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Improvements In The Air

August blip doesn't slow strong demand: IATA

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IATA reports that in spite of a slight slowdown in August, global passenger traffic results for September show the strong demand trend continuing. Total revenue passenger kilometres (RPKs) rose 5.5% compared to September 2012. Capacity increased at a slightly lower pace at 5.3% over the same period. The load factor in September (80.3%) was largely in line with levels achieved in September 2012.

Tony Tyler, IATA’s director general and CEO, said: “We are seeing a more positive environment for air travel demand, based on rising business confidence, a strong increase in export orders in September, and better performance of key emerging markets like China. The strong growth of recent months, coupled with the continuing improvements in air travel demand in September, suggests that there could be a further acceleration in air travel growth before the end of the year.”

Tyler continued: “As the global economy continues to recover, aviation is doing its part by supplying the connectivity that drives global trade and commerce. Aviation can do even more if governments see it as an enabler of growth and development, rather than as a source of tax revenues.”

The good news, Tyler pointed to was Ireland’s announcement that it would be abolishing its air travel tax on April 1, 2014.

However, the bad news, Tyler said is the fact that the European Commission has proposed to apply the Emissions Trading Scheme to all flights into and out of European airspace for the period those flights spend in EU airspace.

“The proposal, if agreed by the EU Parliament and the EU Council, Tyler stated, “risks nullifying all the hard work States achieved at the recent 38th Assembly of the International Civil Aviation Organization and could put aviation back in the middle of a potential trade war as non-EU States reject the attempt once again to impose the ETS unilaterally.”

Go to http://www.iata.org for more.

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