IATA Recognizes SAATM As The Key To Unlocking Africa’s Aviation Potential

The International Air Transport Association (IATA) recognizes the full implementation of the Single African Air Transport Market (SAATM) as the key to realizing the potential of aviation in Africa.

Although SAATM has been gaining pace in recent years, it has not been fully appreciated on a continental level. To date, 34 of the 54 African states have signed up for SAATM, with Uganda considering joining later this year. These 34 countries represent about 80% of the existing aviation market in Africa.

Liberalization of the air transport market

IATA has launched the Focus Africa initiative to enhance air travel’s contribution to Africa’s socio-economic development. It seeks to develop a more secure, reliable, safer, and well-connected continent by unlocking the commercial and economic opportunities offered by aviation.

The initiative will focus on six critical areas, including connectivity. Through this, it will promote the liberalization of intra-Africa market access by implementing SAATM. IATA has predicted that if 12 major countries opened their markets and increased connectivity, up to 155,000 jobs and $1.3 billion in annual revenue would be created in those countries.

Various stakeholders, including airlines, airports, civil aviation authorities, and executing agencies, have come together to promote the liberalization of African markets. Open skies will benefit all countries involved, so now it is time for the decision-makers to come onboard to ensure the effective implementation of SAATM.

 

The importance of the fifth-freedom

Given the vastness of the African continent, air travel is the best way to move people, goods, and services across all regions. About 85% of air travel around the continent is directly from point to point, while the remaining 15% is fifth freedom.

This significantly limits connectivity in Africa, with some airlines not having access to important markets, and the fifth freedom is the key to stimulating the sector’s growth. The African Civil Aviation Commission (AFCAC) Secretary General Adefunke Adeyemi said during the Focus Africa Conference;

“YD grants first to fifth freedoms. It is the combination of these freedoms that makes the traffic flow, and the fifth is the trigger. The fifth freedom is what stimulates traffic.”

According to the Yamoussoukro Declaration (YD), states grant each other the free exercise of the rights of the first to fifth freedoms of the skies on scheduled and non-scheduled flights by an eligible airline to and from their respective territories. However, some states have denied several airlines the right to freedom fights.

 

Effective implementation of SAATM

AFCAC is the executing agency of the Single African Air Transport Market, facilitating the collaboration of African states toward a sustainable air transport market. Today, 23 of the SAATM signatories have also agreed to an application memorandum to remove the restrictions provided for in the Bilateral Air Services Agreement (BASA), contrary to YD.

Advocacy and continuous communication to all stakeholders on the benefits of open skies is a significant step toward ensuring the effective implementation of SAATM. The Airlines Association of Southern Africa (AASA), AFCAC, and other stakeholders want to showcase to states the benefits of having a robust aviation sector, with Ethiopian Airlines being the best example.

Under a new approach, AFCAC has also launched an initiative called the SAATM Pilot Implementation Project, which looks at countries with sufficient parameters to move forward with the implementation of SAATM. So far, about 20 countries have agreed to accelerate the implementation of SAATM.

It is challenging to deal with 54 countries as a united front, so these countries have been broken down into clusters. Adefunke Adeyemi said that one of the most important things is for the countries in these clusters to grant each other market access and fifth freedoms with unrestricted capacity and frequency.

What is slowing down the full implementation of SAATM?

For SAATM to thrive, African states need to facilitate the movement of people and goods by opening up their skies, removing strict visa requirements, and granting foreign airlines access to their markets.

Sometimes airlines apply for fifth freedom rights, and even if the right is granted, they face other impediments, including very high landing costs, prevention from opening local offices, and high inspection costs, to mention a few. Additionally, some states deny fifth freedom rights to more prominent airlines in fear of the competition it gives the national carrier.

SAATM has also not been fully realized because several governments do not prioritize aviation. States have not realized the potential of a thriving air transport sector, so they will be committed to other industries before they invest in aviation. AASA Chief Executive Officer Aaron Munetsi said;

“We must understand some of the major challenges we face. One of the major challenges is that our countries just don’t have the economic power to be able to say that we want to take part of the resources we have and focus only on aviation when schools and hospitals need to be built and when farming and everything else needs to be dealt with.”

However, he added that revenue from airlines and air transport should not be used for other things but to develop airports, air navigation systems, and the entire aviation market. IATA is ready to work with global stakeholders to ensure that SAATM is fully realized and implemented.

Source: Simple Flying

Air France-KLM: African Skies a Strategic Priority

Air France-KLM airline group is banking on the growing demand for passenger air services within African continent.

Setting to capture aviation business over the African continent, Air France-KLM is planning major expansion in Africa, banking on the growing demand of air services within the continent. Air France-KLM executives have rated the African skies as a strategic priority for the airline group.

Africa is the fifth biggest business area in the group’s network of 12 regional operations, behind North America, Greater China, Korea and Japan, said Marius van der Ham, the regional manager for the East and Southern Africa, Ghana and Nigeria region.

Air France-KLM has already increased capacity on its Kenya to Europe flights, by 14 percent (14%) this year, van der Ham said.

Air France-KLM operates two daily flights from Nairobi to Amsterdam and Paris, up from a daily flight to Amsterdam and five weekly flights to Paris earlier.

The group is adding three flights on its Paris to Johannesburg route, targeting the growing and higher demand for passengers during the current peak summer travel season.

Air France-KLM has also introduced new flights between Paris and Dar es Salaam in neighboring Tanzania, he said.

“Africa is really strategic for the group,” said Zoran Jelkic, a senior vice president for long haul.

Air France-KLM competes with African carriers like Ethiopian Airlines, Gulf carriers including Emirates and European airlines including British Airways, all of whom are targeting the growing African travel market.

The airline executives have expressed their feelings over the challenges facing operations and markets, including shortages of hard currencies in some destinations, making it difficult to repatriate their earnings.

The Air France-KLM Group already provides daily service to Dar es Salaam, with KLM serving the city daily.

Air France has resumed its direct flights from Paris to Dar es Salaam, making it the 31st route in Sub-Saharan Africa after a 28-year absence.

Dar es Salaam becomes the second destination in Tanzania, joining Zanzibar where the airline has been operating since October 2021 with two weekly flights into the Abeid Amani Karume International Airport in the island.

The airline had launched on June 12th, its three weekly flights to Dar es Salaam using 279-seat 787-9s, its second-smallest wide-body after the A330-200 equipment.

The French carrier had connected Paris Charles de Gaulle (CDG) to Dar es Salaam’s Julius Nyerere International Airport (JNIA) a continuation of the existing service to Zanzibar with a plan to launch five nonstop weekly flights further south between Paris and Antananarivo (TNR) in Madagascar.

Flights to and from Madagascar will be operated for the first time by an Airbus A350-900, the new jewel of the company’s long-haul fleet, equipped with 34 seats in Business, 24 seats in Premium Economy and 266 seats in Economy class.

African air transport market has been growing, attracting big global air carriers including Delta Air Lines which has targeted African skies through partnerships with other, reputable air carriers.

Delta has seen an increase in demand for its African destinations and has identified it as a region of importance, setting to attract passengers traveling between the US and its various destinations in Africa.

The International Air Transport Association (IATA) had indicated that passenger traffic in Africa has recovered in 2023 with growth of which Central and West Africa recorded 108 percent (108%) growth, Eastern Africa at 110 percent (110 %) and Northern Africa at 111 percent (111%) against the of 2019 growth rates.

Passenger traffic in Southern Africa has been recovering at 86 percent (86%) as positive expectations indicate rising number of passengers from Africa next year (2024).

SOURCE: eturbonews

KQ, Uganda Airlines open dialogue for easy access

Kenya Airways (KQ) has started talks with Uganda Airlines for interline and re-protection deals as it seeks to open access to several new destinations and offload passengers onto each other’s networks.

KQ chief executive Allan Kilavuka disclosed that the talks are at an advanced stage.

“The talks are on but the timelines are as soon as we can agree and do the set-up. These (deals) fall within our partnership pillar, which is part of our strategy. It is also in line with our pan-African strategy,” Mr Kilavuka told Business Daily.

An interline deal allows passengers to check in once for all the flights on the itinerary, receive boarding passes and transfer luggage from the first airline without having to collect and drop it off.

Ugandan Airlines says it is keen to seal the deal before the year ends as the carrier seeks to grow revenues four years after it was revived.

“Conversations are ongoing with Kenya Airways for both interline and re-protection. A lot is going on around the two and we hope to have an agreement by the end of the year,” Peggy Macharia, country manager of Uganda Airlines in Kenya, said.

Re-protection allows an airline to offload its passengers onto a rival carrier with whom they share a destination when the affected airline is not able to fly on a select destination they share due to a mechanical failure or change of schedule.

Source: Business Daily

Mastercard Partners With Dubai to Accelerate Economic Growth in ‘Digital City’ Initiative

The Department of Economy and Tourism of Dubai has signed a Memorandum of Understanding (MoU) with Mastercard, with an aim to further accelerate economic growth in the region – in line with the goals of the Dubai Economic Agenda, D33. 

The new ‘Digital City’ partnership between the global payments leader Mastercard and the economy and tourism authority in Dubai enables the city to utilise the company’s multi-rail payments network and data-driven digital commerce technology.

The MoU will lead to the development and implementation of a multi-year digital partnership programme in Dubai. The programme will focus on four key areas:

  • Trade and exports growth: The collaboration aims to enable new international trade opportunities for businesses by leveraging Mastercard’s expertise in secure and efficient payment transactions.
  • Developing SMEs: The partnership will prioritise the growth of SMEs by providing them with digital tools, resources, and mentorship to foster innovation, competitiveness, and sustainability.
  • Attracting and developing talent: Dubai and Mastercard will also work together to attract and nurture Emirati and global talents in the digital sector, supporting the development of a skilled workforce.
  • Growing the tourism ecosystem: An aim to enhance the tourism industry in Dubai by improving visitor experiences to become a top-three global destination for visitors in business as well as leisure.

This partnership also falls in line with Mastercard’s vision of powering economies and empowering people, as well as building a sustainable world where everyone prospers.

‘Driving inclusive and sustainable development’

Hadi Badri, CEO of Dubai Economic Development Corporation at DET, and J.K. Khalil, cluster general manager of MENA East at Mastercard signed the MoU.

J.K. Khalil said: “At Mastercard, we recognise the limitless potential of partnerships in driving inclusive and sustainable development, and we are forging meaningful collaborations to accelerate digital transformation across the globe. Mastercard has a proven track record of supporting governments in digitising public services, empowering small businesses, fostering talent and fuelling tourism.

“We are delighted to enter the region’s first digital city partnership with the Department of Economy and Tourism as we harness the power of our advanced technology to help translate Dubai’s ambitious vision to reality. We are proud to build on our 35-year legacy in the market as we usher in a new chapter to support the UAE’s exemplary growth story.”

‘Unlock the city’s potential in line with the D33 Agenda’

Hadi Badri also discussed the significance of the partnership for the region. Badri said: “This Digital City partnership with Mastercard, a renowned global brand, comes at a pivotal time, as we are focused on delivering the goals of the Dubai Economic Agenda 2033, driven under the guidance of our visionary leadership to further reinforce the city’s central position in the global economy.

“Through this strategic alliance, we are partnering with a global connector of digital payments to further strengthen Dubai’s position as the world’s most connected city.

“Mastercard has a track record of successful partnerships with companies across a broad range of sectors and segments, and this initiative also signifies a new paradigm of economic collaboration at the city level. Through this partnership, Mastercard will mobilise its global resources and extensive experience as a global digital leader to unlock the city’s potential in line with the D33 Agenda.”

Source: The Fintech Times

Zambia, Kenya partner to promote outbound tourism

In a bid to promote African continental travel, a high delegation led by Zambia’s minister for Tourism, Rodney Malindi Sikumba, had a high-level engagement recently with the Kenya Association of Travel Agents (KATA) to discuss and establish a strategic partnership to promote outbound tourism from Kenya to Zambia’s tourism destinations.

The two countries aim to tap into each other’s tourism markets, a vital source for tourism influx, boosting both nations’ economies and fostering cultural exchange.

Dr Joseph Kithitu, KATA Chairperson, expressed the association’s enthusiasm for growing the travel trade and emphasised the readiness of KATA members to sell Zambia.

He stressed the need to create a business case for Zambia’s travel trade and develop a salable product out of the partnership.

 “Today, we should focus on the commercialisation of this partnership on a B2B and B2C level and capitalise on the visa-free access between our countries to promote outbound tourism flows into Zambia and vice versa. The market is ripe, ready, and can pay,” he said.

Kenya and Zambia have already signed a Memorandum of Understanding (MOU) on tourism, one of them touching on cooperation between the training institute of tourism in Zambia and that in Kenya.

While both countries are big on wildlife, there are other elements that can make them complimentary to each other in terms of product offerings.

For instance, the fact that Kenya has a big national park right in the middle of the city is a learning lesson for Zambia on how to enhance their national park in Lusaka. Zambia has 20 national parks with the largest being Kafue and it’s the second largest in Africa.

They also have the iconic Victoria Falls, which is one of the seven natural wonders of the world and hosts one of the largest mammals (bat) migration at the Kasanga national park.

This partnership is a step in the actualisation of the MOUs and will encompass various collaborative areas, such as knowledge exchange, familiarisation visits, and encouraging tourist flows between Kenya and Zambia.

Additionally, both parties will share their respective calendars of events to facilitate stakeholder engagement and foster regional cooperation in the spirit of the Africa Continental Free Trade Area.

“This partnership between Kenya Association of Travel Agents and their counterparts in Zambia is a step towards the private sector growing the tourism industry, and my ministry is rallying support behind these initiatives,” said Sikumba.

The minister further highlighted the importance of marketing and packaging Africa, coordinating the travel trade with suppliers, and establishing homegrown solutions.

“Through this partnership, Kenya’s travel trade will be trained on tourism offerings in Zambia. KATA will also provide capacity building for Zambia’s travel trade to enable them to sell the Kenyan tourism product,” noted Agnes Mucuha, KATA

Source: PD

Uganda Airlines makes maiden direct Hajj flight

Uganda Airlines has Monday launched its maiden flight to the Muslim holy city of Mecca, Saudi Arabia, as it readies to establish scheduled flights to the Gulf nation later this year.

The national carrier is carrying 200 Muslim citizens making the trip for the Hajj pilgrimage aboard its 258 capacity Airbus A330 aircraft.

“We have had our maiden flight to Jeddah, and this is the first time it has happened in 40 years. It is a very historic moment for the country and us as an airline,” Uganda Airlines chief executive officer Jennifer Bamuturaki said.

Ms Bamuturaki added that another 250 passengers would be flown to Jeddah on Tuesday.

Ugandan Muslim pilgrims have in the past been forced to connect through other countries for their pilgrimage, making the journey long, expensive and tedious.

Hajj is an at least once-in-a-lifetime obligation for all able-bodied Muslims of financial means to make. Some two to three million people participate in the six-day ritual annually.

About 50 Ugandans heading to Mecca were stranded at the Khartoum airport when the deadly Sudan war pitting generals broke out in April.

According to Ms Bamuturaki, the airline plans to establish scheduled flights between Uganda and Saudi Arabia by September this year.

“The operator’s permit that we currently have will go up to July next year and we shall extend it to July (the year after). On our scheduled flights, we have a plan to start flying to Jeddah in September and we shall be doing three flights a week,” she said.

Currently, the airline flies regional routes –Nairobi and Mombasa in Kenya, South Sudan capital Juba, Kinshasa in DR Congo, and Kilimanjaro, Dar es Salaam, and Zanzibar in Tanzania. It also flies to Mogadishu, Somalia and Bujumbura in Burundi.

SOURCE: The East African

Sabre teams with iCoupon

Sabre Corporation, a leading software and technology provider that powers the global travel industry, announced an agreement with leading digital vouchering platform iCoupon to enable its airline customers to enhance the passenger and crew experience during flight disruption. Using the iCoupon technology, airlines can turn passenger and staff boarding passes into vouchers that can be immediately redeemed at airport restaurants and retailers.

“Sabre has deep global expertise in minimizing the impact of airline disruption, so we’re thrilled that we will be working closely together through this new agreement,” said Richard Bye, CEO of iCoupon. “This alliance will support our global expansion plans by enabling us to offer our innovative solution to more airlines across the world, while allowing airlines to improve efficiencies, reduce costs, and improve passenger satisfaction during times of disruption.”

Airlines around the world use Sabre’s intelligent service recovery solutions to holistically solve passenger reaccommodation challenges, including providing travellers with self-service options to enable them to effortlessly choose their own flights. iCoupon’s solution will complement Sabre’s existing technology and expertise. Eliminating the need for a physical voucher and providing an environmentally friendly solution, iCoupon’s technology enables airlines and ground handlers to remotely and instantly issue digital vouchers directly to a passenger’s boarding pass in the event of significant delays or disruption. Passengers can then instantly redeem their voucher at any iCoupon-integrated restaurant or retailer with their mobile or printed boarding pass. The solution can also be used for staff and crew meal entitlements.

“Even with the very best network plan and the most optimal scheduling, unexpected delays and disruptions happen for all sorts of reasons,” said Corrie DeCamp, Senior Vice President, Product Management for Sabre Travel Solutions. “And when a disruption does happen, passengers expect and demand instant solutions. Providing immediate compensation through unique barcodes on boarding passes that passengers already have streamlines processes for airlines while minimizing what can be a stressful situation for both passengers and airline staff. We’re delighted to be bringing our airline partners the opportunity to add iCoupon to their disruption strategies.”

SOURCE: Traveldailynews

Sustainable travel in Dubai: Eco-friendly

Dubai, a city known for its opulence and luxury, is increasingly embracing sustainability and eco-friendly initiatives. In recent years, the city has made significant strides in promoting green practices in various sectors, including tourism. In this article, we’ll highlight Dubai’s commitment to sustainability by showcasing eco-friendly hotels, attractions, and initiatives that allow travellers to enjoy the city while minimizing their environmental impact during their Dubai holiday

Green accommodation: Eco-friendly hotels in Dubai
Several hotels in Dubai have adopted eco-friendly practices and sustainable designs, offering travellers comfortable stays without compromising on environmental responsibility.

Jumeirah Creekside hotel: A green oasis
The Jumeirah Creekside Hotel has been awarded the Green Globe Certification for its commitment to sustainability. The hotel features energy-efficient lighting, water- saving devices, and a robust recycling programme. Additionally, the hotel’s lush garden surroundings provide a green oasis, creating a serene atmosphere for guests.

JA ocean view hotel: Sustainability by the sea
Located along The Walk at Jumeirah Beach Residence, the JA Ocean View Hotel is another recipient of the Green Globe Certification. The hotel focuses on energy conservation, waste management, and community engagement to promote sustainable practices. Guests can enjoy stunning sea views while appreciating the hotel’s eco-friendly ethos.

Environmentally conscious attractions
Dubai offers several attractions that showcase the city’s commitment to sustainability and environmental preservation.

Dubai safari park: Wildlife conservation and education
Dubai Safari Park, a 119-hectare wildlife reserve, is home to over 2,500 animals from around the world. The Park focuses on conservation, education, and sustainable practices, such as using solar power for its facilities and implementing extensive recycling programs. Visitors can learn about wildlife conservation while enjoying close encounters with the park’s diverse inhabitants.

The green planet: An urban rainforest experiences
The Green Planet, an indoor tropical rainforest in the heart of Dubai, offers a unique opportunity for visitors to learn about the importance of biodiversity and environmental conservation. The facility features a four-storey living ecosystem, complete with over 3,000 plants and animals, and uses sustainable technologies such as energy-efficient lighting and climate control systems.

Sustainable initiatives: Dubai’s eco-friendly efforts
The city of Dubai has implemented various initiatives aimed at reducing its environmental footprint and promoting sustainable practices.

Solar power: Harnessing the desert sun
Dubai is investing heavily in renewable energy, with ambitious plans to generate 75% of its power from clean sources by 2050. The Mohammed bin Rashid Al Maktoum Solar Park, one of the largest solar projects in the world, is a testament to the city’s commitment to harnessing the power of the desert sun.

Public transportation: cleaner, greener travel
Dubai’s public transportation network, including the Dubai Metro and eco-friendly buses, offers travellers a more sustainable way to explore the city. The metro system is entirely electric, reducing greenhouse gas emissions, while the buses run on compressed natural gas, a cleaner alternative to traditional fuels.

Dubai holidays: Exploring the city responsibly
When planning your Dubai holidays, consider incorporating eco-friendly hotels and attractions into your itinerary. By choosing to support sustainable initiatives and businesses, you can enjoy the city’s many wonders while minimizing your environmental impact. From green accommodations to environmentally conscious attractions, Dubai offers a range of options for the responsible traveler, ensuring a memorable and eco-friendly experience in this dynamic city.

SOURCE: Traveldailynews  

WTTC G20 Public-Private Dialogue shines light on Travel & Tourism opportunities

The World Travel & Tourism Council (WTTC) gathered leading Travel & Tourism stakeholders and G20 Ministers in a Public-Private Dialogue in Goa to address the sector’s vast potential and challenges.

Joined by India’s Minister of Tourism, the Hon. G. Kishan Reddy, and UNWTO Secretary-General Zurab Pololikashvili, Julia Simpson, WTTC President & CEO commended India’s Ministry of Tourism for its leadership during India’s G20 Presidency and highlighted Travel & Tourism’s substantial contribution not only to the global economy but to employment.

Currently representing 9.2% of the world’s GDP and supporting one in every 11 jobs globally, the sector is experiencing remarkable growth, outpacing the global economy by growing twice as fast.

Julia Simpson, WTTC President & CEO, said: “It is proven where governments and the private sector work together in Travel & Tourism the economy is stronger, jobs are created, and people get to enjoy and understand other cultures. Together, businesses and governments can build back a better, stronger, and more resilient sector. Governments also heard first-hand the value of having streamlined visa processes, digital borders, and a strong focus on sustainability. We need each other to achieve this”.

During her address, Simpson emphasised the opportunities for investors, governments, and society to achieve the Sustainable Development Goals (SDGs) through collaboration.

India’s impressive expansion in Travel & Tourism was praised as a prime example.

The sector is projected to contribute over INR 16.5TN to India’s economy this year, create 1.6MN new jobs, to reach a total employment figure of nearly 40MN people.

By the end of the decade, Travel & Tourism is forecast to contribute approximately 7% of India’s economy.

During the dialogue, Simpson addressed three key challenges facing the industry.

  1. Visa backlogs pose a significant obstacle, with excessive waiting times ranging from 200 days to a year for certain destinations. Investment in digital visas and biometrics, exemplified by Dubai Airport’s “smart gates”, is a successful example of technology streamlining travel processes
  2. Sustainable Aviation Fuel (SAF) plays a vital role in reducing carbon emissions, with the potential to cut emissions by up to 80% compared to traditional jet fuel. However, current production levels fall short and WTTC called on all G20 countries to conduct feasibility studies on SAF, to further facilitate decarbonisation
  3. Staff shortages resulting from the pandemic continue to be a challenge. Collaborative efforts between governments and the private sector, along with enhanced training programs and targeted support for women, young people, and high-wage jobs will be crucial in addressing this issue
    Simpson also highlighted the groundbreaking environmental and social research conducted by WTTC in collaboration with Saudi-based Sustainable Global Tourism Center.

This research offers comprehensive insights into the sector’s environmental and social impact, tracking data on wages, age groups, and gender, the research aims to drive progress towards the SDGs.

Simpson also underscored the potential of young people as a talent pool. With 65% of Indians under 35 years old, India’s G20 presidency recognises the need to address youth unemployment and create opportunities for this demographic.

New data from WTTC and the Sustainable Global Tourism Center also reveals that the sector experienced a 27.6% growth in youth employment between 2010 and 2019.

Despite dropping in 2020 to almost the same level it was a decade before in 2010, sector youth employment appears to be rebounding quickly.

The data also shows that Travel & Tourism’s share of youth employment has grown since 2010, from 6.4% in 2010 to 8.2% in 2021.

WTTC’s latest research highlights the importance for high-quality jobs that provide dignity in their work, to make the sector an attractive industry for young people to develop their long-term careers.

SOURCE: Traveldailynews

African Airlines: Sustainability Comes After Survivability.

Aviation stakeholders have been working together for several years to reduce the impact of air travel on the environment. Sustainability has been the top priority, with airlines, airports, and manufacturers investing millions in research, new aircraft technology, sustainable aviation fuel (SAF), and other emission reduction initiatives. Although it is a top priority, not every airline can afford to invest the same funds to implement these environmental solutions. It is even more difficult in Africa, where carriers face significantly high operating costs due to insufficient infrastructure and a weakening economic climate.

Operating in a costly environment

The cost of operating an airline in Africa is much higher than in any other region, with fuel and maintenance being the most expensive costs. Charges for airlines are also 8% higher on the continent, which is weighing them down and preventing them from growing.

As global carriers continue recovering from the COVID-19 pandemic, the International Air Transport Association (IATA) has predicted that airlines in Europe, the Middle East, and North America will return to profitability in 2023. However, African airlines are expected to go through another year of combined losses and only start recording net profits after 2024.

In addition to financial limitations, these airlines face legal, political, and legislative barriers. As several governments do not prioritize aviation, these are some challenges African carriers have to navigate before focusing on environmental sustainability.

Balancing economic and environmental sustainability

The industry is working to achieve net-zero carbon emissions by 2050 mainly through sustainable aviation fuels (SAFs), new aircraft technology and alternative propulsion systems, improving airport infrastructure and air traffic management systems, and carbon offsetting and reduction schemes. To achieve this, annual clean energy investment worldwide must increase to over $4 trillion by 2030.

These are significant figures which cannot be handled by airlines recording net losses every year. Before these carriers can invest in environmental schemes, they must focus on financial recovery. Asked if African airlines can prioritize environmental sustainability over financial sustainability, TAAG Angola Airlines CEO Eduardo Farein said at AviaDev;

“I think that is affordable, only under one condition; the airlines are still surviving, because the first thing to being sustainable is to stay alive. If the airline doesn’t exist, then we’re not talking about this, right? Then, even though everybody is sharing the same goals about the carbon footprint and all these questions, the first thing to say is whether this environment is survivable? My guess is that it will be extremely difficult that it will happen if certain conditions are not being addressed properly.”

To survive, African carriers will focus on proper financing and investing in new machines, among other initiatives that ensure economic stability. Similarly, it does not mean that these airlines will disregard environmental solutions and focus on making profits. Kenya Airways CEO Allan Kilavuka said;

“To me, sustainability talks about what we do to meet today’s needs but not compromising on the future. It talks about longevity, for the long-haul, so doing things that will not compromise our future, and that encompasses not just the environment. So that is what sustainability is all about, the social, economic, and environmental.”

He added that the African continent faces problems more significant than sustainability, including water shortages, poverty, and food security. Implementing some environmental solutions will increase the cost of air travel, preventing the growth and contribution of aviation on the continent.

Protecting the environment while growing economically

Airlink representative Linden Birns said that environmental and economic sustainability are not mutually exclusive. Environmental factors, fuel availability, inflation, and interest rates are codependent, affecting how an airline operates.

Although stakeholders are engaging to enhance aviation’s contribution to Africa’s development, the current connectivity is essential for the market’s growth. Additionally, there are no railways or roads to connect distant destinations, so aviation plays a pivotal role in moving people and goods around the continent.

African airlines are participating in more achievable initiatives to reduce the impact of aviation on the environment. These include recycling, new technology, system development, strategic routes and schedules, and flying on the best path to reduce fuel burn. Some recent milestones include Ethiopian Airlines’ A350 delivery using SAF and Kenya Airways’ most sustainable flight between Nairobi and Amsterdam.

Moving forward, the continent’s growth depends on the growth of the aviation sector. African airlines will not focus on environmental sustainability at the expense of economic growth because air travel remains critical, essential, and even the only option in some regions.

Air connectivity and emissions in Africa

Africa is home to about 1.4 billion people, nearly 18% of the world’s population. Due to the lack of connectivity and closed borders, the continent only contributes about 2.1% of global air travel. Similarly, about 80% of air travel in the continent is provided by non-African carriers.

Aviation accounts for about 2.5% of global emissions. According to the figures, African carriers contribute about 0.005% of global CO2 emissions, a significantly low percentage. Additionally, Africa’s top three biggest airlines have a combined fleet of about 270 aircraft.

African stakeholders will eventually invest in SAF and other environmentally impactful activities. However, as the lowest carbon emitters, they are calling for assistance from the larger carriers operating over 500 aircraft and significantly contributing to the CO2 emissions, so they can work together towards the common goal.

The potential of SAF production in Africa

Given the fast land, feedstock, population, human capital, and resources that Africa has, there is great potential to produce SAF on the continent. Although it would make SAF for African airlines cheaper, it would still be more expensive than fossil fuels.

Another challenge is getting the authorities and governments to invest in SAF production. They are tackling other issues like water, food, and electricity shortages, housing, and other challenges that have been placed ahead of aviation. Uganda Airlines CEO Jenifer Bamuturaki said:

“We are grappling with losses, and now we’re expecting to go back to our governments and say you need to invest in this thing called SAF. Even having the governments understand how the aviation and airline industry operates is a great challenge.”

Although African carriers will prioritize survival and economic growth, they will simultaneously invest in environmentally friendly solutions. Among these is the implementation of the Single Air Transport Market (SAATM) to promote point-to-point travel and reduce the amount of fuel burnt flying between certain destinations.

SOURCE: Simpleflying