Monthly Newsletter issued by Dubai Civil Aviation Authority
Issue 21 February 2015
DANS, EUROCONTROL signs cooperation agreement DCAA extends support for UAE Compassion
UAE in Focus Dubai unveils 2015 budget
20th edition of DSF attract 14 tourists and residents alike UAE accounts for 55 per cent 15 of GCC e-commerce market
DCAA to ensure a smooth transition and high level of civil aviation safety in the region
Middle East Muscat Airport marks 18 another year of success BBJ expects 35% of 19 global sales in Middle East
flydubai expands in 25 Europe with five new routes
Making skies safer
Opinion Intelligent products to transform airports
20 New facilities at Benazir Bhutto airport
In Focus 28
Investing in ATM infrastructure
European ATM infrastructure - Choices to make
Cargo & Logistics 30
Aviation security is a paramount concern
John S. Pistole
CONTENTS DANS, EUROCONTROL signs cooperation agreement
Making skies safer
DCAA to ensure a smooth transition and high level of civil aviation safety in the region
Dubai unveils 2015 budget
DUBAI DUTY FREE - LEADING THE WAY
flydubai expands in Europe with five new routes
Flying on demand
Asia-Pacific passengers love their Smartphones
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 Mohammed Al Jarouf E-mail: firstname.lastname@example.org 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.
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t is a matter of great pride for all of us that Dubai International has finally become the worldâ€™s number one airport for international passengers a few days before the year 2014 ended. This hardearned recognition is the crowning glory for our civil aviation industry which has phenomenally grown in the past 50 years . What many of us thought is an impossible feat to achieve, has become a reality due to the unfaltering commitment and determination of all of us under the guidance and leadership of His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of UAE and Ruler of Dubai. The distinction was achieved with a total of 68.9 million passengers passing through the Dubai International compared with 67.8 million at Heathrow as of December 22, as the data from the Airports Council International (ACI) showed. We closed the full year with 70.4 million passengers. The coveted number one ranking came much earlier than expected and amidst rapid transformation that the airport and other aviation infrastructure is witnessing. The contribution of our award-winning airlines, Emirates and flydubai, has been enormous in terms of expanding the air connectivity between Dubai and rest of the world. DCAA has maintained its excellent track record in various domains, including safety
Ahmed bin Saeed Al Maktoum
which will be under the focus of a global conference it is hosting in March in Dubai. By ensuring effective and smooth air traffic movement, Dubai Air Navigation Services (DANS) continues to play a crucial role in keeping up the excellent track record of Dubai in the aviation domain. I congratulate every stakeholder and others who have contributed towards giving a solid standing to Dubai on the world aviation map. I would like to appreciate equallycommitted efforts and contribution of our strategic partners like GDRFA-Dubai, Dubai Police, Dubai Customs and dnata towards enabling Dubai International become the number one airport in the world. There is no doubt that Dubai will continue flying high with everyone contributing towards its journey of success. Becoming number one airport in the world is not the end of our goal but the start of a new chapter in our illustrious history. The biggest challenge is to remain number one in the future. I am confident that 2015 will also be a landmark year of achievements with many projects taking off.
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: firstname.lastname@example.org 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
from the Director General
DCAA extends support for UAE Compassion
Mohammed Abdulla Ahli
s the civil aviation regulatory authority for the Emirate of Dubai, the Dubai Civil Aviation Authority (DCAA) takes great pride in Dubai International becoming the world’s number one airport for international passengers in December 2014. What makes all of us happy and proud is the fact that this distinction has been achieved well beyond the anticipated timeline. This historical achievement could not have been possible without the vision of His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of UAE and Ruler of Dubai, and support and guidance of His Highness Sheikh Ahmed bin Saeed Al Maktoum, President of DCAA and Chairman of Dubai Airports. Dubai stunned the world with its amazing performance, largely achieved due to the unified and committed efforts of all the stakeholders. I would like to thank all the stakeholders and strategic partners for their support in making the Dubai International the world’s top airport. Dubai has been able to maintain the upward growth curve due to the rapid expansion programme of our award-winning carriers, Emirates and flydubai, and other airlines, which helped Dubai International handle 70.4 million passengers in 2014. The expansion of infrastructure at both Dubai International and Al Maktoum International in Dubai World Central (DWC) is compatible with the rising demand for global air connectivity through Dubai. As the global aviation hub projected to receive 100 million passengers by 2020, Dubai has an important role to play in ensuring high standards of aviation safety not just for itself but for the world at large. The Dubai Civil Aviation Authority (DCAA) is taking its aviation safety commitment one notch up by hosting the two-day World Aviation Safety Summit (WASS) in Dubai from March 16. DCAA firmly believes that safety and quality service is paramount for the growth of the aviation industry. The summit will provide an ideal platform for deliberations as to the ways and means of moving to the next level of safety for making the air travel safe and secure in all aspects.
he Dubai Civil Aviation Authority (DCAA) has extended its strong support to the UAE Compassion (Trahamu) campaign for launched to provide relief to thousands of Syrian refugees in the Levant who are exposed to freezing winter in make-shift tents with inadequate facilities. The DCAA Director General, His Excellency Mohammed Abdulla Ahli, handed over the donation of the Authority to Mohammed Abdullah Alhaj Al Zaroni, Manager of Dubai Office of Emirates Red Crescent, in the presence of DCAA officials. The DCAA has been in the forefront of supporting humanitarian and charitable initiatives adopted by the UAE and its leadership.The UAE Compassion campaign was launched in line with the directives of the UAE President, His Highness Sheikh Khalifa bin Zayed Al Nahyan, and reiterated by the UAE Vice President and Prime Minister and Ruler of Dubai, His Highness Sheikh Mohammed bin Rashid Al Maktoum. Over AED228 million have been donated for the campaign by the UAE residents, Emiratis and government and private sector organizations across the country in addition to hundreds of tonnes of relief materials like life-saving medicines, high thermal blankets, heating equipment, accessories, winter clothing and foodstuff.
DCAA vocational training
he Dubai Civil Aviation Authority (DCAA) welcomed five 12th standard students from the Al Itthad Private School in Al Mamzar as part of the vocational training programme facilitated by the Human Resources Department. The programme is designed for students of government and private schools and universities. The programme is aimed at encouraging and motivating the students to work in the civil aviation sector. The trainees were taken on a field visit to the Dubai Air Navigation Services (DANS) to educate them about the various aspects of air traffic management. Abdulrahim Al Mulla, Director of Corporate Support, and Abdul Razzack Al Hashimi, Deputy Director of Corporate Support at DCAA, felicitated them at the end of their programme.
DANS, EUROCONTROL signs cooperation agreement
ubai Air Navigation Services (DANS), the Air Navigation Service Provider (ANSP) for Dubai’s two international airports and the airspace of the Northern Emirates, and EUROCONTROL, an intergovernmental air traffic management organisation made up of 41 Member-states from the European region and the European Union, have signed a Cooperation Agreement – the first of its kind in the Gulf Cooperation Council (GCC) region. The deal has been signed by the DCAA Director General and CEO of DANS, Mohammed Abdulla Ahli, and the Director General of EUROCONTROL, Frank Brenner, during a seminar on RECAT-EU hosted by DANS. The event was attended by various national stakeholders from the aviation industry, and witnessed participation from International organizations such as EUROCONTROL, and DSNA, the French Air Navigation Service Provider. DANS is the first ANSP in the GCC to sign a cooperation agreement with EUROCONTROL. The agreement will provide new opportunities for mutual benefit and will also pave the way for collaboration on research and development, exchange of information and provision of support on specific activities between both organizations across various fronts. The deployment of this agreement will also provide DANS with a significant edge through access to unique market intelligence, as well as the opportunity to collaborate on cutting edge concepts.One of the first areas for joint activity that will take place under this agreement is to advance the research on the Wake Vortex concepts. Wake has a large role to play in determining how many aircraft can land at an airport in a given time period. DANS has been experimenting how the wake spacing between successive arrivals - the gap between successive aircraft - can be safely reduced. One of the wake projects is called RECAT, which is designed to re-categorize the existing four wake turbulence categories into six new wake categories. DANS has been running a campaign to capture wake data for the last 18 months, and now has the database of approximately 160,000 tracks showing wake vortexes behaviour in the Dubai environment. EUROCONTROL has been instrumental in the RECAT concept research and has developed a Safety Case which has subsequently been endorsed by the European Aviation Safety Agency.
The agreement will enable further research on RECAT and the sharing with DANS of the safety case developed by EUROCONTROL. The agreement will also assist in delivering solutions such as RECAT, which is one of the potential solutions to be utilized by DANS to accommodate the escalating increase in capacity at Dubai International, the world’s top airport for international passengers.
“And in order to continue moving towards further success, DANS has identified in its operational strategy the importance of increasing and maximizing the scope of cooperation with International organizations. The deployment of the cooperation agreement between DANS and EUROCONTROL marks an important milestone in the history of aviation that will mutually benefit both organizations”.
Frank Brenner stated: “This ground-breaking agreement between EUROCONTROL and DANS will allow us to jointly make an important contribution to the activities that are underway in ICAO to define improved international wakebased separation minima bringing safety and economic benefits to aircraft manufacturers, airlines and airports such as Dubai. We are very pleased to begin working with our colleagues in DANS, and this cooperation agreement is supported by the 41 EUROCONTROL member states”.
He further added: “As a step in the right direction, we will be collaborating on the wake vortex project which is of tremendous importance to Dubai considering the massive air traffic increases it is witnessing at both airports. DANS invited all the national stakeholders in the aviation sector to discuss the opportunities of benefiting from this project in the future, regarding the increase of capacity in all the UAE airports”.
He added:” We believe it is an excellent example of how the different regions of the world can cooperate to drive forward a common project of benefit to all.” Mohammed Abdulla Ahli remarked: “As a result of the compelling vision set out by HRH Sheikh Mohamed Bin Rashid Al Maktoum for Dubai, the aviation sector has been experiencing exponential growth and development across various fronts.”
EUROCONTROL is committed to building, together with its partners, a Single EuropeanSky that will deliver the Air Traffic Management (ATM) performance required for the 21st century and beyond. Dubai leads the region in terms of air traffic movement. Dubai is set to see 665,000 yearly aircraft movements by the year 2020. The growth rate of aircraft movement clearly suggests that Dubai International and Al Maktoum International in Dubai World Central (DWC) are on a curve of exponential growth. February 2015
DCAA to host World Aviation Safety Summit in March 2015
Making skies safer
he aviation industry transported over 3.3 billion passengers across the globe on around 32 million commercial flights last year.
The International Air Transport Association (IATA) projects passenger numbers to reach 7.3 billion by 2034, by recording a 4.1 per cent average annual growth in demand for air connectivity. In the first century of air travel, 65 billion passengers took to the skies and IATA predicts the next 65 billion will fly in the next 20 years alone. To meet the phenomenal demand by 2033, the world jet airliner fleet will get almost doubled, increasing from 23000 to 44500 aircraft. Over 2000 airlines provide air connectivity to the world by operating more than 23000 aircraft on a daily basis through over 3700 airports. Global aviation safety remains in spotlight since 1944 when the world community at the signing of Chicago Convention acknowledged the need to achieve safety in international aviation. 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 strategic regulatory and infrastructure developments. ICAO says it is therefore imperative that States and regions remain focused on establishing, updating and addressing their safety priorities as they continue to encourage expansion of their air transport sectors.The Global Aviation Safety Study shows improvements in aircraft and engine design, communications, technology and training make flying the safest way to travel.
The study charts shows the improvement in the safety record of the airline industry over six decades, identifying key trends and drivers as well as regional differences. It said the commercial aviation sector has experienced robust growth since the beginning of the jet era. Yet the past 60 years have also seen a decline in fatal accidents, underpinned by a continuous improvement in safety. Improving safety is reducing the number of accidents and incidents. An overall analysis of aviation safety since the 1950s shows improvement in every decade, with the number of fatal accidents significantly reduced since the beginning of the commercial jet aircraft era. Since 1959 there have been 29,306 onboard fatalities (as of May 2014) in the worldwide scheduled commercial jet fleet, the majority of those fatalities happening within the first 20 years after the beginning of jet service. In terms of crashes, 2014 has seen the lowest number in more than 80 years, says the Geneva-based Bureau of Aircraft Accidents Archives, or BAAA.
With the AirAsia crash, the 2014’s number totals 111. The last time the world had 111 crashes was in 1927. In terms of fatalities, 2014 was only the 24th safest year on record (these numbers include hijackings and sabotage).
The other objective is to integrate safety culture with a world class safety management system to decrease human error and educate and reinforce safety and regulators’ perspectives on safety culture
A total of 990 fatalities were reported in commercial flights last year, according to new data from the Aviation Safety Network. That might seem horrific, but when you consider that there were an estimated 33 million commercial flights in 2014, it puts the number into perspective.
The summit will discuss about best practices for effectively developing safety culture, benchmark international standards for regulating the delivery of safety programmes, share case studies from regional and international experts on overcoming the challenges of integrating and implementing new and existing safety procedures and demonstrate the latest solutions on integrating state of the art Safety Management Systems (SMS).
As the global aviation hub which handled 70.4 million passengers in 2014 and projected to receive 100 million airline passengers by 2020, the Emirate of Dubai has an important role to play in ensuring high standards of aviation safety. Dubai Civil Aviation Authority’s (DCAA) remit has been enlarged in the recent times with massive growth in air traffic. The Dubai Civil Aviation Authority (DCAA) is taking its aviation safety commitment one notch up by hosting the two-day World Aviation Safety Summit (WASS) in Dubai from March 16, 2015. It is being held under the patronage 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. In a message, Sheikh Ahmed bin Saeed Al Maktoum, President of Dubai Civil Aviation Authority said: “DCAA firmly believes that safety is paramount for the growth of the aviation industry.”
The DCAA Director General, Mohammed Abdulla Ahli, said: “The summit will provide an ideal platform for deliberations as to the ways and means of moving to the next level of safety for making the air travel safe and secure in all aspects.” The World Aviation Safety Summit will be held on 16th and 17th March 2015 in Dubai. The Summit will bring together local and international stakeholders from regulatory authorities, airline operators, airport operators, aircraft manufactures, pilot associations, safety organizations and air traffic control service providers to discuss key strategies and challenges in improving safety culture. Over 300 regional officials representing airports, airlines, regulators, and industry stakeholders will attend the Summit, generating two days of insightful debate and discussions between the panel and the floor. The objectives of the Summit is 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 and encourage government organizations to support and develop a safer and more efficient aviation industry.
The summit speakers include H.E. Mohammed Abdulla Ahli, Director General, DCAA, Capt. Ruben Morales, Assistant Director Safety, IATA, Joachim Wirths, Head of Operations, Qatar Civil Aviation Authority, Henry Donohoe, Senior VP Group Safety, Emirates, Capt. Billy Nolen, Managing Director Corporate Safety and Regulatory Affairs, American Airlines, Capt. Nasir Iqbal, Senior Safety Risk Specialist, UAE General Civil Aviation Authority (GCAA) and Joseph Teixeira, VP, Safety and Technical Training, Federal Aviation Administration (FAA). If you would like to get involved in the World Aviation Safety Summit as a speaker, sponsor or delegate, please contact email@example.com or SMG at PO Box 62440 Dubai or Tel: +971 4 447 5357. February 2015
ey stakeholders contributed enormously to the amazing growth of the aviation industry in Dubai in 2014.
Dubai International Airport has overtaken London Heathrow as the world’s busiest airport for international passenger traffic, a distinction that it had maintained for almost two decades. A total of 68.9 million passengers had passed through Dubai International compared with 67.8 million at Heathrow as of December 22, according to data from the Airports Council International (ACI). In 2014, the total number of passengers at the Dubai International was 70.4 million, an increase of 6.1 per cent compared with 2013 figures. About 79 million passengers are expected in 2015.The iconic airport was at its busiest-ever week when it processed a record 638,317 passengers between December 18 and 20. The rise in passenger numbers at Dubai International came despite the curtailment of aircrafts movement by 26 per
cent due the biggest runway refurbishment and programme over 80 days in the summer of 2014. His Highness Sheikh Ahmed bin Saeed Al Maktoum, President of Dubai Civil Aviation Authority, Chairman of Dubai Airports and Chairman and Chief Executive of Emirates Airline and Group, said: “This historic milestone is the culmination of over five decades of double-digit average growth that were inspired by the vision of the late Sheikh Rashid bin Saeed Al Maktoum. It is a vision that has been carried forward strongly by our leader HH Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai.” He added: “The shared goal is to make Dubai a global centre of aviation and we are nearing that goal thanks to an open skies policy,
a friendly business environment, Dubai’s growing attractiveness as a centre for trade, commerce and tourism, growing network connectivity due to the rapid expansion of Emirates and flydubai and timely investment in aviation infrastructure.” The ranking came much earlier than expected amidst rapid transformation that the airport and other aviation infrastructure is witnessing. The scheduled opening of Concourse D in the first half of 2015 is part of the $7.8 billion expansion programme designed to boost the airport’s capacity to over 100 million passengers annually by 2020. It is projected that Dubai International will keep up the title for good considering the number of travellers it is expected to handle in the coming years - 36 per cent increase is expected by 2016.
Cover Story Mohammed Abdulla Ahli, Director General, Dubai Civil Aviation Authority (DCAA), said: “Dubai International becoming the number one airport in the world for international passengers is a big achievement for the aviation industry in Dubai. This achievement could have not been possible without the hard work and team efforts of all the stakeholders, Dubai’s Open Skies policy and the investment in infrastructure development at the right time.” He added: “We could achieve this solid standing on the aviation world map in line with the vision of His Highness Sheikh Mohammed bin Rashid Al Maktoum and the ceaseless support and guidance of His Highness Sheikh Ahmed bin Saeed Al Maktoum. With Dubai becoming a stronger destination for tourism and business, we will be able to achieve many more distinctions in the coming years.” He remarked: “ I take this opportunity to thank the strategic partners like Emirates, flydubai and other carriers operating to Dubai, Department of immigration, Department of customs, Dubai police, dnata, and fuel suppliers such as , Shell and Air Bp who made this dream a reality. This achievement will put before us more challenges to remain stay at the top of the world ranking of international airports. We expect many more achievements in the coming years.” Paul Griffiths, CEO of Dubai Airports. “Much like 2014, 2015 promises to be another eventful year featuring more record passenger numbers and facility upgrades including the opening of Concourse D which will boost Dubai International’s capacity to 90 million. Our traffic projections for 2015 are 79 million passengers. We will have more flights connecting more people to more destinations. And we will be fully focussed on rolling out technology, new F&B concepts and service initiatives that further enhance the passenger experience.” Paul Griffiths told the Financial Times: “Heathrow is losing a lot of traffic to Dubai because we’re able to cater for the connections that Heathrow no longer has the capacity to service. It is highly unlikely the UK will regain number one spot for international passengers”. He said: “Looking forward to 2015, the prospects remain exceedingly bright and we expect to maintain the growth achieved this year in the next 12 months. Dubai has grown in its stature on the world aviation map by posting impressive growth rates and ambitious expansion drive for its
aviation industry since opening its first airport in 1960 which was capable of handling aircraft up to the size of a DC-3. It was located on a vast expanse of a wasteland some four kilometres from what was then the edge of the city of Dubai. In 1963, it had its first asphalt runway and it accommodated nine airlines serving a total of 20 destinations in 1969. In the 1970s, the airport grew into a threestorey terminal building with a new control tower, additional taxiways, lengthening of the runway, extension of aprons, airfield lighting and landing instrument. In April 1984, the second runway, equipped with the latest meteorological, airfield lighting and instrument landing systems to give the airport a Category II classification, was opened. In 1988, passenger throughput at the airport increased to 4.3 million and it more than doubled in a decade to 9.7 million by 1998, the year in which it opened Terminal 2, increasing the airport’s capacity by two million passengers per annum. The opening of Sheikh Rashid Terminal, also known as Terminal 1 in April 2000, marked the start of a new chapter in Dubai’s aviation history. Built as part of the first phase of the general expansion project at a cost of AED2 billion, the terminal increased the airport’s capacity from 10 million to 23 million. In 2002, Dubai International was ranked the second fastest growing airport in the world.
The facility handled around 18 million passengers in 2003 and was established as the aviation hub of the Middle East. Work began on Concourse A, the world’s first-purpose built A380 facility for Emirates’ superjumbo fleet. Terminal 2 underwent a major refurbishment for the launch of flydubai, Dubai’s own budget airline. Dubai Airports opened the much-awaited Dubai International Terminal 3 in 2008 for the exclusive use of Emirates Airlines. The flawless opening of the world’s largest single terminal not only expanded Dubai International’s capacity to 60 million but won the airport accolades from passengers and the aviation industry worldwide. Passenger throughput surpassed the 40 million mark with traffic reaching 40.9 million in 2009, and Dubai International became the world’s fastest growing airport and found itself it the top 50 major aviation hubs. In 2013, Concourse A was opened, boosting capacity at Dubai International to 75 million. Dubai Airports continues to invest in worldclass facilities to meet this demand, including the opening of the new Concourse D in the first half of 2015. With 344,000 planes taking off and landing from the airport every year, the airport has a hectic schedule. Some 90,000 staff have been working hard to keep it safe, secure, and on schedule. The home base of Emirates and flydubai oversees 180,000 passengers travelling to over 260 destinations each February 2015
13 Airbus A380s, 12 Boeing 777-300ERs two Boeing 777 freighters — to its fleet. These included its 50th A380 and its 100th 777-300ER aircraft, strengthening Emirates’ position as the world’s largest operator of both the A380 and 777. In 2014, Emirates has carried over 45 million passengers, operating 3,516 flights per week on average. The airline carried over 2.1 million tonnes of cargo, served over 47 million meals and flew 756 million kilometres – equivalent to circumnavigating the globe 18,552 times. Emirates introduced services to eight new destinations, with each new point exponentially increasing the number of city-pair combinations that the airline offers to its leisure, business and cargo customers across its global network.
day and moves nearly 2.4 million tonnes of cargo each year. Currently, 12,000 workers are employed on the $1.08 billion Dubai International Airport expansion, according to construction firm ALEC. Since June 2011, the Dubai-based contractor has been constructing the new Concourse D, refurbishing Terminal 1 and building a link between the two sites.
to usher in a new era in the civil aviation history of Dubai. Led by Emirates and flydubai, Dubai’s aviation industry is set to boost passenger traffic, cargo volumes, fleet expansion and route network. Both the airlines recorded stellar performances in 2014 across all business segments of the industry while achieving new milestones in their spectacular growth.
The concourse areas comprise an extra 340,000 square metres of floor space - twice the footprint of London Heathrow Terminal 5. The built up area of the facility is 150,000 square metres and it has 17 contact gates. The scheme is due to be handed over to Dubai Airports in April 2015 and is expected
Emirates is now world’s largest airline for wide-body passenger fleet
Emirates, the world’s largest international airline, rounded off 2014 as the airline boasting the world’s largest wide-body passenger fleet of 218 aircraft, in addition to 14 freighters. In 2014, Emirates added 27 aircraft —
The new cities launched in 2014 were: Kiev, Taipei, Boston, Abuja, Chicago, Oslo, Brussels and Budapest. In addition, Emirates added frequencies to 20 existing destinations, increasing flight choices for its customers. In 2014, Emirates’ deliveries paved the way for the launch of 10 new A380 destinations including Zurich, Barcelona, London Gatwick, Kuwait, Mumbai, Frankfurt, Dallas/ Fort Worth, San Francisco, Milan and Houston. Emirates currently operate its highlypopular flagship A380 to 32 scheduled destinations. In 2014, Emirates also led one-off A380 services to Glasgow, Manila, Tehran and Vienna. In the first half of the 2014-15 fiscal year, Emirates Airlines’ net profit rose to AED1.9 billion, up eight per cent from the same period last year.
Sir Tim Clark, President, Emirates Airline, said: “In 2014, we have navigated through an 80-day period of reduced operations due to runway upgrades at our hub airport, regional conflicts which impacted our operations and flight routes, the Ebola outbreak, fluctuations in oil prices and currency exchange rates, and economic uncertainty in many markets worldwide. He added: “Despite all that, Emirates has continued to grow, adding capacity equivalent to a mid-sized airline while maintaining our seat load factors. We also expanded and strengthened our global network, which gives us the flexibility to cope with regional shocks and redeploy strategically to maximize opportunities.” “We deal with the short term challenges, but are not distracted from our long-term plans. This is why Emirates continues to invest heavily in new technology and initiatives to enhance our product offering and customer experience.” By 2020, as Dubai expects to welcome over 20 million visitors for Expo 2020 and it is estimated that Emirates will fly 70 million passengers.
flydubai – Unrivalled growth
Over the past five years, flydubai has seen it grow its share of capacity at its Dubai International Airport base to 12.1 per cent in 2014 as its annual network capacity has grown 3.9 per cent from 10.38 million seats in 2013 to 10.78 million seats in 2014. In 2015 flydubai will see another three destinations added to its route map, further expanding the carrier’s footprint to 89 destinations in 46 countries. The airline, building on the momentum from this and last year, when 20 and 19 new destinations were added to the network, has further cemented its commitment to enhance connectivity between different cultures. flydubai said it had a record year in 2014, having launched 23 new routes and created a network of 89 destinations across the GCC, Europe, Africa and the Indian Subcontinent, 56 of which were previously underserved. Gaith Al Gaith, CEO of flydubai, said: “In 2015, the carrier will continue to support the Vision 2020 to attract 20 million tourists to Dubai by adding more routes, more frequencies and more aircraft. flydubai announced the addition of three new routes to its growing network.
High growth region
ATA projected that the number of passengers travelling to and from the UAE is expected to increase at an average annual pace of 5.6 per cent until 2034, a higher rate than the regional average. The UAE will add 29.2 million passengers over the next four years at a compound annual growth rate of 6.6 per cent as total global air passenger numbers are expected to rise to 3.91 billion by 2017. Dubai International Airport and Al Maktoum International Airport in DWC are on a curve of exponential growth and will see a massive surge in aircraft movements, said Mohammed Abdulla Ahli, Director General of DCAA and CEO of Dubai Air Navigation Services (DANS). Dubai has to set the target of 665,000 aircraft movements by 2020. The refurbishment of two runways at Dubai International is expected to help the airport handle a third more aircraft per hour, easing air traffic congestion concerns. Dubai air traffic has been consistently growing between five to seven per cent annually, higher than the global average of 3.5 per cent. The re-
Flights to Hargeisa (Somaliland), Chennai (India), and Nejran (Saudi Arabia) will commence in the first quarter of 2015, further expanding the carrier’s footprint to 89 destinations in 46 countries. flydubai has expanded its network in Africa in 2014 to 13 points served by 60 weekly flights. The carrier has linked Dubai to 56 underserved destinations since it started its operations in 2009.
DDF –Where the world comes to shop
Over the past 31 years, Dubai Duty Free has grown to become one of the leading airport retailers in the world with a turnover of $1.917 billion in 2014. The year saw the sales volume of DDF going up by 7.36 per cent compared with 2013. Employing 5,700 people, DDF currently operates about 26,000 square metres of retail space at Dubai International Airport and a further 7,000 square metres with the opening of Concourse D in 2015- and 2,500 square metres at Al Maktoum International
furbished runways at Dubai International mean that by 2016 the airport will be able to handle 45 arrivals per hour at peak times from the current capacity of 33 arrivals. ICAO has projected that the UAE airports will have to handle 1.62 million aircraft movements by 2030. By 2025, airlines are expected to operate approximately 1.4 million flights per annum to/from the UAE. The UAE Air Traffic Management Strategic Plan 2014 –2030, prepared by GCAA, has projected that the total number of flights will be approximately 1,856,909 in 2030. The cumulative annual average growth rate is estimated to be 6.45 per cent from 2015 to 2020 and 3.2 per cent from 2020 to 2030 for total civilian operations in UAE airspace. The average number of daily flights will increase to 5,087 in 2030. The total number of over-flights will increase to approximately 305,373 in 2030 at a cumulative annual average growth rate of 4.8 per cent from 2015 to 2020 and 2.4 per cent from 2020 to 2030.
in Dubai World Central (DWC). In the long term, the retail operation will cover some 80,000 square metres at Al Maktoum International.Colm McLoughlin, Executive Vice Chairman of DDF, remarked: “We expect the sales to cross $2 billion in 2015, AED7.7 billion in 2016 and AED10 billion in 2018.” DDF was named as the largest single airport retail operation in the world based on sales figures of $1.8 billion in 2013.This was the fourth time that DDF has been named the largest retail operation, ahead of Seoul Incheon, Singapore Changi and London Heathrow airport. The Dubai-based airport retailer was previously named the largest in 2008, 2009 and 2010. DDF has received 37 awards in 2014 alone. Established on December 20, 1983, DDF has witnessed significant increases in its annual sales every year till now and has become the leading airport retailer in the world. It crossed the $100 million mark sales in 1992, touched $500 million in 2004 and crossed $1 billion in 2008. February 2015
DCAA to ensure a smooth transition and high level of civil aviation safety in the region
s part of its ceaseless efforts to ensure that all standards and regulations for Dubai’s fast-expanding civil aviation industry are compatible with the local, federal and international procedures and regulations, the Dubai Civil Aviation Authority (DCAA) is working to ensure a smooth transition and a high level of civil aviation safety in the region. This is being done through implementing rules which reflect the state-of-the-art and the best practices in the field of aerodromes; taking into account the applicable International Civil Aviation Organization (ICAO) Standards and Recommended Practices and worldwide aerodrome operation experience and scientific and technical progress in the field of aerodromes. It is also to ensure compliance of the rules and regulations taking into account the size, traffic, category and complexity of the aerodrome and nature and volume of operations thereon and also provide the necessary flexibility for customized compliance and cater for the cases of aerodrome infrastructure which has been developed, prior to the enforcement of regulation in accordance with the different requirements contained in the national legislations of the ICAO Member –States. Hafidh Masoud Addy Juma Al Zaraei, Head of Airport Certification Section at the DCAA’s Standards and Regulations Department, says DCAA is looking into the new European Aviation Safety Agency (EASA) regulations which require EU airports with scheduled air traffic to fulfill a
new set of requirements to maintain their operating license. The new regulations cover infrastructure, processes and organization and the entire certification process is required to be completed by 2017. EASA is at the heart of a new Europe-wide regulatory system and a number of airports in the UK have already trialed the transition from a Civil Aviation Authority (CAA) Aerodrome License to an EASA Certificate. Bristol Airport has become the first airport in Europe to transition to new safety specifications under harmonized European regulations. EASA is at the heart of a new Europe-wide regulatory system, Bristol Airport was one of a small group of airports selected to work with the UK Civil Aviation Authority to trial the transition from a CAA Aerodrome License to an EASA Certificate. Before being awarded the new EASA Certificate, the airport was required to demonstrate that its design, equipment and infrastructure meets EASA specifications and that organizational structures and operating procedures also satisfy the new requirements. The need
for regulations update was being felt taking into account the introduction of latest generation of twin-engine, wide-body jets such as the Boeing 787. A Code 4F airport, Dubai International is the first in the world to have a dedicated terminal for A380. Dubai International Airport’s runways have been recently refurbished to accommodate future growth. “We already have one of the best aviation facilities in the emirate but we need to constantly evolve ourselves to meet the needs and expectations of the industry stakeholders,” he said in an exclusive interview with Via Dubai during which he explained the functioning of the Airport Certification Section and outlines its future plans. Excerpts
What are the key responsibilities of the Airport Certification Section?
The Aerodrome Section is responsible for Aerodrome Certification as well as Safety Oversight of Aerodrome Operations (AOP) and Rescue Fire Fighting Services (RFFS). The term aerodrome as defined in CAR IX includes airports (DXB,DWC).
The Head of Airport certification Section is appointed to manage all Aerodrome section regulatory and safety oversight activities related to GCAA in UAE .
Aerodrome Operations (AOP):
Aerodrome Certification in accordance with CAR Part IX and CAAP 30
Safety Oversight of Aerodrome Operations in accordance with CAR Part IX
Approval for airport projects in accordance with CAR Part IX and CAAP 59
Review and acceptance of Aerodrome Manuals including SMS in accordance with CAR Part IX and CAR Part X and CAAP 50
Review of relevant regulation and development of guidance material
Facilitate Aerodrome Operations Technical Committee (AOTC)
Rescue Fire Fighting Services (RFFS):
Safety Oversight of Aerodrome Emergency Services, Facilities & Equipment in accordance with CAR PART XI
Review and acceptance of Aerodrome Emergencies plans in accordance with CAR PART XI
Review and acceptance of Aerodrome Manuals including SMS in accordance with CAR Part XI and CAR Part X and CAAP 50
Review of relevant regulation and development of guidance material
How often do you audit for the airport certification?
As per ICAO regulations, each airport has to be certified in terms of SMS operations to ensure that everything is in perfect order. We do auditing of the operations and twice a year of both DXB/DWC Aerodromes manuals/sops in accordance with CAR Part IX and CAR Part X and CAAP 50. An airport also undergoes fitness test periodically. We have to ensure that Manuals/ SOPs are being implemented and amended appropriately and effectively. It is a multistage exercise and we look at every aspect of operation on the airside according safety management system. In addition to the above audits, monthly ‘Follow up” meetings are scheduled with both Airports. Inspection and additional visits and oversight of the runway if its required.
Is the scope of operations of the Airport Certification Section being enlarged?
The Airport Certification Section is likely to be shouldered with additional responsibilities in the near future. To function as the center point of certification of all land and off shore facilities. We will be looking at their compliance with the international procedures and regulations in terms of documentation. Our future plan is to include certification for helipads and heliports as well for the success of this process, close liaison with regulation & safety section, environment & obstacle control section and security section oversight is envisaged.
What are new projects that will be implemented in 2015?
DCAA will be hosting the world aviation safety summit in March 2015. In order to reach out to the global aviation industry stakeholders and create further awareness about the aviation safety culture, the DCAA has upgraded the aviation safety culture conference into a world aviation safety summit. We want to make Dubai as the safety hub for the aviation industry in the near future. In the past two years, the conference has made tremendous impact.
UAE in Focus
Dubai unveils 2015 budget D
ubai has wowed its residents and silenced its critics with an operating surplus of AED3.6 billion, the first ever since the global financial crisis in 2008, in its AED41 billion budget for 2015. The budget also put on a humane face with 71 per cent of expenditure allocated to social sector development and infrastructure spending to create more jobs and stimulate the economic growth of the emirate. The finance document is prepared in line with the vision of His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of UAE and Ruler of Dubai, who approved it. This is the first ‘balanced budget’ with no shortfall projected since the 2008 financial crisis. The spending is set to increase by nine per cent in the fiscal year 2015 while revenues are projected to be up 11 per cent. About 35 per cent of the budget expenditures will be spent on social sector uplift, with its prime share of the allocation going into health, education, housing and community development projects.
The spending is set to increase by nine per cent in the fiscal year 2015 while revenues are projected to be up 11 per cent The government has given equal importance to the infrastructure, transportation and economic sectors as 36 per cent of allocations are reserved for spending under this head to sustain positive economic growth in 2015. About 22 per cent of the budget is allocated to support the security, justice and safety sectors, while the remaining seven per cent is made available for the government excellence sector. The government has further reduced its dependence on oil revenues, which now only contributes four per cent to the total income, compared to the five per cent in the fiscal year 2014. The government has increased public revenues by 11 per cent. Revenue from government services, which represent 74 per cent of the total government revenue, increased by 22 per cent, compared to 2014. Tax revenues increased by 12 per cent of the total government revenue, compared to the fiscal year 2014, and came to
represent 21 per cent of total government revenues, which include customs and taxes of foreign banks. The 2015 expenditures break-up shows that a major allocation of 40 per cent is made for general and administrative expenses, capital expenditures and grants and subsidies in order to provide better government services to citizens and residents in the emirate. The second major allocation of 37 per cent in government expenditure is reserved for wages and salaries, underscoring the government’s desire to support recruitment and human resource development in the emirate. The government has made a provision for 2,530 new jobs for citizens during the fiscal year 2015 in line with the continuation of the settlement policy under which it created 1,650 posts in fiscal 2014. The government continues to support infrastructure projects by allocating 13 per cent of its spending to infrastructure. The interest of the government in dealing with loans seriously is reflected in the six per cent allocation for debt service. About four per cent is allocated for capital expenditures in the fiscal year 2015.
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UAE in Focus
20th edition of DSF attract tourists and residents alike
he 20th edition of (DSF) Dubai Shopping Festival started on the first day of 2015. Laila Suhail, CEO of Dubai Festivals and Retail Establishments, a division of DTCM which organises the DSF, said DSF has grown into the longest-running festival of its kind in the world with the help of the government and sponsors who have unflinchingly supported it through the years. She emphasized on the growth by highlighting the fact that when the festival first started there were only around five malls and a couple of retailers. Currently, there are 70 malls and 6,000 retailers that have helped make this festival recognizable worldwide. Statistics show that during the 20 years of DSF, around 57 million visitors have participated in the DSF festivities and spent
AED145 billion in the span of those two decades. In the past four or five years, Dubai have received 4.5 million visitors on average who spent around AED14-15 billion which means a billion dirhams a week and by visitors we refer to people locally and internationally who have participated in the festival one way or the other. From those 4.5 million visitors, 25-30 per cent are international visitors and the rest are residents. Research presented by her has shown that more than 50 per cent of shoppers defer their purchase until DSF.For the 2015 edition,
Dubai Trolley to become operational in Q1 2015
ubai’s newest public transport system will open to public in the first quarter of 2015.Dubai Trolley network will cover seven kilometres around Downtown Dubai, connecting the areas biggest landmarks such as The Dubai Mall, Burj Khalifa, the Address Downtown Hotel and Opera District with other parts of the sprawling neighbourhood. The network will be served by small electric and hydrogenpowered trams accommodating 74 people each. The first phase of Dubai Trolley will cover a distance of one kilometre and will have three stations.Dubai Trolley is a smart urban mobility service that further builds on the trolley tram systems that are in use in several cities across the US and Europe.
Designed primarily to help tourists move from one attraction to another in Downtown Dubai, the transport system will also be used by residents. The network will be served by double-decker trams that have the provision of open-deck and air-conditioned seating.The trams will be elegantly designed to complement the Arabesque architectural features of Downtown Dubai. Being electric and hydrogen powered, the Dubai Trolley has practically zero-emission. All the stations will be air-conditioned and will reflect the architectural attributes of Downtown Dubai. According to sources, when completed, the network will also offer connectivity with Dubai Metro through the Dubai Mall station.
residents and visitors from around the world have the opportunity to experience a mix of over 150 unique events and activities. The 32-day “Journey of Celebrations” promises excitement, top notch entertainment and unique shopping experiences aimed at showcasing Dubai as one of the best family tourism destinations in the world. DSF is the longest running festival of its kind in the world. Dubai Shopping Festival started its journey in 1996, based on the vision of His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of UAE and Ruler of Dubai.
UAE dirham to remain pegged to dollar
he UAE will keep its currency pegged to the US dollar.The UAE dirham, which has been fixed at a rate of 3.6725 to $1 since 1997, edged down to its lowest level against the dollar in over a year in the one-year forwards market as the price of oil, on which the econo-
my depends heavily, fell to new four-year lows.The UAE Central Bank Governor Mubarak al-Mansouri said in a statement to WAM that the policy of the fixed peg of the dirham against the US dollar will remain in place.” The peg came under pressure in 2008 as the global financial crisis slashed oil prices and disrupted fund flows. Economists believe the UAE economy is much better placed to withstand the current oil price volatility, having built up large fiscal reserves and strengthened its non-oil sector.
UAE in Focus
UAE accounts for 55 per cent of GCC e-commerce market
survey by an online e-commerce solutions company has revealed that the UAE accounts for 55 per cent of the e-commerce market of the Arabian Gulf countries as it registered 300 per cent growth in the online market between 2013 and 2014. ShopGo announced that the e-commerce sector in the UAE is currently valued at $2.5 billion, representing 55 per cent of the total e-commerce market in the Gulf Cooperation Council (GCC). According to yStats.com’s Mena B2C E-commerce Report 2014 digital sales are growing in the UAE at a rate of more than 20 per cent annually amid increasing internet and mobile coverage. The size of the opportunity for e-tailers is significant with Google saying that the region’s digital space only accounts for about one per cent of retail spending compared with more mature markets where 10 to 15 per cent is spent online. The potential for online spending in the GCC is among the highest in the world. Nearly 90 per cent of residents have access to the Internet. Compare that figure with 35 per cent access worldwide and 81 per cent in the US. The UAE has been particularly proactive, creating a legislative and regulatory framework designed to facilitate eCommerce growth.
Visa’s 2014 Middle East Report described a $5 billion dollar increase in Middle East online business-to-consumer spending in 2012, and predicted future growth of up to 20 per cent annually. The GCC has 90 million internet users, and in 2012 they spent over $9 billion online. By 2015, the region will be spending $15 billion online. According to Visa, the UAE government is leading the way for e-Commerce in the country with the telecommunications authority designated to create an effective e-Commerce environment. In Dubai specifically, the e-Pay gateway has had a huge impact, enabling customers to settle fees of e-government services online on a 24/7 basis in a secure environment.
Early last year, Economic Zones World, or EZW, and Dubai Customs, along with key founding partners launched the world’s first purpose-built smart retail hub called “matajircom”, and the initiative is expected to herald paradigm shift in the region’s e-commerce landscape. The project is part of EZW’s vision to be the global hub of the upcoming e-economy and Dubai Customs’ focus on becoming the world’s leading facilitator of international trade. The first phase of the project will be ready by the first quarter of 2015. The e-commerce hub will be located in TechnoPark.
Dubai Frame to be ready in H1 of 2015 There will also be a viewing gallery on the top offering panoramic views. An elevator made of glass will offer unblocked views as visitors travel up and down the sides of the frame. The AED160 million tourist attraction is taking shape near the Star Gate play area in Zabeel Park, chosen as the location after extensive surveys of what site would offer the best views of new Dubai and old Dubai through the frame.
he Dubai Frame project — shaped like a giant window frame — is 35 per cent complete and is expected to be ready in the second half of 2015.
Dubai Municipality said the oversized rectangle will serve as a 150 metre by 93 metre frame of a view of modern Dubai on one side and the older city on the other.
Officials hope it will draw 2,000,000 visitors a year, joining a long list of iconic Dubai landmarks recognised internationally, such as the Burj Khalifa and the Burj Al Arab. February 2015
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Middle East in Focus
Muscat Airport marks another year of success
man Airports Management Company (OAMC) celebrated the 41st anniversary of the opening of the Muscat International Airport, on December 23.Aimen Al Hosni, general manager of Muscat International Airport, said that OAMC wants to turn Muscat International Airport into a travel hub and a cutting-edge entertainment and shopping outlet operated by various internationally renowned companies. He also remarked that the company’s
celebration on this occasion is a reminder of the various successes and developments achieved in the civil aviation sector in general and Muscat International Airport in particular. He expressed his delight with the great strides being made since the construction of the Muscat Airport in 1973 till date.The initial capacity of the airport was only two million passengers, but it increased to nine million passengers by the end
ME ground handing industry to benefit from aviation boom
he multi-billion dollar expansion of airports and airline fleets in the Middle East has set off immense growth prospects for the ground handling industry players with both airports and airlines operators keen on acquiring latest technologies to ensure greater efficiency, performance and profitability amidst stiff competition. The Arab Air Carriers Organization (AACO) said the number of passengers flying through Arab airports will grow to 571 million by 2026. The fleet count of Arab carriers will grow from 1069 to 1685.Daniyal Qureshi, Group Exhibition Director at Reed Exhibitions Middle East, organizers of Airport Show, said: “As regional aviation expansion continues, ground handling providers are expanding infrastructure and improv-
ing operational efficiency to cope with growing service demands and expectations.”Based on the findings of the latest GH System Market research, the global ground handling industry, valued at around $347.5 billion in 2014, is expected to continue growing at a steady pace. The 15th edition of Airport Show, from May 10th to 12, 2015, will feature a ‘Meet the Buyer’ programme exclusively for the ground handling industry. Products on display will include Passenger Boarding Bridges, Aircraft Docking Guidance Systems, Aircraft Preconditioned Air systems, rubber removal machines, aircraft tow-bars, passenger stairs, baggage carts, catering trucks, pre-conditioned air units and auxiliary power units (APUs), amongst others.
of 2014, six per cent higher when compared with last year’s 8.5 million passengers. This is an indicator of the growth in the passenger movement via Muscat International Airport, which reflects the economic growth of Oman in all areas.
He said that the number of passengers and airlines (currently 33) using Muscat International Airport is likely to increase in light of the commercial, tourism and investment openness of Oman.
Gama builds ME fleet, eyes DWC
he UK-based Gama Aviation which operates an FBO in Sharjah added two aircraft to its managed fleet this year and is planning a new hangar for maintenance and storage. Gama has seen a windfall from operators leaving Dubai International Airport (DXB) due to the shortage of slots for business aviation at that airport. Today, Gama has eight aircraft under management and two on
charter. Two aircraft were added to the fleet this year, a Legacy 600 and a Challenger 605. “We now charter two Legacy 600s, and we are obviously very happy with that product. It has been very well received by the industry,” Richard Lineveldt, general manager, Gama Aviation Sharjah, told AIN. Gama has three hangars at Sharjah International, and access to a fourth, if necessary, for parking.
Air BP expands fuel outlets in Middle East
ir BP is targeting growth in the Middle East as it continues to increase the number of airport where it provides fuel and other services.
way they also get a shorter delivery time and avoid queues. At most airports at which we work we have business aviation dedicated teams and refuellers.”
Currently this is around five airports/sites in the Middle East but this is set to expand fast with the latest addition being Dubai Festival City’s new heliport.Miguel Moreno, Air BP’s general manager for general aviation, told AIN: “We have 650 sites around the world and if the customer knows their most important airport, we aim to offer security of supply there through a service level agreement. This
Air BP has been eying the lucrative Saudi Arabian market after making good progress in the Gulf. “We have plans all around the Middle East and we are talking [about new opportunities in Saudi Arabia] but we can’t expand on this at the moment…but the Middle East is one of the busy hubs now and in the future. We have been very focused on Dubai,” Moreno said.
Middle East in Focus
BBJ expects 35 per cent of global sales in Middle East
Kuwait Airways finalize order for 10 Boeing jets
oeing and Kuwait Airways have finalised an order for 10, 777-300ERs (Extended Range), valued at $3.3 billion at list prices.The order underlines the popularity of the 777-300ER as the preferred long-haul aircraft of many of the world’s leading airlines including those from the Middle East. The airline originally announced its intent to order the 777-300ER in November 2014.
oeing Business Jet (BBJ) expects the Middle East to account for about 35 per cent of its global sales, but warned that falling oil prices could affect its customers in the region. “The Middle East traditionally has been a very core market for us,” Steve Taylor, the BBJ president told a press conference at the Middle East Business Aviation show in Dubai.The US plane manufacturer added that sales were returning to their pre-financial crisis levels. BBJ has received 13 orders year-to-date, its highest since the economic downturn of 2008.
Boeing also announced two orders for the BBJ Max8 aircraft from the Swiss-based charter operator Comlux. BBJ did not disclose the value of the deal.The Middle East Business Aviation Association has predicted that the number of registered aircraft in the region will reach 1,200 by 2020, up from 530 in 2013. However, Honeywell Aerospace said in a late October 2014 report that business jet demand from the Middle East and Africa had moved below its historical growth rate of 4 to 7 per cent a year, citing continuing conflict in the region, lower oil prices and health crises in Africa.
“Kuwait Airways has plans to renew its fleet as well as expand its operations and the 777-300ER is a perfect airplane for our strategy,” said Rasha Al Roumi, CEO of Kuwait Airways.“The airplane has already validated its position in terms of high reliability, low operating costs and fuel efficiency. We are looking forward to having the 777-300ER join our fleet.” The 777-300ER is the most fuel and costefficient airplane in its class today with 99.5 percent reliability, making it the most reliable twin-aisle aircraft in the world.
New facilities at Benazir Bhutto airport main runway as soon as a plane completes landing. The addition of the strip will save 10 to 15 minutes time in every landing and take-off, The Express Tribune reported. Presently, every aircraft takes a U-turn and uses the same runway for taxiing after making a landing on the main runway. Resultantly, every aircraft has to wait till the runway clears before takeoff or making a landing.
he Civil Aviation Authority (CAA) of Pakistan is carrying out a facelift for the old Benazir Bhutto International Airport at a cost of Rs380 million.
New Beijing airport breaks ground
onstruction of Beijing’s new airport has started. The project will $13.11 billion and take about five years to complete, Xinhua reported. The official news agency said the airport is designed to handle 72 million passengers, two million tons of cargo and mail, and 620,000 flights by 2025, according to the National Development and Reform Commission, which approved the plan on December 15. The new airport is located in southern Daxing, which borders Hebei province. Experts believed the project could help boost the regional integration of Beijing, Tianjin and Hebei.Zhao Wei, deputy director of the airport management department of the Civil Aviation Management Institute of China, said that a medium-sized city will be formed within 30 kilometers of the airport.
A new taxiway is being built to save over Rs90 million to the aviation industry per year. The 1,700 feet long and 75 feet wide taxiway will help immediately clear the
More than 100 routine commercial flights — domestic and international — operate from the Benazir Bhutto Airport every day in addition to 30 to 35 military aircraft. Over 4.3 million domestic and international passengers used the airport in 2013.
EU funds Poland to build ‘ghost’ airports
he European Union has given Poland $125 million to build at least three “ghost” airports in places where there are not enough passengers to keep them in business. The result is gleaming new airport terminals which, even at the peak of the holiday season, echo to the sound of empty concourses and spend millions trying to attract airlines. Poland is not the only country in Europe to have built airports that struggle to attract flights. Around 80 airports in Europe attract fewer than one million passengers a year and about three-quarters of those are in the red, according to industry body Airports Council International.
Poland received 615.7 million euros in EU support for airports between 2007 and 2013, according to figures supplied to Reuters by the European Commission. That was almost twice as much as the next biggest recipient, Spain, and more than a third of all member states’ money for airports. Between 2007 and 2013, the European Union promised funding to help build and upgrade 12 Polish airports. Some of the projections underlying the plans were highly ambitious. Polish authorities projected combined passenger numbers for the airports to be more than 3 million passengers a year. In 2013, the actual number was just over 1.1 million.
International Under the Patronage of His Highness Sheikh Ahmed bin Saeed Al Maktoum, President, Dubai Civil Aviation Authority, Chairman, Dubai Airports and Chairman and Chief Executive, Emirates Airline & Group
M Global airlines’ profits to hit $25 NAIA to start work on fifth terminal Complimentary ORLD billion in 2015 infor2016 passes airlines,
airports, civil onstruction on the fifth aviation authorities terminal at the Ninoy and regulators Aquino International
is still no final location set for the new terminal, he said it will be within the NAIA Airport (NAIA) is expected property and accessible from Strategies that save to start in 2016. South Luzon Expressway and C-5 Road. The Philippines Transportation Secretary Joseph Emilio He clarified, however, that the A. Abaya said the depart- construction of a fifth termiment hopes to start construc- nal will not solve congestion tion of a new terminal “in at NAIA. “Even if we put this 2016” after “consultants ad- up, there will17 still be need for 16 & March vised to shift our attention terminal space so we will creaway from the building of a ate more space in terminals 1, third runway.”Although there 2, 3 and 4.”
lives and grow businesses
riven by lower oil prices and 2015 | Dubai | UAE
stronger worldwide economic growth, global airlines are on track to boost their collective global net profit to $25 billion in 2015, up $19.9 billion in 2014, International Air Transport Association (IATA) said. For Middle East carriers, which have one of the lowest breakeven load factors (58.6 per cent), post-tax net profits are expected to grow to $1.6 billion in 2015, up from $1.1 billion in 2014. This represents a profit of $7.98 per passenger and a net profit margin of 2.5 per cent.
Average yields of Middle Eastern carriers are low but unit costs are even lower, partly driven by the strength of capacity growth. Passenger capacity is expected to expand by 15.6 per cent in 2015 (up from 11.4 per cent in 2014), IATA said. On a per passenger basis, airlines will make a net profit of $7.08 in 2015. That is up on the $6.02 earned in 2014 and more than double the $3.38 earnings per passenger achieved in 2013.
UK airports runway expansion plans costlier
Argentina to allow H.E. Mohammed Abdulla Ahli Capt. Ruben Morales Joachim Wirths passengers carry Director General Head, Flight Operations Safety Head of Operations Dubai Civil Aviation Authority IATA Qatar Civil Aviation Authority lapdogs on flights lans to expand the runways at London’s The commission is due to make its recommendation
two main airports could be far more exonTeixeira which scheme should go ahead when it delivers Tony Douglas Capt. Mark Burtonwood Joseph its final in summer 2015. CEO pensive than those bidding to operate them VP, Flight Safety VP, Safety & report Technical Training Abu Dhabi Airportssays the Airports Commission. Emirates USA Federal Aviation Administration (FAA) have estimated, ristina Fernandez, President of ArThe plan put forward by Heathrow Airport gentina, has announced a change in A new runway to the north-west of Heathrow envisages a 3,500m runway to the north-west policy at the state-run airline, AeroStrategic Partner: Watch Partner: would cost around £18.6 billion as opposed to of the airport which could mean the estimated lineas Argentinas, to allow passengers to Heathrow Airport estimate of £14.8 billion, the number of passengers rising to between 132 carry their lapdogs with them on flights Whitehall-appointed commission said.A new million and 149 million a year by 2050. Aircraft starting mid-January. runway at Gatwick, estimated by Gatwick Airport movements would rise from the current 480,000 a Ltd to cost £7.4 billion, would cost an estimated year to 740,000. Reuters quoted her as saying thus: “CareSponsors: Networking Break Sponsor: Delegate Folder Sponsor: £9.3 billion, it added. ful! I said only small pets,” the post says. “Don’t try to board with a 50 kilo mastiff. And the third option shortlisted Lolita only weighs two kilos.” by the commission - an extension of the existing northern runway at Hand-held pooches ranging from Shih Heathrow - would cost an estimated Tzu’s to Pugs are a common sight at Media Partners: £13.5 billion, the commission outdoor cafes and on the wide avenues said. This is higher than the £10.1 of Buenos Aires, known as the Paris of billion estimated by the scheme’s South America for its European layout promoters, Heathrow HubThe and architecture. commission Organised by: also estimated that the To apply to attend, pleaseLapdogs contact on:symbol in Argentina, increases to airportStreamline costs, based on Group are aus status Marketing PO Box: 62440, Dubai, United Arab Emirates the cost per passenger, would be dressed|sometimes in fitted sweaters Email: firstname.lastname@example.org Tel: +971 4 447 5357em447 5357 | Fax: +971 4 447 5334 higher as the resultTel: of +971 each 4scheme blazoned with colors of their owners’ fathan those forecast by the bidders. vorite soccer club.
NAIA to start work on fifth terminal in 2016
onstruction on the fifth terminal at the Ninoy Aquino International Airport (NAIA) is expected to start in 2016. The Philippines Transportation Secretary Joseph Emilio A. Abaya said the department hopes to start construction of a new terminal “in 2016” after “consultants advised to shift our attention away from the building of a third runway.”Although there
Global airlines’ profits to hit $25 billion in 2015
is still no final location set for the new terminal, he said it will be within the NAIA property and accessible from South Luzon Expressway and C-5 Road. He clarified, however, that the construction of a fifth terminal will not solve congestion at NAIA. “Even if we put this up, there will still be need for terminal space so we will create more space in terminals 1, 2, 3 and 4.”
riven by lower oil prices and stronger worldwide economic growth, global airlines are on track to boost their collective global net profit to $25 billion in 2015, up $19.9 billion in 2014, International Air Transport Association (IATA) said. For Middle East carriers, which have one of the lowest breakeven load factors (58.6 per cent), post-tax net profits are expected to grow to $1.6 billion in 2015, up from $1.1 billion in 2014. This represents a profit of $7.98 per passenger and a net profit margin of 2.5 per cent.
UK airports runway expansion plans costlier
lans to expand the runways at London’s two main airports could be far more expensive than those bidding to operate them have estimated, says the Airports Commission. A new runway to the north-west of Heathrow would cost around £18.6 billion as opposed to Heathrow Airport estimate of £14.8 billion, the Whitehall-appointed commission said.A new runway at Gatwick, estimated by Gatwick Airport Ltd to cost £7.4 billion, would cost an estimated £9.3 billion, it added. And the third option shortlisted by the commission - an extension of the existing northern runway at Heathrow - would cost an estimated £13.5 billion, the commission said. This is higher than the £10.1 billion estimated by the scheme’s promoters, Heathrow HubThe commission also estimated that the increases to airport costs, based on the cost per passenger, would be higher as the result of each scheme than those forecast by the bidders.
The commission is due to make its recommendation on which scheme should go ahead when it delivers its final report in summer 2015. The plan put forward by Heathrow Airport envisages a 3,500m runway to the north-west of the airport which could mean the estimated number of passengers rising to between 132 million and 149 million a year by 2050. Aircraft movements would rise from the current 480,000 a year to 740,000.
Average yields of Middle Eastern carriers are low but unit costs are even lower, partly driven by the strength of capacity growth. Passenger capacity is expected to expand by 15.6 per cent in 2015 (up from 11.4 per cent in 2014), IATA said. On a per passenger basis, airlines will make a net profit of $7.08 in 2015. That is up on the $6.02 earned in 2014 and more than double the $3.38 earnings per passenger achieved in 2013.
Argentina to allow passengers carry lapdogs on flights
ristina Fernandez, President of Argentina, has announced a change in policy at the state-run airline, Aerolineas Argentinas, to allow passengers to carry their lapdogs with them on flights starting mid-January. Reuters quoted her as saying thus: “Careful! I said only small pets,” the post says. “Don’t try to board with a 50 kilo mastiff. Lolita only weighs two kilos.” Hand-held pooches ranging from Shih Tzu’s to Pugs are a common sight at outdoor cafes and on the wide avenues of Buenos Aires, known as the Paris of South America for its European layout and architecture. Lapdogs are a status symbol in Argentina, dressed sometimes in fitted sweaters emblazoned with colors of their owners’ favorite soccer club.
DUBAI DUTY FREE
DUBAI DUTY FREE - LEADING THE WAY
ubai Duty Free, which opened for business on 20thDecember 1983, has become one of the leading airport retailers in the world and achieved annual sales of US$1.917 billion in 2014. Employing 5,700 people, Dubai Duty Free currently operates some 26,000 square metres of retail space at Dubai International Airport and a further 7,000 square metres with the opening of Concourse D in 2015, and 2,500 square metres at Al Maktoum International (AMI) - Dubai World Central (DWC). In the long term, AMI-DWC has capacity for over 160 million passengers and ultimately, the retail operation will cover some 80,000 square metres.
While the successful running of the retail operation is a major focus for Dubai Duty Free, the operation has received some 37 awards in 2014 alone, including the prestigious Frontier Award for “Airport Retailer of the Year in a Single Location”. On a personal level, Dubai Duty Free’s Executive Vice Chairman, Colm McLoughlin received several awards including the CEO Middle East award for Outstanding Contribution to Business. Significantly, Mr. McLoughlin was also a recipient of the Irish Presidential Distinguished Service Award, making him the first Irish person living in the UAE to be recognised by the Irish govern-
ment for an outstanding contribution to Irish business and communities abroad. Meanwhile, Dubai Duty Free’s Leisure Division includes The Irish Village, The Century Village and the Dubai Duty Free Tennis Stadium; home to the Dubai Duty Free Tennis Championships. Located on the same site in Garhoud, the Jumeirah Creekside Hotel, which encompasses the Aviation Club, is owned and developed by Dubai Duty Free and is managed by the Jumeirah Group. Looking ahead, Dubai Duty Free will continue to enhance its retail operation while maintaining a busy events and promotional calendar.
New Alitalia takes off
Etihad Airways’ gets first 787-9 Dreamliner
oeing delivered Etihad Airways’ first 787-9 Dreamliner sporting the airline’s new “Facets of Abu Dhabi” livery which was revealed at a ceremony earlier this year. The colors are reminiscent of the desert landscape, inspired by the culture, Islamic design and architecture motifs of the UAE.
he first flight of the new Alitalia took off from New York JFK at and landed in Milan Malpensa last month. The flight was operated by an Airbus A330 aircraft in the Expo Milano 2015 livery branded Alitalia and Etihad Airways, official global carriers of the most important Italian event of the year.
The airplane is the first of the 71 Dreamliners that the national airline of the United Arab Emirates has on order which includes 41 787-9s and 30 787-10s. Etihad Airways
will also be the first airline in the Middle East to operate the 787-9.In addition to bringing big-jet ranges to midsize airplanes, the 787 provides airlines with unmatched fuel efficiency, resulting in exceptional environmental performance. The family uses 20 to 30 percent less fuel with 20 to 30 percent fewer emissions than the airplanes they replace. The airplane also has more cargo revenue capacity – a 20 to 45 percent advantage over replacement airplanes. As of November 30, 2014, 58 customers have ordered 1,055 787s.
Malaysia Airlines gets delivery of 100th 737
The event will host more than 20 million visitors in Milan between May and October 2015. The new Alitalia is owned 49 per cent by Etihad Airways.In the spring, Alitalia will resume service to China, and in 2015 we will increase service to North America and Latin America. It will develop a range of new destinations, new services, and a fleet with more long-haul aircraft, a new livery and new refurbished aircraft interiors. Alitalia and Etihad Airways serve 168 destinations with a fleet of 227 of the most advanced aircraft in the world. Combined, the two carriers transport more than 35 million passengers a year. The agreement with Etihad Airways provides a greater number of convenient connections through Abu Dhabi’s hub and will allow the development of a whole new network of flights to Asia, the Middle East, Africa, and Australia, specifically designed for leisure and business travelers.
Air Canada to launch service to Dubai
ir Canada has announced that it will launch non-stop service between Toronto and Dubai beginning in November 2015. The new route will extend the airline’s international network farther into the Middle East at a time of increased travel between North America and the region. The three-times-weekly Dubai service will be Air Canada’s first non-stop flight to the UAE at a time when air travel between North America and the region is growing.The introduction of the Boeing 787 Dreamliner to Air Canada’s fleet in 2014 has been a catalyst for the airline’s international expansion plans, which will receive an additional impetus in 2015 when the larger Dreamliner 787-9 series aircraft enters the fleet.
alaysia Airlines celebrated the carrier’s acquisition of 100th 737 aircraft. The airplane, a NextGeneration 737-800, arrived in Kuala Lumpur, Malaysia. Malaysia took delivery of its first 737, a 737-200, in 1972 and has operated the 737-200, 737-300, 737-400, 737-500 and 737-800 as well as 747-400s and 777-
200ERs (Extended Range).Malaysia Airlines’ new 737-800 features the Boeing Sky Interior, with larger pivoting overhead stowage bins, larger window reveals and LED lighting to enhance the sense of spaciousness. Malaysia was the Asia launch customer for the Boeing Sky Interior. The airline has an additional 10 737-800s on order.
Azerbaijan Airlines get first 787 Dreamliner
zerbaijan Airlines has announced the delivery of the airline’s first 787 Dreamliner, thereby becoming the first airline in the Commonwealth of Independent States to operate the 787.The airplane will play a key role in the Baku-based airline’s strategic plan to expand its long-haul fleet. In addition to bringing big-jet ranges to midsize airplanes, the 787 will provide Azerbaijan Airlines with unrivaled fuel efficiency and environmental performance, using 20 percent less fuel and with 20 percent fewer emissions than the airplanes it replaces.
Based at Heydar Aliyev International Airport in Baku, state-owned Azerbaijan Airlines (AZAL) is the national carrier of Azerbaijan. Azerbaijan Airlines currently flies a network of over 20 global destinations across the US, China, Commonwealth of Independent States, the Middle East and Europe.
flydubai expands in Europe with five new routes of routes launched so far to 23 in 2014, the most routes launched in one year since flydubai began operations in 2009. Ghaith Al Ghaith, Chief Executive Officer, flydubai, said: “The launch of our five new destinations across Central and Southeast Europe is a reflection of flydubai’s commitment to providing passengers with flexible and convenient travel options in response to increased market demand.”
ubai-based flydubai is celebrating further expansion to its footprint across Central and Southeast Europe with the in-
auguration of routes to Bratislava, Prague, Sarajevo, Sofia and Zagreb.The addition of these new destinations brings the total number
The UAE government has introduced visa on arrival services for 46 European nationalities including Czech Republic, Croatia, Bulgaria and Slovakia, to ease travel and stimu-
late bilateral business and tourism exchanges.flydubai’s wider network totals 89 destinations across 46 countries. Passengers will also benefit from Dubai’s efficient aviation hub providing opportunity for onward travel to more than 200 destinations. Flights to Chennai in India, Hargeisa in Somaliland and Nejran in KSA will commence in the first quarter of 2015. flydubai has a fleet of 43 new NextGeneration Boeing 737-800 aircraft and operates more than 1,200 flights a week across the Middle East, GCC, Africa, Caucasus, Central Asia, Europe and the Indian Subcontinent
Malindo Air targets 100 aircraft in 10 years
Vietnam Airlines insures fleet for $6 billion
ietnam Airlines and a consortium of insurers in Hanoi have signed insurance contract worth $6 billion for the year 2015– 16 for its fleet.
alindo Air aims to have a fleet of 100 aircraft in the next 10 years and will extend passenger services to South and East Asia, particularly Southern China in 2015.Chief executive officer Chandran Rama Murthy said the carrier would also introduce strategies to increase ancillary income throughout 2015.
Kathmandu will become Malindo Air’s 18th international destination and seventh destination in South Asia, after five destinations in India and two others in BangladeshWith route expansion into Kathmandu, Chandran said Malindo Air was optimistic of capturing a bigger market to further enhance its network and brand.
Wizz Air announces 29 per cent growth in Romania
izz Air, the largest lowcost airline in Central and Eastern Europe, has announced further expansion in Romania. This news follows the announcement of 13 new routes and additional based aircraft in Cluj-Napoca and Timisoara. The airline will deploy one new aircraft in Bucharest, bringing its fleet in Romania to 17 Airbus A320, representing 29 per cent capacity growth in 2015 year-onyear.
The ninth Bucharest based aircraft will be delivered at the end of July 2015. Wizz Air also announced operations from Iasi airport, which will take the number of airports served by WIZZ in Romania to 8.
The insurers, PetroVietnam Insurance Corporation (PVI), the Vietnam National Aviation Insurance Company (VNI) and Bao Viet Insurance Company, will provide aviation insurance to the entire fleet of Vietnam’s national carrier, Jetstar Pacific Airlines and Vietnam Air Service Company for their worldwide flights.
Boeing 787-9, the Vietnamnet reported. TAM Airlines to add new destinations TAM plans to add service to between four and six new regional destinations every year, starting in 2015. For this purpose, the airline is currently in the advanced stages of negotiations with aircraft manufacturers, including Embraer, the Brazilian manufacturer of the new generation of EJet2, whose proposal includes 18 firm aircraft orders and 12 options. The airline plans to conclude these negotiations by the end of the first quarter of 2015.
The firm has a fleet of 82 modern planes, which include the Boeing 777, Airbus A330 and Airbus A321. It aims to expand the fleet by acquiring technologically advanced planes such as the Airbus A350XWB and
TAM is playing an active role in expanding domestic aviation in Brazil by investing $4.6 billion in its fleet through 2018, with orders for over 50 new aircraft, not including the ongoing negotiations.
Wizz Air is now offering a combined total of 97 routes to 15 countries from its eight Romanian airports. The airline has also increased frequencies on 22 of the most popular routes across its Romanian network.
Intelligent products to transform airports Smart, connected products help us make better, more informed decisions; operate more efficiently; and ultimately improve safety.
By Darin Bernardi Director of Corporate Development Kopp Glass
e’re in the era of big data and connectivity; where new technologies are creating products that intelligently interact with us. Embedded sensors, processors, and software capture an enormous amount of information, transmit it effortlessly, conduct comparative analyses, and store it for future access.
It’s not surprising that the aviation industry is seeking to integrate these technologies into new products and processes. Several smart products are being developed for the aviation industry. Dynamic lighting that uses sensing technology is being developed to signal aircraft pilots through taxiways in an effort to minimizing miscommunication on the airfield. This simple visual approach seamlessly communicates the route to the pilot by automatically turning on the green taxiway center lights in sync with the aircraft’s location, speed, and des-
tination.This leads to less route deviations, fewer stops, shorter landing and take-off (LTO) cycles, and cost savings through fuel reduction. Safegate plans to conduct testing to validate the “Follow-the-Green” approach in April 2015. Integrating sensors and radiofrequency identification (RFID) tags into lighting fixtures will enable maintenance teams to easily monitor fixture health. Embedded sensors monitor power consumption and when they detect subpar performance below specification, they alert maintenance crews that the fixture needs to be serviced. NextGen navigation systems have been on the forefront of intelligent design discussions in the
aviation industry. Satellite-based navigation tracks aircraft more accurately than traditional radar systems. Precise location information allows controllers to safely and more efficiently coordinate travel through the airspace. This technology would also be an invaluable tool to help locate aircraft when they crash. The FAA is making progress with NextGen implementation and indicated that the target completion date is still 2020. Similar to how electronics defined the 20th century, intelligent technologies are revolutionizing our world. New technologies are rapidly being developed, tested, and exchanged across industries. Edited excerpts from the blog by Kopp Glass
European ATM infrastructure - Choices to make
By Frank Brenner Director General Eurocontrol
he European ATM Master Plan pulls together our common ambitions for the future ATM infrastructure in Europe. European ATM contributes to high safety levels in aviation. These safety levels need to be maintained and, whenever possible, enhanced.
We need to bring down the cost to a level that makes ATM competitive, can competitiveness be reached in national pillars and monopolies, or can it better achieved in a real competitiveness environment? To become more competitive, this requires a reform of European ATM and ANSPs.It is important that European ATM solutions can be offered in a global market, showcasing its implementation and operation in Europe.
European aviation, including ATM, operates in a global competitive market.
It is clear that European ATM is a playing field with many stakeholders with very diverging vested in-
European ATM is, with €7.5 billion per year, a significant direct cost to airspace users, much higher than their potential profit margin, and an enabler to maintain for example a competitive schedule or effective missions. European ATM in general and ANSPs particularly urgently need to reform to become competitive.
terests. However, they make use of the same airspace and other scare resources. European ATM needs One Plan and One Direction. The update of the Master Plan could not be more timely. A plan has been defined and a huge volume of money in the end provided by the airspace users and the European taxpayers has been made available. Built on the SESAR results we have the unique opportunity to renew the whole European ATM infrastructure, and we should not miss it. This Master Plan update will put Europe in a strong position to contribute to the upcoming update of the ICAO Global Air Navigation Plan. And as with the previous update of this plan, Europe has a great opportunity to show a leading role. Also this is good for competitiveness of European aviation.With the increasing integration and use of data com-
munication, it becomes increasingly important to be ahead of cyber security threats in order to maintain a good level of security. We need to be proactive and be ahead of others. Civil-military interactions are, and will always be, an important perspective that needs to be addressed when making plans like the Master Plan. With the update campaign we are about to start a journey which will take the most part of 2015. It will not always be an easy one. Difficult decisions need to be taken. The Master Plan 2015 which makes clear choices and which through SESAR 2020 and the Common Projects will reform European ATM as an integral part of a sustainable European aviation industry which takes a leading competitive role in a global market. Edited excerpts from the speech delivered at the ATM forum in Brussels, Belgium
Investing in ATM infrastructure What conclusions can we draw from these impressive figures? First, there is a direct link between growth in aviation and sustainable GDP growth.And, second, aviation has a vital role in providing the connectivity that drives economic and social development and provides access to markets. By Jeff Poole Director General CANSO
n the Latin America and Caribbean (LAC) region, aviation has further increased its economic impact.Aviation contributes $153 billion in GDP in the region and GDP contribution will grow 155 percent to $389 billion by 2032.Over the next 20 years aviation will grow on average 5.4 percent a year. Growth in the region outpaced global growth by 60 percent in 2012.
We therefore need to demonstrate clearly to governments and decision-makers that aviation provides connectivity; acts as a catalyst to boost their GDP growth, particularly for developing countries; helps the international community plan its sustainable development goals; boosts tourism; and provides access to markets. We need to explain how investment in infrastructure, particularly ATM infrastructure, will improve efficiency. As we promote the benefits of aviation and the impact its growth is
having on economies, we must also ensure we can provide the means to manage this growth. Vision 2020 is the catalyst for CANSO’s objective to transform global ATM performance, to enable airlines to fly in seamless airspace globally across ‘invisible’ borders. One of the key elements in CANSO’s Vision 2020 is the implementation of ICAO’s Aviation System Block Upgrades known as ASBUs. We fully understand that some ANSPs have more resources than others and that is why we are providing assistance on implementation to those ANSPs that need it. Importantly, we are working in partnership with ICAO, IATA, ACI, States and other organisations to ensure effective implementation across the region. In the region the 2014 target set by ICAO for PBN implementation stands at 53.8 per
cent, well above the global average, but still some way to go. In order to improve this figure we need to focus on training - not just in ATM but pilots, regulators and airspace designers. Rather than relying too heavily on regulatory mechanisms, policy makers should consider the various elements of good governance that drive ANSP performance, including the separation of regulation from service provision. A further advantage of removing the barriers to business-like approaches in ATM is that investments would need to be supported by solid business cases, so funding could be obtained from the private sector rather than governments. Edited excerpts from the speech at the CANSO Latin America & Caribbean Conference, Mexico City
Aviation security is a paramount concern into the cabin of an airliner.The idea that an organization should seek to identify and minimize its risk is not new. The success of risk-based programs such as TSA Pre® may serve to hasten the development of other risk-mitigation efforts across the federal government.
By John S. Pistole Administrator Transportation Security Administration United States
viation security is a paramount concern and screening operations at Transportation Security Administration (TSA) are being modified to give our officers the greatest opportunity to detect nonmetallic IEDs or their components and keep them from being carried
The Office of Management and Budget will, in 2015, issue guidance to all federal agencies regarding the potential benefits of evaluating risk at the enterprise level – something TSA has been actively engaged in on a daily basis for the last several years. One of the keys to managing risk is sound decision making, which is the ability to correctly identify, understand and address challenges and opportunities. Within TSA, we are constantly evaluating the detection capabilities of new technologies, looking
for the best combination of features such as accuracy, reliability and speed. I think our workforce continues to do a tremendous job keeping the traveling public fully informed and educating passengers on what to expect when they arrive at a TSA checkpoint. The caliber and composition of our workforce – 25 per cent of whom are US military veterans – is really what makes our growth and continued evolution as a high-performing counterterrorism agency possible. We have invested significantly in our people so that everyone at TSA has the tools they need to help move the agency forward. With a workforce that numbers more than 50,000 we are using riskbased security policies to change the way the American people see our agency, and it is working. Wait
times are down. The number of passengers experiencing some form of expedited screening is increasing almost daily. Customer complaints are also down, and all of this is occurring at a time when passenger volume is higher than it’s been in years.I see an agency in which a majority of all bags are screened using RBS principles. These principles we’ve used in the passenger screening arena should be readily adapted to checked-baggage and cargo screening. Some of this is already underway. I expect to see a greater effort to integrated checkpoint technology that is adaptable as threats evolve, and I think we will get to a point where most liquids, aerosols, and gels will be allowed in the cabin. Edited excerpts from the speech at the Homeland Security Policy Institute Strategy and Leadership Forum at George Washington University
Flying on demand By 2033, the world jet airliner fleet will have almost doubled, increasing from 23,000 to 44,500 aircraft. Airbus, Boeing, Bombardier and Avolon provides the future fleet forecasts.
he airline industry handled over 3.3 billion passengers or nine million daily passengers on 100,000 daily flights last year. The industry performs around 32 million commercial flights a year. The International Air Transport Association (IATA), in its first 20year passenger growth forecast, projects that passenger numbers are expected to reach 7.3 billion by 2034. That represents a 4.1 per cent average annual growth in demand for air connectivity. Tony Tyler, IATA’s Director General and CEO, said: “It is an exciting prospect to think that in the next 20 years more than twice as many passengers as today will have the chance to fly. The first century of air travel has seen about 65 billion passengers take to the sky. The next 65 billion will fly in just the next 20 years.” Against a backdrop of 3.2 per cent average annual growth in global economic activity over the next 20
February February 2015 2015
years, Avolon, a leading, global aircraft leasing firm, is forecasting passenger traffic to increase by 5.2 per cent per annum. Capacity is expected to increase by 5.1 per cent annually on average. Avolon expects over 36, 000 aircraft to be delivered over the next 20 years, comprising 35,500 passenger aircraft and 800 factorybuilt freighters. By 2033, the world
63 per cent of today’s fleet. Consequently, 40 per cent of all deliveries will support fleet replacement, with the remaining 60 per cent representing industry growth. Avolon expects fleet utilization to increase by five per cent, while average seat capacity rises by 17 per cent over 20 years, maintaining the trend to up-size within aircraft families.
P2F conversions will satisfy over 2/3rds of the freighter requirement, which will total 2,600 additional aircraft over 20 years
jet airliner fleet will have almost doubled, increasing from 23,000 to 44,500 aircraft, of which 2,700 will be freighters. P2F conversions will satisfy over 2/3rds of the freighter requirement, which will total 2,600 additional aircraft over 20 years.
The 20 year financing cost of new deliveries will amount to more than $3.5 trillion at delivery prices and the annual requirement will rise from $100 billion to over $150 billion over the next ten years, averaging $135 billion per annum.
Almost 15,000 aircraft will be retired over the period, representing
Over the next 20 years, RPK growth is forecast to average 5.2
per cent per annum, underpinned by the strong economic and demographic dynamics of emerging markets, where liberalization and the new low cost airline business models will increasingly provide affordable travel opportunities to large and expanding middle-class populations. It said airlines have come to accept that they may need to make fleet commitments 10 years or more into the future. A sense of urgency, at least for the airlines, has been created by the launch of new generation, fuel efficient models, that in an environment of high oil prices has accelerated some decisions to replace ageing and inefficient fleets. Over the next 20 years, new deliveries will require financing totalling $3.5 trillion in delivery dollars, with $600 billion needed over the next five years and an average of $135 billion annually over the next decade. Forty seven per cent of this funding will be required for narrowbody aircraft, with 46 per cent needed
for passenger widebodies, five per cent for freighters and two per cent for RJs. The Europe-based aircraft manufacturer Airbus forecasts that China will need over 5,300 new passenger aircraft and freighters from 2014 to 2033, with a total market value of U$820 billion. It represents 17 per cent of the world total demand for over 31,000 new aircraft in the next 20 years. It said new deliveries of passenger and freight aircraft for China will be 5,363 over the next 20 years, including 3,567 single aisle aircraft, 1,477 twin-aisles and 319 very large aircraft. By 2033, the domestic Chinese market will remain the largest flow, representing 11.9 per cent of world traffic in terms of RPK. “Domestic passenger traffic in Mainland China has more than quadrupled over the last 10 years, and it will become the world’s number one aviation market within the next 10 years,” said John Leahy, Airbus’ Chief Operating Officer Customers. “In the next 20 years, the greatest demand for passenger aircraft will come from China.” he added. Latin American and Caribbean airlines will require 2,294 new passenger and freighter aircraft between 2014 and 2033, including 1,784 single-aisle, 481 twin-aisle and 29 very large aircraft (VLA) worth an estimated $292 billion. Latin American airlines continue to invest in new aircraft to maintain one of the youngest and most efficient fleets in the world.
European airlines are expected to take 15 per cent of the planes, ahead of nine per cent for the US carriers With a current average aircraft age of 9.5 years, aircraft operating in Latin America are 40 per cent younger today than they were in 2000. On the other hand, the average aircraft age in the Caribbean remains at 15 years - more than five years older than the Latin America and world average. With more than 800 aircraft sold and a backlog of almost 400, over 550 Airbus aircraft are in operation throughout Latin America and the Caribbean. In the last 10 years, Airbus has tripled its in-service fleet, while delivering more than 60 per cent of all aircraft operating in the region. Boeing, China’s leading provider of passenger airplanes, projects a demand in the country for 6,020 new airplanes over the next 20 years, valued at $870 billion. The company said Chinese carriers will
take delivery of nearly 45 percent of the total demand for airplanes in the Asia Pacific region during the forecast period. Worldwide, Boeing projects investments of $5.2 trillion for 36,770 new commercial airplanes to be delivered during the next 20 years. China accounts for more than 16 percent of the total demand in terms of both new deliveries and market value. More than 50 percent of all the commercial jetliners operating in China are Boeing airplanes. There is also a strong demand to replace older, less fuel-efficient airplanes. Replacement accounts for 41 percent of new deliveries in the forecast. The market for new airplanes is set to become more geographically balanced in the next two decades. Asia-Pacific, including China, will
continue to lead the way in total airplane deliveries.Though Airbus and Boeing agree mostly in their outlooks, they differ in the segment for very large aircraft, where the European plane maker sees greater demand for planes such as its A380 super jumbo with Boeing more muted about the prospects about 747-8 jumbo. Airbus projects 1,500 such planes will be delivered in the period, more than twice the 620 forecast at Boeing. The European company sees 9,300 long-range jets delivered over the next two decades at a value of $2.5 trillion, or 55 per cent of the global market. Almost half these planes will go to Asia-Pacific airlines, Airbus said, with Middle East carriers set to receive 16 per cent of jets. European airlines are expected to take 15 per cent of the planes, ahead of nine per cent for the US carriers. Airbus is boosting output of its A320 single-aisle family of jets to 46 a month in 2016 and may go further. Boeing has announced plans to produce 47 of its 737 narrowbody in 2017 and company executives have said a further hike is being explored. Canada-based aircraft manufacturer Bombardier remains confident that continuing economic growth will increase demand for air travel over the next 20 years. Over the next 20 years, Bombardier forecasts demand for 13,100 aircraft deliveries in the 20- to 149-seat seat segment valued at $658 billion. Some 400 aircraft in the 20- to 59-seat range will be required, worth $8 billion.
February February 2015 2015
Cargo & Logistics
Global air cargo traffic to grow 4.7 per cent annually
oeing, the world’s largest aircraft manufacturer, said global air-freight market is expected to double in the next two decades helped by demand to move goods within China and from Asia to North America.Carriers will buy 840 new freighter planes valued at $240 billion in the next 20 years on a revival in airfreight traffic, Boeing said in a statement. Goods flown by air will rise at an annual rate of 4.7 percent through the next two decades, Chicago-based Boeing said.Airlines will also convert 1,330 passenger planes to freighter versions
in that time, Boeing said. World air-cargo traffic has been recovering since the second quarter of last year as demand for electronic goods such as smartphones increased. At the current pace, 2014 will have the highest growth year for air freight since 2010. “We see strong signs of a recovery as air-freight traffic levels continue to strengthen after several years of stagnation,” said Randy Tinseth, vice president of marketing at Boeing. “The air cargo market is now growing at nearly the longterm rates.”
TNT Express to have its three Super Hubs in Australia
ICAO confirms air freight market recovery in 2014
NT Express has broken ground on what it says will be the largest hub facility in its global network, at a location close to Melbourne Airport.
pany’s head office in the state of Victoria, and a hub for TNT depots in Victoria and Tasmania.
The new “Super Hub” under construction at Tullamarine will be 38,000 square metres in size, occupying nearly a third of the 121,000 square metres site.
With state-of-the-art sorting technology, the facility is expected to have the capacity to process 18,500 parcels an hour, a 60 per cent upgrade on TNT’s current capacity in Melbourne.
The purpose-built facility is due for completion in July 2015, to open in September as the com-
The current facility at Laverton has “all but reached capacity”, offering limited growth potential.
Cathay Pacific Cargo signs deal
rovisional figures from the International Civil Aviation Organization (ICAO) indicate that 2014 saw global scheduled air freight traffic up by 4.6 per cent, a sharp increase on the year on year rate seen in 2013 (0.4 per cent). Asia/Pacific was the world’s largest air freight market in 2014 with a 40 per cent share in terms of world freight tonne km (FTKs), with Europe and North America coming in at 22 per cent and 21 per cent respectively. The fastest rate of growth was recorded by Middle Eastern airlines at 11.3 per cent.The flexibility added by the growth in importance of passenger aircraft belly capacity could well have had a positive impact too, as global aircraft departures
o better facilitate the shipment of temperature-sensitive goods and pharmaceutical products, Cathay Pacific Cargo has signed a master agreement DoKaSch Temperature Solutions for renting the latesttechnology active containers, the RKN and RAP Opticooler. The service will be rolled out across the airline’s network in the first quarter of 2015. Cathay Pacific Cargo is the first Asian carrier offering customers an alternative solution for their temperature-sensitive air cargo shipments. Most temperature sensitive shipments from India consist
rose very sharply year on year, reaching a record 33m flights during 2014, up around one million flights year on year.World scheduled freight traffic, measured in freight tonne-kilometres (FTKs), grew strongly by 4.6 per cent in 2014, a rebound from the 0.4 per cent growth rate registered in 2013. This is a reflection of improvement in world trade. The Asia/Pacific was the world’s largest air freight market in 2014 with a 40 per cent share in terms of world FTKs. Europe and North America came in at 22 per cent and 21 per cent, respectively, while Middle Eastern airlines recorded the fastest growth in freight traffic in 2014 with a growth of 11.3 per cent.
of pharmaceutical products which is one of the key drivers of exports from India, especially from cities like Mumbai, Hyderabad and Bengaluru. This agreement with DoKaSch Temperature Solutions will further strengthen the Pharma LIFT product in India. DoKaSch Temperature Solutions provides state-of-the-art climate-control solutions for temperature-sensitive air cargo. The DoKaSch containers safeguard the efficacy of vital pharmaceuticals throughout global transportation chains. The ‘Made in Germany’ Opticooler is known and valued for its reliability and performance.
Cargo & Logistics
Ethiopian Cargo qualifies for EU Security Regulation
he Ethiopian Airlines cargo hub in Addis Ababa has been qualified for the new European Union cargo security regulation called the ACC3.The European Union (EU) introduced a new cargo transport security regulation which demands carriers that operate cargo flights to the EU to get their hubs inspected and validated by independent validators. The regulation requests African carriers that have direct flight to the EU to have their cargo hubs validated by independent security inspectors. Ethiopian cargo hub was audited by an independent validator approved by the EU and the validation certificate is for five years until 2019.
MD-11F, two B757 and one B737400. Ethiopian cargo annual up lift has now reached over 200,000 tons by full freighter and belly hold.
Glyn Hughes, IATA’s global cargo head, told The Reporter that African carriers are having problems in meeting the deadline. The EU pushed the deadline from July 2014 to January 2015. Africa’s cargo business grew by 16 percent in 2013-2014. Ethiopian began implementing the airway bill system (e-AWB), an
EK handled 2.1 million tonnes cargo in 2014
internet based cargo documentation handling system, in July 2013. IATA says Ethiopian, South African Airways (SAA) and Egypt Air took the lead in implementing the e-AWB. Ethiopian, the largest cargo operator in Africa, is currently operating nine freighter aircraft with a fleet composition of four B777, two
year with the move of its freighter operations to Dubai World Central’s (DWC) Al Maktoum International Airport in May 2014.
Between January and December 2014, Emirates carried over 2.1 million tonnes of cargo. Emirates SkyCargo marked a momentous
Its new cargo terminal at DWC offers the capacity that positions Emirates SkyCargo for future growth, and enables the cargo division to provide a better experience for its customers.
So far, 120 of IATA’s 250 or so members have ACC3 validation. ACC3 was introduced following a bomb being found inside a printer ink cartridge on a flight originating in Yemen in 2010.
China unveils six-year plan to cut logistics costs
The plan also encourages mergers and acquisitions and investment in cold chain infrastructure and third-party logistics services.
The State Council’s 2014-2020 logistics industry development plan calls for cooperation across different regions and modes of transportation, including the reduction of toll fees; vertical integration of transportation and warehousing operators; and better synergies among ports, airports, railway lines and highways.
The Chinese government realizes that it needs to make its supply chains more efficient, as logistics account annually for about 18 percent of the country’s gross domestic product. China wants to reduce logistics’ share to GDP to 16 percent by 2020. The shift of Chinese manufacturing west toward lower labor costs, along with booming ecommerce, are exacerbating the country’s need to move goods more efficiently.
he Chinese government has unveiled a six-year plan to develop the nation’s infrastructure and capacity, including a strategy to double the size of the port of Tianjin, in order to boost import and export flows and modernize its domestic supply chain.
mirates, the world’s largest international airline, now top the world for having the largest wide-body passenger fleet of 218 aircraft, in addition to 14 freighters.
By 2025, the airline plans to operate close to 20 dedicated freighters to 37 destinations across five continents. At the moment Ethiopian Cargo serves 24 destinations. The national flag carrier plans to carry 820,000 tons annually and to generate USD 2 billion dollars from the cargo business by 2025.
Travellers have growing expectations from airports
Nice Cote d’Azur airport sets an environmental example
ice Cote d’Azur, the third largest airport in France handling more than 10 million passengers per year, has announced three environmental innovations in quick succession.
ravellers have growing expectations from airports, says the latest FlightView Connected Airport survey.The US-focused survey focuses on the connectivity needs of a growing passenger base. Traveller expectations have expanded into services traditionally delivered by airlines, such as real-time updates and gate information, and indicate that travellers are beginning to see airports as mini-cities with their own structural services similar to a government. This makes sense, especially as the product offering at airports has expanded to create a more holistic, approachable and enjoyable experience. Airports are now investing heavily in the product,
These are: the use of the first electric bus with unlimited range and no heavy infrastructure (a world first), its migration to fully electric and fully renewable energy (a first in France) and its level 3 carbon accreditation with the aim of achieving carbon neutrality in 2018.
as well as spending money marketing themselves as destinations in a competition for top-of-mind with travelers booking tickets.
Since 17 October, the first electric bus with unlimited range, using so-called “opportunity charging” and equipped with PVI’s WATT system has been trialed between terminals 1 and 2.
The IT spend of airports is expanding to increase investment alongside the bump in traffic, hitting a massive $134 billion in 2014 according to SITA. FlightView surveyed over 2,000 passengers, 37 per cent business and 63 per cent leisure, to determine what specific expectations travelers have, and where airports should be investing the most money.
The route fitted with the WATT system will transport its first passengers from January 2015 through until June, the end date for the trial when it will be analyzed before deliveries begin from 2016. Using the Watt System (Wireless Alternative Trolley Technology), it takes just 10 seconds for a full recharge, giving the bus enough autonomy to travel up to 600-800 metres between two stops. This ultra-fast charging system offers an environmentallyfriendly and low emission solution. During the experiment period alone, it will prevent the emission of over 43 tonnes of CO2 and enable the complete elimination of fine particles.
The survey found that passengers want day-of-travel information from airports that heretofore was seen as part of an airline’s responsibility.
Task force recommends GADSS development
he cross industry task-force established by the IATA to evaluate aircraft tracking safety technology and procedures following the tragic downing of Malaysia Airlines flight MH370, submitted its recommendations to close the gaps in aircraft tracking capabilities to the ICAO.
a Global Aeronautical Distress and Safety System (GADSS). According to IATA Director General and CEO, Tony Tyler, GADSS recommends that airlines evaluate their current tracking capabilities against the performance criteria and close any gaps within a 12 month time frame.”
The Aircraft Tracking Task Force (ATTF) submitted the report to be considered in the organization’s development of
IATA has submitted aircraft tracking recommendations for ATCs and operators. The full report is not yet widely available.
Asia-Pacific passengers love their Smartphones
study of travellers in 12 airports in nine countries across Asia Pacific by AdNear has shed light on the travellers’ smartphone engagement, in terms of how long they use Wi-Fi. The airports include Melbourne and Sydney, Australia; Hong Kong and Macau, China; Tokyo, Japan; Delhi and Mumbai, India; Singapore; Kuala Lumpur, Malaysia; Jakarta, Indonesia; Bangkok, Thailand, and Manila, Philippines.
The research was conducted between April and June 2014, looking at more than one million travellers of various nationalities. Overall, males had a higher percentage of smartphone engagement than females across the airports. Australia’s airports had the highest percentage of engagement for female travelers (28 per cent), while the Indian airports had the lowest (17 per cent). The Indian airports also had the highest percentage of engagement for male travelers (83 per cent).
Travelers spend an average of 65 minutes engaged on their devices at these airports. Sydney Airport (35 minutes) had the lowest engagement time, while Singapore Changi (97 minutes) had the highest engagement time, followed closely by Hong Kong International Airport (96 minutes). Monday sees the most engagement at all of the airports, and the peak engagement time for most of them is between 4pm and 6pm.
SA Airways to test tobacco biofuel in 2015
outh African farmers would soon harvest their first crop of energy-rich tobacco plants, an important step towards using the plants to make sustainable aviation biofuel, South African Airways (SAA) and US airplane maker Boeing announced. SAA and Boeing, along with partners SkyNRG and Sunchem SA, also officially launched Project Solaris, their collaborative effort to develop an aviation biofuel supply chain using a nicotine-free, GMO-free tobacco plant called Solaris. Officials also visited the commercial and community farms in Marble Hall, Limpopo Province, where 50 hectares of Solaris have been planted.
Sustainable aviation biofuel made from Solaris plants can reduce lifecycle carbon emissions by 50 per cent to 75 per cent, ensuring it meets the sustainability threshold set by the Roundtable on Sustainable Biomaterials (RSB). Airlines have conducted more than 1600 passenger flights using aviation biofuel since the fuel was approved for commercial use in 2011.
Oil from the plant’s seeds may be converted into bio-jet fuel as early as 2015, with a test flight by SAA as soon as practicable. SAA has planned to scale up its use of biofuels for its flights to 20-million litres in 2017, before reaching 400-million litres by 2023. It would lower the fuel costs of SAA, which contributed between 39 per cent and 41 per cent of the state-owned airline’s total operating costs.
21st Issue of the Monthly Newsletter issued by Dubai Civil Aviation Authority