costs such as fuel and crew overtime plus indirect revenue losses, reduced cargo capacity and schedule unreliability. Financial Impact On Indian Airlines Explaining how the airspace closure would impact India, Bauer said additional cost per flight could go as high as $1,350 to $3,000 as planes fly longer distances. As the airspace closure persists, airline costs are bound to rise and could result in higher airfares. Furthermore, airlines from other countries can continue to overfly Pakistan, possibly giving them an advantage in terms of costs over their Indian counterparts on the affected routes. This situation is reminiscent of the 2019 airspace closure by Pakistan in the aftermath of the Pulwama terror attack on Indian Army personnel. According to the then-aviation minister Hardeep Singh Puri, Indian carriers lost over Rs 540 crore between February 26 and July 2, 2019. State-owned Air India had incurred a loss of Rs 491 crore alone. India Mulling To Close Airspace For Pakistani Carriers Meanwhile, the Ministry of Civil Aviation said that it is working with Indian airlines to get a better assessment of the impact of Pakistani airspace closure, and to work out the best possible solutions for both passengers and carriers. The Directorate General of Civil Aviation had issued an advisory to airlines focusing on passenger communication and comfort. Meanwhile, India is considering closing its airspace to Pakistani carriers in a retaliatory move following Islamabad's decision to block Indian airlines from its airspace, which would force Pakistani airlines to reroute their flights over China or Sri Lanka to reach Southeast Asian destinations like Kuala Lumpur. Many of Pakistan's commercial flights to the Gulf, Southeast Asia, and beyond, including key routes such as Karachi to Kuala Lumpur or Dubai, rely heavily on access to Indian airspace. If India were to shut its skies, these flights would be forced to reroute over Iran, Afghanistan, or Central Asian countries – regions that pose both geopolitical and logistical risks. First Published:
The National
27-04-2025
- Business
- The National
Indian airlines may take $15m hit from one-month Pakistan airspace closure
Indian airlines face longer international flights and higher fuel costs as they are forced to reroute their aircraft after Pakistan closed its airspace to them amid tension over a deadly attack in Kashmir. Pakistan put the ban on Indian-owned and operated aircraft in place until May 23. "If Pakistan's airspace closure persists for one month, the cumulative financial impact on Indian airlines could be in the range of $10 million to $15 million," said Linus Bauer, founder and managing director of UAE-based consultancy BAA & Partners. This includes direct operational costs such as fuel and crew overtime plus indirect revenue losses from flight cancellations, reduced cargo and schedule unreliability, he said. Flying time for westbound flights may increase between 45 minutes to 90 minutes, depending on the route and aircraft type. This could lead to "significant" fuel cost increases, higher crew duty hours, inefficiencies and operational complexity, he said. As planes fly longer distances, the additional cost per flight could be $1,350 to $3,000 from increased fuel consumption alone, he added. Jet fuel makes up about 25 per cent of an airline's total cost, by far the single biggest component. Relations between India and Pakistan have deteriorated rapidly over a deadly shooting in Kashmir. New Delhi accuses Islamabad of supporting 'cross-border terrorism' after gunmen on Tuesday killed 26 people in the worst attack on civilians in India-administered Kashmir for a quarter of a century. Islamabad denies involvement and calls attempts to link Pakistan to the attack at Pahalgam 'frivolous'. Airlines will pass some of the additional costs on to consumers, leading to an increase of 30 per cent to 45 per cent in fares, analysts say. Ticket prices could rise by 30 per cent to destinations in the Middle East and by 45 per cent to Europe due to higher fuel burn, said Mark Martin, chief executive of Martin Consulting, an aviation advisory and risk firm. The renewed India-Pakistan tension comes ahead of the peak summer travel season that typically translates into bumper profits for airlines. "It's extremely bad timing that we see such an escalation between India and Pakistan, with Pakistan closing its airspace to Indian-registered aircraft, right at the cusp of peak summer holiday season. Air India and Indigo will be the most affected by this," Mr Martin said. "It's always the airline business that gets impacted when India and Pakistan spar and sabre-rattle ... this will have an earning impact on airlines' financials." In 2019, the closure of Pakistan airspace for about five months caused a loss of at least $64 million to Air India, IndiGo and other airlines, Reuters reported, citing data from the Indian government. Foreign airlines, particularly Middle Eastern and European operators, could gain a competitive edge as their Indian peers grapple with flight detours, analysts say. Gulf airlines such as Emirates, Etihad Airways and Qatar Airways could see a relative advantage to their Indian rivals since they can continue to fly over Pakistani airspace without restrictions, they said. "Air India will be the most impacted as it has the most long-haul flights and especially non-stop services to the US, Europe and Canada," said Ameya Joshi, aviation analyst and founder of website NetworkThoughts. "In 2019, the closure was for all flights to and from India. This time around it is restricted to Indian carriers, which will give an edge to foreign carriers." Mr Bauer also said repeated disruption can erode confidence in direct India-Europe and India-Gulf services, potentially shifting market share towards Gulf hub airlines. Routes between India–UAE (Dubai and Abu Dhabi), India–Saudi Arabia (Riyadh and Jeddah) and India–Qatar (Doha) will be most affected, he said. Flights from Delhi, Mumbai and northern Indian cities in particular will require significant rerouting. Mr Bauer estimates flight times from India to the Middle East could increase by 20 minutes to 40 minutes depending on the detour. To offset fuel burn penalties, airlines may be forced to restrict cargo – particularly on narrow-body planes such as Airbus A320s and Boeing 737s, therefore reducing cargo revenue, he added. IndiGo said about 50 international routes will be subject to "slight schedule adjustments" due to the Pakistani airspace closure. Its flights to Almaty are cancelled from April 27 until May 7 at the earliest and to Tashkent from April 28 until May 7. "With the same restrictions and limited rerouting options, unfortunately Almaty and Tashkent are outside the operational range of IndiGo's current fleet," it said. "We regret the inconvenience caused to our customers and assure them that we're looking at all options to minimise disruptions," it said.
