International Air Transport Association Warns Governments Against Privatising Airports

The International Air Transport Association (IATA) has warned governments against privatising airports in a bid to upgrade them.

Several governments in Europe and America have either fully or partially sold airports to the private sector to inject funds for giving the facilities facelift as passenger numbers rise.

It is important that governments take a long-term view focusing on solutions that will deliver the best economic and social benefits.

Selling airport assets for a short-term cash injection to the treasury is a mistake, said Alexandre de Juniac, IATA’s Director General on Monday.

IATA added that short-term financial gains based on poorly-thought out privatisation moves run the risk of un-doing long-term social and economic benefits that can be achieved through well-thought decisions.

According to data by the Airports Council International, passenger numbers at the world’s 20 busiest airports grew to 1.5 billion last year, an increase of 5.2 per cent from 2016.

At least 40 per cent of European airports are partly under private ownership, through long-term leasing or concession, says the Annual Privatization Report on air transport released in April.

Leading airports such as Heathrow and Zurich are fully privately owned while in Africa, Cape Town International Airport is partially under private ownership.

Last year, Nigeria opened up ownership of all government-owned airports to private investors as part of reviving the facilities that for years have suffered neglect and dilapidation.

German government sold 82.5 per cent of its ownership in Frankfurt Airport to HNA Airport Group of China last year.

France started efforts to sell 50.6 per cent of its ownership in Aeroports de Paris for 8 billion euros ($9.36 billion) in March.

In Serbia, airports concession holder and operator Vinci Airports secured a 25-year concession for ownership of Nikola Tesla Airport in Belgrade, in January.

Under the deal, the private firm will spend $1.2 billion to upgrade the terminal and runaways while paying the government $500 million.

Juniac added that privatisation does not guarantee solutions for airport challenges globally.


Tourism Observer

RUSSIA: Novaport Interested In Operating Belgrade Airport

The Serbian government is offering a 25-year concession deal for Nikola Tesla Airport.

Novaport, a Russian airport operator, has expressed interest in acquiring 100% in Serbia's Belgrade Airport.

The company has submitted a bid for the tender, Board chairman Roman Trotsenko said.

If it wins, Novaport is prepared to invest $250 million into the facility's development.

The airport, which serves Serbia's capital city, could be used as a connection hub for Russian tourists traveling to destinations in Central, Western and Eastern Europe, Trotsenko said: “Russians have always had warm feelings for Belgrade, and we expect the Russian tourist traffic to the city to continue growing.”

Also bidding for the deal is Russian airport operator Airports of Regions, which operates airports in Russia's cities of Yekaterinburg, Samara, Nizhny Novgorod, Rostov, and Saratov.

Fraport AG of Germany, a partner in the Northern Capital Gateway consortium which runs St. Petersburg's Pulkovo airport, is another bidder. The results of the tender are expected to be announced in two weeks.

The winner of the 25-year deal will run Belgrade airport jointly with its current operator, Nikola Tesla Aerodrome Belgrade. The partners will share the concession rights, financing and management of the facility.

According to Russian Aviation Insider's sources, Serbia is indeed quite popular with Russian tourists. It shared the 12th position with Montenegro among the most popular charter destinations in 2015. The two countries served over 113,000 Russian passengers that yeat.

Belgrade airport handled 4.925 million passengers in 2016, up 3% on 2015.

Novaport has been actively buying new airport assets across Russia. Last year it acquired a stake in Mineralnye Vody and added Kemerovo and Kaliningrad to its portfolio, which now comprises 12 airports. The company is also participating in the project to renovate Irkutsk airport.

Passenger Removed From Flybe Aircraft After Was Found Taking Pictures Of Flight Attendant's Buttocks

A Flybe passenger was kicked off a plane shortly before take-off after he allegedly snapped photos of a flight attendant’s buttocks.

The man starting taking photos with his mobile phone as the female cabin crew member delivered her pre-flight safety demonstration while the plane taxied to a runway.

When he was caught allegedly taking inappropriate pictures of her he was ordered off the Embraer E195 aircraft at Dublin Airport before it flew to Cardiff.

The man was asked to delete the photos from his smartphone, but he claimed he was unable to do so.

Just before take-off, while staff were going through the safety demonstration, a worker claimed that a man was taking pictures of her.

‘The individual was asked to remove the pictures.

‘He initially refused to, but then said he wasn’t able to, which is hard to believe. Security staff were then called.’

Police were notified and the plane, which has a capacity for 118 passengers, returned to the terminal, where the man was removed.

The aircraft then made the 30-minute journey from Dublin to Cardiff.

The man was not arrested and it is believed no further action will be taken in relation to last Friday’s incident.

A Flybe spokeswoman said, the safety and security of our passengers and crew is Flybe’s number one priority and, as such, we have a zero-tolerance policy with any form of on-board behaviour that might in any way compromise this.

‘Should such disruptive behaviour persist, those involved would be immediately reported to the police and the necessary action taken.’

In April, a passenger on board an IndiGo plane in India was charged after he allegedly recorded video of cabin crew members as they served drinks and snacks on board a flight from Kolkata to Mumbai.

The man continued to record the female employees after he was ordered to stop, said passengers.

Last October, a Turkey-bound flight was forced to make an emergency landing after a man from Ireland stripped naked and asked a Sun Express flight attendant for sex.

The man removed his clothes shortly after the plane left Dublin for Izmir and started to wave his penis around in front of horrified holidaymakers.

Crew tried to calm him down, but he reportedly became aggressive and started jumping on seats as he was cheered on by his friends, said fellow passengers.

The plane made an emergency landing at Nikola Tesla Airport in Serbian capital of Belgrade, where the man was escorted off the plane.

SERBIA: Air Serbia Takes Delivery Of Its First A330

Air Serbia has taken delivery of its first Airbus A330, which will be deployed in its forthcoming five-weekly Belgrade-New York service, set to start next June 23, thus reconnecting Serbia and the United States with a direct air service for the first time in 24 years.

The aircraft, (A6-EYC / MSN 885) arrived yesterday at the airline’s base at Nikola Tesla Airport in Belgrade, where it was greeted by the customary water cannon salute, together with a delegation of airline representatives.

Onboard the historic flight commanded by Captain Davor Mišeljić, Chief Operations Officer of Air Serbia, there was a group of VIP stakeholders led by Siniša Mali, Chairman of Air Serbia, who highlighted that the milestone was “massive for both the airline and the country.

“Watching our newly-painted Airbus A330 land at its new home in Belgrade for the very first time was a proud moment for us all, showing that Air Serbia is continuing to invest in the future of the airline and Serbia itself,” Mali said.

The arrival of the A330 to Air Serbia is the latest step to modernize the airline, which now largely relies on Airbus aircraft as the core of its fleet. The airline, now 49 per cent owned by Etihad Airways, operates 10 A320 family aircraft and a half a dozen of ATR 72s for its regional operations.

After its arrival at Belgrade, the aircraft will receive is permanent Serbian Registration (to be YU-ARA), and it will be ferried to Abu Dhabi for a final cabin outfitting. The aircraft will be configured with 18 business and 236 economy class seats.

“In the coming weeks the aircraft will be completely refurbished with new Business and Economy cabins which, coupled with our fantastic service offering, will provide guests with an unparalleled travel experience over the Atlantic,“ Dane Kondić, Chief Executive Officer of Air Serbia said in a statement.