The world air transport industry today said it is not looking for a bailout to come out of the current gloomy loss making scenario but demanded liberalisation, which would be a cheap and effective stimulus.
"Liberalising key routes today would create 24 million jobs and $490 billion in economic activity," IATA CEO Giovanni Bisignani told top industry leaders at the grouping's 65th AGM here. Air India's CMD, Arvind Jhadav and Jet Airways CEO Naresh Goyal were also present at the meeting.
IATA has 230 top airlines as its members. "All we want is access to global capital, but old rules stand in the way of a healthier industry," he said. Old rules apparently refer to government's foreign ownership restrictions that cap foreign investment in airlines to 25 per cent stake.
Industry chiefs felt that the logical next step was for the US and Europe to expand open skies to open aviation. "An agreement would strengthen their industries and send a strong signal of change beyond their borders," Bisignani said, noting that access to markets and capital was critical to the sector.
On the "IATA Wall of Shame," he said airlines globally paid over $54 billion to airports and air navigation service giver. The bill to these suppliers grew by $1.5 billion in 2008, he said adding, in the first half of 2009 as the crisis worsened it grew by another $1.5 billion.
He held Delhi and Mumbai airports for their 207 per cent hike in charges among others as the worst contributors to rise.
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Bisignani said the Delhi and Mumbai airports had a special place on the IATA Wall of Shame.
The others in the infamous list included BAA and the UK CAA for London Heathrow's 86 per cent increases, Quiport in Ecuador for its 79 per cent increase, ATNS, South Africa, for proposing a 44 per cent increase and the Eurocontrol states of Denmark, the Netherlands and Poland for proposing charges increases between 27 per cent and 32 per cent.
"There is no room for this nonsense in our future. When demand drops, suppliers cannot divide the same costs among fewer customers. The shape of everything must change," he declared.