Brussels, 11/04/2012 (Agence Europe) - The emissions credits scheme for the aviation sector (ETS) remains a highly controversial issue, even for regional airlines which do not have to face international pressures. They, too, are calling for a resolution to the disputes with third countries to be found through the aegis of the International Civil Aviation Organisation (ICAO), though they have not commented on whether the cost of trading in rights to pollute will bring an increase in their fares.
Costs of ETS. While most of the members of the European Regional Airlines Association (ERA) are subject to emissions credits, regional companies have yet to say whether they will pass on the costs incurred in their prices, as a number of large European airlines, such as Lufthansa, intend to do. According to ERA Director General Simon McNamara, the regional airlines have two options: either they do not put the ETS costs onto their ticket prices or they increase their prices to cover ETS costs. McNamara acknowledges, however, that this second option could have a serious impact on demand, something that regional airlines cannot allow with their market continuing to be unstable.
Third countries. McNamara says that, as regional airlines operate only within European airspace, they should be less affected by the international disputes to have third country airlines, too, subject to the ETS. However, he feels that if tensions persist, they could affect competition on national routes and that would inevitably have an impact on regional routes. His view is that the ETS should not apply until the differences with third countries have been resolved, and that only the ICAO is capable of bringing this about.
Slots. He also expressed the view that the European Commission proposals (in its “airport package”) on allocation of slots are “reasonably fair” and non-discriminatory. He remains convinced, however, that, while revision of the rules on slots will lead to more efficient use of airports, it will not resolve the problems of airport capacity, as the Commission hopes. He is of the opinion that only the construction of new infrastructure will bring a solution.
McNamara took stock with the press of the political situation with regard to aviation on Tuesday 10 April, before the ERA General Assembly which will be held in Oporto (Portugal) on 18-19 April. (MD/transl.rt)