Luis Gallego, CEO of IAG, one of the main airline groups in the world, opted for the decarbonization of this industry. But it has a price.
“Flying is going to be more expensive because decarbonizing aviation costs money. With our transformation plan, we try to have efficiency measures so that this impact on costs is lower and does not have to be transferred to rates, although it may have an impact on demand."
He spoke that clearly in New York, where this Monday he received the Businessman of the Year award from the Chamber of Commerce of Spain and the United States. One of the merits to distinguish the head of this group (Iberia, British Airlines, Airlingus, Vueling and Level) consists of their contribution to the success of the company's sustainability strategy, in addition to their management capacity. The conglomerate has 256 destinations and 94 million passengers. The economic impact is 69,000 million in added value and 618,000 jobs. In Spain, in 2019, it contributed 21,000 million and 317,000 workers to the GDP, 1.7% and 2%.
Gallego stressed the need to acquire Air Europa so that Madrid can compete with the large European hubs and allow it to look not only at the Atlantic. The procedure is in Brussels, where the competition authorities will decide. This seems more within reach than reducing CO2 emissions. Electric cars are already on the market, Gallego recalled, while hydrogen aircraft are not expected until 2035 and it will take 30 years to change the fleet. Today they have 565 airplanes, of which 43% are new generation and 40% less fuel efficient, and those with short fuselage can reduce consumption by 20%.
Today they see a 50% cut with the use of SAF or sustainable fuel. But it is still four or five times more expensive than kerosene and its production is very limited. Another idea is the single European sky, which involves flying in a straight line from one point to another and not zig-zagging like now.
As for cutting services in Spain to enhance the train with a decontaminating effect, they point out that it is not a good idea. Most domestic flights are connecting flights. People will have to go to Paris, for example, to connect with long-distance trips and carbon will continue to be emitted in Spain. “We must provide solutions, not restrictions,” Gallego said.
