Financial Impact of Icelandic Volcano Ash

The air transport industry is experiencing major disruption of services following the Iceland volcanic eruption.

Hundreds of thousands of passengers have been affected by the restrictions amid the worst travel chaos since 9/11.

IATA’s initial and conservative estimate of the financial impact on airlines is in excess of US$200 million per day in lost revenues. In addition to lost revenues, airlines will incur added costs for re-routing of aircraft, care for stranded passengers and stranded aircraft at various ports.

IATA has set up its crisis center in Montreal and is closely coordinating with Eurocontrol and European air navigation service providers.

Flights across much of Europe will be severely disrupted well into Saturday because of drifting ash ejected from a volcano in Iceland, officials say.

  • Ryanair cancels all flights in northern Europe until 1300 GMT on Monday
  • Hungary said it would shut its airspace from 1900 (1700 GMT)
  • Switzerland said it would follow suit from midnight (2200 GMT)
  • Romania said it would close airspace over the north-west of the country from 0300 (0000 GMT) on Saturday
  • A ban on flights over England and Wales was extended to 0600 GMT on Saturday. Flights over a large part of Scottish airspace and Northern Ireland will be allowed to resume from 1800 GMT
  • Eurocontrol also say the volcanic ash cloud is extending in some places from the ground up as far as 35,000 feet
  • 17,000 flights canceled Friday across Europe
  • Continent to be affected for at least another 24 hours
  • Cloud still spreading over northern, eastern Europe
  • By 07:00 GMT Saturday (7 p.m. ET) the cloud traveling at up to 9,000 meters (30,000 feet) is forecast to be covering parts of Russia, Poland, Finland and other East European countries while continuing to affect the UK, Sweden, Norway, Germany, Denmark and Netherlands.
  • According to Airbus, flying through an ash cloud should be avoided by all means. The aircraft manufacturer says experience has shown costly damage can occur to aircraft surfaces, windshields and power plants, while ventilation, hydraulic, electronic and air data systems can also be contaminated.

    On Thursday April 15 was the  Frisian Flag exercise cancelled  by  vulcanic ash  plume of the Eyjafjallajoekull glacier in Iceland. All aircraft of the morning wave, that were already airborne are re-called and returning to base.
    This will not only affect Frisian Flag, but all military and commercial flying in Northern European airspace.

    Sources. divers
    Picture: NASA