An independent review of Aurigny has concluded that it is ‘generally well-managed,’ but has identified areas for improvement.
Guernsey’s publicly-owned airline is competitive, according to the report, but would benefit from a detailed examination into crew and maintenance costs.
‘The Aurigny team are all encouraged by the conclusions within the report stating that Aurigny is generally well-managed and that we are efficient in areas where we have control. While there are recommendations and opportunities identified, these are measured and realistic given the operational and geographical environment constraints recognised,’ said a spokesperson for the airline.
‘It’s reassuring that the competitor analysis illustrates how many aspects of our operations are run more efficiently than other similar regional airlines.’
The review, which has been undertaken by specialist aviation consultancy PA Nyras, comes after Aurigny was predicted to be facing record losses of £9.6m in 2020. It was commissioned jointly by the Scrutiny Management Committee and the States’ Trading Supervisory Board.
‘Aurigny operates in a heavily regulated environment which brings with it high levels of fixed cost. The review recognises that the small size of the airline and the operation of three aircraft types means that Aurigny has to carry a larger overhead than would be desirable,’ said STSB President Deputy Peter Ferbrache.
The report flags the high crew costs for the ATR and Dornier fleets but recognises this is not down to salary scales but the way Aurigny flights are scheduled to best serve the needs of the community, such as offering early morning and evening departures.
‘This increases the peak requirement for crews, rather than being able to schedule their time more evenly and cost efficiently through the day, albeit with flight schedules that then might not be so convenient for customers.’