The rising cost of fuel has received extensive coverage at Defense Industry Daily, and military attention as well. This includes US Air Combat Command (ACC) officials, who are reportedly bracing for a "budget crisis" while looking for future fuel alternatives and simulators to pick up some of the slack.
The USAF reports that it paid about $4.2 billion for petroleum in FY 2005, with JP-8 jet fuel at $1.74/gallon and BP as the #1 fuel provider among many thanks to its lowest-cost bid. That was still almost $1.4 billion more than fiscal 2004, and more than the $3.57 billion spent on petroleum in FY 2005 by the US Army, Navy and Marines combined. Indeed, ACC reportedly faced an FY 2005 shortfall of $825 million in must-pay funds.
The current price reflects a 31% jump to $2.53 per gallon, and there are consequences - especially for training. There are only a few options for getting around these consequences, and other than just paying more money they all involve both significant up-front investment and a waiting period before the full benefits kick in. DID has the coverage...









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