IDEAS home Printed from https://ideas.repec.org/a/eee/jaitra/v66y2018icp65-75.html
   My bibliography  Save this article

Air connectivity in remote regions: A comprehensive review of existing transport policies worldwide

Author

Listed:
  • Fageda, Xavier
  • Suárez-Alemán, Ancor
  • Serebrisky, Tomás
  • Fioravanti, Reinaldo

Abstract

A consensus exists in the literature on the strong link between air connectivity and economic growth and development. The need for connecting people and markets is part of national policies in different territories. The existence of remote areas, that is, those that under strict market criteria would not be transport supplied due to lack of commercial profitability, has led to the development of different public policies aimed to support air connectivity in regions where commercial airline operations are not viable. This paper provides a mapping of existing policies applied worldwide to provide air connectivity to remote areas, and critically reviews policies promoting air connectivity, including: 1) route-based policies; 2) passenger-based policies; 3) airline-based policies; and 4) airport-based policies. This effort is the first to compile and critically analyze all the existing alternatives to provide air connectivity in remote areas and to report on experiences worldwide. Moreover, we develop a novel taxonomy of existing public policies when it comes to providing air connectivity to remote areas. After reviewing different policy options and instruments applied globally, the paper ends with a policy discussion.

Suggested Citation

  • Fageda, Xavier & Suárez-Alemán, Ancor & Serebrisky, Tomás & Fioravanti, Reinaldo, 2018. "Air connectivity in remote regions: A comprehensive review of existing transport policies worldwide," Journal of Air Transport Management, Elsevier, vol. 66(C), pages 65-75.
    • Handle: RePEc:eee:jaitra:v:66:y:2018:i:c:p:65-75
    DOI: 10.1016/j.jairtraman.2017.10.008
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0969699717304131
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.jairtraman.2017.10.008?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Button, Kenneth & Taylor, Samantha, 2000. "International air transportation and economic development," Journal of Air Transport Management, Elsevier, vol. 6(4), pages 209-222.
    2. Robert Malina & Sascha Albers & Nathalie Kroll, 2012. "Airport Incentive Programmes: A European Perspective," Transport Reviews, Taylor & Francis Journals, vol. 32(4), pages 435-453, April.
    3. Francesco, Antonio Di & Pagliari, Romano, 2012. "The potential impact of removing public service obligation regulations on air fares between the Italian Mainland and the island of Sardinia," Journal of Transport Geography, Elsevier, vol. 24(C), pages 332-339.
    4. Jan K. Brueckner, 2003. "Airline Traffic and Urban Economic Development," Urban Studies, Urban Studies Journal Limited, vol. 40(8), pages 1455-1469, July.
    5. Marco Percoco, 2010. "Airport Activity and Local Development: Evidence from Italy," Urban Studies, Urban Studies Journal Limited, vol. 47(11), pages 2427-2443, October.
    6. Santana, Isabel, 2009. "Do Public Service Obligations hamper the cost competitiveness of regional airlines?," Journal of Air Transport Management, Elsevier, vol. 15(6), pages 344-349.
    7. Fageda, Xavier & Jiménez, Juan Luis & Díaz, Carlos, 2012. "Fare differences between domestic and international air markets on routes from Gran Canaria," Journal of Air Transport Management, Elsevier, vol. 25(C), pages 8-10.
    8. Calzada, Joan & Fageda, Xavier, 2014. "Competition and public service obligations in European aviation markets," Transportation Research Part A: Policy and Practice, Elsevier, vol. 70(C), pages 104-116.
    9. Svein Braathen, 2011. "Air Transport Services in Remote Regions," International Transport Forum Discussion Papers 2011/13, OECD Publishing.
    10. Volodymyr Bilotkach, 2015. "Are airports engines of economic development? A dynamic panel data approach," Urban Studies, Urban Studies Journal Limited, vol. 52(9), pages 1577-1593, July.
    11. Williams, George & Pagliari, Romano, 2004. "A comparative analysis of the application and use of public service obligations in air transport within the EU," Transport Policy, Elsevier, vol. 11(1), pages 55-66, January.
    12. Grubesic, Tony H. & Matisziw, Timothy C., 2011. "A spatial analysis of air transport access and the essential air service program in the United States," Journal of Transport Geography, Elsevier, vol. 19(1), pages 93-105.
    13. Fageda, Xavier & Jiménez, Juan Luis & Valido, Jorge, 2016. "Does an increase in subsidies lead to changes in air fares? Empirical evidence from Spain," Transportation Research Part A: Policy and Practice, Elsevier, vol. 94(C), pages 235-242.
    14. Smyth, Austin & Christodoulou, Georgina & Dennis, Nigel & AL-Azzawi, Marwan & Campbell, Jonathan, 2012. "Is air transport a necessity for social inclusion and economic development?," Journal of Air Transport Management, Elsevier, vol. 22(C), pages 53-59.
    15. Wittman, Michael D., 2014. "Public funding of airport incentives in the United States: The efficacy of the Small Community Air Service Development Grant program," Transport Policy, Elsevier, vol. 35(C), pages 220-228.
    16. Valido, Jorge & Pilar Socorro, M. & Hernández, Aday & Betancor, Ofelia, 2014. "Air transport subsidies for resident passengers when carriers have market power," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 70(C), pages 388-399.
    17. Alderighi, Marco & Gaggero, Alberto A., 2017. "Fly and trade: Evidence from the Italian manufacturing industry," Economics of Transportation, Elsevier, vol. 9(C), pages 51-60.
    18. Allroggen, Florian & Malina, Robert & Lenz, Ann-Katrin, 2013. "Which factors impact on the presence of incentives for route and traffic development? Econometric evidence from European airports," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 60(C), pages 49-61.
    19. Arvis, Jean-François & Shepherd, Ben, 2011. "The air connectivity index : measuring integration in the global air transport network," Policy Research Working Paper Series 5722, The World Bank.
    20. Alda Metrass Mendes & Richard de Neufville & Ã lvaro Costa, 2011. "Air Accessibility In Northern Canada: Prospects And Lessons For Remoter Communities," ERSA conference papers ersa11p1647, European Regional Science Association.
    21. Joan Calzada & Xavier Fageda, 2012. "Discounts and Public Service Obligations in the Airline Market: Lessons from Spain," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 40(4), pages 291-312, June.
    22. Pita, João Pedro & Antunes, António Pais & Barnhart, Cynthia & de Menezes, António Gomes, 2013. "Setting public service obligations in low-demand air transportation networks: Application to the Azores," Transportation Research Part A: Policy and Practice, Elsevier, vol. 54(C), pages 35-48.
    23. Wittman, Michael D. & Allroggen, Florian & Malina, Robert, 2016. "Public service obligations for air transport in the United States and Europe: Connectivity effects and value for money," Transportation Research Part A: Policy and Practice, Elsevier, vol. 94(C), pages 112-128.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Wu, Hanjun & Hong Tsui, Kan Wai & Ngo, Thanh & Lin, Yi-Hsin, 2020. "Impacts of aviation subsidies on regional wellbeing: Systematic review, meta-analysis and future research directions," Transport Policy, Elsevier, vol. 99(C), pages 215-239.
    2. Fageda, Xavier & Jiménez, Juan Luis & Valido, Jorge, 2017. "An empirical evaluation of the effects of European public policies on island airfares," Transportation Research Part A: Policy and Practice, Elsevier, vol. 106(C), pages 288-299.
    3. Wittman, Michael D. & Allroggen, Florian & Malina, Robert, 2016. "Public service obligations for air transport in the United States and Europe: Connectivity effects and value for money," Transportation Research Part A: Policy and Practice, Elsevier, vol. 94(C), pages 112-128.
    4. Salesi, Vinolia Kilinaivoni & Kan Tsui, Wai Hong & Fu, Xiaowen & Gilbey, Andrew, 2022. "Stakeholder perceptions of the impacts of aviation subsidies in the South Pacific Region," Journal of Air Transport Management, Elsevier, vol. 103(C).
    5. Wu, Hanjun & Hong Tsui, Kan Wai & Ngo, Thanh & Lin, Yi-Hsin, 2023. "Airport subsidies impact on wellbeing of smaller regions: A systemic examination in New Zealand," Transport Policy, Elsevier, vol. 130(C), pages 26-36.
    6. Socorro, M. Pilar & Betancor, Ofelia, 2020. "Air transport subsidies for resident passengers: The unexpected effects on competition," Research in Transportation Economics, Elsevier, vol. 79(C).
    7. Das, Amit Kumar & Bardhan, Amit Kumar & Fageda, Xavier, 2020. "New regional aviation policy in India: Early indicators and lessons learnt," Journal of Air Transport Management, Elsevier, vol. 88(C).
    8. Jiménez, Juan Luis & Valido, Jorge & Pellicer, Alfonso Antonio, 2023. "Evaluating the effect of air transport resident subsidies on non-residents tourists’ expenditure," Journal of Air Transport Management, Elsevier, vol. 106(C).
    9. Fageda, Xavier & Jiménez, Juan Luis & Valido, Jorge, 2016. "Does an increase in subsidies lead to changes in air fares? Empirical evidence from Spain," Transportation Research Part A: Policy and Practice, Elsevier, vol. 94(C), pages 235-242.
    10. Abreu, José & Fageda, Xavier & Jiménez, Juan Luis, 2018. "An empirical evaluation of changes in Public Service Obligations in Spain," Journal of Air Transport Management, Elsevier, vol. 67(C), pages 1-10.
    11. Stefan Gössling & Frank Fichert & Peter Forsyth, 2017. "Subsidies in Aviation," Sustainability, MDPI, vol. 9(8), pages 1-19, July.
    12. Antonio Martínez Raya & Víctor M. González-Sánchez, 2020. "Tender Management Relating to Imposition of Public Service Obligations on Scheduled Air Routes: An Approach Involving Digital Transformation of Procurement Procedures in Spain," Sustainability, MDPI, vol. 12(13), pages 1-27, July.
    13. à lvarez-Albelo, Carmen D. & Hernández-Martín, Raúl & Padrón-Fumero, Noemi, 2020. "The effects on tourism of airfare subsidies for residents: The key role of packaging strategies," Journal of Air Transport Management, Elsevier, vol. 84(C).
    14. Calzada, Joan & Fageda, Xavier, 2014. "Competition and public service obligations in European aviation markets," Transportation Research Part A: Policy and Practice, Elsevier, vol. 70(C), pages 104-116.
    15. Antonio Martínez Raya & Víctor M. González-Sánchez, 2021. "Efficiency and Sustainability of Regional Aviation on Insular Territories of the European Union: A Case Study of Public Service Obligations on Scheduled Air Routes among the Balearic Islands," Sustainability, MDPI, vol. 13(7), pages 1-31, April.
    16. Lenaerts, Bert & Allroggen, Florian & Malina, Robert, 2021. "The economic impact of aviation: A review on the role of market access," Journal of Air Transport Management, Elsevier, vol. 91(C).
    17. Chen, Yilin & Hou, Meng & Wang, Kun & Yang, Hangjun, 2023. "Government interventions in regional airline markets based on aircraft size—Welfare and environmental implications," Transportation Research Part A: Policy and Practice, Elsevier, vol. 169(C).
    18. Allroggen, Florian & Wittman, Michael D. & Malina, Robert, 2015. "How air transport connects the world – A new metric of air connectivity and its evolution between 1990 and 2012," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 80(C), pages 184-201.
    19. Pita, João Pedro & Antunes, António Pais & Barnhart, Cynthia & de Menezes, António Gomes, 2013. "Setting public service obligations in low-demand air transportation networks: Application to the Azores," Transportation Research Part A: Policy and Practice, Elsevier, vol. 54(C), pages 35-48.
    20. Mueller, Falko, 2021. "Accessibility for money? An evaluation of subsidized air transport services in Europe and the United States," Transport Policy, Elsevier, vol. 106(C), pages 153-164.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jaitra:v:66:y:2018:i:c:p:65-75. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.journals.elsevier.com/journal-of-air-transport-management/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.