Aviation News South Africa

Affordability, main concern for airline industry

It is imperative to ensure that increases in charges, taxes and costs are kept in check to ensure that airlines are able to operate a sustainable profitable operation and that airlines do not experience further declines in passenger growth with associated potential job losses.

This was the message from the chief executive of the Airlines Association of Southern Africa (AASA), Chris Zweigenthal, at the 41st AGM and Conference of the association at the Fairmont Zimbali Resort in KwaZulu-Natal on 14 and 15 October.

Over 250 delegates and guests attended the meeting which focused on the theme: "Directing and Transforming the Future of the Aviation Industry - keeping Air Transport Affordable". The event was well supported by 14 of its 17 airline members from the Southern African region, and 22 of its 27 associate members comprising suppliers, service providers and industry partners of the airlines.

Zweigenthal also focused on the impact of the increase in airport charges, safety charges, passenger taxes and other costs such as fuel, security and distribution charges on the airline industry during the past year, and the need for the industry to lead and find joint solutions on infrastructure development and the associated appropriate charges. Affordability of airline travel to the customer and the ability for airlines to pass on these costs remains a major concern to the airline industry.

Regulatory process to be reviewed

The conference was opened by the Director General of Transport, George Mahlalela, representing the Minister of Transport. In his address he emphasised the important role which aviation plays in the development of the economy and detailed the progress being made to undertake a review of the ACSA and ATNS regulatory process. He also noted the important role that South Africa will play in hosting the COP 17 Conference in Durban during November and December as well as the Government's opposition to the European Union's unilateral imposition of the EU Emission Trading Scheme in 2012, a position also supported by the global airline industry.

Rodger Foster, chief executive of Airlink, was elected chairperson of the association for the following year, and Marlene Manave Mendes, director general of LAM Mozambique Airlines was elected deputy chairperson.

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