The rising cost of kerosene, the fuel used in aviation, may lead to higher ticket prices for ITA Airways, Italy’s national carrier. Its chief executive, Joerg Eberhart, warned that if energy prices remain high, the airline may need to adjust its fares starting in January 2027. A 50% increase in jet fuel costs, he said, would add about 500 million euros to the company’s annual expenses. This comes amid a broader trend of rising energy costs for airlines worldwide. Jet fuel makes up about a third of ITA Airways's operating costs, and Eberhart explained that a 50% rise in fuel prices would significantly strain the company’s finances. While airlines typically use financial tools called hedging to manage fuel costs, these only cover a portion of the risk. Eberhart noted that the airline is still exposed to fluctuations in energy prices, which could force it to raise ticket prices to maintain profitability. Eberhart emphasized that any fare increases would be gradual and dependent on market conditions, customer demand, and the pricing strategies of competitors. He did not announce a specific percentage increase or a new fare structure, but he stressed that fuel costs are a key factor in the airline industry’s economic balance. This is especially true now, as global aviation fuel prices have risen sharply in recent weeks. The current situation has raised concerns across the sector. According to the International Air Transport Association (IATA), the average price of aviation fuel reached 181.46 dollars per barrel for the week ending September 11, a 6.1% increase from the previous week. Airlines with limited or expiring hedging contracts are particularly vulnerable to such volatility. Eberhart called on European institutions to assess the risks, noting that while the situation is not as severe as during the pandemic, a crisis cannot be ruled out. The challenges extend beyond fuel costs. Airlines in Europe face additional pressures due to the mismatch between fuel costs, which are paid in dollars, and revenue, which is largely in euros. This creates an exchange rate risk on top of fuel price fluctuations. Eberhart also highlighted the need for airlines to invest in sustainable aviation fuels and comply with European carbon pricing policies as part of broader decarbonization efforts. Meanwhile, ITA Airways is undergoing a major transformation. Lufthansa, the German airline, currently owns 41% of the company and has the option to increase its stake to 90% for 325 million euros. The deal is pending regulatory approval and is expected to be finalized in the first quarter of 2027. This shift in ownership may influence how ITA Airways manages its financial and operational challenges in the coming years.