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Newest threat to KQ .........Global warming
tony stark
#1 Posted : Monday, December 07, 2009 10:43:34 PM
Rank: Veteran


Joined: 7/8/2008
Posts: 947
Airline industry has recieved alot of flak for the global warming and green house gas emissions. That being the case alot of climate change experts who used to poverty reduction experts a few years ago have a raft of recommendations that might affect the airline industry
1. Banning of local flights in europe ... will probably affect KLM more than KQ
2. Reducing individual carbon foot print. This will reduce the tendancy to fly to Africa fo safari etc and obvious trickle down effect on tourism in kenya
3. If the copenhagen talks succeed and they come up with a financial method of reducing carbon foot print through carbon offsetting, carbon tax, or carbon emission trading any method chosen will have a direct imact on flying making it more expensive!
What is the likely effect on KQs books Sad , Does the KQ management have contigency plansPray , or am i crying wolf Shame on you .
This might happen this year but for sure something will be done in 5 years time.
VituVingiSana
#2 Posted : Tuesday, December 08, 2009 8:18:04 AM
Rank: Chief


Joined: 1/3/2007
Posts: 18,117
Location: Nairobi
@Tony

All your points are valid since they will INCREASE the cost of air travel to Africa.

The good news is that KQ's network is dominated by the hugely under-served African market - though see more European & Mid-East airlines - airlines do the same.

The recommendations will take many (5 or more) years to put into practice & KQ has the cash & leverage (KLM) to buy newer aircraft.

Many African airlines are banned from Europe due to old/noisy planes & safety records. KQ is OK in this regard with a young fleet.
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
tony stark
#3 Posted : Tuesday, December 08, 2009 8:59:12 AM
Rank: Veteran


Joined: 7/8/2008
Posts: 947
@vitu, I think it will increase cost of air travel everywhere. There is probably be a carbon tax imposed on all airlines irrelevant of whether there home country is not a net carbon producer or not. This will probably increase cost everywhere.

Though KQ has a large african network with reduced european business it's rivals will also step up there game in the african market mainly ethiopian, south african and egypt all will take there cut of the african market!


This is all in the background of increased fuel prices.

Vitu things are not looking rosy for the pride of Africa.
VituVingiSana
#4 Posted : Tuesday, December 08, 2009 9:25:48 AM
Rank: Chief


Joined: 1/3/2007
Posts: 18,117
Location: Nairobi
SAA survives on subsidies... & still loses money!

Ethiopian has done well but has huge (its) government support unlike KQ... ust look at JKIA...

No idea about Egypt Air...

I am more concerned about Emirates, Etihad & Qatar than African airlines...
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
VituVingiSana
#5 Posted : Tuesday, December 08, 2009 9:39:12 AM
Rank: Chief


Joined: 1/3/2007
Posts: 18,117
Location: Nairobi
EgyptAir: New terminal in Cairo dedicated to them

Even SAA has an upgraded airport (OR Tambo) in Jo'burg. It was much larger than JKIA when I was last in SA. Now it has a dedicated train/shuttle (Gautrain) station as well as better services.

Poor KQ has to operate out of a 70s era airport that was designed for 2.5mn passengers while KQ itself has almost 2.5mn passengers!
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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