Walsh criticized governments for failing to complete accident reports promptly. He revealed that “less than half of the accident investigations over the last six years have published a final report.”
BY ANTHONY OMOH
Director General of the International Air Transport Association (IATA), Willie Walsh, has warned that government inaction is threatening aviation safety and security. He pointed to delayed accident investigations and poor intelligence-sharing in conflict zones as major risk areas.
Speaking at the 81st IATA Annual General Meeting (AGM), Walsh declared, “There are two areas where government inaction is holding us back.” These gaps, he said, endanger passengers and undermine confidence in the global aviation system.
Investigation Delays Undermine Lessons
Walsh criticized governments for failing to complete accident reports promptly. He revealed that “less than half of the accident investigations over the last six years have published a final report.” This lack of transparency robs the industry of lessons that could prevent future tragedies.
Calling it a “dereliction of duty by governments,” Walsh demanded that the issue be addressed at the upcoming ICAO Assembly. According to him, every delayed report weakens the foundation of aviation safety and security.
Conflict Zones Demand Urgent Intelligence-Sharing
Walsh raised concerns about threats to civil aviation from conflict zones. He noted that two civilian aircraft were downed in the past year and several airports were bombed, while GPS interference around war zones continues to rise.
He called on governments to “ensure civil aviation is never the target of military operations—even inadvertently.” Walsh praised ICAO’s decision to incorporate security management systems into Annex 17 but stressed that real progress depends on global cooperation.
Referencing the ICAO Council’s conclusion on Malaysia Airlines flight MH17, Walsh emphasized the need for accountability and consistent information-sharing to safeguard passengers and crew.
Regulation Must Deliver Value
Walsh also addressed how bad regulation is eroding value and driving up costs for air travel. He warned that ineffective rules stand in the way of affordability, especially when regulators do not bear the financial burden of compliance.
“The difference between political success and solving a real problem is often wide,” Walsh stated. He argued that cost-benefit analysis must be the litmus test for any regulation. Business leaders, he added, approach this with more discipline because they are accountable for their spending.
He described Europe as “ground zero” for misguided rules, singling out EU261. Under this regulation, airlines compensate passengers for delays—even those caused by external failures such as power outages or air traffic strikes.
“This regulation has turned into a claims-chasing industry,” Walsh said. “It’s more about litigation than genuine care.” The outcome, he warned, is higher passenger costs and reduced investment in real improvements.
Sensible Consumer Protections Needed
Walsh again criticized regulatory models that burden airlines without solving problems. EU261, he said, costs the industry €5 billion annually without improving outcomes. He warned that the US and Canada risk repeating the same mistakes.
Australia, by contrast, maintains balanced consumer protection rules. Walsh called on regulators to learn from such examples and build frameworks that actually serve passengers.
Industry Resilience Through Thin Margins
Despite ongoing challenges, Walsh highlighted the sector’s recovery strength. In 2025, airlines are expected to earn $36 billion in profit from $979 billion in revenue, flying over 5 billion passengers.
Yet he cautioned that margins remain razor-thin at just 3.7%, equal to $7.20 per passenger. “While our profitability doesn’t reflect our enormous value, airline resilience is the stuff of legend,” he said.
Making Travel More Affordable
Walsh noted that the real cost of flying has dropped 40% in the last decade, but affordability is threatened by limited capacity. Aircraft manufacturing delays, with 14-year backlogs, and more than 1,100 idle jets under 10 years old are major concerns.
He urged manufacturers to fix supply chain issues and avoid trade war politics. He praised proactive infrastructure expansions in places like India, Vietnam, and Dubai, but said Europe lags, particularly in finalizing the Single European Sky.
Digital Innovation for Process Efficiency
He championed digital ID technology as a breakthrough that could eliminate many airport document checks. “Digital ID could allow travelers to securely pass through airports without document checks,” he said, urging global adoption.
He also promoted the ONE Record cargo system, due in 2026. This initiative will streamline logistics, reduce errors, and cut regulatory burdens if widely embraced.
Climate Goals and the SAF Shortfall
On climate, Walsh reaffirmed IATA’s net-zero commitment by 2050. However, sustainable aviation fuel (SAF) still meets just 0.7% of the industry’s fuel needs—far from the 5% target by 2030.
He blamed governments for lackluster support and criticized oil giants like BP and Shell for scaling back SAF investments. “The EU’s SAF blending mandate raised costs without increasing production,” he said, calling it “the EU great green scam.”
Walsh called for real incentives and bold action from fuel producers to accelerate SAF availability.
Final Word: Aviation is Essential
Closing his speech, Walsh urged governments to support the aviation sector more effectively. “Our travelers want flying to be safer, more affordable, and sustainable,” he said. “And that’s exactly the agenda we’ve set for IATA.”
