Emirates Offers Safety Incentives as Conflict Hits Demand and Costs

Emirates is preparing a new incentive programme focused on safety and reliable travel connections rather than lower fares. President Tim Clark confirmed the plans in an interview with Reuters on Tuesday. The interview marked Clark's first with a global news agency since the Middle East conflict began in late February.

Clark spoke on the sidelines of an industry summit in Berlin. Clark said Emirates would maintain its flight schedules despite rising operational costs. He stated the airline would provide "all sorts of incentives other than price" to encourage passengers to return.

"That could be new means of ensuring their safety of operation, for instance," Clark said. He added that Emirates would address concerns about cancelled flights and people getting stranded. "We'll take care of all of that, including flying them on other carriers if necessary to bring them home or get the kids into school," Clark said.

Emirates is in talks with governments and regulators to ease restrictions on Middle East airspace. -Israeli war against Iran. The European Union Aviation Safety Agency has issued conflict-zone warnings advising airlines against flying over parts of the Gulf and Middle East.

Clark said Emirates was talking to governments in the region. "We rely on governments to be a little less restrictive in the warnings they issue about travelling across the Middle East," Clark said. He noted that Emirates was in close contact with regional governments and that intelligence-sharing with airlines in the region was extensive.

Clark said Emirates could not drop ticket prices for now. "The ticket price is very much conditional on what the oil price starts, and at the moment the oil price fluctuates," he said. Clark said Emirates still hoped for a good summer season.

The conflict has left first-class cabins about half full. Clark predicted oil prices would eventually fall from about $90 a barrel to around $70. "And then we'll be back," he said.