Wednesday, December 4, 2019

Aviation Management Fastest Growing Sector

Question: How strategies outlined in the EU sustainable aviation policy is more attractive and competitive? Answer: Introduction According to Cini and Borragan (2016), the European Union is a political and economical group of 28 countries situated mostly in Europe, operating through a system of intergovernmental-negotiated decisions and supranational institutions by the member states. European Union sustainable aviation policy addresses current issues in the field of aviations like fostering the use of bio-fuels, improving aircraft fuel efficiency, minimizing environmental impact and reducing airframe and engine noise. The key terms like attractiveness, policy and competitiveness are elaborated by citing the policies of European Union. The aviation policy of European Union is linked with the attractiveness and competitiveness. Defining terms: Policy: According to Scarlat et al. (2015), the aviation sector is one of the fastest moving sectors globally. The sustainable aviation policy aims to address current issues of aviation like : expanding the use of bio-fuels, reducing environmental impact, raising the aircraft fuel efficiency and reducing aircraft and engine noise. This policy aims to reduce the global reduction of greenhouse by 70% (Richardson 2015), few of the policy recommendations of European Union are as follows: Evaluating the challenges posed by Aviation sector: The assessment by the European Environmental Agency of the challenge aviation possess to the challenge aviation possess to the climate change objectives and keeping in mind the 2020 to 2050 year frame. They have framed a long term objectives with a milestone for achieving the aviations emissions objectives by 2050 (Golinska and Hajdul 2012). Leveraging the post of EU presidency: The leveraging of the post of EU presidency calls on the EU to create a level playing field between aviation and other industries that are covered under Kyoto Protocol. This means coming to a neutral ground of reducing or offsetting aviation carbon di oxide emission to 8%, in line with the agreement. The EU should track the climate changes happening due to the airline departures not only of European Union flights but also of all the aggregate number of flights departing under the jurisdiction of EU. On the other hand, other organizations have viewed more radical views like the aviation sector should pay for much heftier fees to offset the emission made by the flights. In this scenario, the 8 % Kyoto EU target protocol is not only pragmatic, but also a thing of grave importance to mainstream the position of the aviation and deliver a level playing field for a wide of organizations (Scarlat et al. 2015). The political and technical perspective: The conventional system assumes that the airplane companies will be directly involved in emission trading; on the contrary on a different agreement airports under the jurisdiction of EU will purchase allowances in respect of carbon di oxide emissions from departed aeroplanes to an extent of agreed target. The EU airport emission charge varies according to the size and type of the engines and EU reserves the right to change the guidelines change anytime according to the convenience of EU. General supplement to EU airport charges, state that the airline has every benefit to reduce the emissions of harmful gases proportional to fuel burns and the airports can charge if they think that to be rational. Putting emphasis on social objectives: The social objectives is of prime importance to the EU sustainable development policy and the policy should be subject to social equity appraisal. Many tax proposals are channeled to the social development functions like poverty reduction or other social issues. Charging higher ticket prices to the airlines boarded by higher income groups and cutting don of noise pollution to a permissible level of 30 decibels. Attractiveness: According to Regan (2014), the implementation of EU Sustainable aviation policy had received a mixed reaction, one group of people cited this as a tough ruling where as other group took it as a welcoming change. Leading industrialists welcomed this, by emphasizing that this is a cost effective ways of delivering targets. European Union has initiated various guidelines and prepared a legislation to promote progress towards a Single European Sky and making an airport package to smoothen the progress of the field of aviation states. This policy, put focus on the digitalization in the form of use of drones, product customization and an integrated transport policy and the airlines and airports taking the help from this policy have developed an innovative business approaches to get hold of new sources of business, elevate operational efficiency and offer customized product services. It was found that a suboptimal performance level was achieved and a tradeoff is required to be built between political and legal issues in favor of the national interests. This policy has applied different charges based on the size of the engine and body, to cut off the emissions from the airplanes. This policy creates a playing field between aviation and mainstream sectors that are under the Kyoto agreement, thus helping in cutting the emission of harmful gases in the environment (Papageorgiou et al. 2015). Competitiveness: World economic forum has predicted that a fourth industrial revolution may come, courtesy the policies of the EU Sustainable development policies. Aviation helps in the trading of goods, services and socioeconomic development of nations and tourism and it is also important for the political peacekeeping, defense and humanitarian concerns. Countries situated in the remotest places of the earth can be assessable only by airlines and in other big countries the vast majority of the population depends on the population. Digitalisation is helping to change the way the airline system works, and the commission has embraced the positive effects of technology that can be implemented towards an integrated transport policy. The airlines and airports are applying new and developed innovative approaches to search for new sources of revenue, elevating operational efficiencies and applying techniques to limit the commoditization of the products and offering customized services.On th e other hand Richardson et al. (2015), stated that drones are posing a tricky challenge to the EU aviation policy and the use of drones requires several proliferations with regard to safety of air traffic, personal privacy, security and legislation of the certification and licensing to the name of the operators. Recently a concern has grew over the fact that the scarcity of the same playing field between mainstream sectors and aviation sectors, that are already covered by the Kyoto targets, was putting at risk the competitiveness of the mainstream sectors already covered by the Kyoto agreements. The EU finance ministers have promised to put money in modern public services and they came under elevted pressure to deal with an increasing government sector lending equipment. EU sustainable aviation policy: Aviation sector is one of the fastest growing sector in Europe and this sector creates a lot of environmental pollution. European Union has made sustainable aviation policy to cope up with the environmental pollution and has created sustainable policies so that the countries and the airlines operating out of European Union countries has to adhere to the policies made by EU so that the pollution level can be kept under check and the polluting airlines monetarily compensates EU so that this will act as a deterrent to the polluting airline companies. European Union gives social equity as prime importance in the Sustainable aviation policies and the social equity perspective gives importance to: a. Poverty reduction: European Union put much effort in delivering the development goals on reducing the poverty and thus implementing Franco-German aviation tax proposals. Franco-German aviation tax proposals internalizes the external cost of aviation and boost the Millenium development Goal funding. b. Spreading awareness: One of the important objective of Sustainable policy is to spread awareness about the environmental impact of aviation and give a clear picture of how the European aviation is performing. As a result, citizens,policy makers, politicians, industrialists and regulators have clarity on the workings of the aviation sector and they can make their decisions accordingly. Design and Technology: According to Weinhold (2013), sustainable policy aims in improving the levels of noise and emissions through improving the design and technology of the aerospace operating out of European Union and making a clear forecast on the emissions. This policy also provide insights into sustainable designs such as open rotor, and their environmental performance. d. Alternative Fuels: This policy gives importance to the use of alternative fuels, such as reducing CNG emissions in the coming decades and encouraging the use of bio-fuels. Market based measures: Market based measures are needed in meeting the emission targets of the aviation and mere operational and technological improvements are not considered enough. Market based measures to tackle the impact of Emission Trading System for intra- EU flights, and of emissions and noise charging schemes (Groeke 2013). Diagram 1 showing the total emissions as compared to sustainable level of emission (Source: Fan 2013) Apart from the above mentioned points, the sustainable policy also puts importance to the Research and Development, to improve the designing and technology of airlines which helps in cutting emissions. On the other hand Golinska and Hajdul (2012), stated that, in the aviation sector, the results of research take a long time to bear fruit and may lead to a situation of market failures and distortions. The Sustainability policy has made a road map for the upcoming 30 years and study has found that the existing policies will become obsolete in the upcoming years due to changes in the patterns of customer taste, increasing global pollutions and emission trading problems. In the longer term, the sustainable policy wants to cut the exhaustion of the greenhouse gases by 70% as compared to 1990. If the sustainable policy is properly implemented then it will have a positive impact on the environment and the objectives of the European Union will be satisfied, but the implementation is a tediou s task and to properly implement it, co-ordination of different parties like customers, industrialists, regulatory bodies and the government (Cini and Borragn 2016). Linking policy to attractiveness and competitiveness Mission: According to Wallace (2015), the Sustainable policy has a mission of reducing the harmful emissions from the aviation and increase the use of alternative fuels like biofuels and use of ethanol, instead of fuels that are currently being used. Increase in the spending on research and development to improve the design of turbines and engines of the airplanes to cut down the emissions level and reach a target of cutting down the greenhouse gases to a level of 70% as compared to pre- industrialization era of 1990 (Fan 2013). Aim: The aim of the sustainable policy is to manage the aviation sector and operate under the policies and guidelines of the policy. Objectives: Clearly defining the objectives of the policy help to put up the exact picture of the development and citizens, policy makers, regulatory bodies, politicians and industrialists have a clear understanding of the happenings in the aviation sector and they can take decisions accordingly. The objective of the sustainable policies is to cut off the harmful emissions by 70% as compared with the 1990 and spread awareness among the related groups through seminars, symposiums and prior notices (Scarlat 2015). Conclusion: It can be concluded from the above report that aviation sector is one of the fastest growing sector globally and at the same time it is the most polluting sector, responsible for the air and noise pollution. European Union has created a sustainable aviation policy to outline the strategies that are found to be beneficial to the environment and have a long term environmental impact. The motive of the European Union is to cut off the emission of the greenhouse gases by 70% compared with the 1990, but the sustainability policy of the European Union is difficult to achieve. European Union believes in making people aware about the environmental impact the airlines have, as a result of which the industrialists, citizens, politicians and policy makers are made aware of the environmental impact. It will take a long time until the goals and objectives of the European Union is achieved because of the vastness of the policy and difficulty of the implementation. References Cini, M. and Borragn, N.P.S., 2016.European union politics. Oxford University Press. Dessens, O., Anger, A., Barker, T. and Pyle, J., 2014. Effects of decarbonising international shipping and aviation on climate mitigation and air pollution.Environmental Science Policy,44, pp.1-10. Dirks, K., Shepherd, D., Welch, D. and McBRIDE, D., 2014, October. 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