Popular airline slashes Aussie routes to Bali as price of jet fuel skyrockets

By MATT JONES, SENIOR NEWS REPORTER, AUSTRALIA Published: 06:27, 16 May 2026 | Updated: 06:27, 16 May 2026 Flights from two Australian cities to Bali have been cancelled by a popular airline due to the ongoing impacts of the global jet fuel crisis.  AirAsia announced on Friday it would axe services from Melbourne and Adelaide to Denpasar from June 18 due to surging jet fuel costs. Indonesia AirAsia general manager Achmad Sadikin Abdurachman said: 'This decision has been made in response to the sustained increase in global jet fuel prices caused by the ongoing geopolitical uncertainty in the Middle East.' 'This operating environment has led to the need to refocus our network on routes that remain operationally viable at this time.  'AirAsia understands the suspension impacts long-made travel plans and we apologise for the inconvenience this decision has caused, and we want to thank our guests for their support and understanding.' AirAsia is contacting affected ticket holders who will be rebooked on earlier flights via Kuala Lumpur. The carrier did not say if the suspensions would be temporary or permanent. It comes as a major blow to Aussies from Melbourne and Adelaide given Bali's popularity with travellers from both cities.  Flights from two Australian cities to Bali have been cancelled by a popular airline due to the ongoing impacts of the global jet fuel crisis (stock image) The airline has blamed jet fuel prices for the reduction in routes (stock image) AirAsia also withdrew from Darwin, suspending both its Bali and Kuala Lumpur routes after less than a year in the market (stock image) Between 1.5 and 1.7million Australians fly to Bali every year, making Indonesia the top overseas destination for Aussie travellers. Crude oil prices surged dramatically in the first half of 2026, driven primarily by the conflict in Iran and subsequent disruptions to tanker traffic in the Strait of Hormuz. In late March, crude oil prices surged toward $120 per barrel following strikes on Iranian energy infrastructure and the effective closure of the Strait of Hormuz. This represents a 70 per cent surge compared to late 2025 and the cost of filling an aircraft with jet fuel has more than doubled since February. Like many airlines including Air New Zealand, which is set to report a full-year losses up to $319million, AirAsia has been stung by the global oil shock. Days after the conflict began and the Strait of Hormuz closed, the airline announced the Adelaide to Bali route was being increased from four flights a week to seven. It was even projected to go to ten flights per week in busy periods. In late April, AirAsia withdrew from Darwin, suspending both its Bali and Kuala Lumpur routes after less than a year in the market. The airline said it ended its Top End services due to bookings failing to reach viable levels. The Daily Mail contacted AirAsia for further comment.   No comments have so far been submitted. Why not be the first to send us your thoughts, or debate this issue live on our message boards. By posting your comment you agree to our house rules. Do you want to automatically post your MailOnline comments to your Facebook Timeline? Your comment will be posted to MailOnline as usual. Do you want to automatically post your MailOnline comments to your Facebook Timeline? Your comment will be posted to MailOnline as usual We will automatically post your comment and a link to the news story to your Facebook timeline at the same time it is posted on MailOnline. To do this we will link your MailOnline account with your Facebook account. We’ll ask you to confirm this for your first post to Facebook. You can choose on each post whether you would like it to be posted to Facebook. Your details from Facebook will be used to provide you with tailored content, marketing and ads in line with our Privacy Policy.