The International Civil Aviation Organisation (ICAO) and member states have adopted a decarbonization framework aiming for five per cent global aviation CO2 reduction by 2030. This is achievable by expanding the production of Sustainable Aviation Fuels (SAF), lower-carbon aviation fuel, and other cleaner energy sources.
The assemblage further seeks to support this by lowering production costs and providing financing and technology. After five active days of consultations, officials, investors, and experts from 100 countries and 30 organisations adopted the Global Framework. The members agreed to review these goals by 2028, through study and weighing developments in the global sustainable energy market.
ICAO Council President Salvatore Sciacchitano said the Framework facilitates the global increase of SAF, LCAF, and other cleaner aviation energies for deployment. “We aim to enhance stakeholder understanding, clarity, consistency, and predictability, reaching beyond the aviation sector for comprehensive impact,” he said.
ICAO Secretary General, Juan Carlos Salazar, stressed: “Achieving greening by 2050 requires substantial and sustained investment and financing over decades.
“We must furthermore assure reliable and look affordable support and capacity-building for those states with particular needs, as they will be depending on it to help play their part.”
He further emphasised that dependable and economical assistance, with empowerment for specific needs states, is crucial for their contribution.
UAE Minister of Economy, Abdullah bin Touq Al Marri, subsequently stated that the ‘Dubai Framework’ marked a significant shift in aviation fuel production for sustainability, ensuring a greener future.
Meanwhile, the International Air Transport Association (IATA) has released data for October 2023 global air cargo markets indicating the third consecutive month of stronger year-on-year demand.
According to the released data. global demand, measured in cargo tonne-kilometres (CTKs), increased by 3.8 per cent compared to October 2022, however, for international operations, the demand lagged slightly at 3.5 per cent.
Capacity, measured in available cargo tonne-kilometres (ACTKs), was up 13.1 per cent compared to October 2022 (11.1% for international operations). This was largely related to the growth in belly capacity. International belly capacity, for example, rose 30.5 per cent year-on-year on the strength of passenger markets.
The data listed several factors that affected the operating environment including economic activities which slowed in October and led to the Purchasing Managers’ Index for manufacturing output and export orders for major economies (excluding the US) remaining below the critical 50 mark, indicating a clear marker for economic challenges ahead.
Inflation in major advanced economies continued to ease from its peak in terms of the Consumer Price Index (CPI), reaching between three per cent and four per cent for the US and for the EU respectively, in October. China’s CPI, however, indicated deflation for the second time this year, raising concerns of an economic slowdown.
During the period, global trade reversed its downward trajectory and stabilized in September. Although below its 2022 peak, global cross-border trade is more than five per cent above pre-pandemic levels.
After a continuous 17-month decline, cargo yields ticked up in September and continued into October with a 2.6 per cent month-on-month gain, remaining well above pre-pandemic levels.
In his comment, Willie Walsh, IATA’s Director General stated: “Demand for air cargo was up 3.8 per ent in October. That marks three consecutive months of year-on-year growth, placing air cargo on course to end 2023 on a much stronger footing than it began the year. Recovering demand, slightly stronger yields, and the uptick in trade are all good news.
“But with demand still 2.4 per cent below pre-pandemic levels, and much uncertainty remaining over the trajectory of the global economy, optimism must be balanced with caution. Nonetheless, a continued strong peak year-end season will certainly help the sector to manage through whatever turns the global economy might take in 2024.”