The Skies are LOOKING UP
| BY ROBERT FINE, Manager of Economic Development Central Okanagan Regional District
I
n light of the worst year in the global economy in over six decades, it should come as no surprise that in 2009, airlines around the world suffered their biggest traffi c decline since 1945. According to the International Air Transport Association (IATA), 2009 was the “worst year the industry has ever seen,” and a slow recovery is expected during 2010.
The industry strongly refl ected the decline of 1.1 percent in world economic growth during the year. While passenger demand fell 3.5 per cent, the freight sector saw demand decrease by 10.1 percent. The situation was put into perspective by IATA Director General, Giovanni Bisignani: “We have permanently lost 2.5 years of growth in passenger markets and 3.5 years of growth in the freight business.”
Kelowna International Airport skirted the trend slightly, with a decline in passenger traffi c of 1.6 percent. Only six Canadian airports saw fl ight passenger increases in 2009 – Whitehorse, Thunder Bay, Regina, Victoria, St. Johns and Quebec City – with overall traffi c at Canada’s 28 major air- ports down 5.5 percent. The good news
for Kelowna is that it was ranked as fourth lowest overall among airports which had declines in passenger traffi c.
The economy is looking up in 2010, however. Kelowna has already seen a signifi cant increase in passenger traffi c, with double digit increases for the fi rst month of the year, thanks in part to the number of new Mexico-Kelowna destina- tions that have been added. Looking south of the border it is plane (sorry) to see that more aircraft will be travelling the friendly skies. This is consistent with approaches being taken at Kelowna International to attract new US routes in 2010.
Southwest Airlines, which has added 27 new routes along with American (22 new routes) and Delta (17,) have been the most adventurous airlines so far as the new routings have begun. Globally, other airlines are planning almost 600 new routes this year and clearly looking to take advantage of new opportunities.
As Kelowna International Airport strives to reach 1.6 million passengers by 2015, there is little doubt that we can do this with out taking into consideration what
The economy is looking up in 2010. Kelowna has already seen an increase in passenger traffi c this year.
is happening with the global economy. Research shows that for every one million air passengers added to a community, there is a one percent increase in economic growth (as defi ned by the Gross Domestic Product or GDP). With that in mind, plans are to continue to add new routes in and out of Kelowna. While we will never become the busiest airport in the world (that designation goes to Hartsfi eld, Atlanta with over 81 million passengers last year), we can continue to be strategic about where we see growth opportunities. Travellers to and from Kelowna should keep their eyes to the sky and see where we land next.
SPRING 2010 23
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