ACI World: Coordinated Global Government Response Needed

Airports Council International (ACI) called on governments from around the globe to alleviate current international travel restrictions and study whether the continuation of passenger-based taxes provides the most long-term economic benefit.

The international airports organization also urged governments to support the viability of the industry through direct financial support that benefits the entire aviation ecosystem – airports, airlines and their commercial partners – to protect essential operations and jobs

“As the airport sector, as an integral part of the global aviation ecosystem, has been among the industries most affected by the global COVID-19 pandemic and is confronted by a crisis of liquidity and existential uncertainty, financial support is urgently needed to support industry restart and protect essential operations” ACI World Director General Luis Felipe de Oliveira said.

The ACI listed their recommendations in a new policy brief “Path to the Airport Industry Recovery – Restoring a Sustainable Economic Equilibrium.”

“ACI recognizes that due to the high degree of interdependencies in the industry, all key players should benefit from government policies that aim to support the industry – airports depend on their customers to the same extent as the users of air transport and numerous suppliers,” the policy brief states. “Therefore, coordinated and targeted mechanisms to facilitate the recovery of air transport and airports would be indispensable.”

Specific recommendations include governments providing short-term loans or one-time cash injections to minimize default on debt and credit losses and that airport rents and concession fees applicable to airport operators should be waived in the form of a one-time measure for a defined period of time, without the requirement for airports to pay back the waived amounts later.

The brief also said regulators should pursue temporary relaxation of limits and allowances for selected duty-free products to stimulate sales and called on governments to move toward fostering pricing strategies and commercial agreements which best serve the needs of the traveling public.

Additionally, and in accordance with World Health Organization’s (WHO) International Health Regulations, ACI said it believes costs related to public health measures aimed at mitigating the spread of communicable diseases should be borne by national governments.

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