Barriers slow aviation expansion

MANILA Barriers imposed by governments continue to threaten the potential of Asia Pacific’s aviation industry accord to the Association of Asia Pacific Airlines.

AAPA said it remains resolute in its determination to confront these barriers and help deliver a more efficient industry that benefits passengers.

The comments were made at the close of the AAPA annual general assembly of the region’s airline CEOs, held last week.

Leaders of AAPA member carriers gathered late last week at the 60th AAPA Assembly of Presidents meeting in Manila which focused on the serious obstacles facing industry development in the region.

On the aviation and environment front, Asia Pacific carriers claim they have a reputation for investing in the latest generation aircraft that reduce CO2 emissions and as a result, have good reason to celebrate the recent signing of the International Civil Aviation Organisation (ICAO) Carbon Offsetting and Reduction Scheme for  international Aviation (CORSIA) agreement that will come into force in 2020.

But there is still considerable ground to be covered to convince consumers that airlines are playing their part in reducing the impact of carbon emissions.

AAPA said it remains deeply concerned about safety oversight in the region, where carriers can sometimes find themselves subject to restrictions or even banned from operating to other countries, due to a lack of effective national regulatory oversight in line with accepted international standards.

As a result, the Association is re-iterating its call on governments to respect the primacy of ICAO standards and strongly supports the ‘No Country Left Behind’

campaign which aims to address disparities in the quality of regulatory oversight amongst different states.

Balancing the needs of passenger facilitation with security is a key issue where some government measures affect customer satisfaction and airline operations.

Travellers continue to be frustrated by a degraded travel experience as a result of increasingly complex, intrusive, onerous and inconsistent aviation security procedures, APPA claims.

The 60th Assembly of Presidents in Manila made renewed calls on governments to avoid the imposition of unjustified taxes, and for much improved collaboration with the World Health Organisation in managing the impact of health pandemics, including Zika.

“Governments continue to misjudge the strength of negative sentiment held by Asian airline leaders about the unnecessary burden of misguided policies and unjustified taxation.”

“Officials that continue to turn their back on repeated calls for a more reasoned approach are not only inflicting financial pain on Asian carriers that already operate under fiercely competitive conditions, but also undermine their own national economic development and sustainability,” said AAPA director general, Andrew Herdman.

APPA noted that airlines and the travelling public currently bear the burden of numerous taxes and charges imposed by governments, as well as monopolistic service providers and other agencies.

Despite past exhortations, taxes on international air transport and charges on passengers continue to proliferate, several of which are clearly in contravention of ICAO policies on taxation.

A number of airports and air navigation service providers (ANSPs) around the world have increased or are planning to increase user charges without proper consultation with stakeholders.

In addition, a number of governments have recently introduced or increased taxes on air travel including Australia’s Passenger Movement Charge and the UK Air Passenger Duty.

The travelling public is often unaware of the variety and magnitude of such taxes or charges, especially when collected together with airfares.

AAPA renews the call on governments to carefully consider the overall economic effects of putting further financial strain on the travelling public and the aviation industry and to refrain from increasing the tax burden in any form.