Danmark som attraktivt luftfartsland May 2015 Brancheforeningen Dansk

Danmark som attraktivt luftfartsland (May 2015) Brancheforeningen Dansk Luftfart 09 -02 -2016 Danmark som attraktivt luftfartsland - BARD

Objectives: § § § Achieve government commitment to develop a Danish aviation strategy Increased competitiveness: Check terms and conditions vis -a-vis competing countries Identify specific areas of action and initiative - with priority to the total value chain 09 -02 -2016 Danmark som attraktivt luftfartsland BARD

Aviation contribute 43 BDKK to GNP via direct, indirect and induced effects. Total Direct 19 BDKK 29. 800 jobs Indirect 11 BDKK 19. 800 jobs Kilde: Induced 13 BDKK 20. 400 arbejdspladser Copenhagen Economics pba. Inter. VISTAS 09 -02 -2016 Danmark som attraktivt luftfartsland BARD 43 BDKK 70. 000 jobs

Higher connectivity increase opportunities for growth CATALYTIC EFFECTS Aviation induce macroeconomic effects – impact other sectors Higher connectivity Reduced travel time and reduced cost of travel More business travelers More cargo More inbound tourism 09 -02 -2016 Better business relations. Improves regional competitiveness Increased demand hotels, restaurants and other products Danmark som attraktivt luftfartsland BARD International trade, foreign investments, productivity, jobs Jobs, GNP

Catalytic effects are huge – but quite difficult to calculate Total Catalytic Direct 19 BDKK 29. 600 jobs Indirect 11 BDKK 19. 800 jobs Kilde: Copenhagen Economics pba. Inter. VISTAS 09 -02 -2016 Induced Up to 57 BDKK Up to 100 BDKK Up to 84. 200 jobs Up to 154. 000 jobs 13 BDKK 20. 400 jobs Danmark som attraktivt luftfartsland BARD

Possible futures Potential GNP / job contribution from aviation in 2020? Bidraget til samfundsøkonomien er flygtigt Risk of substantial drop in passenger volumes and connectivity due to exposed and fragile hub-position. Increased efficiency mean less job positions per pax in DK Future contribution to DK economy Increased growth (GNP)? Danish companies under pressure from other companies operating under more competitive conditions 09 -02 -2016 Danmark som attraktivt luftfartsland BARD More jobs?

Possible futures Potential GNP / job contribution from aviation in 2020? 1 BASIC SCENARIO Continued, but organic growth in pax volume No. of jobs maintained. 09 -02 -2016 2 3 RISK SCENARIO ACCELERATED GROWTH SCENARIO Basic + growth through active strategy Danmark som attraktivt luftfartsland BARD Loss of hub status = loss of pax and connectivity Continued downward job trend

The 3 scenarios ● Accellerated growth can increase GNP contribution by app. 8 BDKK. ● Growth do not stem from nothing. Action and initiatives are needed. ● I. e. - a strong need for government action = aviation strategy 09 -02 -2016 Danmark som attraktivt luftfartsland BARD

Proposed areas for action 3 rd country agreements and route development Effective and efficient infrastructure Cost ceiling for cost of security, licences, inspections and control etc. Fair and competitive labour conditions Opportunities for growth in aviation Better conditions to operate / increased attractiveness Competitive cost level Less administrative burdens Improved educational pipeline 09 -02 -2016 Solid foundation for DK aviation Danmark som attraktivt luftfartsland BARD High future contribution from aviation

Summary of findings § § § 09 -02 -2016 Major contribution to DK GNP (43 BDKK) In addition - major catalytic contribution due to "overnormal" connectivity Broad competence spectrum of HR - vital value chain However, contribution under pressure from other competing countries Impact of lost position hurts DK as a whole Opportunities identified, but government action needed (= strategy) Danmark som attraktivt luftfartsland BARD