Ljubljana Jože Pučnik Airport believes the Slovenian government should try and offer subsidies to foreign carriers rather than set up a new national airline. Speaking to the Slovenian daily “Večer”, Ljubljana Airport’s General Manager, Zmago Skobir, said, “The relevant ministry told us they are studying the possibility of setting up a national carrier, but officially nothing more than that. Having a reputable carrier, which has various agreements in place, compared to a new airline starting from scratch, makes a huge difference in financial resources. My opinion is that we should try to work on what we have and nurture it”. The airport has submitted an incentive plan to the Ministry for Infrastructure, which is in review.
Croatia Airlines has submitted a plan to the ministry to base aircraft in the Slovenian capital and introduce scheduled services, while talks have also taken place with the Ljubljana-based cargo operator Solinair over the potential launch of subsidised passenger flights or the creation of a new national carrier. “Airport costs account for 4% - 8% of flight expenditure and it is not a decisive factor in establishing a service, regardless of the discounts and charges. If there is no product or demand for the destination and if there is nothing to do in Slovenia, people will not visit, even if we waive all fees and charges. As a result, the planes will be empty, and the carrier will amass losses on the route. Guests come because Slovenia is economically prosperous and attractive for tourists, regardless of whether airport costs are low”, Mr Skobir explains.
Some fifty workers and trade unionists gathered in front of Ljubljana Airport last Thursday to protest against the planned layoff of a quarter of operator Fraport Slovenia’s workforce. The company’s management was again called to take advantage of state aid and wait until the end of the year before taking such drastic measures, maintaining that the situation in the aviation industry will become clearer as time passes. However, Mr Skobir noted redundancies would begin this month as the company can no longer wait. “If we were to strictly look at the traffic forecast for this year, we would have to lay off significantly more people than we plan. We will try to be as socially minded as possible, but it will not work without layoffs. We are currently living off money we accumulated in recent years due to good business. This money, a good 25 million euros, will be spent by the end of the year, including on investments, and we will still have to borrow. That being said, next year, even with an optimistic outlook, we will be far from the numbers we were achieving before the pandemic. This year, we expect to handle between 400.000 and 500.000 passengers.

Comments
I will never understand this fetish of having a 'national airline'. Especially for a country like Slovenia.
With government subsidies, Fraport gets all the benefit with no risk.
I think that Slovenia realizes now , how big and huge impact JP had on their countries economy, and after it has gone for almost a year now.
I don't vote for giving money to any other airline and bring them.
Importance for many economy areas are huge , and now but its late they see that.
Anyway we will see what will happen and who will survive.
My point of view, this has been set up for upcoming interest of Croatia Airlines to start the flights out of LJU.
Much easier to set up a new airline.
In EU, you are not allowed to discriminate based on nationality when it comes to employment.
"where the airline can serve the national interest"
What is the national interest? Flying people from Pristina to Frankfurt? Flying wet lease for Lufthansa?
Apparently, Easyjet came to Ljubljana as soon as Adria collapsed, because they wanted to open a base in Ljubljana, but Fraport gave them some sort of an ultimatum that they could open it but under certain conditions.
LJU will recover in some years but this was completely avoidable.
You can have billions in revenue and profit, but if your invoices don't get paid, your cash flow will be negative and you'll go bust sooner rather than later.
I buy a product for 800 EUR (my expense, and I have paid for it in cash) and I sell it to you for 1000 EUR (revenue), but you don't pay me, i.e. you are in debt to me for 1000 EUR.
I have made 200 EUR profit, but have 800 EUR negative cash flow. Which is fine in a very short term, but sooner or later I will go bust despite making thousands of EUR in profit, because I won't be able to pay any bills.
Revenue, expenses, profit and loss are separate from actual cash flow in accounting.
regarding trains ... Slovenia has been throwing money into train infrastructure for years. It's gotten really expensive and public doesn't seem to be opinionated on the matter at all ... but when it comes to aviation 'there's no taxpayer money for that' blah blah blah. Fair distribution of taxpayer money, fair attention, fair modernization.
Size of the country is not necessarily connected to the airline future. Look at Luxembourg and Luxair and Cargolux. What Adria was missing was professional agile management and the proper business plan. Pitty about the name. It is the only airline name in the whole Ex-YU which remained neutral. What would happen to the name Adria, JP, ADR etc? All wasted?
Regards,
Eight
Besides, did anyone ever do a proper comparison in terms of a financial impact between subsidized routes and a new carrier?
the EU legal framework for airlines and airports is totally different.
so you cannot directly compare those things, because it quickly gets out of context.
just a quick example.
and only then you start flying. costs of maintenance, fuel, landing & overflight fees, etc.
so the 5 million is only the basic cost of getting things in order for one to be able to commence operations.
So you are saying that DUTB predicted the future and came up with the 20 million figure? In that case I must ask them for next week's winning lottery number.