Surging fuel costs could leave Pentagon with $1 billion in unplanned costs as military makes sweeping cuts to keep up

Surging fuel prices could leave the Defense Department with $1 billion in unplanned costs amid the Iran war, according to officials and documents.

ABC News’ Steven Beynon reported on Wednesday about the strain the military is feeling as they grapple with rising gas prices and an unstable market. Gas prices have risen to an average of $4.30 a gallon. They sat below $3 before the Iran conflict.

Unplanned costs have already led to “sweeping” cuts to training, leading to internal worries about military readiness.

According to Defense Department records, the average price they are paying for fuel per barrel has jumped 27% in six months.

ABC reported on the concerning impacts of the fuel price surge:

That surge could saddle the Pentagon with more than $1 billion in unplanned costs this year to power its jets, tanks and other military equipment, based on the department’s fuel consumption in recent years. The Defense Department purchases some 80 million barrels of fuel annually.

Commanders are also grappling with surging civilian fuel and commercial airfare costs, adding to the financial strain on a military that depends heavily on both. Troops typically use commercial flights and rental cars to travel to different training events, and are often compensated for miles driven in personal vehicles.

On top of travel being more scrutinized, pilots’ hours in flight are being cut to the minimum requirements. The Pentagon often purchases fuel well in advance, but prices can still be changed based on significant market shifts.

“Current energy market dynamics are increasing fuel costs, which can affect the costs of transporting personnel, supplies, and equipment,” Army spokesperson Lt. Col. Orlando Howard said.

The report on surging costs does note that the Marine Corps has not been affected like other branches, though it is a significantly smaller military branch.

The cuts in training are coming in a fiscal year when the Defense Department is already facing a $4-6 billion shortfall, which has been attributed to not just fuel costs, but also “expanding missions on the U.S. southern border, and the National Guard’s ongoing mission in Washington, D.C., which is aimed to double in size to some 5,000 troops for the summer.”

Reductions in training include eliminating dozens of training courses, including some for medical personnel.

According to an internal Army assessment from April, current financial strains could leave thousands of troops set to deploy to Europe with an “insufficient amount of training.”

“The review, which examined the Army’s III Armored Corps – a roughly 70,000-soldier formation headquartered at Fort Hood, Texas – concluded it could take more than a year to restore affected units to their pre-Iran war training levels,” ABC reported.

According to a recent CNBC report, Americans have spent an extra $59 billion on gas, diesel, and jet fuel since the Iran conflict began.

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