Aviation: an ally for the development of Latin America and the Caribbean

200 experts and leaders from the airline industry in Colombia addressed the challenges and opportunities of fuel use in aviation

(Source: IATA)

Colombia held the second edition of the ALTA Fuel & Sustainability Conference, an event organized by the Latin American and Caribbean Air Transport Association (ALTA) that brings together more than 200 experts, airline industry leaders and government authorities to discuss the related challenges and opportunities. with the production, distribution and use of conventional and sustainable fuels in aviation in the region.

During his opening speech, José Ricardo Botelho, executive director & CEO of ALTA, stated that the airline industry is a fundamental driver of the Latin American and Caribbean economy: “it represents 8% of the regional GDP and generates 17 million jobs. Aviation has a profound social impact and therefore must be considered an essential sector in the State agendas to work collaboratively to promote it in a safe, efficient, sustainable and sustainable manner. “Aviation is a fundamental gateway for our countries and the safest and most efficient means of transportation for the population.”

“Aviation cannot be seen as a luxury, but as an ally for development. Nor can it be a target of unrelated taxes, disproportionate costs, inefficient regulations that hinder its development,” emphasized the CEO of ALTA, who highlighted the historical record achieved by the aviation industry in the region in 2023, with 451.6 million passengers that flew in the region, a growth of 13.3% compared to 2022.

At the beginning of the year, passenger traffic has also shown good signs, although there is a lot of work to do. In January 2024, Colombia experienced 30% growth in international air traffic compared to January 2023, translating to 1.9 million additional passengers.

However, in the domestic sphere, an increase of 2% was observed compared to 2023, reaching a total of 2.8 million passengers, data that indicates a slight slowdown compared to the previous month, when a growth of 4% was recorded. .

During the conference, a video was presented that shows the positive impact that aviation has in Colombia. From 2002 to 2023, there has been a notable change in the travel habits of Colombians. In 2002, approximately 92% of the 107.7 million passengers who traveled within the country opted for land transportation by bus, while only 8% used air transportation. But, by 2023, these numbers have changed significantly: of the 142 million passengers, 79% chose to fly.

Advances in the accessibility of air transportation are also reflected in the change in the cost of air tickets. Between 2012 and 2022, the cost of an air ticket has decreased by around 19%, going from representing 45% to 37% of the minimum wage, facilitating access to air travel for a greater number of Colombians. Despite the tax burden associated with each ticket, air transportation remains an attractive option due to its efficiency and speed: Colombians can reach their destination between 15 and 20 times faster than by bus.

Lina Hauri, Deputy Director of Transportation of Colombia, was present at the opening ceremony of the conference, and she reiterated the ministry's support for the industry: “Let's not wait for the future, we must develop all the necessary technologies now because the world is already demanding it.” . You have a very big challenge and you have the Colombian Ministry of Transportation to support.”

“Transforming is in the doing. Doing means moving forward on the short and medium-term roadmap. What better than debate to build change and look at the medium term, looking at public policy and regulation,” said Dr. Sergio París, General Director of Aerocivil in his speech.

The future of SAF is now

Pedro de la Fuente, IATA External Relations and Sustainability Manager, moderated the panel called The future of SAF is now. and said: “Today SAF represents 5% of global demand. We need to significantly multiply that production to achieve the goals. “We are in an existential stage for humanity where the transition must occur.”

In the panel, Liliana Tovar, Vice President of Aviation and Marine at Terpel SA, shared three fundamental points to advance in sustainable aviation fuels (SAF). These are: technical and raw material feasibility, global regulations (since it is a highly regulated industry) and available infrastructure.

Carolina Betancourt, BioD biorenewables Manager, highlighted that: “every week a new SAF project is announced in the world. We hope that there is at least one plant under construction, understanding that sustainability is the most important thing and that focus cannot be lost, it is an exercise in resistance. If we already did it with biodiesel and ethanol, we can do it with SAF.”

Randy Letang, president and CEO of SGP BioEnergy, offered a critical view: “The concept of sustainability from day one is a paradox, a path to frustrations. It is more reasonable to evaluate where we are today, where we are going to focus, what the numbers look like and then bring the knowhow to address a future goal. Constant evaluation is key.”

On the other hand, Luis Osegueda, Aviation Sales Manager at Chevron, proposes more actions: “In 2025, when we meet again, I would like us to see more clear rules of the game, incentives that are not defined to promote investment, you cannot start to build a plant if there is no certainty, clarity in the rules of the game.”

The activity, which takes place until Thursday the 14th at the Hilton Corferias Hotel, has a complete agenda that includes discussion panels, updates on the jet fuel market, airport infrastructure, carbon offsetting, among other relevant topics for the industry. 


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