Italy's ENAC fines low-cost carriers
August 24, 2021
Italian civil aviation regulator ENAC is to fine Wizz Air, Volotea and EasyJet for continuing to charge passengers to secure seats nearby to children and the disabled. ENAC notes that the airlines have not changed the computer and operating systems and "at the time of reservations continue to request a supplement to the cost of the air ticket for the allocation of seats close to the carers of minors and the disabled". The fines levied could range from €10,000 ($11,700) to a maximum of €50,000 for each individual dispute. Ryanair has already been censured by the body for the practice, and ENAC says it will continue its investigations into the Irish airline over the coming weeks. Investment firm Goodbody notes that the penalties represent a "reasonably small issue" for the carriers, given their small size. However, it notes that "the timing of this ahead of the October launch of Italia Trasporto Aereo (ITA), the slimmed-down version of Alitalia, may, of course, be merely coincidental".
European operators return aircraft to service
August 23, 2021
Carriers across Europe are returning their aircraft back into operation as they bolster capacity across the continent. Data shows that the number of aircraft being flown by European operators has more than doubled since May, although it remains notably below pre-pandemic levels. On 1 May a seven-day average of just 2,249 aircraft were tracked in flight with European operators, but this had risen to 4,328 by 19 August. On the same day in 2019, 5,748 aircraft were tracked in service. However, the data does suggest that the number of aircraft being reintroduced to service has slowed, being mostly unchanged since the start of the month. This tallies with data on flight numbers and hours that show capacity has been steady, or even declined slightly, since the start of August. Data also underlines that it is the smaller aircraft types that are being reintroduced by airlines first, as short-haul traffic returns faster than long-haul, and as demand remains relatively weak. Of the top four most frequently operated aircraft since the start of 2020, Airbus A320 family and Boeing 737 aircraft have easily been utilised the most, as measured by flight numbers. Although the A320 has consistently been the most popular aircraft type in Europe throughout the crisis, utilisation of the 737 has now surpassed its level in early 2020 before the crisis hit. The most commonly used aircraft types after the A320 and B737 are Embraer E-Jets, followed by ATR family equipment, data shows.
IATA warns $1bn in blocked funds could delay recovery
August 23, 2021
IATA warns that governments are preventing airlines from repatriating nearly $1 billion in earnings, hindering their ability to bounce back as passenger demand returns. "Governments are preventing nearly $1 billion of airline revenues from being repatriated. This contravenes international conventions and could slow the recovery of travel and tourism in affected markets as the airline industry struggles to recover from the Covid-19 crisis", states IATA director general Willie Walsh. "Airlines will not be able to provide reliable connectivity if they cannot rely on local revenues to support operations. That is why it is critical for all governments to prioritise ensuring that funds can be repatriated efficiently. Now is not the time to score an 'own goal' by putting vital air connectivity at risk." IATA estimates that approximately $963 million in airline funds are being blocked from repatriation in nearly 20 countries. Four countries account for over 60% of this total: Bangladesh ($146 million), Lebanon ($176 million), Nigeria ($144 million), and Zimbabwe ($143 million). IATA highlights that there has been recent progress in reducing blocked funds from Bangladesh and Zimbabwe. "We encourage governments to work with industry to resolve the issues that are preventing airlines from repatriating funds. This will enable aviation to provide the connectivity needed to sustain jobs and energise economies as they recover from Covid-19," adds Walsh.