Qantas has announced it will use CFM International LEAP engines to power its A320 fleet.

Of the 78 aircraft to be fitted with the new LEAP-1A engines, QF subsidiary Jetstar is expecting the first LEAP-equipped A320neo to arrive by 2016.

Qantas CEO, Alan Joyce said the engines were selected because of their performance and fuel-saving capabilities.

“The next-generation A320neos are the world’s most sought after aircraft, with about an 8 per cent unit cost advantage over current A320s, with up to 15 per cent lower fuel burn, lower engine maintenance costs, and improved payload range capability.”

Qantas said the introduction of the new aircraft would help to maintain Jetstar’s “leadership position in the low fares market.”

The initial A320neo aircraft order was placed and announced in August 2011.