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Pentagon Faces Pressure Due to Soaring Fuel Costs, Media Says

(MENAFN) The Pentagon is grappling with growing financial strain as a wave of unexpected expenses pushes military budgets under increasing pressure, with soaring fuel costs emerging as a major concern, according to a report by a news agency published Wednesday.

Defense Department data cited in the report showed that the military's average fuel cost climbed from $154.14 per barrel in October to $195.72 per barrel in April. The jump represents an increase of nearly 27% over a six-month period.

The figures cover approximately two dozen categories of fuel used by the military, including gasoline and aviation fuel.

The sharp rise in energy prices during the Iran war is expected to significantly impact defense spending. According to the report, higher fuel costs alone could add more than $1 billion in unforeseen expenses this year as the military operates aircraft, armored vehicles, and other equipment. The Defense Department consumes roughly 80 million barrels of fuel annually.

At the same time, military officials are facing higher costs for commercial air travel and civilian fuel. Because service members routinely use commercial airlines, rental vehicles, and reimbursed personal transportation for training missions and other assignments, those increases are adding further pressure to already stretched budgets.

The growing financial burden has prompted closer oversight of travel expenditures. Since at least April, several military units have reportedly scaled back or canceled travel related to training and other activities in an effort to reduce spending.

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

The report released by the news agency also noted that the US Army has implemented extensive reductions in training programs as it confronts a projected budget shortfall of between $4 billion and $6 billion through the end of the fiscal year on Sept. 30.

According to the report, the funding gap is being driven by multiple factors, including costs linked to the Iran conflict, expanded border operations, and the continued deployment of the National Guard in Washington, D.C.

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