Aviation Daily, May 12, 2015

A major Australian transport lobby group is urging the government to reduce passenger taxes in its next federal budget, which is due to be released May 12. The Tourism and Transport Forum (TTF) says the A$55 (U.S.$43.48) Passenger Movement Charge is levied on every outbound passenger, regardless of the distance they are flying. It represents “the highest travel charge in the developed world” for short-haul trips, the TTF says.

SCOTTSDALE, Arizona—The U.S. government is “taking very seriously” the request from Delta Air Lines, American Airlines, United Airlines and their labor groups to pursue consultations with the governments of the United Arab Emirates (UAE) and Qatar on alleged subsidies for the airlines from those countries, a State Department official said here.

SCOTTSDALE, Arizona—While senior executives at Virgin America and United Airlines said U.S. carriers are generally holding the line on capacity discipline despite cheaper fuel, American Airlines president Scott Kirby has a different view, suggesting that “because of low fuel prices, you have more capacity in the market than you would have if oil was at $110 a barrel.”

Negotiators from Republic Airways and the International Brotherhood of Teamsters have reached an agreement on about two-thirds of articles in a tentative agreement, leading airline CEO Bryan Bedford to conclude the process might be completed “in the very near future,” a development that almost certainly will improve the carrier’s operational performance.

SCOTTSDALE, Arizona--American Airlines' fleet-planning strategy hinges on having a variety of different-sized aircraft that can match varying route needs, but there is a gap in an aircraft type that would fill the role of the Boeing 757, the airline's head of network planning said May 7. Speaking as a panelist at the Phoenix International Aviation Symposium here, American Airlines Vice President-Network Planning Charles Schubert said that tailoring aircraft to routes is a major part of the carrier's strategy.

Alaska Airlines is to conduct the first commercial flights on alcohol-to-jet (ATJ) biofuel under an agreement with fuel developer Gevo. Lufthansa has also been testing the fuel, as well as the U.S. Air Force and NASA. The demonstration flight is expected to take place middle to late this year after the feedstock-to-fuel pathway is approved for use in aircraft by standards developer ASTM International. ATJ will be used in a blend of up to 50% with conventional jet fuel.

The working group and hearing were direct results of December’s arrest of two people—including one airline employee—accused of smuggling guns onboard Delta Air Lines flights between Atlanta and New York.

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