German newspapers point out that the new German Chancellor, Friedrich Merz, who is due to take office on 1 May, is an ardent air traveller. And that he would have a sympathetic ear to the air industry's complaints about overtaxation in Germany, a factor that discourages airlines from landing at the country's airports.
The coalition programme between the Conservatives and Social Democrats, adopted a few days ago, goes some way towards remedying this situation. L'Association of German Airports ADV welcomed a number of measures that are a step in the right direction.
ADV President Aletta von Massenbachunderlined that " The coalition agreements will make it possible to take the first steps towards strengthening Germany's competitiveness as an aerospace location. Announcement of the cancellation of the increase in air transport tax scheduled for 2025 is an urgent first step in the right direction towards reducing the burden of taxes and charges imposed by the government ".
According to a report commissioned by the Federal Ministry of Digital Affairs and Transport (BMDV) produced byGerman Air Transport Institute (DLR), taxation on German airports is a major obstacle to a more vigorous recovery in air transport since Covid.
German airport taxes also weigh on prices
In 2024, passenger volumes in Germany are at around 80 % of pre-pandemic levelscompared with an average of almost 100% for the other countries of the European Union. By comparison, in 2024, air traffic in France was 3% lower than in 2019 and 5% lower in Switzerland.. In Italy, the volume of air passengers was 7% higher than in 2019, and even 10% higher in Spain. Between France and Germany, the DLR notes that the number of passengers remains 27% below its pre-Covid volume.
Implementation costs such as tax, taxes and charges will increase by 38 % between 2019 and 2024compared with an average of 26 % in Europe. Even so, high costs are just one of the reasons for this anaemic recovery. According to the DLR, taxes would siphon off 9% of traffic in equal measure with economic problems which would have an impact on travel.
However, the abolition of the air transport tax for European flights (distance class I) could lead to approximately 2.6 to 5.1 million additional passengers. Between October 2023 and September 2024, around 57.7 million passengers took an intra-European flight from Germany. 20 million fewer passengers than in 2019.
Taxes do have a deleterious effect on prices. According to the DLR report, the average price of a flight from Germany to Europe will be $217 in 2024. This compares with 202 $ in Switzerland, 173 $ in France and 139 $ in Italy...
Reduced ecological obligations
The Association therefore applauds the Merz government's efforts to make Germany the hub of aviation in Europe again. " These measures represent an important step towards the future viability of the industry. Not only do they boost the international connectivity of German airportsThey also make an important contribution to decarbonisation and job security in the sector. In addition, small airports will continue to receive support for air traffic control costs. "commented Aletta von Massenbach.
The German Aviation Association (ADV) is also satisfied with the decision of the abolish the Power-to-Liquid (PtL) quotaThis exceeds the level required by European legislation. PtL is an environmentally-friendly fuel formula based on production from renewable energy sources, water and carbon dioxide.
" This creates planning certainty and strengthens the competitiveness of German aviation."said the President of ADV. She also welcomed a commitment not to disadvantage European airlines compared to their non-European competitors in terms of the quota of sustainable fuel (SAF).
This change of direction should ultimately make German air transport more competitive.. This would encourage a resumption of air services between France and Germany. In fact several airlines have ceased services to Germany in recent years. Like Eurowings on the Paris-Düsseldorf route, Vueling from Orly to Hamburg, Leipzig or Nuremberg. Or to Volotea on Bordeaux-Düsseldorf, Bordeaux-Stuttgart, Lyon-Stuttgart and Strasbourg-Berlin. The company now only operates on Nantes-Hamburg and Lyon-Berlin. Will the Merz government finally turn things around?
