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CASA Annual Report 2004-05 - Part 1: Overview of CASA

Part 1: Overview of CASA

Looking forward

Ongoing change for the aviation industry

Industry outlook and implications for CASA

The industry outlook over the next year is for continuing change and pressure from many sources, for all sectors of the aviation industry.

There will be ongoing rationalisation and restructuring of the industry in terms of operators, size of operation, types of aircraft used and routes flown. The period ahead will also see implementation of considerable regulatory reform, though this will be staged as far as possible to minimise any impact. Competitive pressures and international changes will also prompt adoption of new technologies. CASA will need to continue to deal with the current increased interest from potential new entrants in the Air Transport sector.

Economic pressures resulting from fluctuations in fuel prices and demand, and from currency movements affecting the costs of aircraft and maintenance, will continue to be significant. Industry will also face higher fees and charges for various aspects of aviation activity. These effects on industry will be reflected in the competing calls on CASA's regulatory resources. For example, the changes and pressures outlined above signal potentially increased risks we must evaluate and upon which we may need to act through safety education, targeted surveillance or both. Whilst demand for regulatory services is likely to remain high, it could be expected to be moderated by increased cost recovery changes. There is likely to be increased stakeholder pressure for CASA to improve the timeliness and cost of services