Estimation of Discretionary Fuel for Airline Operations

• Published in: 한국항공운항학회지 Vol. 29; no. 2; pp. 1 - 13
• Main Author: Chang, Hyoseok
• Format: Journal Article
• Language: Korean
• Published: 2021
• ISSN: 1225-9705; 2466-1791

Fuel costs represent one of the most substantial expenses for airlines, accounting for 20% - 36% of the airline's total operating cost. The present study discusses the so-called discretionary fuel that is additionally loaded at the discretion of airlines to cover unforeseen variations from the planned flight operations. The proper range of the discretionary fuel to be loaded for economic flight operations was estimated by applying Monte Carlo simulation technique. With this simulation model for loading discretionary fuel, airlines cannot only reduce the total amount of fuel to be consumed but also minimize the risk of unplanned flight disruptions caused by insufficient fuel on board. Airlines should be able to guarantee proper risk management processes for fuel boarding by carrying enough fuel to high-risk airports. This study would provide a practical guideline for loading proper amounts of discretionary fuel. Future researchers should be encouraged to improve this study by elaborating the weather variable.