Airlines demand government subsidies for regional airports
Expensive kerosene costs and high fees are putting a strain on air traffic: The BDF is proposing subsidies for regional connections based on the international model.
Quick Look
Because of high fees and kerosene costs, the Federal Association of German Airlines is calling for subsidies from regions and countries for individual flight connections in order to connect the regional economy to international hubs.
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Why It Matters
Domestic German flights have long been criticized because of their environmental impact as well as increased government fees and kerosene costs.
Berlin/Frankfurt. Expensive kerosene and high government fees have made many passenger flights to small and medium-sized airports in Germany uneconomical. Now the Federal Association of German Airlines (BDF) has suggested that regions and countries should subsidize individual connections in order to enable better connections between the regional economy and international hubs.
The BDF does not name specific routes, but reminds us of the discussion in Bremen when Lufthansa has since discontinued the connection to Frankfurt. The association explains that connections to international hubs are also under pressure in Dresden and Münster/Osnabrück. An attempt to revive the connection to Munich failed in Paderborn.
Within the European Union, there are currently 165 subsidized routes as “Public Service Obligations” (PSO), the association describes, citing figures from the EU Commission. France, Spain, Italy and Greece in particular are promoting flights to remote regions and islands. In Germany, the last funded route from Erfurt to Munich was discontinued in December 2011.
As a rule, domestic flights are advertised as PSO and subsidized. But there is also a connection from Linz to Frankfurt, which is co-financed by Austrian taxpayers.
Domestic German flights are particularly criticized because of their environmental consequences. According to the industry association BDL, the number of seats offered on domestic German connections has shrunk by around half compared to the pre-Corona period. The industry criticizes the sharp rise in government fees as an important reason for the comparatively slow recovery of air traffic in Germany. The government recently reversed most of the last increase in aviation tax.
Open Questions
- Which specific routes should be subsidized?
- How are the federal states reacting to the proposal?
