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Exploring the environmental efficiency of airlines through a parallel RAM approach
Ye Li1, Xing-Chun Huang1, Qiang Cui2
1School of Business Administration, Nanjing University of Finance and Economics, Nanjing, 210023 China.
Energy Efficiency
|August 24, 2022
Summary
Most airlines achieve optimal environmental efficiency by sharing resources. However, increasing operating costs in freight systems is crucial for improvement. Asian airlines generally outperform European ones.
Area of Science:
- Environmental science
- Transportation economics
- Operations research
Background:
- Global air travel expansion correlates with rising air pollution.
- Assessing airline environmental efficiency is critical for sustainable development.
- Current models struggle to address shared resources and outputs in airline operations.
Purpose of the Study:
- To develop and apply a novel method for evaluating airline environmental efficiency.
- To analyze the environmental performance of 18 airlines from 2014-2019.
- To compare efficiency across different airline operational models and regions.
Main Methods:
- Introduction of the parallel range adjusted measure (PRAM) model.
- Handling of shared inputs, desirable outputs, and undesirable outputs.
- Utilizing a shared resource decomposition procedure for subsystem analysis.
Main Results:
- Most airlines improved efficiency through resource sharing.
- Increased operating costs are recommended for optimal freight system efficiency.
- Asian airlines demonstrated superior environmental efficiency compared to European airlines.
Conclusions:
- Resource sharing is a viable strategy for enhancing airline environmental efficiency.
- Targeted cost adjustments in freight operations can yield significant environmental gains.
- Regional disparities in airline environmental performance warrant further investigation.
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