Menu

Search

  |   Digital Currency

Menu

  |   Digital Currency

Search

Gazprom Neft, S7 Airlines automate aviation refuelling using blockchain technology

Gazpromneft-Aero, a subsidiary of Gazprom Neft engaged in aviation refuelling, and S7 Airlines have developed and implemented a blockchain-based solution to enhance the efficiency of aviation refuelling processes.

The aviation fuel smart contract (AFSC) system will help improve the speed and efficiency of reciprocal settlements in aviation refuelling, as well as automate planning and accounting in fuel supplies. The first refuelling of an S7 scheduled flight using this solution took place at Tolmachevo airport.

The system leverages blockchain technology to securely store the data on refuelling operations. In addition, digital contracts approved by both parties eliminate the possibility of any breach of contractual terms and improve transparency in accounting.

In its official release, Gazpromneft-Aero described how the system would automate the process – right from transferring information on a planned refueling of a future flight by the airlines, to an online application sent to the airline’s bank to hold the required amount on account, and ultimately to instant confirmation from the bank for initiating the refueling process. The service completed, payment is settled, and all related-information and accounting documentation are sent to the fuel supplier and airline’s commercial departments.

“Aviation companies now have the opportunity to make instant payments for fuel directly on refuelling aircraft, without pre-payment, bank guarantees or any financial risks to the parties involved — an approach resulting in manifold improvements in the speed and efficiency of financial transactions, as well as reductions in labour costs,” the release said.

In December 2016, S7 Airlines collaborated with Alfa-Bank to execute a service payment through a letter of credit using blockchain technology. Last year, reports suggested that the airline has implemented an Ethereum blockchain-powered ticketing platform.

“We were the first to being using smart-contracts for letters of credit. After that, we developed a blockchain platform to automate trading operations with various counterparties, and launched a mutual-settlement service for air-ticket sales agents. Our next step is a service to automate accounting in refueling,” Pavel Voronin, Chief Information Officer, S7 Group, said. “This means automating trading operations between three parties — the bank, the airline, and the refuelling company. Under established procedures, once refuelling is complete, reconciliation takes place and settlement is made.”

  • ET PRO
  • Market Data

Market-moving news and views, 24 hours a day >

December 11 11:00 UTC Released

ZAManuf Production MM

Actual

1.1 %

Forecast

Previous

-1 %

December 11 11:00 UTC Released

ZAManuf. Prod. Index YY

Actual

3 %

Forecast

0.8 %

Previous

0.1 %

January 31 00:00 UTC 452855452855m

ARAnnual Primary Balance*

Actual

Forecast

2016 bln ARS

Previous

Bln AR bln ARS

January 31 00:00 UTC 452855452855m

ARAnnual Primary Balance*

Actual

Forecast

2016 bln ARS

Previous

Bln AR bln ARS

January 22 19:00 UTC 464675464675m

ARTrade Balance

Actual

Forecast

Previous

-1541 %

January 31 00:00 UTC 452855452855m

ARAnnual Primary Balance*

Actual

Forecast

2016 bln ARS

Previous

Bln AR bln ARS

January 22 19:00 UTC 464675464675m

ARTrade Balance

Actual

Forecast

Previous

-1541 %

January 31 00:00 UTC 452855452855m

ARAnnual Primary Balance*

Actual

Forecast

2016 bln ARS

Previous

Bln AR bln ARS

January 31 00:00 UTC 452855452855m

ARAnnual Primary Balance*

Actual

Forecast

2016 bln ARS

Previous

Bln AR bln ARS

January 31 00:00 UTC 452855452855m

ARAnnual Primary Balance*

Actual

Forecast

2016 bln ARS

Previous

Bln AR bln ARS

Close

Welcome to EconoTimes

Sign up for daily updates for the most important
stories unfolding in the global economy.