ARC NEWS
IATA chief calls for more honesty in carbon-reduction effort
April 08, 2022
IATA director general Willie Walsh has called for more honesty about the primary role sustainable aviation fuel is set to play, rather than future aircraft technology, in efforts to reach net-zero air transport carbon-dioxide emissions by 2050.
Speaking at the Civil Air Navigation Services Organisation's global leadership forum on 7 April, Walsh said among the biggest challenges of meeting the net-zero target is in his view being "honest about how we are going to get there". When IATA was developing its net-zero strategy, Wash says: "I was concerned that we would go out there and say 'the solution is going to be this fantastic technology that is being developed, but is not in operation today' and people would just laugh at us." Citing full- and hybrid-electric and hydrogen power, Walsh says he is optimistic about technological advances being made and the efficiency gains that can thereby be achieved. But he argues that these propulsion systems will not be available by 2050 to address the 80% of aviation emissions coming from flights over 1,500km. "Trying to convince people that that is how we are going to solve the problem wouldn't have credibility," he says. IATA estimates that 65% of required CO2 emissions for the net-zero target will be achieved through replacing fossil-based kerosene with SAF. The required remaining savings would be achieved through new technology, carbon-offsetting and -capture schemes, and improved air traffic management. The central challenge will therefore be to scale up SAF production, Walsh says. He acknowledges that SAF "is not a long-term solution" to address aviation emissions. "There has to be a something after that." But he says that SAF provides an 80% lower life-cycle carbon footprint than conventional, fossil-based kerosene. "It is making sure that people understand what it is what we are doing, that we are honest about what it is what we are doing." He warns against attempts to convince customers that all required emission savings can be achieved with new technology at some point before 2050. "We need to show evidence that we are doing it now," he says.


​Recovery gained pace in February: IATA
April 07, 2022
Global passenger traffic picked up markedly in February as Covid-19 fears receded, and the conflict in Ukraine had only a minor impact on demand, according to IATA. Data from the airline association shows that total traffic in February, as measured by revenue passenger-kilometres, was up 116% compared with a year earlier, a marked improvement compared with January 2022 when activity was 83% higher. This still represents, however, a 46% fall from February 2019's level. Domestic traffic was up by 61% compared with the year-ago period, against a 43% increase in January. Meanwhile, international RPKs were up 3.5 times against February last year, compared with a more than doubling in January. "The recovery in air travel is gathering steam as governments in many parts of the world lift travel restrictions," states Willie Walsh, IATA's director general. "States that persist in attempting to lock-out the disease, rather than managing it, as we do with other diseases, risk missing out on the enormous economic and societal benefits that a restoration of international connectivity will bring." Leading the gains was activity in Europe, with RPKs up 233% on the year, followed by the Middle East and North America, up 194% and 139% respectively. The outlier is Asia, with an improvement of just 60%, as ongoing restrictive Covid regulations continued to hinder the recovery. Answering questions after the data was released, Walsh said the strength of the recovery meant that some airlines would "definitely" be profitable this year, and many observers would likely be surprised at the robust earnings achieved by certain companies. This is despite the challenge of higher fuel prices, which it is "inevitable" will ultimately be borne by the consumer. "It typically takes about six months for higher oil prices to find their way [into stronger fares], but the very rapid increases [seen this year] are likely to be reflected a lot earlier than we would have traditionally seen," says Walsh. "I think the high oil price is a challenge but I don't see it as a challenge that the industry will not be able to face. Airlines know what to do and will respond quickly."


​German aviation seeks 'level playing field' EU climate policy
April 07, 2022
Key players in the German aviation industry Lufthansa Group, Fraport and Munich airport have called for a climate policy from EU that ensures a "level playing field" with competitors outside Europe. The three German companies have made an appeal to the EU Parliament and Council to initiate regulations that promote climate protection while maintaining the competitiveness of European hubs and airlines. In a joint press release, the firms say that they support the EU’s ambitious climate-protection goals and are driving forward decarbonisation of operations, including through high-cost investments. Yet current policies risks shifting CO2 outside of Europe, known as carbon leakage, as well as damaging homegrown companies. "If the current Fit for 55 plans were implemented without appropriate changes it would result in a unilateral cost increase for European network airlines and hubs. Connectivity, value creation and employment in Europe would be significantly weakened," the firms say. "It cannot be in the interest of the EU and Europe to put European aviation at a disadvantage with Fit for 55 and thereby weaken its international competitiveness," states Lufthansa Group chief executive Carsten Spohr. "The carbon emissions of aviation would be shifted and not reduced with the measures that are currently planned. As a result, Europe would become more dependent on third countries regarding transport policy. This cannot be the intention of policymakers."


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