Editorial: Great news about the airline recovery, now to the flying experience

Travellers have faced queues and delays since travel resumed. Photo / AP

EDITORIAL

Global aviation seat capacity is heading for pre-pandemic levels after the Covid-19 shock of 2020 when airlines were forced to ground thousands of planes and faced financial ruin.

This week, the number of seats on offer is just 3.6 per cent below where it was at the same time in 2019.

Schedule analysing company OAG says that if current airline schedules remain in place for the rest of the northern summer, global capacity will exceed 2019 levels in the last week of August.

Here, a flurry of airline activity has a pre-pandemic look. Qantas last week started a new non-stop Auckland to New York flights in competition with Air New Zealand and this week Hainan Airlines resumed flights between Auckland and Shenzhen.

Most airlines in this region and other parts of the world are making money hand over fist. Yields, revenue per seat kilometre, are running at record or near-record levels.

However, passengers are paying average fares far in excess of levels before the pandemic, while being served up less.

Delays, long queues, and missing baggage have been the new reality of travel in the post-pandemic era as airlines, airports and their suppliers scramble for equipment and staff in the face of red-hot demand for travel.

There are signs the aviation system is getting more of its pinch points sorted out but there are no signs of demand easing.

Airlines temper financial upgrades with the rider that surging profits will be affected by general economic conditions.

But, in this country at least, the recessionary chill is yet to be felt, witnessed by the remarkable turnaround at the national carrier.

Forsyth Barr says Air New Zealand’s pre-tax profit guidance of “no less than $580m” means the airline will report its second most profitable 12-month period in its history, immediately following its biggest annual loss of $507m last year.

May and June are usually its weakest months for international bookings, yet robust demand will likely continue to leave passenger revenue comfortably above pre-Covid levels. Forward bookings appear robust with little sign of slippage, says Forsyth Barr.

Just how well this country’s aviation system is recovering and delivering a better experience for passengers is difficult to assess.

Unlike some other countries, on-time performance of airlines is not required to be reported and there is no public information on complaints, as there is in the United States. The US Department of Transportation regularly releases a consumer report on airline operational data for on-time performance, mishandled baggage, and mishandled wheelchairs and scooters.

Problems in the US are felt here in what is a closely connected system and there’s good news on this front. For the first three months of 2023, cancellations have stayed below 2 per cent and are far lower than the rate of 4.1 per cent for the first three months of 2022.

It is hoped this will continue and be reflected in what promises to be an extremely busy northern summer. It’s now time to share the benefits of recovery, airlines need to look hard at what they’re charging. and in Aotearoa it’s time for more data on the service they’re providing.