Washington and industry officials have committed to taking necessary steps to implement the next generation air traffic management system (NextGen), but those officials warn that a number of issues, such as providing operators incentives to equip their aircraft, must be addressed before progress can be made.

A government-industry RTCA task force recently released a report that emphasizes the universal commitment for NextGen and outlines concrete steps that can be taken near term to lay its foundation. House aviation subcommittee Chairman Jerry Costello (D-Ill.) lauded the report as "a significant breakthrough for the NextGen effort," and said, "Now it is up to the FAA to determine how to modify its existing plans and programs." He noted FAA's past struggles to clearly articulate the benefits of NextGen.

"The cost, schedule and benefits for NextGen are uncertain," agreed Transportation Inspector General Calvin Scovel. "These benefits will remain elusive unless FAA addresses a number of operational and management issues now and in the future. FAA needs to take action now to transition from planning to implementation."

The RTCA task force report said operator-equipage incentives are necessary to advance NextGen. Scovel, however, is concerned that the report does not specify how much money is necessary or when. Some of the concepts discussed include low-interest loans, direct subsidies or income tax credits. A "NextGen Equipage Bank" also has been discussed.

"Whether incentives should be used is a policy decision for Congress," he said. "However, there needs to be a clear understanding exactly how the incentives would be used, especially since FAA has not finalized the requirements for key capabilities, such as the satellite-based systems for surveillance and new cockpit displays."

Scovel believes cost-sharing arrangements have merit because of the shared risk between government and industry, but said, "If incentives are used, they must be properly designed to achieve their objectives at a minimal cost to taxpayers."

Scovel also expressed concern about FAA's proposed "best-equipped, best-served" concept as a way to encourage operators to equip for NextGen. The concept first surfaced in FAA's January 2009 NextGen Implementation Plan, calling for preferential treatment for airspace users equipped with new systems.

"Historically, FAA's policy for providing air traffic control services has been 'first come, first served,'" Scovel noted. "A best-equipped, best-served policy would, therefore, represent a significant change to how traffic is managed. The details of such a policy would need to be developed to ensure equity among users."

General aviation leaders have shifted their focus to delivery, rather than planning, said Jens Hennig, vice president of operations for the General Aviation Manufacturers Association. This focus is necessary to instill user confidence in equipage, he added. "As the RTCA Task Force report emphasizes, equipage will only take place when users are confident about the potential for benefits," he said.

Hennig also encouraged consideration of financial incentives to foster early equipage. "These incentives become important when benefits reside not only with the individual operator but also with the overall system, other operators and the U.S. government," he said. National Business Aviation Association President and CEO Ed Bolen echoed those sentiments. "For us to receive real benefits, we will need a critical mass of airplanes to be equipped."

Image credit: Aviation Week & Space Technology