Airport authorities as represented by the Airport Council International (ACI) and airline companies under the International Air Transport Association (IATA) are at odds over policies to address challenges on airport capacity, infrastructure, standards and regulations amid increasing air traffic demand.
IATA is a trade association of the world’s airlines. In addition to setting technical standards for airlines, IATA also organized tariff conferences. As of 2023, IATA represents 317 airlines, including major carriers, from over 120 countries
ACI is an organization of airport authorities, informing members of industry practices and airport standards.
While ACI acknowledged the increasing challenge of meeting air traffic demand, it also emphasized that airports worldwide are diligently working to enhance existing infrastructure and develop new facilities, which are crucial to addressing this challenge.
ACI issued this statement in response to the stance of IATA on slot regulation and airport capacity to address increasing challenge of meeting air traffic demand.
Airports are naturally incentivized to meet market demands by improving efficiency and accommodating growing passenger numbers. Significant investments have been made over the years to achieve this, said ACI.
“However, to accommodate the projected growth in air traffic, all aviation stakeholders must contribute and work collaboratively.”
ACI noted that optimizing airport capacity utilization, including through slot policy, is a multifaceted challenge that cannot be solved by airports alone.
“The delivery of airport capacity depends on the coordinated actions of multiple stakeholders, including air traffic management, regulators, ground handlers, immigration and security screening services, as well as factors such as weather and regulatory requirements. Airline operations also have a direct impact on airport capacity. These interdependencies must be factored into any discussion about optimizing capacity.”
ACI stressed that improving and expanding infrastructure to accommodate additional capacity requires significant investment.
“Airports have long advocated for the necessary funding to support these developments, including through reasonable increases in airport charges.”
However, ACI pointed out that the airline industry has consistently opposed these efforts, despite airport charges accounting for only 4% of airlines’ total costs on average. The airline industry, which calls for increased capacity, remains resistant to funding the essential investments needed to achieve it.
ACI acknowledged that an efficient airport slot policy is a critical element in optimizing capacity. For several years, ACI has advocated for aligning the Worldwide Airport Slot Guidelines (WASG) with contemporary market dynamics to more effectively address the diverse needs of all stakeholders, with consumers being the foremost priority.
ACI also stressed that while IATA’s White Paper regarding slots raises valid concerns, it fails to provide a complete, accurate, or balanced portrayal of the issue by placing undue blame solely on airports for inefficiencies in the current system.
“This narrow view ignores airlines’ activities that lead to inefficient slot allocation and usage today and distracts from the broader conversations and collaboration required to amend current slot principles and policies, which must evolve to adapt to current realities,” said ACI
Airports have long advocated for a more ambitious revision of the slot system to address the inefficient use of slots, including through the Worldwide Airport Slot Board (WASB), the joint airport airline-coordinator body established in 2020 to oversee the WASG. A broader conversation to amend current slot principles and policies is required.
“Meeting future capacity demands requires collaboration,” said Darryl Dowd, Vice President of Safety, Security, and Operations at ACI World.
“Airports and airlines must work together to ensure fair and efficient slot allocation and usage, improved operations, and the necessary investments in infrastructure to support growth. ACI remains committed to fostering cooperation among stakeholders to deliver solutions that benefit passengers, economies, and the aviation ecosystem as a whole,” Dowed added.
