Prathama Line

IATA to Expand Environmental Assessment Certification to Airports and Ground Service Providers

Istanbul – The International Air Transport Association (IATA) has launched the IATA Environmental Assessment for Airports and Ground Service Providers (IEnvA for Airports and GSPs).  Edmonton International Airport (YEG) is the first participant in the expanded IEnvA and will play a leadership role as the value chain aligns to ensure a sustainable future for air transport.

IEnvA for Airports and GSPs is an expansion of the successful IEnvA for Airlines. IEnvA programs enable participants to build robust environmental management plans with continual performance improvements. Some 50 airlines are part of the IEnvA program, with 34 of them fully certified while the others are in the process.

“IEnvA has a solid track record of improving the environmental performance of airlines. As the aviation industry committed to improving sustainability, including achieving net zero carbon emissions by 2050, the expansion of IEnvA to airports and GSPs is critical. With Edmonton International Airport’s pioneering participation in the expanded program, we have a clear signal that the industry’s sustainability commitments are being actioned in a systematic results-oriented approach across the value chain,” said Sebastian Mikosz, IATA’s Senior Vice President for Environment and Sustainability.

“This is a significant milestone for airports around the world, and we are proud to be a part of the movement towards a sustainable future for aviation. IATA’s Environmental Assessment Program has supported the sustainability narrative across the aviation industry, and we are excited to be the first airport involved in expanding this program as we continue to prioritize ESG, innovation and forward-thinking solutions to airport operations and strategic partnerships” said Myron Keehn, VP, Air Service, Business Development, ESG and Stakeholder Relations, Edmonton International Airport.

IEnvA is an Environmental Management System based on standards and best practices that were built in collaboration with airlines, airports, ground service providers, IATA and sustainability experts. It complies with ISO14001 (Environmental Management) requirements, and uses IATA’s decade’s long expertise with safety auditing (IOSA) for oversight, governance and quality control.

IEnvA for Airports and GSPs will make use of tried-and-tested IEnvA oversight, governance, and quality control processes and will include provision of standards and recommended practices, training access, readiness workshops and external assessment.

As the pioneer airport in the IEnvA for Airports and GSPs, YEG will work with IATA to establish the IEnvA Standards for Airports and guidance material to broadly improve performance in areas such as emissions, waste, water, noise, energy, and biodiversity. As with IEnvA for Airlines, upon a successful independent assessment, YEG and other successful entities will be included in the IEnvA Certification Registry.

September Passenger Demand Stays Strong

Geneva – The International Air Transport Association (IATA) announced passenger data for September 2022 showing that the recovery in air travel continues to be strong.  

•             Total traffic in September 2022 (measured in revenue passenger kilometers or RPKs) rose 57.0% compared to September 2021. Globally, traffic is now at 73.8% of September 2019 levels.  

•             Domestic traffic for September 2022 was up 6.9% compared to the year-ago period. Total September 2022 domestic traffic was at 81% of the September 2019 level.

•             International traffic climbed 122.2% versus September 2021. September 2022 international RPKs reached 69.9% of September 2019 levels. All markets reported strong growth, led by Asia-Pacific.

“Even with economic and geopolitical uncertainties, the demand for air transport continues to recover ground. The outlier is still China with its pursuit of a zero COVID strategy keeping borders largely closed and creating a demand roller coaster ride for its domestic market, with September being down 46.4% on the previous year. That is in sharp contrast to the rest of Asia-Pacific, which, despite China’s dismal performance, posted a 464.8% increase for international traffic compared to the year-ago period,” said Willie Walsh, IATA’s Director General.

September 2022 (% year-on-year)           World share1     RPK        ASK        PLF (%-pt)2         PLF (level)3

Total Market      100.0%  57.0%    29.1%    14.5%    81.6%

Africa    1.9%      89.2%    50.2%    15.3%    74.3%

Asia Pacific          27.5%    51.9%    22.2%    14.6%    74.7%

Europe 25.0%    60.4%    34.1%    13.9%    84.7%

Latin America     6.5%      47.8%    39.4%    4.7%      82.3%

Middle East        6.6%      138.6%  57.7%    26.9%    79.5%

North America  32.6%    39.7%    18.1%    13.3%    85.5%

1% of industry RPKs in 2021   2year-on-year change in load factor   3Load Factor Level

 International Passenger Markets

•             Asia-Pacific airlines saw a 464.8% rise in September traffic compared to September 2021, the strongest year-over-year rate among the regions. Capacity rose 165.3% and the load factor was up 41.5 percentage points to 78.3%.  

•             European carriers September traffic climbed 78.3% versus September 2021. Capacity increased 43.8%, and load factor moved up 16.3 percentage points to 84.1%, second highest among the regions.

•             Middle Eastern airlines posted a 149.7% traffic rise in September compared to September 2021. September capacity increased 63.5% versus the year-ago period, and load factor climbed 27.6 percentage points to 80.0%.

•             North American carriers had a 128.9% traffic rise in September versus the 2021 period. Capacity increased 63.0%, and load factor climbed 24.6 percentage points to 85.4%, which was the highest among the regions for a fourth consecutive month.

•             Latin American airlines’ September traffic rose 99.4% compared to the same month in 2021. September capacity climbed 73.7% and load factor increased 10.8 percentage points to 83.5%.  

•             African airlines saw a 90.5% rise in September RPKs versus a year ago. September 2022 capacity was up 47.2% and load factor climbed 16.7 percentage points to 73.6%, the lowest among regions.

Domestic Passenger Markets

September 2022 (% year-on-year)           World share1  

RPK        ASK        PLF (%-pt)2         PLF (level)3

Domestic             62.3%    6.9%      -3.2%     7.6%      80.6%

Australia              0.8%      276.0%  144.9%  29.4%    84.4%

Brazil     1.9%      14.9%    15.8%    -0.6%     80.5%

China P.R.            17.8%    -46.4%  -45.9%  -0.6%     67.0%

India      2.0%      42.6%    30.7%    6.6%      78.9%

Japan    1.1%      127.9%  44.9%    23.8%    65.2%

US          25.6%    16.8%    3.7%      9.6%      85.4%

1% of industry RPKs in 2021   2year-on-year change in load factor 3Load Factor Level

•             Japan’s domestic RPKs rose 127.9% in September and are now at nearly 75.6% of 2019 levels.

•             US domestic traffic climbed 16.8% in September compared to September 2021, pushing it to 0.4% above the September 2019 level. The 85.4% load factor was the highest among the domestic markets.

September 2022 (% ch vs the same month in 2019)          World share in1                RPK        ASK        PLF (%-pt)2         PLF (level)3

Total Market      100.0%  -26.2%  -25.9%  -0.3%     81.6%

International      37.7%    -30.1%  -30.6%  0.5%      82.2%

Domestic             62.3%    -19.0%  -17.3%  -1.7%     80.6%

The Bottom Line

“Strong demand is helping the industry cope with sky high fuel prices. To support that demand in the long-term, we need to pay attention to what travelers are telling us. After nearly three years of pandemic travel complexity, IATA’s 2022 Global Passenger Survey (GPS) shows that travelers want simplification and convenience. That’s an important message for airlines but also for airports and governments. They own many of the facilitation processes that let passengers down at some key airports over this year’s northern summer travel season. According to the GPS, a majority of passengers want to use biometric data rather than passports for border processes. And 93% of passengers are interested in trusted traveler programs to expedite security screening. Modernizing the facilitation experience will not only help alleviate the choke points, it will create a better experience for all,” said

Air Cargo Demand Softens in September

Geneva – The International Air Transport Association (IATA) released data for September 2022 global air cargo markets showing that air cargo demand softened.

•             Global demand, measured in cargo tonne-kilometers (CTKs*), fell 10.6% compared to September 2021 (-10.6% also for international operations), but continued to track at near pre-pandemic levels (-3.6%).

•             Capacity was 2.4% above September 2021 (+5.0% for international operations) but still 7.4% below September 2019 levels (-8.1% for international operations).

•             Several factors in the operating environment should be noted:

o             Following contractions across major economies, the global Purchasing Managers Index (PMI) for new export orders also contracted (for a third month in a row) to its lowest level in two years.

o             Latest global goods trade figures showed a 5.2% expansion in August, a positive sign for the global economy. This is expected to primarily benefit maritime cargo, with a slight boost to air cargo as well.

o             Oil prices remained stable in September and the jet fuel crack spread fell from a peak in June.

o             The Consumer Price Index stabilized in G7 countries in September, but at a decades high level of 7.7%. Inflation in producer (input) prices slowed to 13.7% in August.  

“While air cargo’s activity continues to track near to 2019 levels, volumes remain below 2021’s exceptional performance as the industry faces some headwinds. At the consumer level, with travel restrictions lifting post-pandemic, people are likely to spend more on vacation travel and less on e-commerce. And at the macro-level, increasing recession warnings are likely to have a negative impact on the global flows of goods and services, balanced slightly by a stabilization of oil prices. Against this backdrop, air cargo is bearing up well. And a strategic slow-down in capacity growth from 6.3% in August to 2.4% in September demonstrates the flexibility the industry has in adjusting to economic developments,” said Willie Walsh, IATA’s Director General.

September 2022

(% year-on-year)             World share1     CTK        ACTK     CLF (%-pt)2         CLF (level)3

Total Market      100.0%  -10.6%  2.4%      -7.0%     48.1%

Africa    1.9%      0.1%      -4.1%     1.9%      45.1%

Asia Pacific          32.6%    -10.7%  2.8%      -8.7%     57.2%

Europe 22.8%    -15.6%  0.2%      -9.9%     52.8%

Latin America     2.2%      10.8%    18.4%    -2.6%     38.1%

Middle East        13.4%    -15.8%  -2.8%     -7.4%     47.8%

North America  27.2%    -6.0%     4.6%      -4.4%     39.6%

1 % of industry CTKs in 2021  2 Change in load factor   3 Load factor level

September Regional Performance

•             Asia-Pacific airlines saw their air cargo volumes decrease by 10.7% in September 2022 compared to the same month in 2021. This was a decline in performance compared to August (-8.3%). Airlines in the region continue to be impacted by the conflict in Ukraine, labor shortages, and lower levels of trade and manufacturing activity due to Omicron-related restrictions in China. Available capacity in the region increased by 2.8% compared to 2021.

•             North American carriers posted a 6.0% decrease in cargo volumes in September 2022 compared to the same month in 2021. This was a decline in performance compared to August (3.4%).  Capacity was up 4.6% compared to September 2021.

•             European carriers saw a 15.6% decrease in cargo volumes in September 2022 compared to the same month in 2021. This was on a par with August’s performance (-15.1%). This is attributable to the war in Ukraine. Labor shortages and high inflation levels, most notably in Turkey, also affected volumes. Capacity increased 0.2% in September 2022 compared to September 2021. 

•             Middle Eastern carriers experienced a 15.8% year-on-year decrease in cargo volumes in September 2022. This was the worst performance of all regions and a significant decline compared to the previous month (-11.3%). Stagnant cargo volumes to/from Europe impacted the region’s performance. Capacity was down 2.8% compared to September 2021.

•             Latin American carriers reported an increase of 10.8% in cargo volumes in September 2022 compared to September 2021. This was the strongest performance of all regions. Airlines in this region have shown optimism by introducing new services and capacity, and in some cases investing in additional aircraft for air cargo in the coming months. Capacity in September was up 18.4% compared to the same month in 2021. 

•             African airlines saw cargo volumes increase by 0.1% in September 2022 compared to September 2021. This was a slight decrease in the growth recorded the previous month (1.0%). Capacity was 4.1% below September 2021 levels.

View the September Air Cargo Market Analysis (pdf)

Ada “Kiamat” Baru di Jerman: Para Pekerja Hilang

Bendera Jerman (AP Photo/Markus Schreiber) Foto: AP/Markus Schreiber

Jakarta, CNBC Indonesia – Jerman yang kini mengalami krisis baru. Hal itu adalah kelangkaan tenaga kerja.

Ini menambah daftar persoalan yang dihadapi oleh sektor manufaktur. Minimnya tenaga kerja yang berkualitas disebabkan oleh populasi yang menua dan diperburuk oleh pandemi Covid-19, membuat produsen mengalami kekurangan staf.

Survei baru-baru ini menemukan 50% produsen memangkas produksi. Ini menimbulkan kerugian hingga US$ 85 miliar atau setara Rp 1.317 triliun per tahunnya.

“Semakin banyak perusahaan mengurangi bisnis mereka karena tidak ada cukup pekerja. Dalam jangka menengah dan panjang, masalah ini kemungkinan akan menjadi lebih buruk,” terang pakar pasar tenaga kerja di Ifo Institute di Munich, Stefan Sauer, dikutip The Straits Times, Kamis (20/10/2022).

Hal ini menambah masalah yang dihadapi manufaktur Jerman setelah krisis dan naiknya harga energi. Beberapa produsen bahkan harus menutup pabrik atau mengalihkan produksi ke luar negeri.

Produsen pesawat Airbus harus membatalkan rencana untuk memproduksi 720 jet A320 terlarisnya di Hamburg pada 2022. Perusahaan itu menyebut sebagian besar pembatalan ini dikarenakan kekurangan pekerja.

Kekurangan tenaga kerja memperbesar tekanan bagi industri. Dengan permintaan pekerja yang tinggi dan inflasi melonjak menjadi 10,9% bulan lalu, staf sektor publik Jerman mencari kenaikan gaji 10,5% sementara pekerja logam menuntut 8% kenaikan.

Walau terlihat dapat memuaskan kebutuhan pekerja, kenaikan upah yang cepat dapat membantu memperkuat inflasi. Tren tersebut bahkan dapat mendorong Bank Sentral Eropa untuk menaikkan suku bunga kembali.

Meski begitu, seorang ekonom di UBS Group di Frankfurt, Felix Huefner, tetap memprediksi upah Jerman tumbuh 3,5% pada akhir 2023. “Harga energi yang tinggi dan kekurangan pekerja terampil tentu menjadi kendala bagi industri Jerman ke depan. Negara-negara seperti Prancis, yang memiliki demografi yang lebih baik, akan memiliki kapasitas produktif yang lebih kuat di masa depan,” paparnya.

Sebelumnya, dalam ramalan terbaru Dana Moneter International (IMF), Jerman menjadi satu dari dua negara Eropa yang terancam resesi talun 2023. Satu lagi adalah Italia.

“Jerman dan Italia akan tergelincir ke dalam resesi tahun depan, menjadi ekonomi maju pertama yang mengalami kontraksi setelah invasi Rusia ke Ukraina,” tulis IMF dalam pembaruan World Economic Outlooknya.

Ekonomi negera itu akan menyusut 0,3%. Sementara Italia berkontraksi 0,2%.

New CASSLink Successful Go-Live in US Market

Geneva – The International Air Transport Association (IATA), in collaboration with its wholly owned subsidiary Cargo Network Services (CNS), announced that the modernized CASSLink has been successfully deployed in the United States air cargo market. CASSLink is an invoicing system for billings and payments between airlines and freight forwarders which are participating in the Cargo Accounts Settlement System (CASS). More than 15,000 freight forwarders use CASSLink.

“We surveyed the market about what additional features they’d like to see, and we’ve delivered them in the new CASSLink. It is an efficient, secure, transparent and cost-effective solution for airlines, cargo agents and freight forwarders. We are excited to bring it to the US, the largest CASS market worldwide,” said Laura Pullins, CNS President.

New CASSLink features include:  

•             Friendly and intuitive user interface

•             Self-service functions to configure data processing, reports and user management, etc.

•             Real-time reporting and on-line dispute resolution

•             Accommodation of bilateral commercial arrangements as well as IATA resolutions requirements

•             New tax calculation mechanism

•             Risk assessment tool

•             New payment options

IATA worked with IBS Software to develop the new CASSLink. It will be rolled out to all other CASS markets beginning this quarter and continuing through 2023. At the end of 2021, 97 CASS operations were serving more than 230 General Sales and Service Agents and over 240 airlines worldwide. CASS processed $57.4 billion, with an on-time settlement rate of 99.999% in 2021.

“New CASSLink is designed to meet the billing and payment requirements of the air cargo value chain, today and in future. It is the most price competitive solution in the market, with no charge to agents and forwarders,” said Muhammad Albakri, IATA’s Senior VP, Financial Settlement and Distribution Services.

Air Cargo Demand Shows Resilience in August

Geneva – The International Air Transport Association (IATA) released August 2022 data for global air cargo markets which demonstrated the industry’s resilience amid economic uncertainties.

•             Global demand, measured in cargo tonne-kilometers (CTKs*), fell 8.3% compared to August 2021 (-9.3% for international operations). This was a slight improvement on the year-on-year decline of 9.7% seen in July.  

•             Capacity was 6.3% above August 2021 (+6.1% for international operations). This is a significant expansion over the 3.6% year-on-year increase in July.

•             Several factors should be noted in the operating environment:

o             Global goods trade expanded slightly in August and the additional easing of COVID-19 restrictions in China will positively impact cargo markets. While maritime will be the main beneficiary, air cargo will also receive a boost from these developments.

o             Inflation levels in G7 countries slowed for the first time since November 2020.     

o             Oil prices stabilized in August and the jet fuel crack spread fell from a peak in June.

o             New export orders, a leading indicator of cargo demand and world trade, decreased in leading economies in all regions except the US.

“Air cargo continues to demonstrate resilience. Cargo volumes, while tracking below the exceptional performance of 2021, have been relatively stable in the face of economic uncertainties and geopolitical conflicts. Market signals remain mixed. August presented several indicators with upside potential: oil prices stabilized, inflation slowed and there was a slight expansion in goods traded globally. But the decrease in new export orders in all markets except the US tells us that developments in the months ahead will need to be watched carefully,” said Willie Walsh, IATA’s Director General.

August 2022

(% year-on-year)             World share1     CTK        ACTK     CLF (%-pt)2         CLF (level)3

Total Market      100.0%  -8.3%     6.3%      -7.5%     46.7%

Africa    1.9%      1.0%      -1.4%     1.0%      41.8%

Asia Pacific          32.6%    -8.3%     13.9%    -13.2%  54.7%

Europe 22.8%    -15.1%  0.4%      -9.2%     50.2%

Latin America     2.2%      9.0%      24.3%    -5.2%     37.4%

Middle East        13.4%    -11.3%  -0.1%     -5.9%     46.6%

North America  27.2%    -3.4%     5.7%      -3.7%     39.3%

1 % of industry CTKs in 2021  2 Change in load factor   3 Load factor level

August Regional Performance

•             Asia-Pacific airlines airlines saw their air cargo volumes decrease by 8.3% in August 2022 compared to the same month in 2021. This was an improvement over the 9.0% decline in July. Airlines in the region benefited from slightly increased levels of trade and manufacturing activity due to the easing of COVID-19 restrictions in China. Available capacity in the region increased 13.9% compared to August 2021, a significant increase over the 2.7% growth in July.

•             North American carriers posted a 3.4% decrease in cargo volumes in August 2022 compared to the same month in 2021. This was an improvement over the 5.7% decline in July.  The lifting of restrictions in China improved demand and a further boost is expected in the coming months. Capacity was up 5.7% compared to August 2021.

•             European carriers saw a 15.1% decrease in cargo volumes in August 2022 compared to the same month in 2021. This was the worst performance of all regions for the fourth month in a row. This is attributable to the war in Ukraine. Labor shortages and high inflation levels, most notably in Türkiye, also affected volumes. Capacity increased 0.4% in August 2022 compared to August 2021. 

•             Middle Eastern carriers experienced an 11.3% year-on-year decrease in cargo volumes in August. Stagnant cargo volumes to/from Europe impacted the region’s performance. Capacity was down 0.1% compared to August 2021.

•             Latin American carriers reported an increase of 9.0% in cargo volumes in August 2022 compared to August 2021. This was the strongest performance of all regions. Airlines in this region have shown optimism by introducing new services and capacity, and in some cases investing in additional aircraft for air cargo in the coming months. Capacity in August was up 24.3% compared to the same month in 2021.

•             African airlines saw cargo volumes increase by 1.0% in August 2022 compared to August 2021. This was a significant improvement on growth recorded the previous month (-3.5%). Capacity was 1.4% below August 2021 levels.

View the August 2022 Air Cargo Market Analysis (pdf)

Peak Travel Season Ends on a High Note in August

Geneva – The International Air Transport Association (IATA) announced passenger data for August 2022 showing continued momentum in the air travel recovery.

•             Total traffic in August 2022 (measured in revenue passenger kilometers or RPKs) was up 67.7% compared to August 2021. Globally, traffic is now at 73.7% of pre-crisis levels.

•             Domestic traffic for August 2022 was up 26.5% compared to the year-ago period. Total August 2022 domestic traffic was at 85.4% of the August 2019 level.

•             International traffic rose 115.6% versus August 2021 with airlines in Asia delivering the strongest year-over-year growth rates. August 2022 international RPKs reached 67.4% of August 2019 levels.

“The Northern Hemisphere peak summer travel season finished on a high note. Considering the prevailing economic uncertainties, travel demand is progressing well. And the removal or easing of travel restrictions at some key Asian destinations, including Japan, will certainly accelerate the recovery in Asia. The mainland of China is the last major market retaining severe COVID-19 entry restrictions,” said Willie Walsh, IATA’s Director General.

August 2022 (% year-on-year)    World share1     RPK        ASK        PLF (%-pt)2         PLF (level)3

Total Market      100.0%  67.7%    43.6%    11.8%    81.8%

Africa    1.9%      69.6%    47.6%    9.8%      75.7%

Asia Pacific          27.5%    141.6%  76.5%    19.9%    74.0%

Europe 25.0%    59.6%    37.8%    11.8%    86.2%

Latin America     6.5%      55.0%    46.6%    4.5%      82.4%

Middle East        6.6%      135.5%  65.4%    23.7%    79.6%

North America  32.6%    29.6%    20.0%    6.4%      85.6%

1% of industry RPKs in 2021   2year-on-year change in load factor   3Load Factor Level

 International Passenger Markets

•             Asia-Pacific airlines had a 449.2% rise in August traffic compared to August 2021. Capacity rose 167.0% and the load factor was up 40.1 percentage points to 78.0%. While the region experienced the strongest year-over-year growth, remaining travel restrictions in China continue to hamper the overall recovery for the region.

•             European carriers’ August traffic climbed 78.8% versus August 2021. Capacity rose 48.0%, and load factor increased 14.7 percentage points to 85.5%. The region had the second highest load factor after North America.

•             Middle Eastern airlines’ traffic rose 144.9% in August compared to August 2021. Capacity rose 72.2% versus the year-ago period, and load factor climbed 23.7 percentage points to 79.8%.

•             North American carriers saw a 110.4% traffic rise in August versus the 2021 period. Capacity rose 69.7%, and load factor climbed 16.9 percentage points to 87.2%, which was the highest among the regions.

•             Latin American airlines’ August traffic rose 102.5% compared to the same month in 2021. August capacity rose 80.8% and load factor increased 8.9 percentage points to 83.5%.

•             African airlines experienced a 69.5% rise in August RPKs versus a year ago. August 2022 capacity was up 45.3% and load factor climbed 10.8 percentage points to 75.9%, the lowest among regions. International traffic between Africa and neighboring regions is close to pre-pandemic levels.

Domestic Passenger Markets

August 2022 (% year-on-year)    World share1  

RPK        ASK        PLF (%-pt)2         PLF (level)3

Domestic             62.3%    26.5%    18.9%    4.7%      79.7%

Australia              0.8%      449.0%  233.7%  32.1%    81.9%

Brazil     1.9%      25.7%    23.4%    1.5%      81.2%

China P.R.            17.8%    45.1%    25.7%    9.0%      67.4%

India      2.0%      55.9%    42.3%    6.9%      78.9%

Japan    1.1%      112.3%  40.0%    24.0%    70.6%

US          25.6%    7.0%      3.3%      3.0%      84.6%

1% of industry RPKs in 2021   2year-on-year change in load factor 3Load Factor Level

•             Australia’s domestic traffic posted a 449.0% year-over-year increase and is now 85.8% of 2019 levels.

•             US domestic traffic was up 7.0% in August, compared to August 2021. Further recovery is limited by supply constraints.

August 2022 (% ch vs the same month in 2019)   World share in1                RPK        ASK        PLF (%-pt)2         PLF (level)3

Total Market      100.0%  -26.3%  -22.8%  -3.9%     81.8%

International      37.7%    -32.6%  -30.6%  -2.5%     83.2%

Domestic             62.3%    -14.6%  -8.1%     -6.0%     79.7%

The Bottom Line

This week marks a year since the IATA AGM took the historic decision to achieve net zero carbon emissions by 2050.

“Aviation is committed to decarbonizing by 2050, in line with the Paris agreement. And the energy transition required to achieve this must be supported by government policies. That is why there is such great anticipation for the 41st Assembly of the International Civil Aviation Organization to reach agreement on a Long-Term Aspirational Goal on aviation and climate change. The near grounding of aviation during the pandemic highlighted how important aviation is to the modern world. And we will take a giant step towards securing the long-term social and economic benefits of sustainable global connectivity, if the policy-vision of governments is aligned with the industry’s commitment to net zero by 2050,” said Walsh.

IATA to Trial CO2 Emission Calculator for Air Cargo with Etihad

London – The International Air Transport Association (IATA) will be trialing a CO2 emissions calculation tool specifically developed for cargo flights together with Etihad Airways.

To effectively manage and report on sustainability progress, the entire value chain – shippers, forwarders, investors and regulators – along with consumers are asking for reliable and trustworthy data calculations. This trial will provide a valuable proof of concept for the cargo component of the IATA CO2 Connect carbon calculator.

IATA has been successfully providing IATA CO2 Connect for passenger flights since June this year, with actual fuel burn data of 57 aircraft types representing ~98% of the active global passenger fleet . By using airline specific data on fuel burn and load factors, it is the most accurate in the market.

Calculating the carbon impact of cargo shipments has more challenging parameters, not least of which is the unpredictability of routing at time of booking an air cargo shipment that can often include non-air segments. In addition, cargo can be carried on both dedicated freighter aircraft and in the bellies of passenger aircraft. To achieve equal levels of accuracy to the passenger calculator, it is essential to collect actual data on fuel burn, load factors and other key variables in trials.

IATA will be working with Etihad Cargo to track the necessary data for cargo shipments during a three-month trial. Etihad will be sharing data from flights and advising on various use cases to achieve the highest levels of accuracy, consistency and transparency.

By mid-2023 IATA aims to launch CO2 Connect for Cargo providing the industry with precise and consistent methodologies for both passenger and cargo operations.

“With a strong commitment to innovation, Etihad Cargo actively seeks out and facilitates the development, trials and launch of promising solutions for its customers and partners. The airline’s development with IATA demonstrates the ability and willingness to co create solutions to support Etihad Cargo’s journey to achieving net zero carbon emissions by 2050 and demonstrates the carrier’s agility in adopting state-of-the-art technology and digital solutions. IATA’s CO2 Connect carbon calculator will be an effective tool in making the transportation of cargo more sustainable and will benefit not only Etihad Cargo’s customers but also the wider air cargo sector in the future” said Martin Drew, Senior Vice President Global Sales & Cargo at Etihad Aviation Group.

“Aviation will achieve net zero carbon emissions by 2050. And our customers—travelers and shippers—need accurate information on the emissions related to their activities to manage their own commitments and reporting obligations.  For all these purposes, accurate data is critical. IATA CO2 Connect already provides this for passenger operations. This trial with Etihad will help us in bringing an industry-leading carbon calculator for cargo in the coming months,” said Frederic Leger, IATA’s Senior Vice President for Commercial Products & Services.

About CO2 Connect for Passengers

IATA CO2 Connect is the most accurate tool available for the calculation of aviation emissions in passenger operations. It makes use of airline specific and actual fuel burn information and load factors. This sets it apart from theoretical data models.

IATA CO2 Connect is available to companies within and outside the travel value chain, such as travel management companies (TMCs), travel agencies, airlines or multinational corporations. They can access the relevant CO2 emissions data and integrate it in a customized manner into their existing flight booking tools. Travel managers or travelers can easily see the CO2 emissions per routing. The tool also permits the consolidation of data for reporting purposes.

IATA CO2 Connect utilizes the newly developed CO2 Calculation Methodology, adopted by IATA’s Passenger Service Conference in March this year. This was conceived by leading partners from 20 airlines and major aircraft manufacturers, in consultation with international standard-setting bodies and logistics services providers.

Air Cargo Priorities: Sustainability, Modernization, Safety & People

NEWS BRIEF                         

London – The International Air Transport Association (IATA) highlighted four priorities to build resilience and strengthen air cargo’s post-pandemic prospects.

The priorities, outlined at the 15th World Cargo Symposium (WCS), which opened in London today are:

•              Achieving net zero carbon emissions by 2050

•              Continuing to modernize processes

•              Finding better solutions to safely carry lithium batteries

•              Making air cargo attractive to new talent

“Air cargo had a stellar year in 2021 achieving $204 billion in revenues. At present, however, social and economic challenges are mounting. The war in Ukraine has disrupted supply chains, jet fuel prices are high and economic volatility has slowed GDP growth. Despite this, there are positive developments. E-commerce continues to grow, COVID restrictions are easing, and high-value specialized cargo products are proving resistant to economic ups-and-downs. Going forward, achieving our net zero commitment, modernizing processes, finding better solutions to safely carry lithium batteries, and making air cargo attractive to new talent are critical,” said Brendan Sullivan, IATA’s Global Head of Cargo.

The road to Net Zero by 2050

In 2021 the aviation industry agreed a balanced plan to achieve net zero CO2 emissions by 2050. A potential scenario for this is:

•              65% through Sustainable Aviation Fuel (SAF)

•              13% from hydrogen and electric propulsion

•              3% from more efficient operations

•              19% through offsets and eventually through carbon capture, as an out-of-sector solution while technology develops.

“SAF is the key to achieving net zero emissions. Airlines used every drop that was available in 2021. And it will be the same this year. The challenge is SAF production capacity. The solution is government incentives. With the right incentives, we could see 30 billion liters of SAF by 2030. That would be a tipping point by 2030 towards our net zero ambition of ample SAF quantities at affordable prices,” said Sullivan.

Modernization and Efficiency

“The challenges of the COVID crisis gave us confidence that we can change and adapt fast. We need to use that confidence to get even closer to the expectations for modernization that our customers have. And we need to be true to air cargo’s unique selling point and move even faster,” said Sullivan.

IATA highlighted two areas where progress was being made:

•              IATA’s ONE Record is making it possible for everyone across the industry’s value chain to see the same information on shipments. Already 156 companies and four customs authorities are using it.

•              IATA Interactive Cargo Guidance provides a common framework so that tracking devices can monitor the quality and accuracy of conditions of time and temperature sensitive goods.

Government support for the modernization agenda through facilitating trade is also critical.

“The Revised Kyoto Convention which brings standardization, technology, predictability and speed to trade facilitation and the World Customs Organization (WCO) SAFE Framework of standards to facilitate and secure trade are major steps forward in supporting global trade. But we are still seeing far too many diverging requirements by governments in areas that should be harmonized by these two tools. This needs to change quickly so we can continue to support global trade—and its vital contributions to economies and the UN Sustainable Development Goals—with modern and efficient air cargo. Universal adoption and implementation will deliver the greatest benefits,” said Sullivan.

Safety

Safety, specifically finding better solutions to safely carry lithium batteries was highlighted as a priority for the industry.

“We can be proud of the progress that we are making to further improve the safe handling of lithium batteries. For air cargo, this is a top priority. But even the best regulatory structure means nothing if the rules are not followed. Compliance is an issue with the transport of lithium batteries, particularly with the proliferation of new—and inexperienced—entrants in e-commerce activities,” said Sullivan.

IATA called for:

•              Regulatory authorities (EASA and FAA) to accelerate development of a test standard that can be used to demonstrate that fire containment pallet covers and fire-resistant containers are capable of withstanding a fire involving lithium batteries.

•              Government authorities to step up and take responsibility for stopping rogue producers and exporters of lithium batteries.

•              Industry to use technology such as DG Autocheck to more easily and accurately verify that the shipment complies with DG requirements.

To embed best practices on the safe carriage of lithium batteries across the value chain, IATA has expanded its CEIV Lithium Battery program to include airlines and shippers.

People

“People are the core of any improvement in what air cargo can deliver. Sadly, we saw thousands of jobs leave the industry during COVID-19, especially cargo handlers. We are now competing for talent in a very tight job market. And when we do find the right and willing talent, training and longer-than-usual security clearance processes delay their entry into the workforce,” said Sullivan.

IATA called for governments to accelerate clearance processes, including those for security, as a short-term solution and longer term to do a better job of attracting, onboarding, and retaining talent.

IATA also encouraged more cargo carriers to sign on to the industry-wide 25by2025 initiative to promote gender diversity. “The need to create equal opportunities for the female half of the world’s population is highlighted by the situation today where the industry is struggling to attract sufficient talent. Achieving an equal gender balance must be core to any long-term talent strategy,” said Sullivan.

Read Brendan Sullivan’s full speech

94% of users said that IATA manuals helped their business

Whenever there is a doubt about if the correct label or marking is being used or when there is no regulation in place for a specific cargo or ground handling task, the IATA manuals have become the primary source of information for our users.

From reducing errors to avoiding shipment delays or aircraft damage, the IATA manuals have served as essential tools to a variety of companies.

With 94% of IATA manual users stating that these standards helped their business, the IATA manuals have demonstrated that the benefits of using them go beyond complying with international air cargo regulations and ground operations procedures.

 By using the IATA manuals you can rest assured that you follow the latest regulations and comply with international cargo shipment rules. 90% of IATA manual users refer to these standards as their primary source of information for air cargo standards and 74% refer to them as their primary source of information for ground operations. They are your essential guide to shipping and handling cargo via air!