Switzerland is facing the challenge of reconsidering its subsidies for air traffic control at the country's 60 regional airports. A central point of this discussion is St. Gallen-Altenrhein Airport, which could be affected by the planned cuts. This decision could not only jeopardize the airport's continued existence but also have significant repercussions for the entire aviation infrastructure in Eastern Switzerland.
As part of the 2027 relief package, the Swiss government plans to eliminate subsidies amounting to 25 million Swiss francs (approximately 26,2 million euros), currently financed through mineral oil taxes. A decision that has caused concern among many stakeholders. St. Gallen-Altenrhein Airport has since confirmed this development and taken measures to maintain operations despite the uncertain financial situation.
Financial uncertainty and postponed infrastructure projects
The impact of the planned cuts also has direct consequences for airport operations at St. Gallen-Altenrhein. The runway renovation, originally planned for August of this year, has been postponed for the time being due to the uncertain financial future. Thomas Krutzler, CEO of the People's Air Group, which operates the airport, explained: "Without planning certainty, it makes no sense to invest millions in runway renovation." Instead, targeted repair and maintenance measures will ensure the safety of operations for the time being.
Krutzler emphasized that these repairs will be carried out primarily at night to avoid disrupting flight operations. However, the airport's operational closure, originally planned for the renovation, remains in place, and the airport will remain closed to traffic between August 11 and 29 of this year.
The uncertainty associated with the financial cuts poses a significant problem for St. Gallen-Altenrhein Airport. Without the urgently needed subsidies from the mineral oil tax, it could be difficult for the airport to stabilize its finances and make necessary investments in infrastructure. This is particularly problematic given the airport's existing regional importance. St. Gallen-Altenrhein Airport is an important hub for business travelers and tourists in Eastern Switzerland and offers direct flight connections, particularly to Vienna.
Political and regional reactions to the subsidy cuts
The discussion about the subsidy cuts has caused concern not only in the aviation industry but also in regional politics. The canton of St. Gallen has already sharply criticized the federal government's plans. In an interview with the Austrian broadcaster "ORF," a spokesperson for the canton stated: "If the intended cuts in federal contributions for air traffic control at regional airports are approved, the only key aviation infrastructure in Eastern Switzerland is threatened with extinction."
The airport is of considerable importance to the region, as it not only serves as a transport hub but also plays a key role in the economic and tourism infrastructure of Eastern Switzerland. The loss of the airport or a restriction of its operations would have far-reaching consequences, particularly for connections to international markets and the region's competitiveness compared to other European business locations.
The role of the People's Air Group and the future of the airport
People's Air Group is currently the only airline operating regular scheduled flights to St. Gallen-Altenrhein Airport. The airline operates a direct connection from St. Gallen-Altenrhein to Vienna, which is important for business travelers and tourists alike. A reduction in subsidies could not only jeopardize airport operations but also call into question the very existence of this important air connection.
The company therefore faces a dual challenge: on the one hand, it must deal with the financial uncertainties caused by potential cuts, while on the other, it relies on continued demand and a long-term perspective for the airport. The People's Air Group has already signaled its willingness to continue supporting the airport, but only on the condition that there is a clear and long-term perspective for its operations.
The regional importance of the airport and the prospects
St. Gallen-Altenrhein Airport is a significant economic factor for the Eastern Switzerland region. Many companies in the region rely on fast and direct connections to international markets. The closure or restriction of the airport's operations would not only affect air traffic but could also impair the region's competitiveness.
Furthermore, the airport is a significant driver of tourism. Its excellent international air traffic connections attract thousands of tourists to the region every year. Losing the airport would not only hinder the region's connections to other European markets, but would also reduce the attractiveness of St. Gallen-Altenrhein as a location for international companies and tourists.
The discussion about subsidy cuts is part of a broader context of restructuring and consolidation in the aviation industry, which is affected not only by the coronavirus pandemic but also by the question of how important smaller regional airports are to the overall infrastructure of a country or region. The decision to cut subsidies could, in the long term, lead to smaller airports losing their raison d'être or being restricted in their function as important hubs for regional traffic.
The planned subsidy cuts for regional airports in Switzerland, particularly for St. Gallen-Altenrhein Airport, raise questions about the long-term future of this infrastructure. While the airport operator and regional politicians struggle to find solutions, it remains to be seen how the situation will develop. What is clear is that the decision to cut subsidies could have far-reaching consequences for aviation, the economy, and tourism in Eastern Switzerland. The negotiations will be crucial for determining whether and how St. Gallen-Altenrhein Airport can maintain its role as an important regional transport hub in the future.
and 