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IATA calls for more urgency in addressing aviation infrastructure needs

The International Air Transport Association (IATA) is calling for governments all across to globe to exhibit more urgency in properly addressing aviation infrastructure concerns.

IATA Director General and CEO Alexandre de Juniac stressed that governments should collaborate with aviation industry players to plan and execute the building of infrastructure to make sure their economies benefit from the burgeoning global air transport industry.

“There is no time to lose. Governments are not meeting their responsibility to provide sufficient infrastructure for the industry to meet demand,” said de Juniac.

“The infrastructure challenge also includes airports. Airport infrastructure is not being built fast enough to cope with growth,” he stated, saying airports must have consumer needs in mind for maximum quality and technical specifications.

“And affordability is key,” de Juniac chimed in.

The global airlines’ group holds expectations to take on 4.3 billion passengers in 2018, an increase of 5% than the 4.1 billion that was expected this year.

When it comes to revenue per passenger kilometers, the IATA expects airlines to grow by 6% year-on-year (y-o-y) in 2018. That is a quicker development than the 5.7% y-o-y growth that was projected for available seat kilometers next year, which it said would likely bolster average load factors to a high of 81.4% and boosting yields by 3%.

Infrastructure tensions are also reverberating across Malaysia’s aviation industry. Several months ago, the Malaysian Aviation Commission (Mavcom) pinpointed that seven airports in Malaysia are functioning above their hypothetical terminal design capacities in 2016.

Five more airports have also surpassed 80% of their terminal design capacities that year.

“There is currently a mismatch between terminal design capacity and actual passenger traffic being handled by the airports in Malaysia. Significant capital expenditure in the short- to medium term is required to address capacity requirements,” the Mavcom said in a report.

Malaysia is widely considered to be the third biggest passenger traffic market in the region, and the third most connected with regards to foreign destinations, according to Mavcom.

Passengers travelling out of Malaysia via direct and indirect flights can access 116 international destinations, only behind Singapore which has 153 and Bangkok’s 151.

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