In response to the challenges of globalization, many countries in the region have initiated—and some have completed—airport infrastructure concession programs with an eye to the development and efficient operation of this sector. Granting airport concessions is a relatively new practice in the region and the process has encountered significant problems that threaten the sustainability and benefits of development that are expected of them. Indeed, many of the "contract failures" that have occurred can be attributed to the design of the concessions.

At the same time, growing volumes of traffic make it increasingly obvious and urgent that aviation safety issues need to be resolved. These problems can largely be attributed to institutional and regulatory weaknesses which also fall within public-sector jurisdiction in the region’s countries.

This seminar is intended to provide a high-level forum for discussion and proposals on appropriate ways of expanding and operating airport infrastructure, strengthening aviation safety, and protecting the rights of users in a highly competitive market.

The workshop will include discussions on: (1) efficiency and competition: beyond open skies and flagship airlines; (2) legal and institutional environment: viability, sustainability, and credibility of aviation safety regulations; (3) concessions: expansion, financing, and operation of infrastructure; and (4) lessons learned: experience with airport infrastructure and air navigation service concessions.
Contact: BID: Adolfo Rufatt - adolfor@iadb.org - IATA: Patricio Sepúlveda sepulvedap@iata.org
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Chairperson:
Miguel E. Martínez, Manager, Regional Operations Department II
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8:45 a.m.-9:15 a.m.
Opening: The role of the market and the public sector in modernization of civil aviation

Opening remarks and general introduction to the public policy issues to be discussed at the simposium

Presentation:
Patricio Tombolini, Subsecretario de Transporte, Ministerio de Obras Públicas, Chile
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9:30 a.m.-11:00 a.m.
Panel: Airline industry: past, present, and future
Lessons learned and challenges for efficient public policy formulation to promote sector development and strengthen its role in economic development. Recent developments and prospects for civil aviation; challenges for efficiency, safety, and growth



Panelists:
Rigas Doganis, Cranfield Institute
Juan Emilio Posada, ACES
Ozires Silva, VARIG
Ellis Juan, BSCH
Kim Flenskov, LUFTHANSA
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11:00 a.m.-11:30 a.m.
Break
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11:30 a.m.-1:00 p.m.
Government policy and its impact on the airline industry

Viability, sustainability, and credibility of aviation safety regulation. Efficient institutional arrangements: separation of functions; legal framework; autonomy and independence of civil aviation authorities.

Panelists:
José Muñoz, Bureau VERITAS
René Izquierdo, LanChile
Guillermo Novoa, Junta de Aeronaútica Civil de Chile
Jorge González, Chile

Efficiency and competition: beyond open skies and national airlines. Open skies; deregulation and protecting competition; unfair practices, standards of service, and protecting the rights of users.

Panelists:
Mark Cavalieri, Aviation Management
Enrique Cueto, LanChile
Ernesto Vásquez Rocha, AITAL
Fidel Chávez, TACA
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1:00 p.m.-2:30 p.m.
Luncheon
Speaker: Sebastián Piñera, Chairman of the Board, Lan Chile
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2:30 p.m.-4:00 p.m.
Concessions: infrastructure expansion, financing, and operation

Concessions: fiscal objectives and efficiency; airport infrastructure costs; expansion and efficient operation of airport infrastructure; contract supervision.
Airline perspective:

Federico Bloch, TACA
Patricio Sepúlveda, IATA

Financial sector perspective:
Ellis Juan, BSCH

Concessionaire perspective:
Xavier Marín, AENA

Cost standard perspective:
Andrés Ricover, Consultant
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4:00 p.m.-4:30 p.m.
Break
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4:30 p.m.-5:30 p.m.
Air navigation services

Proper institutional structures for modernization of the sector: efficient allocation of air space; interaction and harmonization of commercial and military air traffic.

Panelists:
Ron T. Covais, Lockheed Martin
Mario Avila, DGAC Chile
Paulo Hegedous, ICAO
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5:30 p.m.-6:00 p.m.
Conclusions
Miguel E. Martínez, Manager, Regional Operations Department II
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