A tough year ahead?

The role of government is not to be at the heart of the economy but to encourage conditions in which competition and the private sector can thrive. Having government agencies charge for their services is perilous because they operate as monopolies with little or no market discipline. The agencies are not to blame because they must follow the policies of their political masters. What is wrong with CASA and AsA being funded through consolidated revenue to provide their important regulatory functions and services? Isn’t it the role of the tax system to fund services for the public benefit that cannot be provided efficiently by the private sector? The many government charges levied currently are an administrative nightmare and have been the root of endless disputes between operators and agencies. The time wasted on charging the industry and resolving financial disputes would be better used in building a safer, innovative world class aviation industry with the private sector and government working in partnership.

The government is congratulated for producing an Aviation Green Paper. There has never been a national aviation policy so it is difficult, as yet, to judge whether the paper is good, bad or indifferent. It is understood that a Green Paper is necessarily conservative because there will be further industry responses. It is the subsequent White Paper that will announce, hopefully, new and substantial aviation policy.

The government is encouraged to be bold and see Australia not just as an importer of aviation products and services but as a country with the technical expertise to be an aviation innovator. An obvious current example is this country’s contribution to UAV development.

Australia is a middle ranking aviation country although, on the manufacturing front, this has slipped as countries such as Canada, Brazil and Spain have developed significant aviation industries focussed on regional and military customers. If Australia is to design, engineer and export aircraft, sub-assemblies and avionics on a scale similar to the above countries the private and public sectors must cooperate with a close eye on international market trends.

Australia enjoys a clear and obvious advantage over the rest of the world on the training front with large amounts of uncontrolled airspace and good weather. With a competitive dollar and excellent training schools there is no reason that Australia cannot become the world’s leading aviation training country. At the entry level, Australia’s innovative approach to recreational/sport aviation legislation has allowed many people to sample aviation at a reasonable price before committing to necessarily more expensive commercial training. This has and will encourage more people to join the industry. International economic conditions aside, aviation training in Australia looks to have a bright future.

As mentioned, 2009 will be a tough year but it will allow consolidation on the pilot and engineering fronts, particularly for regional operators who bore the brunt of critical shortages in 2006-07. The economic tide will turn eventually and the industry needs to have the people and products ready to take advantage of any improved economic conditions. This is the time for government and the industry to discuss ways to ensure that Australian aviation creates, rather than simply consumes, aviation products and services.

Paul Tyrrell