Etihad Airline Urges Europe to Remove Restrictions on Foreign Airline
In order to reform the airline transport industry in Europe, Etihad Airways, the national airline of the United Arab Emirates, has urged the European Commission ( EC ) to adopt “an ambitious and bold leader reform program” as part of the Strategic Plan of Aviation.
In this regard, it calls for a policy that “actively facilitate competition and consumer choice, address the critical gaps in aviation infrastructure and ease restrictions on market access and investments of non-European airlines.”
The airline based at Abu Dhabi Airport has made such statements in a detailed presentation to the Commission. They regard that the consultation carried out by the European Commissioner (EU) for Transport, Violate rules on a new strategy for the EU Aviation.
The Airline authority notes that it is in a position to contribute to the process and “given our significant operations in Europe and our investments in a number of airlines on this continent, We believe this gives us a unique perspective on the current regulatory framework in Europe, as well as an idea of what should change. “
Etihad summons to reduce restrictions on foreign airlines and facilitate competition.
Etihad Airways has invested in five European airlines : Alitalia (49%), airberlin (29%), Air Serbia (49%), Aer Lingus (4.99%) and the Swiss regional carrier Darwin Airline , which operates under the brand Etihad Regional(33%).
It ensures that, in addition to contributing to the consolidation of these airlines and providing more choices to travelers to and from Europe, its investments have supported the creation of over 17,000 jobs in the continent, within partner companies. Its investment aslo backed European economies through increased flight, expenditures at the local level and investments and improvements in air connectivity .
To do this, Etihad Airways has proposed nine principles:
1. Putting the competition and consumers at the forefront of policy development.
2. Thinking globally, not locally.
3. Ensuring that the air connectivity is at the heart of aviation policy and EU transport.
4. Support for innovation in business models and not artificially limit.
5. Promote transparency, efficiency and legal certainty in order to attract foreign investment .
6. Adopting a holistic approach to security.
7. Addressing regulatory barriers and inefficiencies of infrastructure and fully reflecting best regulatory practices.
8. Promoting structural reforms in the industry of air transport.
9. Promoting the policy of open skies.
Figures and studies
The airline has supported this presentation with three global research expert consultants such as Oxford Economics, Edgeworth Economics and Risk Advisory Group. Oxford Economics has conducted a major study on the economic impact of Etihad Airways’ core operations and capital spending in 2015, that will support more than 51,200 jobs in Europe and that will contribute 3,300 million euros to the GDP of the EU.
The report also shows that this year, the airline will contribute 1,700 million euros to the GDP of the EU by improving connectivity. Another study corresponds to l Risk Advisory Group in which the state support received by the European national flag carriers before and after its privatization is analyzed.
Etihad Airways says that, while not challenging the European system, we want to show that, the European system has created a difficult game field for new entrants.”Edgeworth Economics has conducted a competitive analysis and connectivity in the European aviation industry.
The analysis shows a significant increase in the number of flights and demand between Europe and key regions where Etihad Airways operates as well as impacts the connectivity of all capital investments in the UAE airline. Etihad airways also share the code of agreements with partner airlines.
James Hogan, president and CEO of Etihad Airways. Photo: ibtimes
” Etihad Airways recognizes the tremendous growth achieved, thanks to the liberalization of air operations within Europe. Now It urges the European Commission to be the catalyst for reforming global air transportation by lowering restrictions on access of non-European airlines and Global investment in those established within the European Union.
This liberalization would be aligned with the Commission’s commitment to adopt policies for job creation and economic confidence. Thus facilitating access to new sources of capital through international investment, “He pointed by the President and CEO of Etihad, James Hogan .