Surge in fuel costs hitting Regina flights, school bus budgets

Fuel prices are rippling through more than just drivers’ wallets – they’re also affecting how people travel and how students get to school in Regina.

At its annual general meeting on Thursday, the CEO of the Regina Airport Authority said passengers are already feeling the impact of soaring jet fuel costs.

“Jet A has doubled in price in recent months … we’re seeing ticket prices match these escalating costs,” James Bogus explained.

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Bogus said the biggest, immediate impact has been on airfares, with some tickets climbing by $50 to $100, depending on the route.

“Profitability remains a challenge with inflation, labour, ground handling … all increasing alongside fuel,” Bogus said.

That pressure could eventually lead airlines to adjust service if demand begins to dip.

“That can impact demand … airlines will tweak or adjust routes to improve profitability,” he shared.

Bogus added that Regina’s airport is working to stay competitive by keeping costs low for airlines.

“We’re the lowest-cost airport in Saskatchewan,” he said. “It costs less, which means they have a better chance of profitability.”

Across the city, similar concerns are playing out in classrooms and on bus routes. Officials with Regina Public Schools said rising fuel prices are adding pressure to student transportation budgets, even though the division contracts out its bus services.

“When gas prices go up, we, as a school division, typically pay more … when gas prices go down, we pay less,” said Barry Lacey, deputy director of student experience division services and chief financial officer.

“Fuel is a significant cost – not the majority cost, but a significant component of our transportation costs,” Lacey said.

The division is expected to manage costs through the remainder of the school year, but warned prolonged high fuel prices could create challenges heading into the fall.

“There certainly is an impact on us, especially if we see these fuel prices continue into next school year,” Lacey said.

If that happens, he said the division may need to revisit funding discussions with the province. He noted there is already a gap between transportation costs and provincial funding.

“There is about a $1.9 million gap that has existed for a number of years now,” Lacey said.

For both the airport and school division, the message is similar: while the immediate impact is manageable, sustained high fuel prices could force tougher decisions in the months ahead.