Less emissions Merkel urges aviation to innovate

Status: 06/18/2021 8:35 p.m.

“As soon as possible”: Chancellor Merkel called for speed in innovations at the National Aviation Conference. Air traffic must quickly become lower in emissions. The industry is hoping for the summer business. The aviation industry and politics want to promote “green” flying in Germany with state funding. After the pandemic, all economic policy measures would have to be aligned with climate targets, said Chancellor Angela Merkel (CDU) at the National Aviation Conference in Berlin. “As for other industries, climate neutrality is a very ambitious goal for aviation,” said Merkel. To achieve this, there must be innovations, for example in drive systems and infrastructure – “and not at some point, but as quickly as possible”. Because the product cycles in aviation are very long.

Emission-free flying

In addition to the restart of the industry, which was badly shaken by the corona crisis, the focus of the industry summit at the capital airport BER was above all the path of aviation to emission-free flying. The airlines are focusing on the development of sustainable fuels as well as new, more economical aircraft and even electric aircraft. Representatives of the industry associations BDL, BDLI as well as the industry giants Airbus and Lufthansa repeated that this was a joint task of business and politics – and that is why public funds were necessary to kick-start innovations. The federal government is already investing billions in funding into the development of emission-free kerosene and clean aircraft technology. “At the moment, prices and quantities leave a lot to be desired,” said Merkel, referring to lower-emission fuels. Here you have to come to competitive terms. With extensive funding, alternative fuels based on electricity could also be ramped up on the market. Lufthansa boss Carsten Spohr said that synthetic alternatives to kerosene are around five times more expensive than fossil fuel today, and that PtL kerosene costs ten times as much. “No airline can afford that.”

No competitive disadvantage

With regard to the new climate regulations for European aviation expected by the EU in July, the Federal Government believes that stricter climate protection rules do not result in a competitive disadvantage compared to airlines abroad with lower standards. Merkel warned that there should be no distortions in the competitive struggle and no double burdens.

Aviation in Europe has been participating in CO2 emissions trading (ETS) since 2012, and the Corsia CO2 compensation system is to be introduced on a global level. “ETS plus Corsia does not work,” said Federal Transport Minister Andreas Scheuer (CSU). Corsia is the right instrument. The EU Commission considers this to be the weaker system.

Lufthansa wants to repay corona aid

Lufthansa was in dire straits due to the collapse of passenger flights in the Corona crisis and had to be supported by Germany and the countries of its subsidiary airlines with a financial framework of nine billion euros. Germany accounted for a total of 6.8 billion euros of the state rescue package for Lufthansa. The company has now announced that it intends to repay the state funds soon. “We were one of the first companies that was saved by the federal government. We also want to be one of the first companies to pay back the rescue funds – hopefully before the general election,” said CEO Spohr. The federal government, which in addition to loans and silent participation became Lufthansa’s largest shareholder with the rescue operation, wanted the state to withdraw “as soon as possible,” said Scheuer. With the help, the airline must get back on the road to success as quickly as possible. “And the state has to get out of there,” emphasized the minister.

Industry hopes for summer business

After the dry spell in the Corona crisis, aviation is relying on a recovery in summer business. According to the Federal Government’s Aviation Commissioner, new virus mutations could slow down the long-awaited restart. “At the moment there is great optimism and bookings are going through the roof,” said aerospace coordinator Thomas Jarzombek of the Reuters news agency. But everything depends on the infection situation. “Of course, there is now the delta variant as an uncertain component.” You can see in the UK that this delayed openings after the lockdown

Despite the disruptions caused by the corona pandemic, the conversion of the energy supply to more sustainable resources has made progress. Last year almost $ 500 billion was invested in the energy transition worldwide, more than ever before. 92 of 115 countries examined have made progress since 2010, reports the Foundation of the World Economic Forum (WEF) in Geneva. Eight of the ten largest economies in the world have also committed to becoming climate neutral by the middle of the century, i.e. not emitting any more CO2 on balance. “All of the leading ten economies have significantly improved their ecological sustainability, especially when it comes to reducing the carbon footprint in the energy mix, supported by strong political commitment and investments in the energy transition,” writes the WEF. The number of people without electricity has decreased significantly since 2010.

Fossil fuels still dominate

But there is still a lot to be done. The authors of the study point out that in 2018 81 percent of global energy came from fossil fuels, and global emissions rose steadily in the period up to 2019. 770 million people around the world still have no access to electricity. The experts also note that the progress made in the energy transition is very uneven. High-income countries made more progress than emerging economies compared to the rest of the world. The world ranking of the countries with the greatest efforts in this area (“Energy Transition Index”) is headed by Sweden, followed by Norway and Denmark. Of the ten largest economies in the world, only Great Britain and France are in the top 10. They only cause around three percent of energy-related CO2 emissions and make up around two percent of the world’s population.

Germany does not belong to the top group

Germany does not belong to the top group. The Federal Republic has moved up from 20th place to 18th place in a year-on-year comparison, but this means that progress has been limited. The reason is the still high share of coal-fired electricity in the energy supply, while France and Great Britain benefit from the largely emission-free nuclear energy. The USA was in 24th place (after 32nd place in the previous year), China on 68 (78), India fell from 74 to 87. It remains to be seen whether the restructuring of the energy supply is really sustainable. The corona pandemic has questioned the resilience of the energy transition, the WEF states. Because many countries simply lack the necessary money to push ahead with the restructuring of their energy supply. Digitization poses a further danger for energy systems. This would create new risks that would jeopardize the “reliability, resilience and affordability” of future energy, according to the WEF. In this decade it is therefore important to guarantee the implementation of the energy transition and to push it further. For this to succeed, it is “of crucial importance” that politics work hand in hand with private actors in the economy. Of course, the prerequisite is that the global economy quickly gets back on its feet after the end of the pandemic. This is the only way to create a resilient energy transition.