Thursday, March 14, 2024
Leaders from the European Regions Airline Association’s (ERA) varied member companies have convened at ERA’s inaugural major event of the year, dedicating two days to intense dialogues on pivotal issues such as competition, funding the shift to green energy, and the scarcity of resources.
The conference saw the participation of over 250 distinguished industry leaders from upwards of 140 companies, including heads from 38 European carriers, who pooled their knowledge to tackle urgent challenges confronting the regional aviation industry.
The discussion on competition brought to the forefront the query of whether all regional carriers can flourish amidst the evolving dynamics of Europe’s aviation sector. The general agreement highlighted that while competition is beneficial, there needs to be a harmony between competition and network connectivity. Key challenges such as mergers and the shutting down of regional airports due to financial strains were discussed, leading to debates on the critical need for operational support to ensure sustained regional links. Henrik Mørch, the Director at DG COMP, European Commission, stressed the significance of receiving insights from regional airlines to inform adjustments to aviation sector State Aid regulations.
Mørch also stressed the importance of flexibility in overcoming challenges, stating: “In a landscape of fierce competition, the key to success lies in strategic resilience and adaptability. Embracing change and innovation will pave the way for sustained growth in the regional aviation industry.”
The spotlight shifted to the financial strategies necessary for the green revolution, particularly focusing on the investment needed to attain net-zero emissions. The critical demand for immediate funding was highlighted, referencing EU forecasts that project the cost of achieving net zero by 2050 at €800 billion. There was a unified view that regional aviation should tackle the net-zero challenge through three main avenues: the adoption of new technologies, the use of Sustainable Aviation Fuel (SAF), and the implementation of operational adjustments. Although there’s strong confidence in the financial backing for new technologies, the discussions pointed out the ongoing necessity for strategic market interventions to support the economic viability of eco-friendly aircraft.
Anne-Bart Tieleman, CEO of lessor TrueNoord, discussed the critical challenge of financing the green transition, stating: “As we navigate the accelerating push to decarbonise our industry, we are presented with a significant opportunity for European aviation. Investing in technological research, exploring new propulsion systems and advancing Sustainable Aviation Fuel (SAF) will be crucial. Europe has the chance to lead in this field by building a comprehensive sustainable aviation fuel industry. To achieve this, EU and European governments must support funding for production capability. It’s time for Europe to establish a leading SAF industry.”
Maria Rueda, Strategy and Safety Management Director at EASA, emphasised that effective communication is paramount to ensure the highest safety standards, especially within the dynamic realm of regional aviation and added: “Within Europe, there is increasing focus on sustainability and technology, presenting exciting opportunities to forge alliances and cross-organisational engagement. ERA events offer a wonderful opportunity to foster synergy between stakeholders.”
During the event, a special session focused on the acute issues of resource scarcity, highlighting the labor shortages and parts limitations that regional airlines are currently navigating, along with the importance for the sector to continually innovate in response to these changing hurdles. It was recognized that although the regional aviation sector might be seen as the less dominant layer of the aviation hierarchy, it is nonetheless crucial to the broader aviation ecosystem, providing unparalleled opportunities for the upcoming generation of pilots, engineers, and industry professionals that larger entities cannot match. There’s an acknowledged necessity for better showcasing these advantages and the prospects they present to effectively attract and nurture young, skilled individuals, promoting sustainability.
Montserrat Barriga, ERA’s Director General closed the event by remarking: “Throughout this conference, we’ve heard a resounding call for strategic resilience and adaptability, acknowledging the fierce competition we face. We have a shared understanding that challenges like resource scarcity present opportunities for innovation and transformation. Urgency surrounds the green transition, emphasising the need to invest in technology and SAF to lead Europe towards a sustainable future. Effective communication is highlighted as vital for fostering alliances and engagement, especially in ensuring safety standards and sustainability.
“ERA events serve as a platform for essential strategic dialogue, bringing together leaders who recognise the pivotal role of regional aviation in Europe’s transportation landscape. As we confront challenges like human capital shortages and environmental pressures, our collective focus on regional connectivity and industry-wide concerns remains paramount. Inspired by the insights shared, here in Berlin, we are poised to cultivate a thriving aviation ecosystem, once characterised by innovation, sustainability and collaboration.”
Sunday, April 28, 2024
Sunday, April 28, 2024
Sunday, April 28, 2024
