The impact of the war in Iran is beginning to ripple through Canada’s aviation sector, with travellers likely to feel the effects first on discounted tickets and reward bookings, an industry expert says.
“It’s going to mostly directly and immediately affect people who are booking companion fares, West jet points, bookings with other airlines as well,” said McKenzie McMillan, managing partner at The Travel Group in an interview with CTV News Channel Saturday.
“But I think our bigger concern right now is that if this situation does escalate and get worse, we could be looking at more future flight cancelations as airlines reduce service to cut their fuel costs.”
McMillan said for regular ticket holders, increases may be less noticeable.
“On regular tickets, there’s already a fuel surcharge. Sometimes it can be up to half of what your ticket costs. So, if we do see increases there 60 to $100 or even a little bit more, it probably won’t be too much of an extreme for the paying public,” he said.
McMillan also warned of potential disruptions during peak travel periods, when flights are often fully booked and reaccommodation becomes more difficult. He pointed to recent cancellations in Mexico that left travellers stranded for several days because no alternative seats were available.
“That’s just another reason why it’s very important to make sure that you are insuring your travel purchases,” he said.
The concerns come as Canadian airlines begin adjusting to a sharp rise in jet fuel prices linked to the Iran war.
WestJet has announced it will introduce a temporary fuel surcharge of $60 on bookings made with companion vouchers starting April 8. The Calgary-based airline is also reducing flights throughout April and May.
Air Canada has said it has already adjusted fares to account for higher jet fuel costs and is considering cuts to some regional routes.
Air Transat has introduced fuel surcharges on flights to Europe and raised fares on peak travel dates.
For now, McMillan said the full impact on Canadian travellers will depend on how the conflict evolves, but early signs suggest higher costs and potential disruptions are already taking hold.
With files from the Canadian Press and CTV News’ Judy Trinh
