Via Dubai Magazine | March 2014

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Monthly Newsletter issued by Dubai Civil Aviation Authority

www.viadubaionline.com

Aviation Safety high on the agenda

Inside DCAA US diplomat meets DCAA DG

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DANS signs MoU with Dubai Airports

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UAE in Focus Summit of High Expectation

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Tourism on a high growth pedestal

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Building the future of aviation together

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DAE places order for 40 ATRs

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Middle East Middle East airlines fly 9 high with 12.1% growth Kuwait Airlines firms up commitment for 25 Airbus aircraft

Volume 1 Issue 10 March 2014

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International European Parliament 13 approves draft law on passenger rights

Flashback Dubai Metro 20 A fast track journey

Emirates starts Taipei route

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8 Opinion Significant changes in European aviation in 2014 14

Athar Khan

In Focus 16

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Michael Huerta

Use aviation strategically

Civil aviation in Arab world’s economic development

Partnership for biofuel production

Abdul Wahab Teffaha

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Cargo & Logistics

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Technology 19

Tony Tyler



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

Climbing Further Ahmed bin Saeed Al Maktoum

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ince the start of the 2014, Dubai International Airport has witnessed a steady growth in the number of international passengers. The airport handled over 6.4 million passengers in January, a growth of 15 per cent compared with the corresponding month last year. This firmly underscores the success of our ceaseless progress towards becoming the world’s top airport in terms of international passengers. The relentless increase in passengers’ volume coincides with the rapid pace of expansion programme to increase the airport’s overall capacity to handle more than 90 million passengers per annum (MPPA). The $7.8 billion development plan includes construction of Concourse D, expansion of Terminal 2 and improvement to Terminal 1. Air cargo will also be immensely boosted with the shifting of Emirates SkyCargo operations to its purpose-built headquarters in Al Maktoum International Airport at Dubai World Central (DWC) in May. This will enable the airliner to better its services for its customers given the airport’s strategic location and its facilities, especially in the air and sea cargo segments. In line with these steps, Dubai Airports coordinates with Dubai Aviation

Engineering Projects (DAEP), Dubai Civil Aviation Authority (DCAA) and other concerned parties to give the finishing touches to runways modernization and upgrading project at Dubai International Airport, which is expected to start in May for completion within 80 days timeframe. Based on several strategic developmental projects to upgrade Dubai’s infrastructure that will be rolled out soon, we can say with full confidence that 2014 will be indeed a year of huge developments towards our journey of progress into the future. We also pay a huge attention to the success of our partners, who will benefit from every single development project that we carry out to serve the local, regional and international aviation industry. All our ongoing developmental project are the result of the visionary and far sighted policies of our government and the valuable contributions of all concerned parties to make this vision come true and ensure that the continued progress enhances our gains and achievements. I would like to take the opportunity to call upon everybody to continue the hard work and dedication to meet the challenges that lies ahead of us to further contribute to the enormous growth anticipated this year.

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

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Message

from the Director General

Online approval for firearms and dangerous goods transportation Mohammed Abdulla Ahli

Aviation Safety Culture

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afety is of paramount importance in the aviation industry. Maintenance of a safety culture compatible with changing times is vital to ensure industry’s continued progress and growth on sound lines. In line with the global trends of ensuring an elaborate and effective aviation safety culture, all the aviation industry stakeholders have been working towards keeping up the excellent track record that Dubai holds in this domain. At the Dubai Civil Aviation Authority (DCAA), our efforts are to enhance the aviation safety culture keep in mind the massive expansion of the aviation industry, especially taking into account the phenomenal growth of Dubai International and Al Maktoum International airports. In order to create further awareness about aviation safety culture and benefit from the best practices and policies, DCAA has hosted Aviation Safety Culture Summit in Dubai for the second successive year. The summit attracted dozens of experts and decision-makers from across the world and helped make it a platform to discuss the state of the aviation safety, the challenges that we are grappling with and the future trends. Global organizations like ICAO and IATA have been working towards this end and their measures have helped raise the security bar much to the benefit of all of us. IATA has urged governments, industry and regulators to partner to improve aviation security by embracing a globally harmonized, risk-based system. It said: “Aviation security stands at a crossroads. Global passenger numbers will be approaching four billion per year by 2017, and the ageing systems and outdated procedures of the current security system will not be able to cope. We need to change from prescriptive one-size-fits-all measures and embrace performance-based regulation if the economic benefits of aviation growth are not to be curtailed by security inefficiency.” IATA says in the face of new threats and new challenges, the culture of aviation security requires significant reform. Appropriate training of security specialists is needed by industry and regulators alike. 2

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n line with the Dubai’s Smart Government initiative, the Dubai Civil Aviation Authority (DCAA) has launched online approvals for the transportation of firearms and dangerous goods by airlines and cargo agents in compliance with ICAO Annex 18 and IATA Dangerous Goods Regulations (DGR) The applications for approvals have to be submitted online through the DCAA website – www.dcaa.gov.ae The decision, based on amendments to the Dubai Civil Aviation Policy (DCAP), cover explosives, gases, flammable liquids and solids, oxidizing substances and Organic Peroxides, Toxic and Infectious Substances, Radioactive Material and Corrosives among other material. Dangerous goods are carried regularly and routinely by air all over the world. To ensure they do not put an aircraft and its occupants at risk there are international Standards which each State, under the provisions of the Chicago Convention, are required to introduce into national legislation. This system ensures governmental control over the carriage of dangerous goods by air and gives world-wide harmonization of safety standards. ICAO Annex 18 deals with the Safe Transport of Dangerous Goods by Air. In general it sets down broad principles but one of the Standards requires that dangerous goods are carried in accordance with the Technical Instructions for the Safe Transport of Dangerous Goods by Air (the “Technical Instructions”). ICAO Member-States are required by Annex 18 to have inspection and enforcement procedures to ensure that dangerous goods are being carried in compliance with the requirements. 


Inside DCAA

US diplomat meets DCAA Director General

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ilateral relations between US and the UAE in general and Dubai in particular were discussed during a meeting between the US Consul General, Rob Waller, and the Dubai Civil Aviation Authority (DCAA) Director General, Mohammed Abdulla Ahli, during the former’s visit to the DCAA headquarters recently. The meeting is in line with the goal of DCAA to enhance cooperation with the governments and organisations at local, regional and international levels. Ways and means to further boost the relations between

the two countries in general and in the aviation sector in particular came up during the discussions. Rob, who began his duty at the US Consulate in July 2012, placed on record his appreciation for the hospitality and cooperation extended to him and the diplomatic mission in Dubai. Both sides emphasized the importance and benefits of wider cooperation in various economic domains in general and aviation in particular. They also explored the possibilities of US companies contributing to the growth of aviation sector in the emirate. 

DANS signs MoU with Dubai Airports

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n line with the instructions of His Highness Sheikh Ahmed bin Saeed Al Maktoum, President of Dubai Civil Aviation Authority (DCAA), Chairman of Dubai Airports and Chairman and Chief Executive of Emirates Airline and Group, Dubai Air Navigation Services (DANS) and Dubai Airports have signed a Memorandum of Understanding (MoU) to enhance cooperation and provide a variety of air navigation and weather monitoring services for the Dubai International and Al Maktoum International airports.

The MoU was signed by Mohammed Abdulla Ahli - Director General of DCAA & CEO of DANS, and Paul Griffiths CEO of Dubai Airports, the operator of both airports (Dubai International & Al Maktoum International) in Dubai. The agreement comes in line with the Strategic Plan 2020 of Dubai Airports and to keep pace with the exceptional growth in flight movements at both the airports, especially those belonging to the Emirates Airlines and flydubai. DANS is looking forward to providing air navigation services for the UAE airports and other airports of the world in the future. 

DCAA contributed towards the success of Safety Culture Summit

March 2014

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UAE in Focus

His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai,during the opening ceremony of Government Summit in Dubai

Summit of High Expectation Government Summit discussed the future of government services

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he second edition of Government Summit, the only global platform for the advancement of government services, that Dubai hosted in the second week of February under the patronage of His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, provided a much- needed platform for senior government officials to share best practices with their counterparts from around the world, and discuss sector-specific approaches that lead to the highest possible levels of customer experience. Bringing together government, business leaders and experts, the three-day summit provided a unique opportunity to collaborate on new and innovative ways to make governments around the world even more responsive and accessible to the people they serve. He issued a directive to expand the participation of global governments at the 2015 edition of the Government Summit and underline the position of the UAE as the world capital for government innovation. The second Government Summit was a remarkable success, witnessing the participation of 50

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governments, more than 4,600 participants and 60 speakers from around the world. Next year, the event will be much more aligned with the rapid scientific developments to help create advanced models of government services for the future. An International Prize of $1 million for the use of unmanned aircraft technology in government services will be presented next year. Another award programme will recognise the best mobile government services at the local, regional and global levels. The next edition will also enhance knowledge partnerships with international organizations such as the United Nations, OECD and ESCWA and other regional and international organizations, universities and private sector companies. Sheikh Mohammed said: “The Government Summit is a pure national product; it is also the UAE’s gift to governments across the globe and an international forum for the development of government management in order to serve humanity. The UAE continues to believe that the development of government work, stepping up its services, and creating an environment that enables human beings

to make use of their energies and achieve their dreams, is a source of stability, prosperity and well-being. The government summit is an extension of this principle, which the UAE believes in.” The Summit opened with a keynote speech by Klaus Schwab, Founder and Executive Chairman of the World Economic Forum and concluded with re-

marks from Sheikh Mohammad who described it as the summit of high expectation. Recounting his conversation with a guest at the summit he said: “One of our guests, a minister from GCC, asked me why we use the term happiness instead of satisfaction. I told him, because happiness is everlasting. It is like victory over your enemies." 


UAE in Focus

Tourism on a high growth pedestal

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hen His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of UAE and Ruler of Dubai, unveiled the Dubai Tourism Vision 2020 in May 2013, very few had an idea of the emirate’s high ambitions. In January 2014, the UAE had been named among the top 10 fastest growing tourism hotspots in 2013, according to a new report by the United Nations World Tourism Organisation (UNWTO). The vision outlined Dubai’s keenness to doubling tourists to 20 million and tripling tourism’s contribution to the emirate’s GDP to AED300 billion by 2020. After the UAE won the bid to host the World Expo in Dubai in 2020, the focus is now shifted on building the infrastructure, almost on a fast track, to handle 25 million visitors who are projected to come to the emirate for the world’s third biggest global event after Olympics and FIFA World Cup. To further stimulate the growth of its vibrant tourism industry, Dubai has initiated a series of bold new measures and incentives including fee waivers and reduced approval timeline for three and four star hotel projects. Sheikh Mohammed pronounced a string of directives to offer exciting new opportunities for hotel investors. A prime focus of the move is to cut red tape to expedite the approval process for three and

The number of tourists to Dubai is increasing

four star hotel projects. The range of incentives includes the allocation of government land at favourable rates and an exemption from fee for change-of-use of land for hotel construction. For three and four star hotels that begin operations before June 2017, there will also be an extension of the period of exemption from the 10 per cent Dubai Municipality fee to five years from the previously four years. The directives were made in response to recommendations raised by Dubai’s private sector hotel developers during a consultation workshop. According to Dubai Tourism Vision 2020, the city

Dubai wants more tourism share in economy

needs to double its hotel inventory to around 164,000 hotel and hotel apartment rooms within the next seven years. In 2013, Dubai has added around 3,000 new hotel rooms to its inventory. In line with the directives, hotel construction pre-approval process period will henceforth be reduced to two months - currently the approval process for private developers ranges from three to six months, a one-stop-shop for all sector approvals to be created (a single streamlined system will be managed by the Dubai Municipality to help reduce red tape for businesses and ensure the new reduced approval timeframes are met.

All the approval processes of planning permission for all hotel establishments in the emirate to be standardized through the Dubai Municipality (currently some free zones manage their own building regulation approval processes for hotels in areas across Dubai. These will now be moved to Dubai Municipality); Government land to be allocated for the development of three-star and four star hotels; Dubai Municipality and government-linked master developers will work with Department of Tourism and Commerce Marketing (DTCM) to identify key locations for hotels at favourable investment terms. Incentives to help ensure the development of more three and four star hotels that Dubai will need by 2020 to meet the growth in visitor numbers include: no fees on change-of-use of land for hotel usage, and the establishment of a special committee to review the re-zoning of plots: and an additional year of exemption of the 10 per cent Dubai Municipality fee for any three and four star hotels which begin operating before June 2017, based on the hotel Incentive initiative announced by DTCM in September 2013. Helal Saeed Almarri, DTCM Director General and CEO of Dubai World Trade Centre, remarked: “The directives offer new and exciting opportunities for hotel investors. They will act as a stimulus to the sector and help to broaden our current accommodation offering, particularly within the three and four star segment, which is needed to meet the targets outlined in the Dubai Tourism Vision for 2020.” Hussain Lootah, Director General of Dubai Municipality, said:“Our aim is to continue Dubai’s journey, to further progress from our position as the region’s leading tourism and business destination to being recognised as a global leader in trade and tourism. To achieve this, we will demand and help our partners to deliver world-class buildings standards and to create an environment of high quality, sustainable growth.”  March 2014

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UAE in Focus

Building the future of aviation together

Sultan Al Mansoori

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n order to further consolidate the aviation sector in the UAE and enhance its role in nation building and contribution to the economic development in what is going to the ‘super growth’ phase in the history of the Arab world’s second biggest economy, the General Civil Aviation Authority (GCAA) has unveiled its triennial strategic plan for the 2014-2016 period under the theme, Building the Future of Aviation Together, and also released its new corporate logo. At the launch ceremony in Dubai, Sultan bin Saeed Al Mansoori, UAE’s Minister of Economy and Chairman of GCAA, highlighted the continuing strategic partnership with public entities in the UAE’s civil aviation sector and the importance of cooperation among all parties in order to drive this sector forward, especially in the light of its increasing growth. He said he was happy with the UAE's achievement of securing a seat on ICAO Council with the votes of majority Member States, indicating that this was the result of the UAE's prominent position and GCAA's efforts at preparing for the elections and building support in cooperation with the Ministry of Foreign Affairs. He remarked: “In the light of the outstanding achievements locally, regionally and internationally, we obviously need to keep pace with the latest developments through future planning, clear bases, and pre-determined programmes. That is why we at GCAA are always on the look for plans, initiatives and updates to secure success. We are confident that the new strategy plan will help bring about new achievements and creative initiatives which will take the UAE's civil aviation sector to an unprecedented state of excellence, efficiency and effectiveness.”

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Laila Hareb

Saif Al Suwaidi

The new vision of GCAA, he asserted, was based on establishing a safe, leading and sustainable civil aviation system. The values under this vision focus on security, safety, human resources, enhanced effective and transparent relations with partners, the implementation of best work standards so as to ensure integrity and commitment to professionalism and efficiency in improving operations. These all will ultimately benefit this sector and help modernize working methods. Saif Mohammad Al Suwaidi, Director General of GCAA, said the new strategy plan has selected six objectives for the next three years – to strengthen a culture of sustainable compliance with Safety and Security requirements, to develop and implement air navigation service enhancement programmes that will result in improved safety, efficiency and service standards, strengthen the UAE’s posi-

tion by enhancing GCAA engagement with regional and international organizations, facilitate air connectivity and support aviation industry to maintain sustainable growth. Laila Ali bin Hareb Al Muhairi, Assistant Director General for Strategy & International Affairs at GCAA, commented: "The new direction of GCAA is to leverage previous achievements in order to create an environment which allows the whole civil aviation system to improve internationally in terms of safety, security and environmental sustainability. GCAA particularly intends to maintain the prominent international reference in the aviation sector." The new GCAA logo was also revealed. It represents a falcon and holds the color of UAE flag. The falcon represents the heritage of UAE and the concept of aviation, uniting past and future together. 

Aviation industry officials at the launch of GCAA 2014-2016 Strategy Plan


UAE in Focus

Dubai sets up Investment Development Agency

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is Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, has issued a law for the establishment of Dubai Investment Development Agency as a public institution enjoying legal personality and capacity to be affiliated to the Department of Economic Development. The new body is tasked with enhancing Dubai’s position as a world economic hub for attracting investment, providing appropriate investment environment and instilling confidence in the investment environment in Dubai in addition to the promotion for projects and investment

opportunities in the Emirate. The UAE is expected to attract foreign direct investment (FDI) of $14.4 billion in 2014, 20 per cent higher than 2013. Last year, the country also recorded a 20 per cent year-on-year growth in FDIs that reached $12 billion. He mentioned that FDI jumped by 200 per cent from $4 billion in 2007 to $12 billion in 2013. The country is the third most attractive country in West Asia for FDIs, according to UNCTAD figures. The UAE was ranked 14th on the latest A. T Kearney Global Foreign Direct Investment Confidence Index (FDICI), which measures present and future prospects for FDI flows. 

Dubai Chamber attracts 13000 new members in 2013

DAE places order for 40 ATRs

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ast year, Dubai Chamber of Commerce and Industry attracted more than 13,000 new members — the highest number of new start-ups in five years — taking its total membership to 153,000 companies. “Dubai had a year to remember with the Expo win and the continued growth of the economy. Dubai Chamber anticipates GDP growth of 5 per cent in 2013 and same growth in 2014,” Dubai Chamber President and CEO Hamad Buamim said. He expects that much awaited new Companies Law, Arbitration Law and Bankruptcy Law will be introduced this year. 

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ubai Aerospace Enterprise (DAE) has ordered 40 turboprop commercial aircraft, including an option for 20 planes, from French-Italian manufacturer ATR. The order for the purchase of 40 ATR 72-600 is estimated at $988 million in value. DAE is the largest aviation leasing firm in the Middle East with an aircraft portfolio of approximately $3.3 billion comprised of B737s, B777s, A320s and A330s.

The deal represents DAE’s first order for regional aircraft. The 20 firm aircraft are scheduled for delivery between 2015 and 2018. Khalifa Al Daboos, Managing Director of DAE, said the leasing company was seeking to diversify its portfolio and expand into regional aircraft to meet an increasing demand from airlines that are developing regional air connectivity. ATRs are today operated by some 190 carriers all over the world.

flydubai starts service to Hofuf

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lydubai has started service to Hofuf, marking the start of the first direct link between the Saudi city in Al Ahsa governorate and Dubai. Passengers from one of the major cultural centres in Saudi Arabia will now be able to travel to Dubai or connect onwards across the flydubai network, while UAE residents will have the opportunity to explore a region with a rich historical and cultural tradition. Flights to Hofuf operate twice weekly on Thursdays and Saturdays. 

US Border opens base in Abu Dhabi U

S Customs and Border Protection opened an Abu Dhabi base, the first in the Middle East and the second outside the Americas after Ireland. Another post is planned in Dubai within a year as part of a push to combat terror threats before would-be perpetrators even board a plane that will also fast-track travelers through a routinely arduous entry process. The drive to tighten immigration security

with overseas posts stands to deliver an advantage to Emirates and other fast-growing Gulf carriers because the overseas checks can save hours from border crossings at major US gateways. Passengers in Abu Dhabi can instead make use of the dead time between flights to complete the process, enhancing the allure of the luxurious Gulf airports as global travel hubs.

The UAE is the first Middle Eastern country to seek pre-clearance for Americabound passengers as part of a decade-long US push to promote the policy beyond a handful of legacy agreements dating to the 1970s and beyond. Previous accords have been limited to nine terminals in Canada and a handful in the Caribbean, Bahamas and Bermuda.  March 2014

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UAE in Focus

Emirates starts Taipei route

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mirates’ newest passenger destination is the first nonstop connection between Taipei and the Middle East. The airline will have daily nonstop service from Dubai and the carrier will fly a Boeing B777300ER on the route with eight first class private suites accompanied by 42 lie-flat business class and 304 economy seats. Emirates now operate services to 141 destinations in 80 countries from Dubai.

“Emirates and Taipei began their partnership in 2003 when Emirates Skycargo launched freighter services from Dubai. I am proud that we have been able to increase our commitment and begin daily, non-stop passenger services from today,” said Sheikh Ahmed bin Saeed Al Maktoum, President of DCAA, Chairman of Dubai Airports, and Chairman and Chief Executive of Emirates Airline and Group. 

Emirates and Jetstar signs codeshare agreement

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mirates and Jetstar, Asia Pacific’s fastest growing and largest low-fares network by revenue, have announced a codeshare agreement that is set to open up new destinations for the world fastest growing UAE national carrier’s passengers across Australia, New Zealand and South East Asia. Emirates’ code will now be placed on a number of routes operated by Jetstar Airways in Aus-

tralia and New Zealand, and Jetstar Asia. Jetstar Airways is part of Qantas Group with which the UAE airline has already a codeshare agreement in place. The alliance is expected to give passengers access to 27 new routes and six new destinations such as Bali in Indonesia, Byron Bay in Australia, Dunedin in New Zealand and Siem Reap in Cambodia, Emirates said in a statement. 

Air Arabia is now official carrier of Ras Al Khaimah

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as Al Khaimah’s Department of Civil Aviation has announced that had signed a strategic partnership with Air Arabia, enabling the airline to become the emirate’s designated carrier operating services from Ras Al Khaimah International Airport. Describing the partnership as a “unique collaboration,” Eng. Sheikh Salem Bin Sultan Al Qasimi, Chairman, Department of Civil Aviation (DCA), said: “The announcement is a natural step in the next stage of Ras Al Khaimah’s aviation development, driven by the emirate’s steady economy, expanding population, growing industrial activity and tourism. We are delighted to be entering into a strategic agreement with an extremely successful airline and are confident about the benefits

this partnership will bring to the Emirate of Ras Al Khaimah.” A senior aviation official said Ras Al Khaimah airport can be transformed into a key regional hub for low cost carriers in the coming years, catering to the smaller and medium size airlines and other similar sized industry groups. RAK Airways suspended its services from the first day of 2014. It is believed that the airlines two aircraft, which it leased, have been returned to its owners. He said he expects more international airlines, particularly from India, to be more inclined to launch flights to Ras Al Khaimah once Air Arabia launch operations. RAK Airport handled 500,000 passengers in 2013. The airport is capable of handling 1.5 million passengers a year. 

chief operating officer at Dubai Aviation City Corporation. Aviation District will aim at accommodating all aviation-related operations, manufacturing and associated industries, Fixed Base Operators (FBOs), maintenance, repair and operations (MROs), aviation support services,

design and consultancy, products and parts, light manufacturing units, and high technology industries. Beyond its aviation focus, the district will also offer well-defined zones for sectors such as hospitality, education, research and development (R&D) and mixed-used development. 

DWC reveals Aviation District

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ubai World Central (DWC) has unveiled details of its Aviation District located next to Al Maktoum International Airport. The 6.7 square kilometre development has been designed to facilitate the growth and expansion of the region’s aviation sector and will feature state-of-the-art infrastructure,

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an education cluster, and world-class aviation expertise. “Dubai World Central is the only development based on the concept of the airport city in the Middle East. It has opened up infinite possibilities for the global aviation industry seeking to do business in the MENA region,” said Rashed Bu Qara’a,


Middle East in Focus

Middle East airlines fly high with 12.1% growth

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he International Air Transport Association (IATA) has announced that the Middle East airlines recorded the strongest increase in passenger traffic in 2013, a rise of 12.1 per cent compared to 2012, but below the 15.4 per cent growth recorded in 2012.

However, capacity grew faster at 12.8 per cent and load factor declined slightly by 0.1 percentage points to 77.3 per cent from 77.4 per cent in 2012. Strongest overall growth (domestic and international combined) was recorded by carriers in the Middle East (11.4 per cent) followed

Saudia targets 200 destinations

by Asia-Pacific (7.1 per cent) and Latin America (6.3 per cent). IATA Director General and CEO, Tony Tyler, said: “We saw healthy demand growth in 2013 despite the very difficult economic environment. There was a clear improvement trend over the course of the year which bodes well for 2014. 

Beirut airport passengers rise five per cent in 2013

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ebanon’s Rafik Hariri International Airport registered over five percent growth in the number of passengers in the year 2013. The number of passengers reached 6,264,368 in 2013 compared to 5,960,414 in 2012. The number of arrivals to Lebanon in 2013 reached 3,029,575 while the number of departures went up to 3,219,164,

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audi Arabian Airlines (Saudia) has announced plans to expand its operations to more than 200 destinations worldwide with minimum connections. Saudia CEO, Abdul Aziz al Hazmi, said: “We want to reinforce our presence in Europe, North America, Asia, especially in China and Indonesia as well as to open new markets in Russia, Mexico, Japan, Vietnam, Taiwan and Czech Republic.” Saudia joined SkyTeam, a 19-member global alliance of airlines in May 2012, as part of its efforts to offer high quality services to passengers.The airline is resuming

flights to Manchester and Los Angeles, operating three flights weekly to both destinations, Al-Hazmi told Arab News. Saudia also plans to make more seats available on its flights in the domestic sector. “We know the demand is more than our capacity,” he added. Saudia has set out a strategy to capture a market share of 22 million from 28.5 million domestic passengers by 2020. There are plans to establish a SkyTeam Lounge at Dubai airport in January 2015. He said the total number of passengers carried by SkyTeam member airlines reached more than 550 million. 

an increase of 5 percent and 7 percent respectively. According to statistics, the number of transit passengers fell to 15,629, or some 67 percent, compared to 2012. The report added that the number of commercial flights dropped by some 23.25 percent to reach 59,086. The number of private flights leaving the country went down by 8.55 percent. 

Two new airlines in Saudi Arabia

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ver since the Saudi Arabian government ended the monopoly of national carrier Saudi Arabian Airlines (Saudia) in 2007, the aviation market in the Kingdom has been one of the Middle East’s most rapidly evolving, if not expanding. New airlines will enter Saudi market in 2014, Al Maha and SaudiGulf. The two new carriers will join Saudia and flynas, creating a new competitive environment in the market and more options for both Saudi Arabian travelers. Qatar Airways’ much-anticipated Saudi Arabian carrier, Al Maha Airways, is due to start operations during

third quarter of 2014. Joining it will be SaudiGulf Airlines, a brand new Saudi-owned carrier under the control of the Al Qahtani Aviation Company, which plans to start operations by the start of the 2014 winter schedule period. Al Maha Airways plans to have 10 A320s flying within its first 12 months of operations. SaudiGulf Airlines intends to base itself at Dammam, initially operating a limited schedule of three to four flights daily to Jeddah and Riyadh. Beyond that, it will broaden its domestic flying, opening new routes to Madinah, Qassim, Abha and Tabuk in 2015. 

Kuwait Airlines firms up commitment for 25 Airbus aircraft

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uwait Airways, the National airline of Kuwait, has ordered 25 Airbus aircraft including ten A350-900 and 15 A320neo Family aircraft as part of the airlines’ fleet renewal strategy. Kuwait Airlines already operates three A320, three A310, five A300 and four A340 Family aircraft. Rasha Al Roumi, Kuwait Airways Chairperson, said: “We are pleased to sign this deal with Airbus at this juncture of our sixty

years journey. The A350-900 will strengthen our long haul route development whilst the A320neo will further boost our regional

route network. These aircraft are an essential part of our ambitious growth plans.” John Leahy, Airbus’ Chief Operating Officer, Customers, said: “We are proud that Kuwait Airlines chose our newest, most efficient aircraft families to build its future. By choosing the A320neo and A350 XWB, Kuwait Airways will offer its passengers the industry’s best-in-class cabin experience on both long and short haul routes.  March 2014

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Cover Story

Aviation Safety high on the agenda Mohammed Ahli launching the summit

Aviation Safety Culture Summit DCAA hosted for the second consecutive year was a huge success

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afety is of high importance in the aviation industry. Ensuring the safety of life and properties of air travelers and facilities in the entire aviation domain is the most essential responsibility for the aviation industry regulators and operators. Throughout its illustrious history, Dubai Civil Aviation Authority (DCAA) had dedicated itself to enhance the aviation safety standards and knowledge sharing among the industry professionals. Its remit has been enlarged in the recent past with massive growth in the size of airports and the volume of passengers and cargo. The amazing success story has taken place with an impressive safety track record. 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 across the world. With air traffic projected to double in the next 15 years, current and emerging safety risks must be addressed proactively to ensure that this significant capacity expansion is carefully managed and supported through

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Safety Culture is the way safety is perceived, valued and prioritized in an organisation. It reflects the real commitment to safety at all levels in the organisation. strategic regulatory and infrastructure developments. Safety Culture is the way safety is perceived, valued and prioritized in an organisation. It reflects the real commitment to safety at all levels in the organisation. Safety Culture is something an organisation acquires as a product of the combined effects of Organisational Culture, Professional Culture and, often, National Culture. Its essence is in what people believe about the importance of safety. Taking its aviation safety culture commitment one notch up, the Dubai Civil Aviation Authority (DCAA) successfully hosted the second edition of Aviation Safety Culture Summit in Dubai at Park Hyatt Hotel on February 3 and 4 under the theme, Strategies that save lives and grow businesses. The event was sponsored by Honeywell, NATS, Boeing, AAL Group, dnata, Maximus Air, Chevron and Abu Dhabi

Aircraft Technologies and supported by AviAssist Foundation. It was organised by Streamline Marketing Group (SMG). 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 brought together more than 250 representatives from various parts of the world. The participants included senior management of regulatory authorities, airlines, airport operators, aircraft manufactures, pilot associations, safety organisations and air traffic control service providers. Delegates came from Afghanistan, Bahrain, Bosnia, Egypt, India, Ireland, Jordan, Kuwait, Lebanon, Nigeria, Oman, Pakistan, Portugal, Saudi Arabia, Senegal, Sudan, United Kingdom and the US. In a message, Sheikh Ahmed said: “ DCAA firmly believes that safety is


Cover Story

Mohammed Ahli presented trophies to companies which supported the summit

paramount for the growth of the aviation industry.” The DCAA Director General, Mohammed Abdulla Ahli, in a welcome note to the participants, said: “The summit will provide an ideal platform for deliberations as to the ways and means of moving to the next level of safety and more importantly, instilling a culture of safety among those involved

with this industry.” He said Aviation Safety has become a worldwide priority and aviators have to face many challenges. “We need to respond to those positively to strengthen its operation. It is our view that this summit will develop into a Global Safety Congress where professionals from across the world and captains of industries will come together to share best

practices about safety and security techniques thereby making air travel safer in all aspects.” The event highlighted that uniform policies and co-operation between regulators and operators and air services suppliers has led to significant improvements in aviation safety in the UAE, positioning the country as a regional leader in safety culture within the industry. In his pre-opening speech, Mo-

hammed Ahli, remarked: "We are well aware of the contributions made by the civil aviation regulators, air operators, airports and other service providers, such as air navigation service within the UAE, to ensure the compliance of the highest standards of safety. Their immense contribution has made it possible for us to offer the safest airports, airlines and air space.” He added: “The combined efforts have allowed us to enhance safety standards and continue to build sustainable economic development within the global air transport industry. The statistics on the passenger, cargo and aircraft movement through the airports in the UAE will bear ample testimony in this regard.” Walid Al Rahmani, Director of Safety Policy, Regulation and Planning, General Civil Aviation Authority (GCAA) stated: "A tightening oversight by the GCAA and DCAA has been a significant factor in achieving high standards of safety across the Gulf region.” The summit took place against the backdrop of the reports that showed 2013 being the aviation industry’s safest year on record with regards to the number of fatalities and second-safest year for the number of accidents worldwide. Regionally, the UAE airlines were shown to be amongst the safest in the world.

Aviation Safety Culture Summit attracted huge support from the industry in the UAE and outside

March 2014

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Four decades of innovation and efficiency. Cavotec helping to improve sustainability Tarmac congestion. Pollution. Cable clutter. Long turnaround times. These are what inspired us to develop our unique underfloor ground support system. It consists of pop-up units located near or under parked aircraft – and can be connected to an underground tunnel, for truly efficient delivery of power, air, fuel, water and other services. The result? A cleaner tarmac, cleaner air, and a big increase in productivity. Cavotec is present in the GSE market through Cavotec Fladung, Cavotec Dabico, Cavotec INET and Cavotec Meyerinck.

To find out more about Cavotec and our product range, please visit www.cavotec.com

Cavotec Middle East FZE P.O. Box 61124, Dubai, UAE Tel.: + 971 4 883 83 50, Fax: + 971 4 883 83 52 E-mail address: info.ae@cavotec.com

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March 2014


International

European Parliament approves draft law on passenger rights

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he European Parliament has passed a draft legislation to revise passenger rights in another step towards new regulations on consumer compensation to be applied in the European Union (EU). The draft law covers a wide range of air travel consumer aspects and has, as expected, met mixed reactions. A final version of the new EU regula-

India to extend visa-on-arrival to tourists

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ndia will extend visa-on arrival to tourists of all nations barring eight, including Pakistan, Sri Lanka, Sudan and Iran, as it looks to boost tourism. India’s Planning Minister Rajeev Shukla said: "We have decided to extend the visa-on-arrival facility to tourists from 180 nations. It will take 5-6 months for the respective departments to put the required infrastructure in place. We hope to implement this from the next tourist session beginning October." India currently offers visa-on-arrival to tourists from 11 countries like Finland, the Philippines, Singapore and Japan. This facility is now being extended to 180 countries. Following a high-level meeting with representatives from various ministries, he said the electronic visa would be valid for 30 days from the date of the tourist's arrival in India. Visa-on-arrival can be availed in all 26 major domestic airports from where international flights ply. 

tion will have to be worked out as a compromise between the European Council, representing the member states, and the European Commission. Among the most important and most disputed proposals is language concerning passenger compensation in the case of delays: the parliament has opted for €300 per passenger for flights of 2,500 km or less that are delayed by three hours or more,

€400 for 2,500-6,000 km sectors that are delayed by more than five hours and €600 for

Balkan airports expanding services

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lbania, Kosovo and Serbia are working to expand services at regional airports to complement the work of the international hubs in Southeast Europe. Officials said they want regional airports to serve low-cost carriers and freight transports, increasing travel options and improving services for passengers travelling abroad as well as contributing to tourism and economic development at home. Recently, KFOR handed over control of the airport in Gjakova to the Kosovo government, which said it wants to open the facility to private investors.

"We hope we will implement within a short period of time that which is defined in the action plan to meet investor requirements," Bernard Nikaj, Kosovo's deputy minister of trade and industry, told SETimes. Similarly, in Albania, the government is negotiating with the Tirana International Airport authority to open the airport in Kukes, 140 kilometres north of Tirana and close to the Kosovo border. The Kukes airport was inaugurated in 2010, but does not operate because the Tirana airport has exclusive rights over international flights. 

flights of more than 6,000 km that are delayed by more than seven hours. 

Copenhagen airport expansion plan

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openhagen Airport (CPH) has presented its vision for expansion, aimed at handling up to 40 million passengers annually almost twice the current number. A prerequisite for the company's plan outlined in Expanding CPH, which looks 25 years into the future, is that companies, organisations, municipalities and the region are able to attract future business investment and tourists in greater numbers. The vision includes expanding Pier B and Pier C, joining terminals together, creating more business opportunities for the community, providing more space for very large aircraft by expanding the runway system and constructing a new Pier E. It also includes construction of a station for high-speed trains to bring travellers from both Oslo and Hamburg. 

Level of airline complaints not based on service quality

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arge airlines in the US receive more negative feedback than budget airlines regardless of actual service quality, a study of airline-related complaints found. The study by the Massachusetts Institute of Technology, which looked into complaints made to the US Department of Transportation

from 2002 to 2012, found passengers of lowcost upstarts tend to complain less even though the quality of service may be the same as more expensive airlines. Regardless of the type of service failure a bag lost in transit, a flight delayed or canceled, or an overbooked plane passengers com-

plained up to 10 times more often about network carriers than low-cost carriers, said Michael Wittman, who authored the study for the MIT's International Center for Air Transportation. He charted the performance of 14 major airlines in 12 categories of service failures over a decade, according to an UPI report.  March 2014

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Opinion

Significant changes in European aviation

Athar Husain Khan CEO Association of European Airlines (AEA)

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EA’s 30 member airlines carry almost 400 million passengers annually, employ 370,000 people, operate more than 10,000 flights a day with 2,500 aircraft and carry 5.5 million tons of cargo every year, total annual turnover of €100 billion. Air transport is a key component in a great

European resource as it contributes 365 billion annually to European GDP. If indeed aviation is so important, then why do politicians and regulators take the air transport sector for granted and believes that the industry will continue to fulfill its enabling role and provide added value despite being treated on some days as an inconvenience, on other days as a cash cow? Our role is to interact with the legislators and secure from them the best quality regulation. This not an easy task – they are producers of regulation and we are the consumers – but unlike passengers‐ we have no consumer protection rules. Politically, 2014 will be a year of significant changes – European Parliament elections and new Commission.

AEA is changing too. The first new shoots of recovery are beginning to appear but the big question is do they have a fertile soil in which to thrive. The landscape has been ravaged by the effects of the last six years accompanied by horrific figures for much of the industry. The landscape will be different. No more sustained annual growth rates of around five per cent, we are looking at three per cent going forward. Such growth rates are much closer to carbon‐neutrality, yet we continue to have environmental policies developed in the high‐growth years – policies which actually get in the way of meaningful global agreement. The EU ETS is the clear example of this impediment. We are in urgent need of sufficient and affordable airport

capacity. It is unacceptable that within two decades we will not be able to accommodate two million flights a year which reflects around 12 per cent of annual market demand. Fourteen years into this millennium, we are still flying around a European airspace structure which was demonstrably unfit for purpose in 1990. We need a holistic approach to regulation, viewing European airlines not in isolation, but as part of an extended value chain, and as part of a global business with global competitors. Secondly, it is essential that we avoid unintended consequences and in particular heavy financial burdens of inappropriate regulation.  Excerpts from Keynote Speech at BARIN New Year Gathering in Schiphol

Partnership for biofuel production

Michael Huerta Administrator Federal Aviation Administration (FAA), USA

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t the FAA, we are lending strong support to developing the next generation of sustainable fuels, and to producing them on a mass scale. We are transitioning to NextGen and to satellite-based navigation and surveillance. And we’re also embarking on the creation of a whole new jet fuel system that is sustainable and draws from a variety of sources. We need to scale up for the challenge of

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producing these amazing new sustainable fuels. The petroleum industry was not built over night. It took more than 100 years of investment. We are not going to replace petroleum overnight, so we need to be patient. But there is no denying the future. And it takes courage to make big changes. Winston Churchill switched the British Navy from coal to oil. It was a strategic decision. It was a forward-looking decision. It was controversial at the time for a country with large supplies of coal and no oil. But it was a bold step towards the future because oil was superior to coal for naval power. We find ourselves at a similar point now. We have plenty of oil, but the times require us to think strategically and look for cleaner, more secure sources of energy to power our daily lives and com-

merce. We’re at an historic time where we can work together to make that happen in aviation. Innovation has always been the hallmark of aviation. Each generation of aviators and engineers has moved the world of flight forward in ways that were not thought possible. The FAA is committed to enabling development and use of alternative jet fuels. These fuels have the potential to save the industry a great deal of money. Fuel represents as much as 40 percent of an airline’s total expenses, on average. Consider that last year US airlines spent about $49 billion on jet fuel. That’s $32 billion more than in 2000 even though the airlines consumed almost three and a half billion gallons less. Even a decrease of 10 cents per gallon could mean an industry savings of $1.7 billion per year.

If we are successful, aviation will benefit because alternative jet fuels will provide supplemental supply and help to cushion petroleum’s price volatility. Sustainable fuels are also greener, and are crucial to meeting the environmental goals that we have set for NextGen. Airlines used about 17 billion gallons of jet fuel last year. The FAA’s goal by 2018 is for US aviation to use 1 billion gallons of alternative jet fuel per year. Currently, there are seven new alternative jet fuel types that are under evaluation for possible approval by the international standards association – the ASTM International.  Excerpts from speech at Commercial Aviation Alternative Fuels Initiative (CAAFI) General Meeting & Expo in Washington


Opinion

Civil aviation in Arab world’s economic development

Abdul Wahab Teffaha Secretary General Arab Air Carriers Organization (AACO)

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f anyone wants to witness the importance of the pivotal role that civil aviation plays in economic development, then one should come to Qatar and its neighborhood to see firsthand the positive and visible effects on the economic development resulting from allowing air transport to play its natural role of providing human and trade links.

We are fortunate in the Arab world to have governments with a positive outlook towards aviation that sees in it a catalyst for development, job creation, and a tool to expand that scope to include technology fields which go along with what the modern economy requires in openness to the world. We live in a region which greatly depends on air transport in the movement of peoples and goods. This region is generally witnessing a good economic growth. We have witnessed a growth in the Arab world air transport market that is the highest in the world scoring an increase from 79 million passengers in 2003 to about 160 million expected by end of 2013, which represents an average growth rate of 7.2 percent annually. Since Arab airlines are particularly remarkable in their services and competitive prices and in

reaching out to delight the customer rather than merely transport him, these airlines were able to benefit from the geographical location of the Arab world to transform their hubs into the most important global hubs of the twenty first century. The use of Arab airports as global hubs was not confined to passenger traffic, as cargo traffic recorded during the same period an average annual growth of eight percent against a global average of 2.8 percent, manifesting the increase in economic activity and trade to, from and through the Arab world. This growth is based on two pillars as far as infrastructure is considered: Airports, where we pleasantly see continuous development projects through investments exceeding now 65 billion dollars. As for the second pillar without which growth cannot continue,

is the development of air traffic management systems. Unfortunately, we see that the progress does not move at the same pace as the development of airports and the expanding presence of Arab airlines. This issue is a priority for AACO in conjunction with ACAC, ICAO, IATA and CANSO. We have reached a stage which necessitates galvanizing efforts to an urgent remedy for the bottlenecks, which has started to emerge in some parts of the Arab airspace, by establishing new routes, reducing restrictions on civil aviation movement in military zones and the introduction of better technologies that can expand air transport management and its capacity.  Excerpts from the speech on the State of the Industry at AACO 46th AGM in Doha

Use aviation strategically

Tony Tyler Director General & CEO International Air Transport Association (IATA)

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n amazing team effort of value chain partners—in both the public and private sectors--makes aviation an efficient and growing industry. Our member airlines are providing this incredible mobility with even greater value to consumers.

Over the last decade the real cost of travel has fallen by about a third. And if the price of oil was a bit cheaper, we could probably do even more! Safety is our greatest example of partnership delivering success. We can be proud that together we have made flying not only the safest mode of transport, but also one of the safest things that a person can do. The cooperation on safety among all stakeholders in the aviation value chain represents the best kind of partnership. The balance between risk and reward is skewed in our industry. There is also a need to review the industry’s relationship with governments. Aviation’s development is being held back by government policies in several countries. There is a need to reassess policies in order for aviation

to reach its potential as a primary contributor to economic growth. Europe is going through a difficult time. Economic growth is the only way forward and aviation can help. The connectivity that aviation provides is essential for economic development, modern globalized businesses and human interaction…and demand for it is increasing. And the pattern of that growth is shifting the industry’s center of gravity eastward. In 2015, we expect over 3.55 billion people to travel by air. Of those, 212 million are expected to be generated by China alone. Asia-Pacific will be in the driver’s seat of global growth. And the potential is huge. The challenge of security changed dramatically since 11 September 2001. We have seen the security of the industry im-

prove dramatically. Prior to 9.11 we estimate that the average throughput of an airport checkpoint was 335 passengers per hour. Today that average has slowed to 149. Security is a top priority. And it must not be compromised. But I am sure that every traveler hopes for an early evolution from an airport checkpoint experience defined by queuing, unpacking, removing clothing, separating certain items and possibly invasive searches. We also achieved consensus on a strategy to attain these targets with improved technology, more efficient operations and infrastructure, and positive economic measures.  Excerpts from the speech at Singapore Airshow Aviation Leadership Summit-2014

March 2014

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In Focus

Building for Future Almost every country in the world is in the race to build new airports or expanding the existing facilities to meet the demands of future air travelers. Via Dubai takes a look at the major airport developments across the world, including the Middle East and Asia Pacific regions.

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hanges in propensity to fly affect the demand for air travel globally. And when future demand increases, so does the need for investment in aviation infrastructure, especially the airports.

toum International. Abu Dhabi will have a new airport terminal complex commissioned by 2017. The 700,000 square metre terminal building is one of the key strategic infrastructure projects to be undertaken in the UAE capital, and will initially handle 27 million passengers per year. It will be the future home of Abu Dhabi’s Etihad Airways.

To meet the increasing number of air travelers and accommodate expanding fleets of airlines and make room for bigger aircrafts like A380s, almost every country across the world is in the race to expand airports or build new airports for the future needs. What drives the airport race is the projected number of air travelers. The challenges of future air travel and the need for airports expansion will come up for discussion at the second edition of Global Airport Leaders’ Forum (GALF) that will be held alongside the 14th edition of Airport Show, the world’s leading B2B airport industry event, in May 2014. “Airports expansion is a major area of focus for the aviation industry in almost every part of the world, especially the Middle East and Asia Pacific. Everyone now realizes the importance of investment in airports keeping in mind the massive surge expected in air travelers in the coming decade,” says Daniyal Qureshi, Director of Airport Show and GALF. The International Air Transport Association (IATA) forecasts that by the year 2017 the total passenger numbers are expected to rise to 3.91 billion. The Middle East and Asia-Pacific regions will see the strongest international passenger growth with CAGR of 6.3 per cent and 5.7 per cent, followed by Africa and Latin America with CAGR of 5.3 per cent and 4.5 per cent.

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IATA says the Middle East continues to be a great success story in the aviation industry. It noted that about $40 billion are being invested in airport infrastructure in the Arabian Gulf alone by farsighted governments. The history of civil aviation recorded the ‘largest jet-buying spree with airlines ordering more than 8,200 new planes with manufacturers Airbus and Boeing in the past five years. There are now a combined 24 planes rolling off assembly lines each week. Airports are determined not to be left behind the fast developments and forging ahead with major expansion and modernization plans to ensure they can cope with the growing demand. In January 2014, the Centre for Asia Pacific Aviation (CAPA) revealed that its Airport Construction and Capex database presently has over US$385 billion of projects indicated globally, led by Asia

with just over US$115 billion of projects either in progress or planned for and with a good chance of completion. China, with 69 regional airports to be constructed by 2015, is the most active, adding to the existing 193. It said the Middle East is also undertaking major investment, notably in the Arabian Gulf airports, as the world-changing operations of its main airlines continue to expand rapidly. Dubai is executing $34 billion Dubai World Central (DWC) project which will involve construction of five runways and capacity to handle 160 million passengers a year. In November last year, Dubai opened the passenger terminal of its second international airport, Al Mak-

Sharjah Airport is waiting to complete its 2030 master plan. Much of Sharjah’s growth over the past decade has been fuelled by the Gulf’s first lowcost carrier, Air Arabia. Sharjah International reportedly handled 7.5 million passengers in 2012, a 13.6 per cent yearon-year jump from the previous year. Sharjah International will review its expansion every five years until 2030 and measure its response to growth. The Sultanate of Oman 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. 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 to up to 48 million passengers when the need arises. Similarly, Salalah Airport has seen


In Focus

significant increases in annual traffic over the past decade, reaching 700,000 passengers mark in 2013. The completion of four new regional airports in Sohar, Al Duqm, Ras al Hadd, and Adam will add the capacity to handle almost two million passengers each year. Istanbul’s new airport starts to take shape in 2014, with completion of the world’s biggest facility due to be completed by 2019. In Brazil, the race is on to have sufficient capacity in place for the football world cup, due to commence in June 2014. “The fact that the AsiaPacific region - led by China - and the Middle East will deliver the strongest growth over the forecast period is not surprising. Governments in both areas recognize the value of the connectivity provided by aviation to drive global trade and development. Similar opportunities exist for developing regions in Africa and Latin America. To reap the

benefit, governments in those regions will need to change their view of aviation from a luxury cash cow to a utilitarian powerful draft horse to pull the economy forward,” said Tony Tyler, IATA’s Director General and CEO. In a report, PwC, the world’s leading consultancy company, said the propensity to fly is affected by a lot of different, interrelated forces – economic health of a country, demographic changes, market maturity, geographical features and competition. It observed: Airports are a unique class of asset. They offer greater potential for growth than more traditional infrastructure assets. Unlike more traditional infrastructure assets, airports serve airlines as their primary clients and therefore share in the fortunes and woes of a highly cyclical industry. Singapore’s ambitious project to double its air passenger handling capacity by the mid-2020s is set to extend its lead over

neighbors like Kuala Lumpur, Bangkok and Jakarta, whose airports are struggling with congestion and construction delays. Changi, Southeast Asia’s biggest and most popular international airport, is keen to seize a greater share of a boom in regional traffic, mindful of competitors’ plans to grow into international hubs. The expansion plans, which include a third runway and a fifth terminal by the mid-2020s on top of a fourth already under construction, will double current capacity to around 130 million passengers annually and cement Singapore’s leading role as a hub of Southeast Asian business. Hong Kong International Airport which is projected to handle 102 million in 2030 is proceeding with a study for a third runway and expanded terminal. A consortium led by Incheon International Airport Corporation has won the $1.1 billion bid to build a new international airport near Yangon.

The Myanmar government announced two tender winners for its airport developments – a South Korean consortium and Japan’s Mitsubishi Corporation. Kuala Lumpur International Airport (KLIA) is being expanded at a cost of $1.25 billion. The multi-storey KLIA2, located 1.5km from the current KLIA, consists of a main terminal and a satellite building linked by a skybridge. It serves both local and international low-cost and full-service carriers, and it is able to handle the A380. It has 60 gates, eight remote stands, 80 aerobridges and 32,000 sqm of retail space to accommodate 225 retail outlets. KLIA2 is designed to handle 45 million passengers annually. In Australia, Canberra airport is in a $420 million redevelopment mode. The terminal aims to help Canberra Airport to cope with passenger traffic that is expected to double to 6.14 million over the next 20 years.  MarchMarch 2014 2014

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Cargo & Logistics

Aramex stellar performance for 9th consecutive year

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ramex, the leading global logistics and transportation solutions provider, delivered impressive net profits for the year 2013, the ninth consecutive year of stellar performance since listing on the Dubai Financial Market (DFM). The company’s full year revenues reached AED 3.3 billion, up eight per cent compared to the previous year. There was a 14 per cent increase in the net profits which stood at AED278 million.

Hussein Hachem, CEO, Aramex, said “Aramex has had another very strong set of results in 2013, despite the challenging global market conditions. Our performance was driven by solid revenue growth primarily in international express and supply chain services across our key geographies and growth markets in the Middle East and subSaharan Africa. We will continue to aggressively deliver on our strategy to seize current and future opportunities across these emerging markets.”

He said the e-commerce industry in emerging markets in the Middle East, Africa and Asia was developing at a rapid rate and capitalizing on these trends will remain a major strategic focus for Aramex, with global e-commerce revenues growing by 23 per cent in 2013. Logistics and supply chain management also performed strongly, driven by increased demand for retail and oil and gas services across the GCC which was also the largest contributor of revenues in 2013. 

Cathay Pacific launches freighter flight to DWC

Saudia IPO for Cargo Unit

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audi Arabian Airlines (Saudia) intends to go for an Initial Public Offering (IPO) in 2014 in addition to purchasing 50 new aircraft to beef up its domestic and international fleet network. Arab News reported that the new fleet would be a mix of wide-body and narrowbody planes, adding that the airline was looking at Boeing's new wide-body 777X aircraft as well as the Airbus A380 superjumbo. Both the Airbus A320neo and the Boeing 737 MAX are being considered. Quoting a senior official, the media report said a plan is afoot to conduct an IPO for Saudi Airlines Cargo, a subsidiary of Saudia, this year and an IPO for its maintenance company, Saudia Aerospace Engineering Industries in 2015. The cargo unit would be the second of six strategic units after catering to pursue a stock market

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listing. The Cargo IPO will be organized sometime this year after receiving approval from the Capital Market Authority (CMA). The IPO of the catering company raised $347 million

with an IPO of 30 percent of its shares in 2012. Its shares rose 81.4 percent last year, Reuters said. The country opened its domestic aviation market to competition in 2012. 

DWC sees freight volumes drop in 2013

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he Al Maktoum International Airport in Dubai World Central (DWC) handled less freight in 2013 compared to the previous year. Dubai Airports said air freight volumes at Dubai’s second international airport fell by 4.5 per cent year-on-year. The cargo facility handled 209,209 tonnes of air freight during 2013 compared to 219,092 tonnes in 2012. Dubai Airports stated that the decline was

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due to fluctuations in chartered air traffic throughout the year. The Al Maktoum International Airport has made a mark as a cargo airport of regional significance with two consecutive years of handling over 200000 tonnes of freight, remarked Paul Grifftihs, CEO, Dubai Airports. Total aircraft landings and take-offs jumped in 2013, which is largely contributed to the launch of passenger services in October. 

athay Pacific launched its inaugural freighter flight to the Al Maktoum International Airport at Dubai World Central (DWC) from Hong Kong on February 1. The event marked the launch of Cathay Pacific’s seven weekly freighter service from Dubai International to DWC. Cathay Pacific will use DWC as its new freighter hub in the Middle East to connect Europe and Asia. The airline’s 14 weekly passenger flights will still be operating from Dubai International. Cathay Pacific Cargo currently flies to 44 freighter destinations with a fleet of 26 Boeing 747 freighters, 13 of which are the more fuel efficient B747-8 freighters, with one more on order for delivery in 2016. 


Technology

Cavotec’s innovative in-ground GSE helps ME airports

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n the global airports sector, Cavotec is a leading system designer, manufacturer, and integrator of a comprehensive range of advanced ground support equipment (GSE) – 400HZ power supply, pre-conditioned air (PCA), including fuel, water, pit and tunnel systems, connectors and carts – that help minimise tarmac congestion, improve operational efficiency and reduce environmental impact. Cavotec has played an active role in the development of airports across the Middle East since the late eighties. Its regional headquarters are located in Dubai, with branch offices in Abu Dhabi, Doha and Bahrain. Cavotec continues to register strong growth in the Middle East, with new orders from the UAE, Kuwait, Oman, Saudi Arabia and Pakistan in recent months. Cavotec has recently signed a contract with ALEC to provide large numbers of pop-up pits for 400Hz and PCA outlets, 400Hz frequency converters and PCA units as part of a Dubai Airport’s

new extension project that will see the construction of 17 stands at Concourse 4, four of which are capable of servicing large (MARS Code F) aircraft such as the Airbus A380. Cavotec is currently fulfilling orders for Dubai Airport where Al Naboodah is constructing 22 new aircraft parking stands, to which the Group is already supplying Pop-Up Pits for 400Hz and PCA outlets via an ongoing contract. The pop-up utility pit systems, serving as the project’s phase one, is already installed and operational. Phase two and three will be installed shortly. As part of this project, Cavotec has already designed, manufactured, installed and commissioned five Super Cool DX PCA units that will generate sub-freezing air to improve the cooling efficiency of wide body aircraft – a priority issue in Dubai, where high ambient temperatures are common. On the back of this project comes a follow-up order for additional PreConditioned Air Units which will be designed, manufactured, installed, tested and commissioned by Cavo-

tec Middle East, the Group’s Dubaibased subsidiary. Cavotec (www.cavotec.com) has already supplied its frequency converters in Kuwait, pop-up pits for Salalah Airport, fuel hydrant pits and access covers for Muscat Airport, pits with converters and pre-conditioned air units for hangars in Sharjah. Cavotec is also currently working on a major project supplying, installing and commissioning in-ground pop-up pits and PCA units for new A380 hangars at the Emirates Engineering Centre at Dubai International Airport, which is expected to hando-

Microsoft & Lufthansa takes mobile services airborne

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icrosoft and Lufthansa Systems have showcased the new BoardConnect app for Windows 8 at the Singapore Airshow 2014. The app allows airlines to create a unique experience for their in-flight passenger entertainment systems. The interactive solution will allow users to watch the latest movies, order food, shop, find information about their destinations and much more. The entertainment platform can be

quickly customized for new airline customers and allows them to configure devices to offer a uniquely branded product to their passengers.

Microsoft and Lufthansa Systems are working to give airlines a mobile advantage by creating an in-flight en-

tertainment experience that delights passengers, moving pilots to electronic flight bags in the cockpit, and providing flight attendants with devices and apps that provide powerful point-of-sale and customer service capabilities. In addition to the new BoardConnect app, Lufthansa Systems' Purser Mobile Device application, mCabin, will also be available on Windows 8 devices in the near future. 

GAGAN System reaches certification milestone

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he GPS-Aided Geo Augmented Navigation (GAGAN) system jointly developed by Airports Authority of India, Indian Space Research Organization and Raytheon has achieved certification level Required Navigation Performance (RNP) 0.1.

The civil aircraft in Indian airspace will now have access to more precision navigation data than ever before. The GAGAN system is a Satellite Based Augmentation System (SBAS) equipped with the most advanced air navigation technology available. With the help of GAGAN, India will

be among few countries to have an indigenous satellite-based augmentation system. The GAGAN system includes 15 reference stations strategically placed in India to optimize signal availability, uplink stations, master control stations, communication network and associated software. 

ver shortly.Cavotec's equipment has previously been selected by Emirates Engineering Centre to provide utility services to the Emirates fleet. Cavotec's innovative pop-up systems also serve Dubai International Airport's Concourse C, Concourse B, and the newly opened Concourse A, the dedicated terminal for Emirates' growing fleet of A380s. Cavotec Middle East's facility in Dubai has 4,525 sq.m office space and a warehousing facility with workshops staffed by fully trained engineers and technical experts who support customers across the region. 

FAA certification for split scimitar winglets

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viation Partners Boeing (APB) has announced that it has received Supplemental Type Certification (STC) from the FAA for Split Scimitar Winglets to be installed on Boeing 737800 aircraft. The Split Scimitar Winglet program is the culmination of a five-year design effort using the latest computational fluid dynamic technology to redefine the aerodynamics of the Blended Winglet into an all-new Split Scimitar Winglet. APB will develop and certify the Split Scimitar Winglet modification for all of the Boeing 737-700, 800 and 900 series aircraft including Boeing Business Jets. APB expects to start certification flight testing on the 737-900ER in mid-February achieving certification by late July 2014. Over the last 10 years, APB has sold more than 7,000 Blended Winglet Systems.  March 2014

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