BFF-28Global airport capacity crisis amid passenger boom: IATA

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AUSTRALIA-AVIATION-AIRPORTS-IATA

Global airport capacity crisis amid passenger boom: IATA

SYDNEY, June 4, 2018 (BSS/AFP) – Governments need to urgently tackle a
capacity crisis facing airports as demand for international travel grows, but
they should be cautious about private sector involvement, airline industry
group IATA warned Monday.

With passenger levels projected to nearly double to 7.8 billion by 2036,
infrastructure such as airports and air traffic control systems were not
keeping pace, the International Air Transport Association said.

Major airports have sought to address the crisis by managing slots —
giving airlines specific operating rights at particular times.

But there was still a need for new airports, IATA chief Alexandre de
Juniac said at the body’s annual meeting in Sydney.

“We are in a capacity crisis. And we don’t see the required airport
infrastructure investment to solve it,” he said, adding that cash-strapped
governments were increasingly turning to private firms to increase airport
capacity.

But he cautioned against privatised airports, warning that they have “not
lived up to airline expectations” with many carriers having “far too many
bitter experiences”.

“Travellers also sense the problem. According to (global rating system)
Skytrax, five of the top six traveller-preferred airports are public,” he
said.

“Privatised airports are definitely more expensive. But there is little
difference in efficiency or investment levels compared to airports in public
hands.”

IATA Monday projected global air passenger traffic to rise by 6.5 percent
this year to 4.36 billion, after increases of 7.0 and 7.3 percent in 2016 and
2017 respectively.

The body, which represents 280 airlines, will consider a resolution on the
privatisation of airport infrastructure on Tuesday that calls on governments
to factor in long-term economic and social benefits when commissioning new
terminals.

The resolution will also call for better regulation governing privatised
airports and protecting consumer interests.

BSS/AFP/MR/ 1142 hrs