Yesterday, Ryanair re-confirmed its proposal to the Greek Govt. submitted which would see the airline double passenger numbers to 10m p.a. over the next 5 years, accelerating the delivery of the Greek Govt.’s recently announced Tourism Plan.
Ryanair already presented a rapid growth plan to Greece’s Ministry for Tourism last September which would see the airline drive tourism growth, connectivity and jobs across all regions of Greece. Ryanair’s proposal also includes a commitment to base aircraft at Greece airports, particularly in the regions and islands, which would:
- Double passenger numbers from 5m to 10m p.a.
- Reduce seasonality with over 2m passengers p.a. during off-peak periods
- Increase regional tourism with growth at regional airports that are currently underserved
- Generate 1bn euros in increased tourism revenue for the Greek economy
- Deliver year-round visitors as Ryanair has already achieved in Italy, Spain, Portugal, Croatia, Cyprus
- Create 4,000 jobs.
Unfortunately, as it has not received any response on its proposal for growth, Ryanair, which is Europe’s largest airline and the only airline growing of any scale over the next 5 years, has allocated all of its 65 brand new 737 ‘Gamechanger’ aircraft for Summer ‘22 to 15 other countries within the EU, including Italy, Portugal and Croatia among others. Instead of growing its based aircraft in Greece for summer ‘22, Ryanair will unfortunately not reopen its Rhodes base.
Ryanair is now calling on Greece’s Minister for Tourism, Vassilis Kikilias, to follow the example of other European countries, regions and airports in Italy, Spain, Croatia, Ireland and Portugal, who have successfully introduced tourism recovery incentives to boost tourism in their regions. These schemes have proven invaluable to tourism recovery and growth by providing lower access charges to drive the region’s competitiveness and attract airlines, such as Ryanair, that in return drive traffic, connectivity, and jobs. Ryanair, unlike tour operators, delivers millions of independent tourists who contribute 100% of their spending to the local Greek economy. Ryanair has transformed the regional tourism industries in Spain, Italy, Croatia, Portugal, but sadly has been unable to deliver this investment to the Greek regions due to spiralling airport access costs and zero incentives to fly in the off-peak season.
Greek airport charges have unbelievably increased by up to 40% since 2019, while the Greek Govt. continues to charge a 12 euros airport development fee, which makes Greece uncompetitive vs. other EU countries. There is simply no incentive for Ryanair or any other airlines to fly to the Greek Islands and regions outside of the peak season of July and August.
These airport price rises by Fraport, the owners of the majority of Greek Airports, are damaging the Greek tourism industry by discouraging low-cost access to Greece, one of the finest and most diverse tourist destinations in Europe.
Instead of raising prices, airports should be lowering charges to help the recovery of Greece’s tourism industry. As the only airline growing significantly in Europe, with the arrival of 210 environmentally friendly ‘Gamechanger’ aircraft that have 4% more seats, 16% less fuel burn and up to 40% less noise emissions, Ryanair is uniquely positioned to deliver the rapid passenger growth, connectivity and accessibility required to boost Greek tourism – not just in July and August, but all year round, particularly in regional Greece. This is at a time when European airline seats for summer ’22 are likely to shrink by up to 15% due to airline failures and bankruptcies.
Ryanair looks forward to a response from the Greek Government on its proposal to double passenger numbers from 5 to 10m and the creation of 4,000 jobs. As Europe moves past the Covid-19 crisis, Ryanair is the only airline in Europe adding capacity in significant volume with 720 new routes, 15 new bases and the delivery of 65 ‘Gamechanger’ aircrafts for its summer ‘22 schedule.
Ryanair’s CEO, Eddie Wilson, said: “Greece has a fantastic and diverse tourist product, but unfortunately there are zero incentives for airlines to fly to Greece for any period other than the heavily congested peak summer months. Unlike other European tourist economies such as Italy, Spain, Portugal, and Croatia, who have transformed their regional tourism product by lowering access costs to bring year-round tourists, Greece has zero incentives to encourage Ryanair or any other airlines to fly to the Greek Islands and the regions outside of the peak season, when Greece has such a superb off-peak tourist product.
Ryanair has offered the Greek Govt. an investment of up to €1bn in based aircraft and connections to transform visitor numbers over the next 5 years, and Ryanair is the only airline of scale to solve this issue. Instead of presiding over outrageous price increases at Greek airports which go to Fraport shareholders the Greek Govt. needs to show vision by shaking up the pricing regime at airports to attract airlines and much-needed tourists. If this doesn’t happen, Greece
risks being left further behind Spain, Italy, Portugal, Cyrus, Croatia, and many other EU countries that have seen their regional tourism industries thrive on a year-round basis as they have lowered access costs, particularly to the regions, as a key part of their national infrastructure and tourism development plans.
Ryanair looks forward to a response to its proposal, which has been with the Ministry of Tourism since last September, which would see a twofold increase in Greek passenger numbers to 10m p.a. over the next 5 years, reduced seasonality with 2m off-peak passengers p.a., increased connectivity with underserved airports and regions creating 4,000 jobs and contributing with over €1bn in tourism revenue to the Greek economy.”
Tags: Ryanair