Severe Winter Weather: A Cold, Hard Look at the Airport Industry's Resilience Against Climate Change
The impact of climate change on the airport industry may become more tangible in the future. Some surge capacity will be helpful, and it does not necessarily have to be expensive; boosting the efficiency and reliability of existing facilities can serve the same purpose. Before the Coronavirus Disease (COVID-19) pandemic, an airport would normally pace capital expenditures slightly ahead of time in preparation for higher future demand, which could also provide some extra capacity when needed.As the industry is phasing out of the pandemic, capital expenditures will likely ramp up again in 2023; now may be a good time to shift some attention from demand to supply and to consider how many resources should be allocated to enhance the industry's preparedness for climate change. While rising climate risks have not materially affected our credit outlook for the airport sector, the massive weather-related travel disruptions in December 2022 may serve as a wake-up call for the industry to enhance resilience against future climate change impact to safeguard its long-term prosperity.
DBRS Morningstar is a global credit ratings business with 700 employees in eight offices globally. DBRS and Morningstar Credit Ratings are committed to empowering investor success, serving the market through leading-edge technology and raising the bar for the industry.
Together, we are the world’s fourth largest credit ratings agency and a market leader in Canada, the U.S. and Europe in multiple asset classes. We rate more than 2,600 issuers and 54,000 securities worldwide and are driven to bring more clarity, diversity and responsiveness to the ratings process. Our approach and size provide the agility to respond to customers’ needs, while being large enough to provide the necessary expertise and resources. For more details visit us at dbrs.com.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.