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SEPTEMBER 2019

Airports

Climate change, talent shortfalls and infrastructure costs challenge Asia-Pacific airports

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by ASSOCIATE EDITOR AND CHIEF CORRESPONDENT, TOM BALLANTYNE  

September 1st 2019

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Climate change mitigation, staff shortages and best in class models for funding Asia-Pacific infrastructure were the major issues addressed at the Airports Council International (ACI) World 56th Conference of Directors General of Civil Aviation, Asia and Pacific in Kathmandu last month. Read More »

“We know the Asia-Pacific is no stranger to the effects of climate change, but it is a global challenge requiring a global response. ACI is taking a leadership role with its Airport Carbon Accreditation (ACA) Program,” ACI World director general, Angela Gittens, told conference delegates.

The ACA program had recruited 282 participating airports, representing 43.4% of global traffic and 53 carbon neutral airports, she said. “Although the program started in Europe, which has the largest number of airports in the world, the Asia-Pacific has demonstrated its commitment to mitigating climate change with 54 accredited airports, representing 41.2% of passenger traffic, registered for the program. Six of the region’s participating airports are carbon neutral,” she said.

“The most recent Intergovernmental Panel on Climate Change report pointed out the aviation industry faces challenges with this issue. Our European airport community has formally committed to become net zero for carbon emissions under its control by 2050. ACI will ask the International Civil Aviation Organization (ICAO) to develop more ambitious CO2 reduction goals to meet the objectives of the Paris Agreement.”

At the conference, Gittens also addressed the importance of investing in aviation’s workforce. “The projected expansion of the sector in the Asia-Pacific requires attention to the recruitment and training of the necessary talent to run this engine,” she said.

“ACI’s Global Training program offers in-class and on-line courses, many in collaboration with ICAO, the International Air Transport Association and other institutions. I am pleased to report the Asia-Pacific has the most training centers and provides the highest number of courses [worldwide].”

Gittens reminded delegates of the capital gap that existed between the cost of new aviation infrastructure and the funding sources for it. “Airport capital needs are high. Based on a sample of 50 major economies, we are looking at required five-year investments of US$433 billion compared with $355 billion in planned airport investment, a shortfall of $78 billion,” she said.

ACI does not advocate for specific ownership models, she said, but private capital has been successful in funding air service infrastructure development. Factors to be considered for private investment in airports include the value of air service to the economic vitality of a community or a nation and the competing needs for government funds in other sectors of individual economies.

“Economic regulation, if needed, should be proportionate to the objectives set by the government owner, including the incentives to facilitate commercial agreements between airports and their customers,” Gittens said.

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