What can be done?
Addressing such challenges will require a combination of policy support, technological innovation and research investment.
To address the profitability issue, a combination of government subsidies and financial incentives can help offset the high initial costs, making electric aviation more viable. Initially, focusing on high-demand, short-haul routes that allow geographical barriers to be overcome and that can be served effectively by smaller electric planes may help to generate revenue and prove the viability of the market.
To overcome potential issues connected to ticket prices, financial incentives could reduce the cost for passengers, making electric flights more attractive. Differentiating ticket types by establishing different prices for residents and tourists, thereby subsidising “local tickets”, might also be relevant. Furthermore, it is crucial to consider the temporal dimension: as production scales up and competition increases, the manufacturing costs of electric planes are likely to drop, ultimately leading to a lowering of ticket prices over time.
Finally, current battery limitations in terms of energy density and charging times are significant barriers to wider adoption, so public and private investments in R&D are essential to accelerate progress.
Who should act:
National governments and established actors in the industry