Is air transport sustainable in remote regions? A socio-environmental perspective
Air transport is crucial for ensuring population mobility owing to time travel savings, especially in remote regions. Despite its benefits, air transport is still one of the most polluting industries worldwide. Under the European Green Deal, sustainable transport needs to be enhanced to promote sust...
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Language: | English |
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Taylor & Francis Group
2025-12-01
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Series: | Journal of Applied Economics |
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Online Access: | https://www.tandfonline.com/doi/10.1080/15140326.2025.2453679 |
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author | André Oliveira Pedro Pimentel Gualter Couto |
author_facet | André Oliveira Pedro Pimentel Gualter Couto |
author_sort | André Oliveira |
collection | DOAJ |
description | Air transport is crucial for ensuring population mobility owing to time travel savings, especially in remote regions. Despite its benefits, air transport is still one of the most polluting industries worldwide. Under the European Green Deal, sustainable transport needs to be enhanced to promote sustainable economic development, revealing the need for better decision-making tools. Nonetheless, limited research presents valuation frameworks under uncertainty and socio-environmental impacts simultaneously. Using a real options analysis and utility theory, a valuation framework is developed to assess the economic and socio-environmental impacts of air transport under Public Service Obligations. The results for the Azores case, a nine-island archipelago in Portugal, show a positive impact on social welfare. This study contributes to the literature by developing a valuation framework suitable for assessing sustainable transport networks and by presenting a case study with real data. |
format | Article |
id | doaj-art-b0d424237f9d42f19b4e9a5a48ea307b |
institution | Kabale University |
issn | 1514-0326 1667-6726 |
language | English |
publishDate | 2025-12-01 |
publisher | Taylor & Francis Group |
record_format | Article |
series | Journal of Applied Economics |
spelling | doaj-art-b0d424237f9d42f19b4e9a5a48ea307b2025-01-20T09:23:57ZengTaylor & Francis GroupJournal of Applied Economics1514-03261667-67262025-12-0128110.1080/15140326.2025.2453679Is air transport sustainable in remote regions? A socio-environmental perspectiveAndré Oliveira0Pedro Pimentel1Gualter Couto2Fundo de Maneio and School of Business and Economics, Universidade dos Açores, Ponta Delgada, PortugalSchool of Business and Economics and CEEAplA, Universidade dos Açores, Ponta Delgada, PortugalSchool of Business and Economics and CEEAplA, Universidade dos Açores, Ponta Delgada, PortugalAir transport is crucial for ensuring population mobility owing to time travel savings, especially in remote regions. Despite its benefits, air transport is still one of the most polluting industries worldwide. Under the European Green Deal, sustainable transport needs to be enhanced to promote sustainable economic development, revealing the need for better decision-making tools. Nonetheless, limited research presents valuation frameworks under uncertainty and socio-environmental impacts simultaneously. Using a real options analysis and utility theory, a valuation framework is developed to assess the economic and socio-environmental impacts of air transport under Public Service Obligations. The results for the Azores case, a nine-island archipelago in Portugal, show a positive impact on social welfare. This study contributes to the literature by developing a valuation framework suitable for assessing sustainable transport networks and by presenting a case study with real data.https://www.tandfonline.com/doi/10.1080/15140326.2025.2453679European green dealsocial welfarepublic service obligationsair transport |
spellingShingle | André Oliveira Pedro Pimentel Gualter Couto Is air transport sustainable in remote regions? A socio-environmental perspective Journal of Applied Economics European green deal social welfare public service obligations air transport |
title | Is air transport sustainable in remote regions? A socio-environmental perspective |
title_full | Is air transport sustainable in remote regions? A socio-environmental perspective |
title_fullStr | Is air transport sustainable in remote regions? A socio-environmental perspective |
title_full_unstemmed | Is air transport sustainable in remote regions? A socio-environmental perspective |
title_short | Is air transport sustainable in remote regions? A socio-environmental perspective |
title_sort | is air transport sustainable in remote regions a socio environmental perspective |
topic | European green deal social welfare public service obligations air transport |
url | https://www.tandfonline.com/doi/10.1080/15140326.2025.2453679 |
work_keys_str_mv | AT andreoliveira isairtransportsustainableinremoteregionsasocioenvironmentalperspective AT pedropimentel isairtransportsustainableinremoteregionsasocioenvironmentalperspective AT gualtercouto isairtransportsustainableinremoteregionsasocioenvironmentalperspective |