Ensuring fair competition

Effective climate protection in aviation requires concepts that account for world-wide competition. This is the only way to guarantee that emissions are actually reduced and not just shifted from one country to another. Unlike other transportation systems, aviation has been part of the EU Emissions Trading Scheme (ETS) since 2012 and is approaching CO₂ neutrality for intra-European flights. Recently the price for emission certificates has increased noticeably.

Within Europe, the ETS creates equal competitive conditions. However, with respect to the strong competition from the US, Asia or the Middle East, it represents a competitive disadvantage and therefore a burden for Europe. Flights from Europe to non-European hubs are not subject to the ETS and neither are the home markets of our non-European competitors. The EU needs to consider this in its future climate and industrial policies if it considers competitive neutrality important. At the same time, it needs to take a closer look at the excess capacities on the European aviation market, which are damaging for both industry and environment. The practice of state subsidisation of certain airlines should be reviewed just as critically as the inefficient operation of very small airports.

Implement Single European Sky

Planes sometimes have to fly long detours in the European skies. This is bad for the carbon footprint. A Single European Sky (SES) would mean real progress in this respect. A more efficient and uniform airspace with modern technologies and harmonised processes with optimised routing could save up to 10% CO₂ on intra-European routes. In addition, it would increase reliability and punctuality.

Promote alternative fuels

A real option for reducing CO₂ in aviation in the future is the use of synthetic kerosene. Europe should start a road map for the market roll-out of sustainable fuels. This could include the targeted support of pilot systems and the future development of an industrial ramp-up. Considering attractive locations outside of Europe, this strategy could make an important contribution to a strong foreign trade policy in countries with weak structures.

Strengthening CORSIA

The EU should commit to strengthening international cooperation. In 2021 CORSIA, an industry-supported, international instrument for the pricing and limitation of air-traffic-related CO₂ emissions, will become effective. The goal must be to convince the still hesitant countries to join CORSIA. It would be negligent if the EU failed to commit to supporting this global compromise. Other sectors are light-years away from achieving a comparable climate protection instrument with this level of international impact. In addition, a way must be found to coordinate the ETS and CORSIA optimally in order to avoid dual burdens on European airlines.

First projections

Wind power, water, and CO₂ – removed from the atmosphere – are sufficient to generate green aviation fuels in the co-called “power-to-liquid” process (PtL). What sounds like a vision of the future, is actually being driven forward in many places in Germany: In mid-August, the Karlsruhe Institute for Technology (KIT) opened the first integrated PtL trial plant in the world. The Heide refinery is building a PtL facility in a real lab together with partners. Lufthansa will be the first customer. At the latest in 2024, 5% of the fuel that we tank at Hamburg Airport will be synthetically manufactured kerosene. Hesse wants to become a pioneer in the fuel reform in aviation. Hesse’s state government has announced that it will invest significantly into research of electricity-based fuels. A power-to-X competence centre will be created in Brandenburg. Here, too, Lufthansa is a partner.

Now it’s up to politics

At the moment, only smaller quantities of synthetic fuels are available and are so expensive that they are hardly usable. It is important to make the jump to industrial production. The world of politics has committed to this goal repeatedly, most recently in mid-November at the Power-to-X Conference of the Ministry of the Environment. Now they have to back up these words with action:

• Developing strategies: In the Leipzig Declaration, Germany’s Federal Government and the federal states have agreed to develop a PtL road map together with the industry. We are there as a partner with our expertise.
• Increasing funding: The Federal Government has promised € 100 million each year for 2020 and 2021 for alternative drives and fuels. Compared to the € 2 billion that the aviation tax is supposed to generate soon, this is a very humble amount. The funding should urgently be increased.
• Starting internationale initiatives: Germany has the opportunity to take on a world-wide leadership position in this field. Beyond national ventures, we need an international plan to develop production plants and provide regenerative fuels at competitive prices. At the moment, PtL fuels are still up to five times as expensive as regular kerosene. For this reason, the requirement for a mandatory fuel-mix quota is only possible on the global level. National regulations would massively distort competition.
  
  

Since 2010, the passenger numbers in Berlin have increased by 74% to about 35 million. The economy and the almost six million people in the capital region are happy about this. The Lufthansa Group is present. Six Group airlines – Lufthansa, Eurowings, SWISS, Austrian, and Brussels Airlines, as well as SunExpress – fly into Berlin and transport up to 33,000 passengers a day. Almost every fourth passenger flies with us.

Airlines from all over the world are welcome

At the moment, the city is on the flight plans of 70 airlines from 55 countries. Like any other airport in this country, Berlin already profits from Germany’s liberal aviation laws: every EU airline may pick up routes, even overseas. Airlines from North and South America, Africa, and Asia may therefore fly into Germany and thus also Berlin.

This is based on international aviation laws. States or regions like the EU define mutually how many airports may be targeted how often in the respective country. The airlines are free to choose the specific destinations. This regulation also applies to the regions around the gulf and China: this means that airlines from the UAE may fly into four German airports. At the moment, Emirates and Etihad prefer other cities – Frankfurt, Munich, Hamburg, and Düsseldorf – but might give these up at any time in favour of Berlin. Germany and China currently have agreed to 55 frequencies per week.

Of these, only about four flights on average are used for the capital. Contrary to some theses, there are hardly any traffic limitations for Berlin. Existing limits are due to the fact that the competitive conditions (e.g. environment, social, and consumer protection standards) partly deviate widely from each other. One can freely fly to Berlin.

Closely timed to the hubs

The long-distance business continues to be dominated by bundling passengers at hubs. Lufthansa organizes its long-distance fleets via Frankfurt and Munich. This way, Berlin is connected via our hubs to which 60 airplanes of the Lufthansa Group take off every day. This way, travellers can reach 120 destinations with only one transfer. No other airline offers comparable variety. We want to maintain this level at the new airport.

Hub connections ensure high capacity utilization of airplanes on intercontinental routes. This is good for the airlines and good for the climate, since the average fuel consumption per passenger is low. In contrast to European connections, direct long-distance flights often have a comparatively worse ecological footprint, because away from the hubs, flights are rarely adequately filled.

Every flight generates significant quantities of digital information. Dozens of sensors record temperatures, monitor pressures, or control the position of engine blades or valves. The intelligent use of data offers airlines and aircraft manufacturers a lot of possibilities. They can ensure greater safety or form the basis for new, attractive services.

Airbus wants data sovereignty

The situation becomes critical when manufacturers want to monopolise flight data. Airbus is engaged in efforts to keep digital information exclusive via encrypted or undocumented channels, even once the aircraft have been paid for and delivered. This would prevent airlines from transferring and using data independently. This cannot be allowed: the data must be placed in the hands of the airline when the aircraft is purchased. For security reasons, airlines require time-independent access to all available information and control of the data. Data sovereignty of aircraft manufacturers would make this impossible.

Service providers, for instance for repairs and maintenance, also require access to data. At the moment, maintenance companies can read out aircraft data free of charge on behalf of their customers. More than 1,600 independent providers and aircraft manufacturers are competing with each other. This promotes innovation and fair prices. In order to strengthen its own competitive position, Airbus wanted to charge independent maintenance companies fees for the use of all data or make access to the data more difficult or impossible. This would have led to price increases without added value and a reduction of competition.

Politics to the rescue

In its latest report, the Competition Commission listed the relationship between aircraft manufacturers and maintenance companies as an example for which legislature should mandate data access. We are counting on the upcoming amendment of the Act against Restraints of Competition (GWB) to stop the abuse of market power: aircraft data must remain the property of the airlines, which can then provide it to their maintenance partners.

Every year, several thousand stem cell transports are planned in Neu-Isenburg. The ten member stem cell team of the logistics expert time:matters is available 24/7 to prepare couriers optimally for their missions around the world and support them at any time. These journeys are anything but ordinary: “We know that these transports can make the difference between whether a person will see their next birthday or not” says Marco Dehler, head of the stem cell service team.

This means, nothing can go wrong. The stem cells – carefully packaged in special boxes that were originally developed for the military – must always be cooled to 2°C. Heat is a threat to the sensitive freight. The couriers keep their eyes on the box for the entire trip. No time for sleep. Not even on long-distance flights between Europe and the US, which easily last 24 hours plus X in total. Couriers need to protect their shipments like bodyguards. For instance, from security officers who want to send the box through a scanner, which would destroy the stem cells.

A case for professional travellers

Each individual leg of the journey, every step the couriers takes between the collection center and the recipient is planned meticulously in advance. Twice! If, for example, a flight is cancelled due to a strike, an alternative is already booked. What all of the 350 stem cell couriers at time:matters have in common is that they are professional travellers. They include a lot of former pilots and flight attendants, as well as former managers who were frequent flyers in their professional lives – and now want to give something back as freelancers in the fight against leukaemia.

Marco Dehler: “It is very satisfying. You feel excited for them, especially since you know some of the patients’ information like gender, age, and health status.” Couriers and employees in Neu-Isenburg feel a special sense of responsibility every day. They have realised 15,000 stem cell transports. The rate of on-time and correct deliveries: 100%.