Page 33 - World Airnews Magazine December 2020

AASA AASA

MORE COLLABORATION COMMERCIAL IMPACT $1.8tn (51%) AFRICA SOUTH AFRICA guidelines and regulations formulated by
GLOBAL
Aviation, Health and Tourism authorities.

$37bn (58%)
Economic contribution
$4.7bn (51%)
This enabled the restart of domestic
IS NEEDED supported 46m (52%) 5.0m (58%) 270,000 (57%) air services.
Jobs at risk (aviation
A set of guidelines for the safe re-
related)

sumption of air travel and tourism was de-

Jobs at risk (aviation 4.8m (42%) 172,000 (39%) 40,000 (57%) veloped jointly by the International Civil

(ICAO) and International Air Transport direct) Aviation Organisation-led “Civil Aviation
Recovery Taskforce” (CART), together

Association (IATA) and support their Airline profitability -$85.3bn vs +$28.3bn -$2bn vs $200m -$1bn vs $200m with the UN World Health Organisation

hat a truly devastating year initiatives in Passengers -66% -70% -68% (WHO), the International Air Transport

W2020 has turned out to be! the region. Association (IATA), the Airports Council

Before I address you on the state of Airlines are not alone in facing the [Reference : IATA Economics, ATAG] International as well as public health and
our industry, please join me in a moment present crisis. Our industry partners, leading medical research institutions from

of silent reflection as we remember including infrastructure and other service around the world.
colleagues, friends and loved ones who providers and safety regulators have EXTENT OF IMPACT OF COVID-19 user charges by our infrastructure service However, the move to allow intra-Africa

have succumbed to COVID-19 or are griev- been equally affected. Over the past Not a single aviation industry stakeholder providers that derive revenue from user and inter-continental travel has presented

ing, and also to pray for full and speedy seven months the constructive work- has been spared from this pandemic’s charges payable by airlines and passen- a big challenge. The CART’s guidelines

recoveries for those who are currently ing relationships AASA has forged over impact. Airlines and any organizations gers. It is not lost on our airline members require all states to harmonise their imple-

infected or who are suffering the physical decades with all of its industry partners relying on revenue from airline operations that many of these entities are them- mentation without introducing arbitrary

effects and emotional distress brought on and stakeholders, has proven invaluable and passengers have been affected. This selves feeling the crunch. Some have measures that would create inconsisten-

by COVID-19 and the crisis it has wrought and we have been able to find common includes tax authorities, civil aviation been open to finding mutually workable cies, confusion and deter travel, similar

upon our industry, our economies and our ground and solutions on most of the authorities and other regulatory bodies, solutions and many of the proposals we to what happened after 9/11 with some

communities. issues that we usually and routinely need infrastructure service providers such have made are being considered – I shall authorities creating their own security

As many of you know, even in times to address to ensure that air transport in as airports, air navigation and weather deal with this later. standards and procedures. Unfortunately,

of the worst crisis, the AASA Annual our region is safe, efficient, viable, acces- services, industry suppliers and partners Considering the economic benefits despite the CART’s intentions, governments

General Assembly has always been an sible and affordable. in the travel, tourism and all other airlines provide to the markets and com- are developing their own standards for

occasion to look forward to, as an event A comprehensive report on these activ- associated sectors. munities they connect, it is important that testing of passengers and crew, quarantin-

The inability to trade and generate

Through a virtual online where competitors and friends could ities is contained in the annual report and revenue while continuing to incur fixed where governments provide assistance to ing and determining principles for approv-
my AGM notes which follow as the second
certain state-owned companies and agen-

ing who may travel and between which
travel away together to wrestle with the

Zoom platform AASA CEO common issues of the day in a collegiate part of this address. costs, triggered an industry-wide liquid- cies, they ensure some of these benefits countries. This does not bode well for
Nevertheless, COVID-19 and the accom-

Chris Zweigenthal gave and collaborative spirit. Never in our panying devastating effects for our entire ity crisis, forcing organisations to rapidly are passed on to the airlines - both public the aviation, travel and tourism industry,
and privately-owned - by way of reduced

implement drastic cost saving measures.

potentially putting even more jobs at risk,

most surreal imaginations did we foresee

his industry address for ourselves conducting our 50th Annual industry have demanded much of our The social and financial distress has been user charges. This will provide some creating hardship and delaying the eco-
much-needed relief to airlines.

particularly hard. Many employees have

attention and energy this year.

General Meeting on a ZOOM video call!

nomic recovery.
the 50th annual general We were already at an advanced stage COMMERCIAL IMPACT OF THE taken pay cuts, been placed on paid or un- This crisis is the most severe test for the The opening of South Africa’s borders

meeting. Here is his speech with arrangements to hold what would COVID-19 PANDEMIC paid leave, temporarily laid off and, in the aviation industry. In South Africa, avia- effective 1 October 2020 is welcomed, but
worst-affected businesses, retrenched.

tion has worked through the Captains of
there needs to be clarity on the risk classifi-
have been our 50th annual assembly

entitled “An extraordinary at Skukuza in the Kruger Park, when Pre- COVID-19, Southern Africa’s airline These have been traumatic experiences Industry Forum - convened by the Director cation of states, by which leisure travellers

industry was operating under increasingly

especially where alternative employment

Civil Aviation of SA Civil Aviation Authority
are either approved or denied entry. Gov-
the COVID-19 pandemic and lockdowns

year for the Southern were declared. Given the financial challenging financial conditions. Only a is extremely limited. - to lobby the Government to enable the ernment should take us into its confidence

AASA has been lobbying governments to
African Aviation Industry” impact of the pandemic on our mem- few - mostly privately-owned - airlines in provide financial relief for its member air- resumption of air services. We thank Ms and explain why it has superimposed
Poppy Khoza and her team for their leader-
the region were profitable. Others relied

bers, our partners, stakeholders, the
these additional restrictions on the set of

economy and our communities, I’m sure on state support of some form or another. lines. We supported the global call made ship in this area. risk-mitigating health and safety protocols

you all agree that cancelling those plans Two of our airline members, South African by IATA and approached governments in In all respects, we are all trying to it had already developed and approved for

was both the appropriate and prudent Airways and SA Express, were placed our members’ countries, requesting relief navigate in unchartered territory. What the safe reopening of the borders. We are
thing to do. From a practical and logis- in business rescue last December and in the form of loans, loan guarantees, tax we must take away from the experience also appealing to Government to explain its

tical perspective, we had no certainty this February respectively. And in April, relief and cash injections - either as equity, over the past months, is the necessity criteria for reducing or, better still, scrap-

on when South Africa’s borders would shortly after the lockdowns brought or to assist with liquidity challenges, for for industry and governments to engage ping these lists, and opening the borders

be re-opened or if actual, rather than business to a virtual standstill, Comair example with subsidies for wages and other directly with each other openly in all ap- without restriction.

virtual, conferences would be permit- voluntarily followed them. essential expenses. propriate departments at Director-General If these latest leisure travel restrictions

ted. All being well, we will meet again The pandemic and lockdowns have Unfortunately, many governments have and Ministerial levels. This is essential are maintained, our industry and the entire

in person next year, to celebrate AASA’s been catastrophic for aviation. The only provided limited direct support. if we are to address strategic, policy and economy will face a much slower and ardu-
half-century and, hopefully, a signifi- health and safety of our customers and Some have offered assistance in the form practical issues that will ensure a safe and ous recovery

cant recovery of our industry. staff have always been our primary of debt, which becomes an additional viable restart of airline operations so that In conclusion - our industry is in crisis

AASA was established in 1970 to concern and so we supported the initial and often, unbearable burden for airlines aviation can support the region’s economic and while we have achieved much, we
represent the region’s airlines and “hard” lockdowns. They were intended already borrowed to the hilt. We acknowl- recovery without compromising public must do more. Going forward, our work is

work together with industry leaders to flatten the infection curve and create edge governments’ responsibilities to health and safety. cut out for us in removing obstacles in our

and senior government policy makers, the breathing space for public health assist communities and small businesses TOWARDS RECOVERY OF THE way, re-building our industry and enabling

legislators and regulators on matters services to roll-out testing, educate and that are desperate for financial relief. But INDUSTRY the recovery of the economies we serve
affecting the common operations and change peoples’ social behaviour and to they should not ignore the vital role that and connect through the vital connec-

sustainability of its member airlines. prepare facilities to cope with the rise in aviation, travel and tourism will play in The lockdowns provided governments tions we provide for trade, commerce and

Today we represent most of the SADC- infections and deaths. driving the economic recovery through with opportunities to better understand tourism. We must foster trust between
based airlines and lead industry’s posi- But the restrictions inflicted severe the jobs they create, both directly and COVID-19 and arrest its spread. They governments and our industry and engage

tion in the region on airport, airspace harm across many sectors of the econo- indirectly, and the hundreds of thousands also prompted the definition and more directly with each other. We cannot

and civil aviation issues, consumer my, not least on aviation, travel and tour- of livelihoods they support. implementation of risk and infection- exist without each other and must work
legislation, environmental and tourism ism. The numbers provide evidence of AASA, together with IATA and BARSA, mitigating biosecurity measures, together to strategize, plan and set about

matters, and other important industry the impact and reflect the phased re-start has also sought other opportunities protocols and procedures by airlines, repairing the damage that has been done

issues. We work in tandem with the UN of domestic, regional and international for financial relief, including waivers, airports, tourism businesses and other and preparing for a stronger, healthier and

International Civil Aviation Organization operations (statistics are 2020 vs 2019): discounts, deferrals and suspension of service providers, in accordance with better future. Q

World Airnews | December 2020 World Airnews | December 2020
— 30 — — 31 —