A-P carriers’ profitability up despite challenges

While Asia-Pacifi c airlines have been successful in tightly controlling costs, maximising revenue and improving profi tability, they still face a bewildering range of government imposed constraints to progress, the Association of Asia Pacifi c Airlines (AAPA) said at the association’s 2015 Assembly of Presidents in Bali last month. Donald Urquhart reports from Bali.

The AAPA’s director general, Andrew Herdman, said that in order to gain further momentum in achieving improvements to financial results, airlines from the region would greatly benefit from governments adopting a more light-handed approach to the industry, rather than taking actions that involve more regulatory hurdles, additional legislation and unfair taxation.

Th e importance of effective oversight of safety standards has once again become a key issue of concern to AAPA, since the possibility of operations to various destinations being restricted or even banned could have a major detrimental impact on certain carriers from the region. Airlines should not be held responsible for the shortcomings of their national regulatory authorities.

Another safety-related issue of importance to the region’s carriers is airspace risk assessment associated with flights over conflict zones, with AAPA seeking further streamlining of the processes by which governments share intelligence and information related to flight safety.

With the serious prospect of an agreement on a global market based measure for the air transport industry being achieved at the International Civil Aviation Organisation (ICAO) Assembly in 2016, AAPA will be stepping up its efforts alongside other industry trade bodies and stakeholders in lobbying governments over the next 12 months.