By Craig Smith and Paul Reoch

FLYING CENTRES in Fife and Dundee have admitted they are being given a turbulent time by soaring fuel costs following the news that a Grampian flying club is being forced to close due to rising prices.

Tayside Aviation Limited, which operates over 15 aircraft over the company’s two sites, is the largest light aircraft training organisation in Scotland and operates a highly respected engineering facility at the company’s Dundee site.

The company trains private and commercial pilots at both Dundee and Fife airports and also has contracts with the Royal Air Force to train 200 pilots each year through the RAF’s scholarship programme, with suitably qualified young people being taught how to fly solo.

However, the current climate has brought a great deal of uncertainty to all of those business strands, with the majority of aviation firms having to keep a close eye on the ever-changing price of fuel.

Grampian Airways Flying Club is expected to close its doors next week after 40 years amid reports of difficulties in keeping up with landing fees and rising fuel costs, while other companies across the country are experiencing difficulties.

Bob Garmory, marketing director for Tayside Aviation, said, “We’re very unsure as to the long-term effects on our business with each successive rise.

“Obviously we’d like to see the fuel price going in the opposite direction, but if it continues at its current level it will have an effect on our forward projections for growth at Dundee and Fife.

“For example, if fuel goes up midway through a contract, that’s bound to have an effect on the profitability of our business.

“It’s going to affect a lot of marginal routes—Dundee itself has not got a full complement of routes—and if fuel runs away from us in terms of price, these routes are going to be the least economically viable.

“Our industry is not any worse than others, as haulage businesses are all struggling badly as well, but if you are talking about aviation businesses in general then yes, it will have an effect and yes, it is having an effect.”

Ian Heggie, operations manager at Fife Airport, highlighted just how much pressure was being put on aviation firms as a result of spiralling costs.

“In May, we were charging £1.30 a litre plus VAT and in two months it’s now £1.48 plus VAT,” he explained.

“It’s gone up consistently since December in fact and I’m quite sure if things keep going the way they are going, the price will hit £1.50.”

Pegasus Flight Training Scotland operates Microflight aircraft at Perth Airport, near Scone, and Bill Davis, who runs the firm, said, “There’s no doubt that fuel prices are impacting on our costs.

“We are always reviewing the situation to see if the rises in fuel prices should be passed on to our clients.”

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