LONDON, July 9 (Reuters) - Wizz Air ( WZZAF ) expects

further delays in deliveries of Airbus planes, but the

budget carrier remains confident it can increase its capacity

over the next few years, its Chief Executive Jozsef Varadi told

Reuters.

The low-cost airline, which flies an all-Airbus fleet, has

already faced challenges related to Pratt and Whitney RTX

engines, with 45 of its planes set to be grounded this

summer over inspections and 35 next summer, placing constraints

on its capacity.

The European plane maker cut its targets last month as it

faces ongoing supply disruptions.

But Varadi said that additional Airbus delivery delays will

not have a substantial negative impact on the airline's

capacity.

"We are making assumptions that Airbus will have delivery

delays, but they already have six-month delivery delays," he

told Reuters in an interview in London.

"The real impact (...) will be fairly limited," Varadi said

in remarks agreed for publication on Tuesday.

He said the airline is still expecting continuous deliveries

of about three aircraft a month, with 20% growth in capacity

next year and 20-25% the following year.

The aviation sector has struggled with delays from plane

manufacturers Boeing ( BA ) and Airbus in the years since the

COVID-19 pandemic, with Boeing's ( BA ) constraints more pronounced

given ongoing concerns over safety at the U.S. planemaker.

SECTOR STRUGGLES

Wizz's bigger rival Ryanair was forced to cut some

routes this summer as a result of Boeing ( BA ) delivery delays caused

by additional regulatory scrutiny following a door blowout.

Greater scrutiny by the U.S. Federal Aviation Admistration

(FAA) of Boeing ( BA ) is likely to spill over on Europe's aviation

regulator, EASA, Varadi said.

"For everyone, the regulatory environment is going to be

more difficult with more scrutiny, which will slow down the

process," he said about inspection approvals.

However, it is still unclear if all of the new Airbus planes

on order will carry RTX engines or CFM ones as Wizz Air ( WZZAF )

continues to weigh the choice of its engine supplier.

Wizz Air ( WZZAF ) expects to make a decision in the next year or so,

Varadi said.