Via Dubai Magazine | February 2014

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Monthly Newsletter issued by Dubai Civil Aviation Authority

www.viadubaionline.com

Volume 1 Issue 9 February 2014

Inside DCAA DCAA certification for aeronautical studies

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DCAA to host Aviation Safety Culture Summit

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UAE in Focus Dubai Internationals spectacular performance in 2013

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flydubai finalises order for 75 Boeing 737 MAXs

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Dubai Duty Free sales soarS in 2013

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RAK Airways suspends operations

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Middle East Big plans for Saudi aviation sector

UAE airspace system to handle 1.2 million aircraft movements by 2025 Interviews

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Singapore Airshow gets bigger

Work on six new Oman 7 airports on track

Jimmy Lau

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International

DCAA participates in Bahrain International Air Show-2014

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Opinion

Singapore plans 11 to double airport capacity

Flashback Soaring High

8&9

Incredible India’s aviation industry

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18

Ajit Singh

In Focus

Middle East benefitting from air transport liberalization

Building a seamless global airspace

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14

Michael Huerta

Angela Gittens

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Cargo & Logistics

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Long term approach for ATM data management 13

Technology

Jeff Poole

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Message from the President In 2007, the functions of the Department of Civil Aviation were restructured. Accordingly, the Dubai Civil Aviation Authority (DCAA) was established as a regulatory body, by a decree of H.H. Sheikh Mohammed Bin Rashid AlMaktoum, Ruler of Dubai, on proclamation of law No. 21 of 2007, as amended by law No. 19 of 2010, to undertake development of Air Transport Industry in the Emirate of Dubai and to oversee all aviation-related activities.

Via Dubai is the official bilingual monthly newsletter of DCAA, designed to highlight the initiatives and developments in the aviation industry and act as a knowledge-sharing platform for all the stakeholders and aviation professionals.

General Supervision Mohammed Abdulla Ahli Coordinator Hanan Al Mazimi Executive Editor Mohammed Abdul Mannan Creative Manager Mohamad Abdulrahman E-mail: viadubai@naddalshiba.com

Legal Disclaimer The views expressed in the articles are of the writers and not necessarily belong to DCAA. We take all reasonable steps to keep the information current and accurate, but errors can occur. The information is therefore provided as is, with no guarantee of accuracy, completeness or timeliness. The DCAA or Via Dubai does not warrant or assume any legal liability or responsibility for the quality, accuracy, completeness, legality, reliability or usefulness of any information. Via Dubai does not endorse or recommend any article, product, service or information mentioned in the newsletter. Any perceived slight of any person or organisation is completely unintentional.

Editorial, Production, PR & Marketing Nadd AlShiba PR and Event Management

Tel +971 4 25 66 707 Fax +971 4 25 66 704 info@naddalshiba.com www.naddalshiba.com

Exceptional Year

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y any measurement, 2013 was an exceptional year for the UAE due to the tremendous achievements the country has made in almost every economic domain in general and aviation sector in particular. This complements the amazing progress achieved by the UAE over the years and which are etched in our memories and reflects our passion to excel in every domain. During the past year, the UAE stunned the world by bagging the rights, through a multi-tier selection process, to host World Expo in Dubai in 2020. The selection of UAE to stage the world’s third biggest global event after the Olympics and FIFA World Cup is a testimony to the professional approach and adept planning worked out by all the parties concerned in a way that makes all of us proud. Also last year, Dubai Airshow recorded the biggest deals in the civil aviation history exceeding $213.4 billion, stamping the emirate’s strong position as an aviation business hub. It was also last year that His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of UAE and Ruler of Dubai, unveiled the UAE Agenda which showcases the country’s

Ahmed bin Saeed Al Maktoum determination to become the best in the world in infrastructure in general and the aviation sector in particular. The phenomenal number of passengers handled by Dubai International Airport last year will be yet another prove of 2013 being an exceptional year. Preliminary results show that the number of passengers will surpass the threshold of over 66 million compared with the 57 million we recorded in the year 2012. Meanwhile, Dubai International Airport’s expansion plans costing more than $7.8 billion are progressing swiftly to increase the airport’s capacity to more than 90 million passengers with the completion of Concourse D by 2015 along with the expansion and modernization of Terminal 1 and 2. This is in addition to the opening of the passenger terminal of Al Maktoum International Airport in Dubai World Central (DWC) last year which will be transformed into an international travel hub in the next few years. These achievements will soon become part of the history as we march towards our future goals. We should pursue with passion and determination our biggest goal of Dubai becoming the Number One airport in the world.

Printed by Printwell Dubai

Our Vision Dubai Civil Aviation Authority is driven by the vision of Dubai to become the global Aviation Capital contributing to prosperity and enabling growth for Dubai.

Our Mission Dubai Civil Aviation Authority is committed to support the aviation sector in:

E-mail: dcaa@dcaa.gov.ae Website: www.dcaa.gov.ae Tel: (971) 4 216 2009 Fax: (971) 4 224 4502 P.O.BOX 49888 Dubai, United Arab Emirates

u Capturing the full value potential as a global passenger, tourism, trade, cargo and logistic hub u Providing the capacity, connectivity and leveraging existing assets to meet the aviation sector and economic growth plans of Dubai u Ensuring sustainable and responsible growth committed to safety, health, environment and security u Providing and creating customer-focused services to gain competitive advantage from innovation, knowledge and efficiency u Building and retaining capabilities, for the aviation sector, while offering career opportunities for Nationals u Ensuring a transparent, effective and commercially balanced regulatory framework that reflects the interests of the aviation industry, Dubai and the UAE u Providing efficient and cost-effective services to the aviation sector

facebook.com/pages/Dubai-Civil-Aviation-Authority/299170846763911

twitter.com/DcaaDubai

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Message

from the Director General

Mohammed Abdulla Ahli

Growth and safety in the Middle East

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viation safety is at the core of International Civil Aviation Organization’s (ICAO) fundamental objectives. It is constantly striving, in close collaboration with the entire air transport community, to further improve aviation’s successful safety performance and a high level of efficiency. One of the factors behind the Middle East’s success is adherence to global standards, a fact which is attested by international organisations. The Middle East continues to be a great success story in the aviation industry. IATA noted that about $40 billion are being invested in airport infrastructure in the Arabian Gulf alone by far-sighted governments. The UAE’s aviation success story is the result of visionary plans, massive investments and timely implementation and is well-grounded in the spirit of cooperation among the stakeholders. In fact, the IATA says the Arabian Gulf example is a best practice success story that all governments should take note of. Dubai stands out in the aviation industry success and it continues its amazing growth rate with more airlines and frequencies to and from different parts of the world expanding its air connectivity. Dubai International Airport is moving towards becoming the world’s top airport for international passengers by 2015 after recording over 66 million passengers in 2013. the uae selection to host Expo 2020 in Dubai will spur significant investments in airports and other infrastructure in the run up to the prestigious event . Continuous improvement in global aviation safety is fundamental to ensuring air transport continues to play a major role in driving sustainable economic and social development. Towards this long-term goal, DCAA is hosting the second edition of Aviation Safety Culture Summit. This knowledge-and-expertise sharing platform will benefit all the industry as it will discuss key strategies and challenges in improving safety culture. 2

February 2014

DCAA certification for aeronautical studies

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he Dubai Civil Aviation Authority (DCAA) has amended the Dubai Civil Aviation Policy (DCAP) for the certification of companies carrying out aeronautical studies and surveys for aerodromes located within the Emirate of Dubai as well as for any aspects related to Dubai Airspace. An aeronautical study is designed to look into an aeronautical problem to identify possible solutions and select solutions that are acceptable without degrading safety. It is conducted to assess the impact of deviations from the aerodrome standards specified in Civil Aviation Regulations (CAR), recommend alternative means of ensuring safety of aircraft operations and estimate the effectiveness of each alternative and recommend procedures to compensate and mitigate for the deviation. The policy change now allows only consultants authorized by the DCAA to conduct such studies and surveys. These include flight procedure design, aerodrome obstacles control, navigation aid safeguarding, obstacle marking and lighting and hazard identification and safety risk assessment. The certificate will be valid for a period of three years from the date of issue and it could be revoked, suspended or cancelled by the DCAA if the applicant fail to demonstrate compliance with the requirements specified by the DCAA or GCAA certificate for the flight procedure design is expired or revoked. The survey or study has to be completed in the format and manner required by ICAO Annex 15 and UAE CAAP 61. Details have been made available in the DCAP which is available on the DCAA website - www.dcaa.gov.ae 


Inside DCAA

DCAA to host Aviation Safety Culture Summit

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he Dubai Civil Aviation Authority (DCAA) is hosting the second annual Aviation Safety Culture Summit in Dubai on February 3 and 4. The event will be held under the patronage of His Highness Sheikh Ahmed bin Saeed Al Maktoum, President of DCAA, Chairman of Dubai Airports and Chairman and Chief Executive of Emirates Airline and Group. The Summit will bring together local and international stakeholders from regulatory authorities, airline operators, airport operators, aircraft manufactures, pilot associations, safety organisations and air traffic control service providers to discuss key strategies and challenges in improving safety culture. The summit is expected to attract over 300 specialists and experts from the aviation industry. Mohammed Ahli, Director General of DCAA, said: “Safety is the top priority for the civil aviation industry. Continuous improvement in global aviation safety is fundamental to ensuring air transport continues to play a major role in driving sustainable economic and social development around the world. Current and emerging safety risks must be addressed proactively.” The summit aims to promote and facilitate the collection and sharing of safety information among the worldwide aviation community, help reduce legal and cultural barriers that discourage sharing of safety information, encourage government organisations to support and develop a safer and more efficient aviation industry, integrate safety culture with a world class safety management system to decrease human error and to educate and reinforce safety and regulators perspective on safety culture. www.aviationsafetyculturesummit.com.

Dubai Aviation’s safety records spotless The Dubai Civil Aviation Authority (DCAA) has announced

The first summit was a great success

that the Dubai aviation safety performance indicators have recorded zero air accident fatalities over the past ten years. There have been a few accidents, but Dubai Aviation Sector’s aviation agencies have been non-contributory to those. The DCAA Director General, Mohammed Abdulla Ahli, said: “Safety is the number one priority for air transport and aviation is the safest means of transport. To continue this lead and ensure air transport continues to play a major role in driving sustainable economic and social development, collaboration and sharing of best practice, is required among all partners of the industry.” He said the debut edition of Aviation Safety Culture Summit proved its success as a strategic global platform for industry leaders to discuss safety issues and find ways of collaboration. The agenda for the 2014 edition of the summit has been built around the results from the first edition. Khalid Al Arif, Director of Standards and Regulations, DCAA, announced the results which cover aircraft move-

ments inside local airspace and for the national carriers. He added that the positive report comes as a result of implementing high safety management systems and ensuring safety guidelines are adhered to. According to ICAO, 4.1 accidents per million departures were recorded globally in 2006. The figure increased to 4.8 in 2008 and dropped to 4.2 and 3.2 in 2011 and 2012 respectively. “For 2013, the figures are lower than previous years and this is a result of carrying out more effective safety management programmers under International Civil Aviation Organization (ICAO) regulations,” he remarked. As part of the UAE’s efforts in aviation safety, DCAA is hosting the second Aviation Safety Culture Summit in Dubai from February 3 to 4 at Park Hyatt hotel. Organised by Streamline Marketing Group (SMG), the summit will bring together more than 250 local and international aviation industry leaders to discuss key strategies and challenges in improving safety culture across the industry.

The summit’s second day will include a panel discussion, sponsored by NATS, entitled “Making Our Airspace Safer - Thinking Globally, Planning Regionally and Acting Locally”. The discussion will highlight safety challenges for both airlines and air navigation service providers and how the industry can look to address these challenges. Air movement is expected to double in the UAE in 2018. Al Arif confirmed that regional cooperation is necessary for facing the challenges of airspace capacity and ensuring optimum safety levels. He added: “We have to work structurally across the whole region to increase the air capacity and efficiency. Without regional cooperation we will have limited capacity due to the relatively small size of our airspace. Initiatives like the Aviation Safety Culture Summit are paramount for the industry and provide aviation leaders with the opportunity to discuss ways of maintaining and improving safety culture through closer cooperation.” t February 2014

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Inside DCAA

DCAA participates in Bahrain International Air Show

Mohammed Ahli and members of DCAA delegation at the Tawazun stand at BIAS-2014

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he DCAA Director General, Mohammed Ahli, headed a high-ranking delegation which participated in the opening ceremony of the Bahrain International Air Show (BIAS-2014) at Sakhir Air Base from January 16 to 18. The three-day biennial event was inaugurated by Bahrain’s Crown Prince Salman bin Hamad Al Khalifa in the presence of dignitaries from across the world, including His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice

President and Prime Minister of UAE and Ruler of Dubai, and His Highness Sheikh Ahmed bin Saeed Al Maktoum, President of DCAA and Chairman of Dubai Airports. Mohammed Ahli, accompanied by Prince Salman, toured the stand of Tawazun company from the UAE. Tawazun is a strategic investment company focused on the long-term development of Abu Dhabi’s industrial manufacturing and technology capabilities, especially in defense and aviation in-

DCAA official Saud Kankazer with Sharjah civil aviation official

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dustries. Tawazun officials briefed the delegation about the activities of the company and the latest products and solutions it displayed during its first-ever participation in the BIAS. The DCAA delegation also toured pavilions and stand put up by various countries and local, regional and international companies specialised in aviation products and services. He was briefed about the latest technologies and solutions in the aviation domain displayed

at the airshow. Mohammed Ahli also attended the luncheon hosted for the visiting delegations by His Majesty Hamad bin Isa Al Khalifa, King of Bahrain. He praised the Bahraini hospitality and the successful hosting of the airshow. He expressed satisfaction at the wide participation of aviation companies from across the world in the airshow which recorded substantial growth in the number of participants and visitors this year. 

Mohammed Ahli and other officials with the UAE ambassador to Bahrain


UAE in Focus

Sheikh Mohammed attends Bahrain airshow

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ahrain is bracing itself for huge investment in its aviation sector after a tripling of business at the third edition of Bahrain International Airshow (BIAS) it hosted at the Sakhir Airbase from January 16 to 18. His Royal Highness Prince Salman, Bahrain’s Crown Prince, Deputy Supreme Commander and First Deputy Prime Minister opened the airshow.

He also launched Great British Week, a series of events over the course of week celebrating 200 years of longstanding ties between the Kingdom of Bahrain and the United Kingdom. His Royal Highness also watched the aircraft displays by the Bahraini, Saudi and Emirati air forces, as well as by other air forces and civil and commercial aviation companies.

Dubai Internationals spectacular performance in 2013

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ubai International, the world’s second busiest international hub, registered another banner year with annual passenger traffic reaching 66,431,533 in 2013, following a record-breaking December when passenger numbers eclipsed the six million mark for the first time. Annual passenger traffic of 66.4 million, up 15.2 per cent compared to 57.6 million recorded during 2012, represents the airport’s highest total ever. Passenger numbers in December reached a record 6,047,126, an increase of 13.6 per cent compared to 5,320,961 recorded during the same month in 2012.

Aircraft movements in 2013 reached 369,953, up 7.5 per cent compared to 344,245 movements recorded during 2012. Aircraft movements in December totalled 32,832, compared to 30,945 movements during the same month in 2012, an increase of 6.1 per cent. India retained its position as Dubai’s single largest destination country with 8,401,253 passengers, a year on year growth of 14.3 per cent compared to 7,347,270 in 2012. The UK placed second with 5,099,843 passengers (+24.1 per cent) followed by Saudi Arabia at 4,825,114 (+34.2 per cent). 

His Highness Sheikh Mohammad bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, visited the Bahrain International Airshow (BIAS 2014). He toured the exhibition and viewed the latest technologies in the fields of air transport, military aviation and airport facilities. He was accompanied by His Highness Sheikh Ahmed bin Saeed Al Maktoum,

President of Dubai Civil Aviation Authority and Chairman of Dubai Airports and Chairman and Chief Executive of Emirates Airline and Group, and a delegation comprising of sheikhs, officials and businessmen. Deals worth more than $3 billion were made during the three-day event, according to a report in the Gulf Daily News. 

UAE & India signs ASA

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he UAE has signed a final Air Services Agreement (ASA) with India in the first week of January 2014. The agreement was signed by Saif Mohammad Al Suwaidi, Director General of the UAE’s General Civil Aviation Authority (GCAA), and Prabhat Kumar, Joint Secretary, India’s Ministry of Civil Aviation. The ASA reaffirms the existing agreement between the two countries and allows scheduled passenger and cargo flights between the two countries. According to WAM, Al Suwaidi stressed the importance of the agreement, which will further

boost travel and trade between the UAE and India. The signed ASA allows scheduled flights in any type of service (passenger or cargo) between both states. Air service agreements go in line with the directions of the UAE government to enhance international cooperation through air transport. The UAE now has air services agreements with over 164 countries, of which 122 are open skies or fully liberal arrangements. In September 2013, the Indian government had approved a bilateral air services agreement with the UAE to increase the number of seats between the two nations over the next three years. 

flydubai finalises order for 75 Boeing 737 MAXs B

oeing and flydubai have announced an order for 75 737 MAX 8s and 11 Next-Generation 737-800s, valued at $8.8 billion at list prices. In addition, the airline retains purchase rights for 25 more 737 MAXs. The order was first announced as a commitment at the 2013 Dubai Airshow, making it Boeing’s largest single-aisle airplane order in the Middle East. flydubai CEO, Ghaith Al Ghaith, said: “2013 has been a tremendous year for flydubai. We have launched 16 new routes, delivered profitability in just three years of operation and launched our Business Class service. The confirmed order for 75 737 MAXs and 11 Next-Generation

737-800s signifies the maturing of the airline and the strength of our business model as well as support flydubai’s ambitious growth.” Marty Bentrott, vice president, Sales, Middle East, Russia and Central Asia, Boeing Commercial Airplanes, said: “We are very proud to be partners in flydubai’s success and that the airline will continue its expansion with an all-Boeing fleet. The order is a tremendous endorsement of the ongoing popularity and reliability of the Next-Generation 737-800 and the unsurpassed fuel efficiency that the 737 MAX will offer in the single aisle market.” The 737 MAX is on schedule with firm configuration of the airplane achieved in July 2013. First flight is scheduled

in 2016 with deliveries to customers beginning in 2017. Already a market success, the 737 MAX has accumulated more than 1,700 orders to date and will have 8 percent per-seat lower operating costs than the future competition. flydubai placed its first order for 50 Next-Generation 737-

800s at the 2008 Farnborough Air Show and took delivery of its first airplane in 2009. The airline was the first in the world to debut the Boeing Sky Interior, an enhanced onboard experience. To date, flydubai has grown its fleet to 34 Next-Generation 737-800s.  February 2014

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UAE in Focus

Dubai Duty Free sales soar in 2013 D ubai Duty Free (DDF) has announced record-breaking sales of AED6.65 billion in 2013, representing an 11.4 per cent increase over the previous year. December saw a new monthly sales record of AED700 million. The operation’s 30th Anniversary Day on December 20, when customers were offered a 30 per cent discount on a range of products, resulted in a massive surge in sales and a new daily record. On the anniversary day, DDF recorded sales of an incredible AED111.88 million in the 24-hour period, which was 40 per cent higher than

RAK Airways suspends operations

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AK Airways announced the suspension of all operations starting January 1, 2014, and until further notice. In a statement,

the airline said: “The decision for suspending operations was taken following increased pressures on the carrier’s performance due to continuous market conditions, increased operating costs and the impact of the regional political instability on the overall aviation industry.” It added: “The board of directors took the decision to suspend the operations until further notice. We believe this decision is in the best interest of the airline and its shareholders. We will take this time to reevaluate the best options available for RAK Airways future as well as those that fit the industry requirements of the emirate of Ras Al Khaimah.” 

the former anniversary day in 2012.

Colm McLoughlin, Executive Vice Chairman, DDF, said: “We are thrilled to announce such a positive year in 2013, which marked our 30th anniversary. The operation went from strength to strength with the opening of Concourse A in Terminal 3 and Al Maktoum International , with overall sales soaring to a new high. Customers are fundamental to our continued growth.” DDF sold AED1.06 billion worth of perfumes, an increase of over AED148 million over the

previous year. Perfumes now contribute 16 per cent towards total sales at Dubai Duty Free. Sales in DDF Departures rose by 11 per cent while Arrivals sales have shown a 13 per cent increase over last year. Dubai Duty Free will continue to enhance its retail operation in 2014. Dubai Duty Free currently employs 6,000 staff and of the original 100 staff who joined in December 1983, 44 remain in active service. 

Emirates firms up order for 50 additional A380s

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mirates Airline and Airbus have completed discussions and signed the firm contract for 50 additional A380s originally announced at the Dubai Airshow 2013.

Tim Clark, President of Emirates Airline, said: “The A380 is our flagship aircraft. It is popular with our customers and delivers results for us in terms of operational performance. That is why we have ordered these additional 50 aircraft, to add to our A380 fleet.” John Leahy, Airbus Chief Operating Officer, Customers, said: “This order is a major vote of confidence in the A380. Since delivery of their first aircraft in July 2008, Emirates’ A380 fleet has grown to be the largest in the world with 44 A380s in operation. We congratulate Emirates on this impressive achievement and thank the airline for their continued support of our flagship aircraft. The A380 really is a game-changing aircraft.”

Since first entering service in 2007, to date 122 A380s have been delivered, to ten world class carriers. The aircraft flies 8,500 nautical miles or 15,700 kilometres non-stop, carrying more people at lower cost and

with less impact on the environment. The spacious, quiet cabin and smooth ride have made the A380 a firm favourite with both airlines and passengers, resulting in higher load factors wherever it flies. 

Emirates circles the globe 18000 times in 2013

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mirates’ aircraft flew around the world more than 18,000 times in 2013, logging over 751 million kilometres, according to figures released by the Dubai-based airline. Taking the earth’s circumference at the equator as 40,075 kilometres, this translates into the equivalent of 18,753 circumnavigations, Emirates said. A total of 164,635 flights were conducted, carrying over 43 million passengers. Emirates Flight Catering loaded nearly 46 million meals aboard Emirates’ flights

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February 2014

departing Dubai. A particularly memorable day for the catering team was December 20, 2013 when a staggering 157,308 meals were produced, breaking their previous record of 147,722 on March 1, 2013.

Tim Clark, President, Emirates Airline, said: “2013 has been another impressive year for the airline. We continue to raise the bar in the industry with investment, innovation and the expansion of our services globally, bringing unrivalled

value for money to the millions who travel with us.” Throughout the year, the airline has received 24 new aircraft – a combination of Airbus A380s, Boeing 777s and 777 freighters, while nine new passenger routes were launched. Hanoi, Chicago, Kano in Nigeria and Quito in Ecuador have been launched as cargo only destinations. The first major milestone of 2013 was January’s opening of Concourse A, the world’s first purpose built A380

concourse. The giant building with 20 A380 gates is over 800m long and houses the largest airline lounges in the world. The most headline grabbing news of 2013 was the dramatic announcement at November’s Dubai Airshow. Held for the first time at the emerging aviation city of Dubai World Central, Emirates ordered 200 aircraft - 150 Boeing 777Xs and 50 A380s. At $99 billion, it was the largest order in civil aviation history. 


Middle East in Focus

Big plans for Saudi aviation sector E fforts are underway to privatize four major sectors of Saudi Arabian Airlines (Saudia), including Prince Sultan Aviation Academy and Saudia Private Airline. A report in Arab News said

Saudia has already privatized five units including catering, cargo, ground services and Saudia Aerospace Engineering Industries. This year will witness the privatization of about 70 to 80 percent of our strategic units. The privatization efforts have enabled the organization

to increase its revenues. The profits of ground services reached SR600 million while the Catering Company makes a profit of SR400 to SR600 million. Saudia cargo also made profits. Saudia also plans to purchase 35 new aircraft to beef up services in the domestic sector. The airline aims to transport 22 million passengers between Saudi cities by 2020. Saudia would receive the remaining 20 aircraft of a previous 90-plane

Middle East Falcon fleet to double

order within two years. These aircraft will have three classes and their business class will have sleeper beds. In 2013, the airline transported a record 25 million passengers and expects to carry more than 26 million in 2014. The addition of 70 Airbus and Boeing aircraft to the fleet is another major achievement. The airline reported a 300 percent increase in the number of website users while the electronic sales grew to SR2.7 billion. 

Wizz Air records 12 per cent growth in 2013

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“The business jet market in the Middle East shows promise for a healthy future.”

Trappier, Chairman and CEO of Dassault Aviation, said:

Falcons continue to meet the demands of Middle East customers, who appreciate the operating performance and flexibility, cabin comfort and technological excellence. More than 30 aircraft have been delivered to customers in the region over the past five years, nearly doubling the regional Falcon fleet to 67 aircraft. 

assault Aviation is expecting the doubling of Falcon business jets fleet in the Middle East. The region is also expected to be a major market for the all new Falcon 5X, due to enter service in mid-2017. The Middle East is a vital market for business aviation and, with the gradual recovery of the worldwide economy; it is once again showing signs of sustained growth. Eric

izz Air, the largest lowcost airline in Central and Eastern Europe which was the launch airline for Al Maktoum International Airport, has announced that it carried 13.5 million passengers in 2013, representing growth of 12 per cent year on year, with an average load factor of 86 per cent. The Wizz Air fleet currently consists of 45 Airbus A320 aircraft which will grow to 53 in 2014 with the deliveries of brand new airplanes from Airbus. This fleet will serve a growing network including the already announced opening of the airline’s 18th and 19th

operating bases in Lviv, Ukraine, and in Craiova, Romania, in 2014. Existing operations inBucharest, Budapest, Skopje, Sofia, Vilnius and Warsaw will also expand in the coming month.

József Váradi, CEO, Wizz Air, said: “We are now having over 300 routes to 35 countries on sale. We offer very low fares that are affordable to everyone and also a great variety of additional products and services for consumers to create a personalized travel experience based on their preferences.” 

Work on six new Oman airports on track

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he airport projects in Sohar, Ras al Hadd, Duqm and Adam as well as the expansion of Muscat and Salalah airports has set the Sultanate’s air transport infrastructure on high growth trajectory. Oman Observer reported that the Sultanate’s aviation industry has grown steadily over the last decade. The government has earmarked

$6.1 billion over five years for aviation projects, which includes major terminal developments at Muscat and Salalah international airports, and completion of four new regional airports at Sohar, Ras al Hadd, Duqm and Adam. While eight per cent of the $6.1 billion is earmarked for the completion of the four regional airports, 92 per cent is allocated

for the two primary airports in Muscat and Salalah.

“Our airports have been growing at roughly 15 per cent per year,” says Salim al Aufi, CEO, Public Authority for Civil Aviation (PACA), an independent government body formed to facilitate and monitor the development of Oman’s aviation sector.

The new Muscat International Airport is expected to see the full operations by the end of 2014. Currently the airport handles eight million passengers per year with an average growth of 16 per cent. The new Muscat airport is designed to handle 12 million passengers and it can be easily extended.  February 2014

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Cover Story

UAE airspace system to handle 1.2 million aircraft movements by 2025 Gulf airports turning to innovative technology to end airspace bottlenecks

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he UAE, emerging as the new cross-roads of global air travel map, is grappling with mitigating the airspace bottlenecks and increasingly looking towards innovative technology and solutions.

Aviation Organisation (ICAO), the investment in developing new and expanding the existing airports to meet the demands of the region’s fastgrowing airlines has resulted in airspace capacity becoming The airspace will come under an ‘emerging’ issue as current enhanced pressure with UAE constraints limit capacity and getting the rights to host the force ‘inefficient’ routings. Expo 2020 whose three-fourth The ICAO says there are visitors are expected to be from “delays and bottlenecks” outside the UAE. According in UAE’s Flight Information to the International Civil Region (FIR) due to heavy air Is the problem of crowded skies in Dubai and the GCC region needs a top priority?

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February 2014

As the Aviation Sector contributes to almost 30 per cent of the GDP of Dubai, it is of utmost importance, that present growth can be

traffic. In order to effectively manage air traffic in UAE skies through to 2030, Airbus Prosky, which was commissioned by General Civil Aviation Authority (GCAA) last year, made 53 recommendations to mitigate the situation. In an exclusive interview with Via Dubai, Ibrahim Ahli, Director of Dubai Air Navigation Services (DANS), shares insights into the airspace constraints and what is being done to clear the crowded skies.

sustained. The hub concept of Dubai International is built upon the foundation of ‘on time’ departures and arrivals. The importance

of managing the UAE airspace efficiently is obvious, but the importance of harmonization with adjacent (and beyond) states is im-


Cover Story perative. We need to boost cooperation to meet the growth.The UAE airspace system currently handles approximately 600,000 movements a year. By 2025 it needs to accommodate in the range of 1.2 million movements. This target is broadly equivalent to the current volume of traffic handled in the New York or London areas. So the answer is yes – this needs to be given top priority.

The GCAA, with inputs from DCAA, has worked with Airbus Prosky for airspace ‘enhancement’ and ProSky recommended 53 areas/issues for improvement? Do you think it will help? Is enhancement the answer in the long-term? As an immediate result of the study, two working groups have been formed to enhance the airspace capacity. One of the working groups is led by DANS. There will be short, medium, and long term solutions, and presently we are looking at the development and implementation strategies. Airspace changes are complicated, and take relatively long time to implement, why this has to be addressed with high importance. Local and Regional issues are highlighted in the report, so we must remain committed as one aviation community to expedite change through pragmatic collaboration and deliver sustainable solutions that are for the benefit of all stakeholders.

velopment of the airspace. Detailed capacity demands are being modelled as we speak, but it is too early to elaborate on this right now. Within a few months, detailed strategies will be set out.

Is technology more of help in the future in the air navigation and air space management? How big are the investments being put to modernize and upgrade the systems and equipment in Dubai airports? New technologies will support the modern airspace development and management. We are constantly in progress developing procedures, which are cutting edge, and leading the development within the industry within certain areas. These procedures are and must be supported by modern technology, and large investments are made and being projected in this area. The return on investment is considerable, when you are able to increase the throughput.

ogy. We have since many years built up relationships with prominent, well reputed companies, leading the development in Sesar (EU) and NextGen (US).

Aviation industry suffers from acute shortage of pilots, how does the picture look like for ATC operators? Traditionally, the demand on ATCOs is following the same trend, but as long as we are offering attractive packages and working conditions, we will be able to cope with the situation. Furthermore, DANS will intensify the education and training of nationals, in order to cater for the longterm requirements.

What are the prospects of cooperation in the Middle East to meet the expected 450 million passengers by 2020? A region wide cooperation is mandatory to sustain the rapid growth of aviation in the Middle Eastern region. Urgent attention and commitment is required in order to maintain safety and deliver necessary airspace capacity. I truly believe that the industry leaders and politicians in the region have identified this fact, and will take necessary action. DANS is committed to full support of working groups and other efforts that will deliver what is required. Only close cooperation will be successful in meeting the challenging targets. 

How global companies can help Dubai, UAE and GCC towards this end? We are well equipped with expertise and knowledge, but in this rapidly growing environment, we require the Best Practices and technol-

Aviation will be an area of focus in terms of infrastructure development in the run up to the Expo 2020. How these fast-track developments in the airports capacity will impact the airspace constraints? Expo 2020 will certainly put more pressure on the de-

Ibrahim Ahli February 2014

9


Exclusive

Singapore Airshow gets bigger

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he 2014 edition of Singapore Airshow, Asia’s largest and one of the most important aerospace and defense exhibitions in the world will be held from February 11 to 16. The biennial event, organised and managed by Experia Events, recorded deals worth over US$31 billion in 2012. In an exclusive interview with Via Dubai, Jimmy Lau, Managing Director of Experia Events, shares highlights of the 2014 edition. This is the fourth edition of the airshow? How has been the journey so far? Singapore Airshow has established itself as a must-attend event in the global aviation and defense calendar. The event consistently attracts more than 60 of the top 100 aerospace companies in the world. It has been successful in bringing together the highest number of highlevel military delegations and leading industry players from national airlines, airport operators, related industries and top level government officials. We are happy to announce that 99 per cent of available outdoor and indoor exhibition space has been booked weeks ahead of the show. This year, we have an increased participation from Japan and also the inaugural Hong Kong and Malaysia Pavilions. For the first time, we will have a Hong Kong Pavilion. Malaysia will also be showcasing its home-grown exhibitors under a pavilion. We are also seeing an increasing number of exhibitors taking up outdoor exhibition spaces and customising them to meet their needs, besides taking up indoor exhibition booths. Among the new exhibitors is Alpha Star Aviation Services from Saudi Arabia.

What are the major highlights of the 2014 edition? We aspire to provide exhibitors and visitors with a bigger and better experience at every edition. This year, will introduce a new ‘Feature Country’ component. This new Feature Country series will provide a platform for commercial companies to make significant inroads into the global aerospace industry and elevate bilateral trade relations between Singapore and the featured country. The US is the inaugural feature country for Singapore Airshow in 2014. Singapore Airshow

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February 2014

2014 will see the largest US presence yet with more than 150 US companies, including 70 of them in the US pavilion, along with a larger contingent of US government and private sector visitors and VIP guests. The US pavilion is also the largest country pavilion at this year’s show, forming about a third of the total number of exhibitors. According to a report by Cap Gemini, the US is, by far, the world’s largest aerospace and defense market, with revenues close to US$543 billion.

Are there any knowledge-sharing events during the show? The growing demand for air travel and the resulting recruitment of new pilots and technicians is creating an increasing demand for the civil aviation and simulation market. Airlines and flight schools are acquiring new simulation devices and updating existing systems to meet safety and training regulations for pilot training. Singapore Airshow 2014 will be debuting an Aviation Training Zone. The new zone will provide a platform for companies to showcase their products and expertise to tap on this demand. The show will also feature strategic conferences, including the Singapore Airshow Aviation Leadership Summit (SAALS), Asia Pacific Security Conference (APSEC) and the A*STAR Aerospace Technology Leadership Forum. S AALS will focus on the key issues affecting commercial aviation as well as the next steps for building a sustainable industry. APSEC will discuss several trends, including the emergence of China as a regional military power and the US rebalancing towards Asia. A*STAR Aerospace Technology Leadership Forum will see leaders from major aerospace companies share their insights on the challenges and developments in commercial aviation.

What about new aircraft to be displayed and aerobatic shows? This year, visitors will see a wide range of business jets, executive jets, military aircraft and transport planes. There will also be military and commercial helicopters as well as UAVs on display. Aerobatic Displays will include performances by Black Knights, the Republic of Singapore Air Force (RSAF) aerobatics team. They will be flying six F-16C Fighting Falcons in Singapore’s traditional white and red colours.

What is the aviation and aerospace industry scene at the world level in general and Asia Pacific and Middle East regions in particular? The Asia Pacific region is fast becoming the world’s focal point with phenomenal aviation traffic growth. According to the Airbus Global Market Forecast 2013, the Asia Pacific region will continue to be one of the three largest regions in terms of airline domicile, accounting for 34 per cent of global traffic in 2032. The demand for both passenger and business aircraft in the region has also increased. According to IATA figures, the Middle East and the Asia Pacific regions are expected to see the strongest international passenger growth over the next four years, with a compound average growth rate of 6.3 per cent and 5.7 per cent, respectively. The Middle East is predicted to lead global aviation industry growth over the next four years, with the UAE alone

adding 29.2 million passengers by 2017. This forecast was demonstrated by the strong demand at the Dubai Airshow 2013, where a record value of deals was announced (over $200 billion). The Asia Pacific region is expected to add around 300 million additional passengers by the end of the current forecast horizon.

How much business you are anticipating at the 2014 show? We are hopeful that Singapore Airshow 2014 will be a bigger and better show than the last edition. For more information, you can visit www. singaporeairshow.com 

Jimmy Lau


International

Singapore plans to double airport capacity S

ingapore has announced plans to double the capacity of Changi international airport over the next decade with two terminals to meet the expected traffic growth. The second busiest airport in Asia for international travel is projected to handle five per cent more passengers each year through the next decade, according to media reports which

Shanghai handles 80 million passengers

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hanghai has become the seventh city in the world to handle 80 million air passengers, according to CAPA Aviation News. China’s Shanghai Pudong and Shanghai Hongqiao airports handled combined over 80 million passengers last year, becoming the seventh city in the world after London, New York, Tokyo, Atlanta, Paris and Beijing. Between 2004 and 2013, annual passenger numbers at the airports have increased from 35.9 million to 82.7 million, cargo volume has increased from 1.9 million tonnes to 3.3 million tonnes and aircraft movements have increased from 329,500 to 614,800. During this period, the number of airlines serving Shanghai increased from 49 to 93 and the number of destinations increased from 162 to 239. China’s civil aviation industry has maintained steady growth in 2013. In the 11 months to November 2013, China’s civil aviation achieved 6.3 million safe hours of operation and 2.8 million aircraft movement. 

quoted Transport Minister, Lui Tuck Yew, as saying. A fourth terminal is expected to be built by 2017 at a cost of $1 billion to handle 16 million passengers annually, while the fifth is designed to handle 50 million travelers but could be upgraded to a mega terminal to increase the capacity to 70 million. 

Kenya to build new airport terminal

Mumbai unveils revamped international airport

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umbai, India’s financial capital, has unveiled its $2 billion new airport terminal in the first week of January. The renovated Chhatrapati Shivaji International Airport was delayed for nearly two years and overran its construction budget by 25 percent. The project was dogged by political disputes, regulatory snarls and difficulty reclaiming more than 120 hectares of airport land near the runway. The finished terminal has a sleek and airy

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design and abundant greenery and some 7,000 pieces of Indian art are the centerpiece of the terminal, embedded in a three-kilometer-long internal wall that runs along the departure and arrival gates of the four-story building. The check-in facility has a gleaming-white, 4.5-hectare roof with dozens of skylights that resemble the plumage of a peacock, India’s national bird. The 700,000-sq.ft. retail and gateway areas feature more than 1,000 lotus flowershaped chandeliers. 

enya has performed the groundbreaking ceremony of the construction of the ultramodern terminal at the Jomo Kenyatta International Airport (JKIA), hoping the new terminal could transform the airport into a regional aviation hub. The 178,000-square-meter, $645 million terminal will give JKIA an extra handling capacity of 20 million passengers annually while boosting the airport’s status as a regional hub of international standard. The project is expected to be completed in 2017 and will comprise 50 international check-in counters, eight air bridges for aircraft to dock, 45 aircraft parking stands on the linked apron space and an additional runway. The project, the single largest ultramodern facility in Africa, will be undertaken by two Chinese companies, ACEG and CATIC. The new facility will boost cargo handling capacity to cement Kenya’s position as the leading airport in terms of cargo throughput in Africa. 

Incheon airport crosses 40 million passengers mark T

he annual number of passengers using Incheon international airport passed the 40 million mark for the first time since its opening. The 40 millionth visitor, a Chinese, received a key that represents good luck and round-trip tickets and duty-free gift card. Nearly 39 million passengers used the airport in 2012. The number of passen-

gers using Incheon airport has grown by 6.4 per cent year-on-year on average since its opening in 2001 when merely 14 million used the airport. The number of airlines providing service in Incheon went up from 47 to 84 over the past 13 years, while the number of cities linked by the airport rose from 109 to 176 with increasing

transfer passengers from 1.63 million to 7.06 million during the same period. Despite rapid growth in passengers, Incheon has remained in top position being ranked first by ASQ for the eighth year in a row. It takes only 19 minutes for departure and 12 minutes for arrival in Incheon which are three times faster than ICAO’s standard.  February 2014

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Opinion

Incredible India’s aviation industry

Ajit Singh Minister for Civil Aviation Government of India

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ndia is currently the ninth largest aviation market handling 121 million domestic and 41 million international passengers with more than 85 international airlines operating to India and five Indian carriers connecting over 40 countries. The Indian airport system is poised to handle 336 million

domestic and 85 million international passengers by 2020, making India the third largest aviation market. Moreover, it is estimated that commercial fleet size is expected to reach 1000 aircraft worth $45 billion from 400 today by 2020. Besides, the government has envisaged investment of $12.1 billion in the airports sector during the 12th Plan period, of which $9.3 billion is expected to come from the private sector for construction of new airports, expansion, and modernization of existing airports and development of low cost airports. The government, in tune with general policy of liberalization, allows 49 per cent Foreign Direct Investment (FDI) by foreign airlines in Indian carriers. The results of

this policy are already visible as two new scheduled airlines: Air Asia and Tata SIA are going to start their operations in near future. This is in addition to the FDI of $350 million by Etihad in to Jet Airways. India has also adopted liberal policies regarding bilateral air services agreement, partnerships and code-sharing. The development of GPS Aided Navigation System (GAGAN) is another significant step. We have also allowed Flexi Use of Airspace by civil and military users, which permits them to efficiently and effectively utilize the available airspace on sharing basis. Another important move is the privatization of five major airports including Delhi and Mumbai airports under PPP

mode and also development of Greenfield airports. We have also initiated the process of privatizing another six airports through PPP. The decision of modernisation and development of 50 new airports in Tier-II and III cities is another significant step. The gap between potential and current air travel penetration which is currently 0.04 airstrips per capita per annum, highlights the huge potential for the air traffic growth in India, considering a relatively higher trajectory of economic growth coupled with necessary government support.  Excerpts from a speech at the US-India Aviation Summit, Washington, DC.

Building a seamless global airspace

Michael Huerta Administrator Federal Aviation Administration (FAA), USA

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am in awe of how far aviation has come over the past several decades. Safety has made great leaps. New aircraft are smarter and more energy efficient. The latest technologies are transforming the way we manage air traffic. ICAO remains an important piece in the safety of aviation, and its technical groups are making tremendous progress. Safety harmonization and coordina-

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February 2014

tion is reaching a new level. Sharing information that could potentially affect the safety of flight in any country is crucial. We need to invest time and effort in forums that support collaboration. An effective and solid safety oversight program is paramount for the success of any country’s aviation system. The culture of effective safety oversight starts at the very top of an organization, and filters down to every level. Each aviation authority must maintain a strong safety structure within the global context. In the US, we are transforming the way we manage air traffic through NextGen. We are evolving from ground-based radar to a satellite-based system of tomorrow. This will help us move more air traffic efficient-

ly, while reducing flight times and emissions. This upgrade to satellitebased technology is beginning in many locations across the globe. And a way to help further that progress is the ICAO Global Air Navigation Plan. This plan helps to harmonize and advance air traffic management globally. With the tremendous growth in air traffic, we must make these upgrades and modernize our system. Economic growth is also bolstered by airports that have invested in long-term planning with the objective of meeting the growing aviation demand of the future. We need to continue to research and develop alternative fuels. The way of the future is to invest in equipment and aircraft

that create more efficient routes and fewer emissions. Collaboration with one another is the key to success on environmental issues. As we celebrate the inherent international connection in aviation, let us acknowledge the tremendous accomplishments we have seen in flight throughout the world. And, by agreeing to move forward collaboratively, we will continue to see growth, trade, and expansion across the globe, linking us all even closer.  Excerpts from a speech at the Trade Development Agency’s Aviation Summit in Washington


Opinion

Middle East benefitting from air transport liberalization

Director General Airports Council International (ACI)

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ccess to air transportation has become fundamental for social and economic development. In terms of overall regional growth rates in passenger volume, we see that the Middle East was the fastest growing, at 13 per cent, with their governments and airlines taking the biggest advantage of liberalization. At ACI, we have developed a rigorous training ca-

pacity, focused initially around safety competence but now encompassing all areas of airport management and operations. We are expanding our capability to deliver curricula in other languages than English, starting with French and Spanish a few years ago, and moving into Arabic and Chinese. With the strong support of ICAO, we launched the Airport Excellence in Safety program (APEX in Safety) based on the concept of peer review that has long been used by airports in their other business activities such as master planning. ACI places a high priority on safety and efficiency and this naturally applies to ground handling. Ground handling errors have expensive consequences, causing operational delays, damage to aircraft, and involving

injuries and even deaths. ACI intends to introduce new practices for standardized reporting of safety-relevant events at airports. We are currently developing a Recommended Practice for airport operators and this would include a section on ground handling. ICAO has no specific Standards and Recommended Practices (SARPs) for ground handling operations so it is essentially unregulated at the global level. IATA has the IATA Safety Audit for Ground Operations (ISAGO) program which aims to improve ground safety and reduce accidents and incidents. We are envisioning IATA to provide inputs into the ACI Airside Safety Handbook, which would take into account the air carrier’s perspective on ground handling safety.

We would provide IATA airport operators’ concerns for inclusion in a revised IATA Ground Operations Manual (IGOM). The ACI Safety & Technical Committee will give its recommendations, at the ACI World Annual General Assembly in May 2014 in Seoul. What is certain is that operations of airlines, airports and ground handling are interwoven as we all work together for the benefits of timely, efficient and safe air operation.  Excerpts from a speech at the 15th Annual Ground Handling International Conference in Madrid

Long term approach for ATM data management

Jeff Poole Director General Civil Air Navigation Services Organisation (CANSO)

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ne of the key innovation drivers of ATM modernisation programmes, like SESAR in Europe and NextGen in the US, is the shift from a structured route network to a trajectory-based network. This trajectory-based concept of operations should enable planes to fly more efficiently, safely and

cost-effectively. Air Traffic Flow Management (ATFM) and Collaborative Decision Making (CDM) are areas which are already revolutionising ATM. The concept of SWIM – System Wide Information Management – covers a complete change in how information is managed along its full lifecycle and across the whole ATM system. The pricing mechanisms and systems used to provide revenue for ANSPs has not kept pace with the advances in technology that are transforming ATM performance globally. Many ANSPs are simply not equipped to manage their existing revenue effectively, let alone cater for future demands. Today most revenues are collected through simple billing services which are still handled by the old back-office structures

of the past. They are slow and ignore the hidden internal costs of inaccurate and incomplete data, invoicing delays, payment delays and other issues that plague today’s customers. These inefficiencies represent at least six percent of total revenue. We therefore need fresh thinking and a new approach to revenue management. ANSPs need a modern, sophisticated, and purpose-built solution to optimise yields on ATC investments and on the airspace assets being managed by them. Addressing the inefficiencies by implementing an effective revenue management system can deliver significant operational and financial benefits to ANSPs and their customers. Flightyield, a new quality service from CANSO, is a next

generation aeronautical billing service for air navigation service providers (ANSPs). We need a long term approach for ATM data management. We believe that a global airspace information system should be integrated and holistic, interactive, and able to be handled and used consistently to manage and transform the ATM business. The great enabler that will make this happen is cloud technology. The ATM industry must seize the opportunities offered by Big Data. It holds significant promise for the aviation industry, and poses both opportunities and challenges.  Excerpts from a speech delivered at SITA Europe Aviation ICT Forum 2013 in Vienna

February 2014

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Buying for the future From Australia to UAE and Canada to China, airlines are in the race of fast-tracking their fleet modernization. This is said to be the ‘largest jet-buying spree in the history of civil aviation’ with orders for 8,200 new planes being placed with Airbus and Boeing. A combined 24 planes are rolling off assembly lines each week.

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slew of factors like accelerating number of air travellers, rising fuel costs, tightening environmental regulations, safety and maintenance concerns, successful emergence of budget carriers, route expansion, demand for onboard services and, more importantly, profitability are prompting a growing number of airlines to acquire newest aircraft for their fleets.

ry week -- models like the A321 from Airbus or the Boeing 737.

Most airlines keep their aircraft for 20 to 30 years of use as passenger aircraft before converting them into cargo carriers. Keeping its fleet young means that the airline needs to plan in advance, as it takes a period of five to seven years before new aircraft arrive at its hangars. From Canada to China and Australia to the UAE, every geographical region or airline appears to be in the race of fast-tracking their fleet modernization. A recent report by AP says airlines are on the ‘largest jet-buying spree in the history of civil aviation’, ordering more than 8,200 new planes with manufacturers Airbus and Boeing in the past five years.

Airbus and Boeing There are now a combined 24 planes rolling off assembly lines each week, up from 11 a decade ago. Other aircraft manufacturers like Bombardier and Embraer are also having a busy time signing deals for their new aircraft. Boeing said it ended 2013 setting company records for deliveries and unfilled orders for commercial aircraft as it ramps up production to meet demand. It delivered 648 commercial airplanes last year, an increase of 7.8 per cent from 2012. Its backlog of orders stood at 5,080, a new high in its history. After a record 1,531 commercial orders, Boeing ended the year with 1,355 net commercial orders, the second-largest in its history. Airbus delivered 626 planes last year, a company record but

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February 2014 February 2013

still 22 fewer than Boeing. The European aerospace conglomerate’s last year order rose to 1,169, nearly twice its expectations. The order backlog — jets it plans to deliver in coming years — sits at a record 5,559. The backlog for A320s — including the more fuelefficient A320 neo in coming years — sits at nearly 4,300 planes.Ray Conner, Boeing Commercial Airplanes’ President and Chief Executive, said: “We delivered more advanced, fuel-efficient airplanes to our customers than ever before.”Experts says that rate of aircraft acquisition is expected to keep climbing by the end of the decade by which time the number of air travelers across the world will reach the four billion mark.

airline’s operating cost goes towards fuel. The price of jet fuel has increased nearly four times in the past 10 years, creating the need for replacing aging, gas-guzzlers from the airlines fleets.

On average, every day more than eight million people fly. In 2013, total passenger numbers were 3.1 billion — surpassing the three billion mark for the first time ever. That number is expected to grow to 3.3 billion in 2014, equivalent to 44 per cent of the world’s population.

At the end of 2013, Delta Air Lines retired the last of its DC-9s, a 35-yearold jet that had been the workhorse of US airlines for decades. Over the past five years US airlines have retired nearly 1,300 other planes in the last five years, according to Flightglobal’s Ascend Online Fleets.

Substantial fuel costs

American’s old 757 will be replaced by one of 460 new single-aisle jets that the airline ordered three years ago. American is currently taking delivery of an additional new plane eve-

Experts says the new planes allow the airlines to save on fuel, now their biggest cost – about 30 per cent of an

Airlines are also in the race towards offering more amenities to passengers -- some for a fee. Passengers can plug in to work or be entertained by a seat-back TV and fly some international routes nonstop for the first time. The successful emergence of budget airlines and fleet expansion by new or quickly-growing airlines are also leading to demand for newest versions of aircraft.

American angle

Southwest Airlines, JetBlue Airways, Spirit Airlines are among the carriers that have placed large orders for new aircraft. Nearly 1,500 new planes will be delivered to US airlines by Airbus and Boeing over the next decade. United is replacing some of its domestic 757s with 100 new energy-saving 737-900ERs. American Airlines had signed a firm agreement for 30 Bombardier CRJ900s with an option on another 40 aircraft.Mary Prettyman, Vice President of Strategic Marketing for the Americas at Airbus SAS, told AP: “We are producing twice as many airplanes today as we were 10 years ago. It will take Airbus eight years to fill all its current orders. It’s unprecedented.”Randy Tinseth, Vice President of Marketing for Boeing Commercial Airplanes, adds: “The whole operating economics of the industry has changed.”

Canada and Europe Air Canada has made a big deal for new narrow body planes that will see its fleet dominated by Boeing aircraft. The airline will purchase 61 of Boeing’s new 737 MAX aircraft to replace its aging fleet of larger Airbus narrow body aircraft, in a deal valued at $6.5-billion based on list price. Lufthansa has predicted lower fuel and unit costs as it shifts to bigger, more efficient planes and its savings plan takes hold, lifting the stock by the most in more than four years. Lufthansa is adding Boeing 747-8i jumbo jets and Airbus A380 doubledecker planes to its fleet, according to a Bloomberg report. British leisure carrier Monarch Airlines, as part of its fleet renewal programme, is expected to announce an order in the first quarter of 2014 for a total of 60 new aircraft with a list price value of $6 billion for delivery up to 2024. The airline said its initial financial evaluation suggested the


In Focus

new aircraft would significantly improve cost per seat. An average age of 6.2 years of fleet helped Turkish Airlines decrease the operational costs and improve fleet efficiency in terms of aircraft utilization and reliability. A young fleet gives the costumers a chance to enjoy the newest technology and product comfort, claims the fourth largest carrier in Europe.

in terms of operational performance. That is why we have ordered these additional 50 aircraft to add to our A380 fleet. “ flydubai has firmed an order for 75 Boeing 737 MAX 8s and 11 Boeing 737-800s.The deal, the firm part of which the manufacturer values at $8.8 billion at list prices, also includes purchase rights for 25 more Boeing 737 MAXjets.

Emirates and flydubai

At Dubai Airshow 2013, it had announced a commitment for up to 100 Boeing 737 MAX jets and 11 more 737-800s, to add to 50 Boeing 737800s already in service or on order. Ghaith Al Ghaith, CEO of flydubai, said:” “The confirmed order signifies the maturing of the airline and the strength of our business model as well as support our ambitious growth.”

Emirates Airlines has signed a firm contract for 50 additional Airbus A380 aircraft in a deal valued at nearly $20.2 billion at list prices, bringing the airline’s total order for A380s to 140. Emirates, at the Dubai Airshow 2013, placed its highest ever order for a total of 200 aircraft — a mix of Airbus and Boeing — at a combined valued of $99 billion in list prices. The order is split between 150 Boeing 777X aircraft (35 Boeing 777-8Xs and 115 Boeing 777-9Xs) in addition to options for 50 more planes, valued at $76 billion, and an additional 50 Airbus A380s valued at $23 billion. Tim Clark, President of Emirates Airline, said: “The A380 is our flagship aircraft. It is popular with our customers and delivers results for us

Etihad Airways Etihad Airways has over 220 aircraft on firm order, including 71 Boeing 787 Dreamliners, 25 Boeing 777X, 62 Airbus A350s, and 10 Airbus A380s.Air Arabia, the first and largest low cost carrier in the Middle and North Africa, is also acquiring new aircraft to strengthen its fleet to meet

the growing demand. In 2007, Air Arabia placed an order for 44 Airbus A320 aircraft. Ten planes will be delivered in 2014, while ten more are expected for 2015 and two new aircraft will be delivered in 2016. Qatar Airways has more than 230 aircraft on order including Boeing 777 and 787 and Airbus A380 and A350 (launch customer). At the Dubai Airshow 2013, the carrier announced an order for Boeing’s 50 777X worth $19 billion. Saudi Arabian Airlines (Saudia) has plans to purchase 35 new aircraft to beef up services in the domestic sector. Saudia will receive the remaining 20 aircraft of a previous 90-plane order within two years. The airline claims that the addition of 70 Airbus and Boeing aircraft to the fleet is another major achievement for the company. Iran, following the lifting of international sanctions on its aviation industry, is in need of fleet modernization. It is said that over 60 per cent of Iran’s 220 aircraft are currently grounded.

China and India According to the Shanghai-based Commercial Aircraft Corporation, the

number of passenger aircraft in China will rise from 1,969 in 2012 to 6,494 in 2032, accounting for 17 percent of the global total. Officials say that mainland carriers plan to double the size of their fleets to 4,000 aircraft by 2025. China already builds some small regional aircrafts and has announced plans to challenge Boeing and Airbus in the market for big jets by 2020. Airlines in India are expected to add 370 aircraft to their fleet by 2017, according to a study by Assocham. Air India has now one of the world’s youngest fleets whose average age is only 2.5 years. This means a lot to the government-controlled airline who has not been profitable since its merger with Indian Airlines in 2007. The younger fleet is the result of Air India’s purchases of 111 brand-new aircraft, 68 units of which from Boeing Company and 43 units from Airbus. In January last year, Air India took delivery of its latest Boeing 787 Dreamliner. The airline had a firm order of 27 Dreamliners which shall all be delivered by 2016. IndiGo has been inducting a plane every month and runs a fleet with an average age of two years and one month.  February 2014 February 2013

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Cargo & Logistics

Glenbeigh opens AED25 million facility at DWC G

lenbeigh Records Management (GRM) has opened its facility at Dubai World Central (DWC) in the presence of Sheikh Ahmed bin Saeed Al Maktoum, President of DCAA and Chairman of Dubai Airports and Dubai Aviation City Corporation, and the Irish Prime Minister Enda Kenny. Sheikh Ahmed said: “The UAE and Ireland have excellent business relations and what makes our partnership with Glenbeigh even more significant is that it represents a decisive step towards strengthening business and economic ties with Ireland as a whole. We aim to encourage more Irish enterprises to discover the wealth of opportunities that await them in DWC, the Dubai and the whole of the UAE.”

The firm has invested AED25 million in a 70,000 sq. ft. purposebuilt facility located in DWC. The site offers state-of-the-art storage solutions and advanced security systems guaranteed to protect corporate information assets. GRM specialises in offsite document storage, scanning and imaging solutions, offsite media storage, vault storage, document destruction, and consultancy, all designed to support businesses in managing and safeguarding their data. Eng. Khalifa Al Zaffin, Executive Chairman, Dubai Aviation City Corporation, said: “Dubai World Central is a vital component for the long-term social and economic development of the emirate. Being chosen as the venue for Expo 2020 has further enhanced

its position as an integrated global city providing strategic links with the international markets. The partnership with Glenbeigh Records Management will enable them to

tap into the region’s growing trade and business, and will find several opportunities not only with the companies establishing their base at DWC but even beyond.” 

UAE to be among five big global freight markets by 2017

Another successful year for Emirates Skycargo

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mirates SkyCargo has expanded its network and range of destinations for its customers by launching four new routes in 2013 - Hanoi, Chicago, Kano and Quito. Emirates SkyCargo operations will move to Dubai World Central (DWC) Al Maktoum International Airport which is set to become the home of its freighter operations from April 2014. Upon completion of the first phase, followed by the installation of the cargo handling system and the fitment of the interior by April 2014 and full completion by mid-September, the terminal will be equipped to handle 700,000 tonnes of cargo and can be further expanded by an additional 300,000 tonnes in the second phase. 

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February 2014

Qatar freight market to grow further

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he International Air Transport Association’s (IATA) Airline Industry Forecast 2013-2017 shows that international freight volumes are expected to grow 17 per cent over the next five years. IATA said air cargo is a key enabler for the movement of high value products and perishable goods around the globe. More than $6 trillion worth of goods is air freighted annually, accounting for around 35 per cent of total world trade. IATA Director General and CEO, Tony Tyler, said: “The relationship between international trade and GDP has broken down owing to rising trade barriers and ‘on-shoring’ of production. The successful conclusion of the WTO talks potentially could be very important in kickstarting trade growth.

Air cargo needs to work together as an industry to improve its competitiveness and enhance the quality of its service to customers.” The report said international freight volumes are expected to grow at a five-year compound annual growth rate (CAGR) of 3.2 per cent. The US and China are likely to add more than one million additional tonnes each over the forecast period. As a result, China will supplant Germany as the second largest air freight market in 2017. Hong Kong and the UAE will both contribute more than 700,000 tonnes each to the additional freight volume during the five year period until 2017. The estimated imbalance in annual freight traffic flows from Asia to North America is expected to reach 1.1 million tonnes in 2017. 

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Fast Market Research report has suggested that the air freight volume at the Doha International Airport will grow by 3.3 per cent in 2014 and to average 4.2 per cent to 2018. Media reports suggested Qatar’s transportation and logistics market is reported to have made around $7545 million in revenue last year, registering an impressive climb of 16.5 per cent from the previous year. By 2016, this market is expected to soar to over $11,930 million. Qatar Airways Cargo has played a crucial role in establishing Qatar as a logistics hub. At the 2013 Dubai Air Show, Qatar Airways had placed orders for more than 60 new aircraft – a mixture of Boeing 777X and Airbus A330 Freighters. 


Technology

British Airways testing E-Ink luggage tags

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he E-Ink luggage tag has been approved by IATA and is currently being tested by Vanguard ID and British Airways. Known for its low power consumption and cost, E-Ink technology used to be commonly associated with e-readers and watches. E-Ink luggage tag comes with RFID for tracking and Bluetooth for information update. According to a company representative, the most obvious benefit for using the E-Ink luggage tag is that it is reusable, which means cost savings for airlines from not having to purchase the sticker labels. More importantly, it allows users to track the location of their lost luggage.

The biggest challenge, however, will be to ensure the tag is able to withstand the rough handling at the airports and has enough power to last through the long journey, CNET reported. The ViewTag could remove the chance of a bag getting lost, and minimize paper waste as it’s completely reusable. According to an E Ink spokesperson, the tag is being tested by various airlines, and could end up being a freebie for premium passengers, but it should be made available to purchase separately too. The ViewTag is only possible due to the E Ink screen’s tiny power needs and durability. 

‘Smart bag’ technology could end lost luggage woes

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ew technology is being tested that could be a solution to the headache of airlines losing your luggage. It’s a smart bag that users can track right from their smartphones, called the Bag2Go. After announcing the product in June 2013, Airbus is testing the technology this travel season. The bag was developed in partnership with a luggage manufacturer and the telecom company T-Systems. The companies think overhauling the outdated scan and barcode system for bag tracking should help travelers and airlines alike. With the baggage systems airlines

currently have in place, more than 3,000 bags are at least temporarily lost each hour around the world. That’s more than 20 million lost or misplaced bags each year. With Bag2Go, when a bag ends up on the wrong flight, the owner and the airline are quickly alerted. It all relies on a small SIM card – hardly new technology, but used here in a new way. The bag’s owner punches flight details into a smartphone app. The app sends the info to the SIM card, allowing the bag, the owner and the airline to stay electronically connected throughout the flight. 

New wireless entertainment system ready

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US-based company has announced a new wireless airline entertainment system which comes handy following the Federal Aviation Administration’s (FAA) approval that it was okay for airline passengers to keep using their tablets and smartphones during takeoffs and landings. The new system will let airplanes stream movies and other content directly to passengers’

mobile devices. StoreBox InFlight is a wireless network on a plane that sends out new movies, music, books, daily newspapers and games to the tablets, smartphones and laptop computers that passengers bring with them. It is touted to be an inexpensive alternative for airlines looking for new ways to provide inflight entertainment without relying on shared screens that either drop down from the ceiling or

are embedded in seat backs. The system’s equipment basically consists of lightweight servers and three wireless access points, along with a 4G connection that lets planes upload new data while at the gate. StoreBox InFlight costs $96,000 per plane vs. traditional screen systems that can carry milliondollar price tags. Nobody wants to put a $2 million system on an end-of-lifecycle aircraft.

New technology to protect Shannon Airport

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ncam Grandeye, the global innovator in technology, security solutions and 360-degree surveillance cameras, has been awarded a contract for the Shannon Airport Authority. The Glasgow-based Visual Management Systems (VMS), which selected Oncam Grandeye’s technology, will be the local integrator on the project. Shannon Airport is considered to be the gateway between Europe and the Americas. It handles approximately three million people a year, and nearly 50,000 metric tons of freight gets transported through its cargo area. The facility is enormous, with 40 check-in desks, 5 baggage carousels and 14 boarding gates (including 6 air bridges).  February 2014

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