Via Dubai Magazine | November 2015 by Nadd Al Shiba PR & Event Management

Monthly Newsletter issued by Dubai Civil Aviation Authority

www.viadubaionline.com

Issue 30 November 2015

Inside DCAA DCAA participates in GITEX 2015

UAE Flag Day celebrations

Dubai Airshow preparations

UAE in Focus UAE, Slovenia signs aviation agreement

Etihad signs $700 20 million deal with IBM

Dubai Airshow 2015 The Centre of Aerospace Industry

Opinions Minimal carbon emissions

The vision to create value

Tony Tyler

Technology 52

Angela Gittens

Identifying hazards, evaluating risks

Cargo & Logistics 48

Mark Skidmore

Khalid Al Arif

No RPAS violations in Dubai

Airlines 46

ATM 38

Our Smart Services DCAA Smart App will allow the customers the below services: • • • • • • • • • • • • •

Issuance of Landing permissions Issuance of No Objection Certificate for Carriage of Restricted Articles Issuance of No Objection Certificate for Aerial Work Issuance of No Objection Certificate for Aircraft Warning Light Issuance of No Objection Certificate for Heliport Issuance of No Objection Certificate for Pyrotechnic Display Issuance of No Objection Certificate for Building Height (Below 300m) Issuance of No Objection Certificate for Building Height (Above 300m) Issuance of Approval for Heliports Certification Issuance of Approval for Crane Operation Issuance of Approval for GSM or other communication tower Issuance of Approval for Balloon Operations Issuance of No Objection Certificate for Sky Trackers / Space Cannon

Registration Requirements: • • • • • • •

Company Name Company Address Telephone Number Fax Number PO Box City Choose one secret questions

• • • • • • •

Username Password Email Address Name Mobile Number Emirates ID Number Category (Individual - Airline - Agency - Expert - Provider)

You can download the application

by searching in App Store and Play Store by typing DCAA or scan the QR code

For more information, please call technical support on: +971 56 6810685 November 2015 2 email: it.support@dcaa.gov.ae

www.dcaa.gov.ae

CONTENTS 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.

Inside DCAA 07

GDRFA-Dubai honours DCAA

General Supervision Mohammed Abdulla Ahli Coordinator Hanan Al Mazimi Executive Editor Mohammed Abdul Mannan

07 Singapore airport police

Creative Manager Mohammed Al Jarouf

official visits DCAA

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

Advertise with us Editorial, Production, PR & Marketing Nadd AlShiba PR and Event Management

08 DCAA participates in GITEX 2015

DCAA Interview No RPAS violations in Dubai

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

Khalid Al Arif

Printed by Printwell Dubai

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

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

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

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

http://www.facebook.com/DCAADubai

Novemberyoutube.com/user/dcaadubai 2015 twitter.com/DcaaDubai

CONTENTS

UAE in Focus

Airlines invest in the IoT

16 DSO collaborates with

DCAA for drone security surveillance

18 UAE, Slovenia signs civil

52 46 Finnair first in Europe to fly Airbus A350

47 IndiGo firms up 250 A320neo

aviation agreement

18 Al Jaber Aviation plans move into MRO

20 Etihad Airways signs $700 million deal with IBM

aircraft order

48 New messaging standard

20 CASS awards aviation

50 DHL continues investment in

21 UAE to begin restructuring

diplomas to 168 students

modernizing air cargo industry Americas hub

Aircraft retirement

A quite exit 28 2

November 2015

crowded air space

CONTENTS

Cover Story

Dubai Airshow 2015 The Centre of Aerospace Industry 22

Human performance key to ATM excellence

International News 34 Kuala Lumpur’s $1 billion terminal ‘sinking’

35 Shenzhen Baoan airport

penalized for flight delays

35 Cirrus celebrates 6,000th airplane delivery

36 CAAS sets up Changi Airport Development Fund

37 LA to transfer airport

ownership back to Ontario

November 2015

GBAS hAS lAnded

Introducing SmartPath® For airports around the world, SmartPath is the most important arrival in over 50 years. One SmartPath station can provide up to 26 precision approaches, enabling multiple approach paths and touchdown points to all runway ends, with flexibility to support the unique needs of even the world‘s most challenging airspaces. SmartPath is already supporting safer and more efficient landings at airports worldwide including Frankfurt, Newark and Sydney. To see how it could transform your operations search SmartPath.

November 2015

Message from the President

Flying higher Like the game-changing transformation of Emirates as the world’s top-league international airline from just two leased aircraft in 1985, Dubai Airshow is another unparalleled success story. Both are the outcome of the vision of His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of UAE and Ruler of Dubai, and the ceaseless commitment of the industry stakeholders. Dubai International also underwent ceaseless expansion that enabled it to become the world’s biggest airport for international passengers. Research shows that aviation will contribute $53.1 billion to Dubai’s economy and 37.5 percent to its GDP in 2020. The biennial Dubai Airshow has grown over fivefold since its humble launch as the ‘Arab Civil Aviation Show’ in the Dubai World Trade Centre (DWTC) with just 20 companies. Going by the anticipated number of exhibitors, visitors and exhi-

Ahmed bin Saeed Al Maktoum

bition space, Dubai Airshow 2015 will be biggest in history. It will see the participation of over 1100 exhibitors at the purpose-built site in Dubai South where it will be held for the second successive edition. As many as 60 countries will be represented at the airshow which will also have 10 country pavilions with the US pavilion doubling in size. We continue to look ahead. Plans are already in place to expand the 2017 event by more than a fifth. With its 10-year growth plan, this increased exhibition space will give the Dubai Airshow room to grow firmly into the future.

November 2015

Message

from the Director General

Drone safety guidance R

emotely Piloted Aircraft Systems (RPAS) or drones have emerged as the aviation industryâ&#x20AC;&#x2122;s most dynamic growth sector, but their surge in the airspace is posing serious threats and challenges. In January, drones flying in the prohibited air navigation passage brought Dubai airport traffic to a standstill for a short time. This was not an isolated incident. DCAA took upon itself the task of launching an awareness campaign about aviation safety and drone operations. In April, the General Civil Aviation Authority (GCAA) issued regulations for their operations. It aims to establish the aviation regulatory environment to reap the societal benefits of this innovative technology and their progressive integration into the national airspace accompanied by measures to address societal concerns including safety and security. In the same month, His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of UAE and Ruler of Dubai, issued a new law to keep Dubai airspace free and clear of potential safety hazards. The Law No. 07 of 2015 regulates, among other hazards, drone flights.

November 2015

Mohammed Abdulla Ahli

The Authority began issuing licenses for drone operations and the Dubai Silicon Oasis (DSO) and Dubai Municipality were among the first government bodies to be approved. We are confident that these regulations will go a long way in ensuring the safety and security of the aviation industry. Our awareness campaign says it cogently: Be Safe, Be Legal. Remember, when you fly an unmanned aircraft or drone the responsibility is yours. You have control.

Inside DCAA

GDRFA-Dubai honours DCAA T he General Directorate of Residency and Foreigners Affairs in Dubai (GDRFA-Dubai) has honoured the Dubai Civil Aviation Authority (DCAA) during the Gulf Information Technology Exhibition (GITEX) Technology Week 2015 in Dubai. The initiative is part of the GDRFA-Dubai’s efforts to acknowledge and appreciate the work of the strategic partners. Major Khalid Ahmad bin Mediya Al Falasi, Assistant Deputy Director for Smart Services at GDRFA-Dubai, presented a memento to Khalid Abdul Karim Al Arif, Executive Director of Standards & Regulations Department at DCAA. The Authority also presented a memento to GDRFA-Dubai

which was received on its behalf by Major Khalid Ahmed bin Mediya. The Authority was among the 36 Dubai government entities which

participated in the five-day annual IT exhibition in October and showcased its portfolio of e-Services offered to the aviation industry stakeholders. 

Singapore airport police official visits DCAA

obby Fay Teng Sin, Deputy Commander of Airport Police at Singapore’s Changi International Airport, has recently visited the Dubai Civil Aviation Authority (DCAA) headquarters and took a tour of the Dubai International Airport. He was received by Obaid Al Nuaimi, Assistant Director for Aviation Security and Accidents Investigation at DCAA, and Majed Al Sarrah, Head of Aviation Security at DCAA.

was briefed about the technology deployed for airport security. The meeting with Bobby Fay was attended among others by Colonel Mohammed bin Dylan Mazroui, Assistant Director for Operations at the General Department of Airport Security at Dubai Police, Lt. Col. Hussein bu

Hussein, Director of Surveillance at General Directorate of Airport Security at Dubai Police, Omar Al Mutawa, Head of Security Department Al Maktoum International Airport, and Farah Ansari, Head of Dubai International Airport’s Security Department. A memento was presented to Bobby Fay by the DCAA. 

The visit was aimed at discussing ways of cooperation and legislative framework for the security of the aviation sector in the emirate. Both sides discussed future opportunities for improvement and development and to identify the strategic coordination. During the visit to the Terminal 3, the visiting official

November 2015

DCAA News

DCAA participates in GITEX 2015

he Dubai Civil Aviation Authority (DCAA) has participated in the Gulf Information Technology Exhibition (GITEX) Technology Week 2015 and utilized the five-day annual IT exhibition to showcase its portfolio of e-Services offered to the aviation industry stakeholders, including the latest smart service for the registration of Remotely Piloted Aircraft Systems (RPAS) or drones for commercial and non-commercial purposes. His Excellency Mohammed Abdulla Ahli, Director General of DCAA, said: â&#x20AC;&#x153;The DCAA offers a range of smart services to the aviation industry stakeholders as part of its endeavors to achieve the goals and vision of smart govern-

November 2015

ment by His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of UAE and Ruler of Dubai. The smart services are aimed at facilitating speedier and satisfactory transactions for the customers and

being in the forefront of technological advancement.â&#x20AC;? He said the smart services have been lined up in line with the vision and strategic growth plans of DCAA towards meeting the needs

DCAA News

and expectations of the customers as Dubai works its way to become a global aviation hub and builds a sustainable future for this vital sector of the economy. About the new services of drone registration, he said this unique facility will help in building a database of drone users in both commercial and non-commercial domains and thereby regularize their operations in the airspace. The DCAA showcased its smart transformation achievements at the worldâ&#x20AC;&#x2122;s top-league IT exhibition where the Authority was among the 36 government entities that participated under one roof at the Dubai Smart Government Pavilion. The participants showcased their latest smart applications, services and solutions made throughout their journey towards the smart government. ď&#x201A;&#x192;

November 2015

DCAA News

Supreme Committee reviews Dubai Airshow arrangements

he Supreme Committee for the Dubai Airshow 2015 held its first meeting to review the coordination and arrangements for the hosting of the biennial aerospace industry event at the Airshow Site at Al Maktoum International Airport from November 8 to 12. On behalf of His Highness Sheikh Ahmed bin Saeed Al Maktoum, President of Dubai Civil Aviation Authority and Chairman of Dubai Airports, the DCAA Director General, His Excellency Mohammed Abdulla Ahli chaired the Supreme Committee meeting. At the outset, he praised the effective coordination and cooperation among the stakeholders which contributed towards the success of previous editions of the Dubai Airshow.He underscored the need for continuing the success story in the future as well.

November 2015

The meeting was attended by senior officials from the UAE Armed Forces, Ministry of Defense, Dubai Police, Dubai Civil Defense, Dubai Aviation City Corporation, General Directorate of Residency and Foreigners Affairs in Dubai (GDRFA-Dubai), Dubai Airports, Dubai Aviation Engineering Projects, Dubai Health Authority, Dubai Ambulance Services and F&E Aerospace, the organizers of the airshow. The participants reviewed various aspects of arrangements for the

third largest airshow in the world. The committee members presented details about their role and contribution towards hosting the event, including the safety and security aspects. This yearâ&#x20AC;&#x2122;s edition will see the attendance of over 1100 exhibitors and over 160 aircraft are expected to be on display. Over 60 countries will be represented at the show which is expected to attract over 60000 visitors. ď&#x201A;&#x192;

DCAA News

UAE Flag Day celebrations

is Highness Sheikh Ahmed bin Saeed Al Maktoum, President of Dubai Civil Aviation Authority (DCAA), Chairman of Dubai Airports and Chairman and Chief Executive of Emirates Airline and Group, raised the UAE flag at the Dubai International Airport to mark the Flag Day celebrations on November 3. A march past was also held. The ceremony was attended among others by His Excellency Mohammed Abdulla Ahli, Director General of DCAA, Jamal Al Hai, Deputy CEO of Dubai Airports, Col. Talal Al Shanqiti

(General Directorate of Residency and Foreigners Affairs in Dubai â&#x20AC;&#x201C; GDRFA-D), Col. Mohammed bin Deylan Al Mazroui (Dubai Airport Police), and Paul Griffiths, CEO of Dubai Airports.

UAE Flag Day falls on November 3, coinciding with the accession day of His Highness Sheikh Khalifa bin Zayed Al Nahyan as the President of UAE. It marks the start of the UAE National Day celebrations, to be held on December 2. This is the eighth successive year of Flag Day celebrations in line with the initiative announced by His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of UAE and Ruler of Dubai. The UAE flag was adopted on December 2, 1971, at the Union House in Dubai, after a historic meeting of the rulers of the emirates for the establishment of the UAE as a federation. ď&#x201A;&#x192;

November 2015

DCAA News

Dubai Airshow 2015 preparations

s part of the preparations by the Emirate of Dubai to host Dubai Airshow 2015, the Event Disaster Committee conducted a crash test simulating the fall of fighter jet in the event’s dedicated zone. The test was supervised by the committee members headed by Brigadier Omar Abdul Aziz Al Shamsi, Deputy Director of the General Department of Operations at Dubai Police, Mohammed Lengawi, DCAA’s Director of Aviation Security and Accident Investigation Department and Abdullah Al Hammadi, Head of Accident & Incident Investigation at Dubai Civil Aviation Authority (DCAA). Conducted on November 2 at exactly 09:11 AM, the test started by an announcement made by the control tower of Al Maktoum International Airport indicating that a military jet fighter crashed in the drop zone dedicated to

November 2015

the planes participating in the event. Located two kilometers from the exhibition ground, this zone has been defined by the Flight Control Committee (FCC) to protect the exhibition ground and the audience in case of an accident. The crash simulation resulted in finding and successfully saving the pilot and co-pilot after they had been ejected from the plane, and landed safely in the same zone. The test ended around 10:45 AM the same day. Members of the Disasters Committee commended the excellent performance displayed by all the individuals, who participated in the test, which demonstrated the Airshow’s Disaster Team is fully geared to host this international event. Prior to any airshow, DCAA displays the plans and scenarios required to ensure the readiness of related authorities to respond to such accidents, which may occur, and to explore the

weakness that must be avoided, the strengths to be enhanced, developed and sustained. The related authorities play a significant role in responding to and handling such accidents. These include the Dubai Police General Headquarters and branches, the UAE Armed Forces, Dubai Civil Defense, Dubai Corporation for Ambulance Services, Dubai Roads and General Civil Aviation Authority, which is the federal body specialized in air disasters. All these bodies work closely towards achieving the ultimate and most noble objective of ensuring the security and safety of citizens, residents and anticipated visitors of the event; an endeavor bound to reflect the excellent reputation with which they excel in organizing the events hosted by the UAE in general, and the Emirate of Dubai in particular. 

DCAA News

DCAA rewards innovators in Smart Majlis

n the presence of directors and managers, His Excellency Mohammed Abdulla Ahli, Director General of Dubai Civil Aviation Authority (DCAA), rewarded the young UAE scientist Adeeb Al Bloushi, and Abdul Rahman Obeid Sahwa, in appreciation of their innovative ideas presented via the Mohammed Bin Rashid Smart Majlis application. The Smart Majlis was launched by His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of UAE and Ruler of Dubai, to present innovative ideas and development suggestions towards making Dubai the smartest and fastest growing city in the world. The Mohammed Bin Rashid Smart Majlis is considered the largest smart and integrated platform in Dubai. It connects 30 entities, and aims to re-

ceive development suggestions and innovative ideas from its audience, in addition to conducting smart brainstorming sessions. The Smart Majlis operates under His Highness Sheikh Mohammed’s direct supervision. During his presence, the young UAE scientist Adeeb Al Bloushi explained his innovative idea in detail via an illustrated presentation linked to his idea. Abdul Rahman Obeid Sahwa also delivered a presentation that

provided detailed description of his innovative idea. DCAA is keen to promote all members of the society to actively contribute their innovative ideas and development suggestions, and to reward innovators.The Smart Majlis enables all members of the society to participate in the development process by presenting their ideas and answering questions raised by His Highness, as if physically attending His Highness’s traditional Majlis. 

November 2015

DCAA Interview

Khalid Al Arif Executive Director Standards and Regulations Department DCAA

No RPAS violations in Dubai

ollowing the issuance of Law No 7 for 2015 on Airspace Safety and Security in Dubai by His Highness Sheikh Mohammed Bin Rashid Al Maktoum, UAE’s Vice-President and Prime Minister and Ruler of Dubai, the Dubai Civil Aviation Authority (DCAA) has been actively working toward generating awareness about the regulations and implementing ways to ensure airspace safety as the number of drone operators rises. Khalid Al Arif, Executive Director, Standards and Safety, DCAA, said Dubai has taken very active steps in ensuring that drones are operated keeping safety and airspace capacity in mind. “The major step in the direction has been the law on airspace safety. The DCAA has been very active in generating awareness and we feel the message is reaching people in the right manner. As a result of all these efforts, there has not been any incident of violation after January related to drones in Dubai,” he told Via Dubai in an interview. Excerpts from the interview: How does the new law on airspace safety regulate the usage of Remote Piloted Aircraft Systems (RPAS) or drones in Dubai? The objective of Law No 7 for 2015 on Airspace Safety and Security in Dubai,

November 2015

is to maintain airspace safety and security for air traffic in the emirates in accordance with international standards recognised by International Civil Aviation Organisation (ICAO) and UAE General Civil Aviation Authority (GCAA). Within this, the Dubai Civil Aviation Authority (DCAA) determines area for recreational and sport aviation activities, gliding, aerial photography, aerial survey and similar activities and determines requirements for users of laser, sky trackers, drones and similar devices which may compromise air safety and security and determine the places where these devices may be used. The law gives us the authority to be responsible for regulating drones to be operated in Dubai.

RPAS, commercial and non-commercial have to be operated according to the rules and regulations. Before any person operates a drone, they need to be aware of this and we are focussing on spreading this awareness. How are you generating awareness about the new rules and regulations that the drone operators need to follow? The DCAA has started an awareness campaign to generate awareness about flying Remotely Piloted Aircraft System (RPAS). Our message is that while operating a drone, you should make sure that it is legal, be safe and you have control. We launched the campaign during the GITEX Technology Week last month. In the next phase of the awareness campaign, we are planning to gener-

DCAA Interview

ate awareness through newspapers and other media. We will also visit schools across Dubai to generate awareness. We are guided by the vision and guidelines of His Highness Sheikh Mohammed bin Rashid Al Maktoum, UAE’s Vice-President and Prime Minister and Ruler of Dubai, who has launched Drones for Good. We want to make every person in Dubai aware of operating drones according to the regulations. Lack of awareness, we have found can cause problems and be a threat to safety. In January, our airspace was forced to shut down due to use of unauthorized drones. Have any incidences of violations come to your attention after January? Dubai has taken very active steps in ensuring that drones are operated keeping safety and airspace capacity in mind. The major step in the direction has been the law on airspace safety. The DCAA has been very active in generating awareness and we feel the message is reaching people in the right manner.

Dubai. It comes from commercial as well as non-commercial categories. So far we have given approvals for over 200 commercial operators and quite a large number of approvals have been granted for aerial work. Which government bodies in Dubai are using RPAS and what are the kinds of requests you are getting? We recently gave an approval to Dubai Silicon Oasis who are using it for security surveillance. In addition, Dubai Electricity and Water Authority (DEWA) will use it for inspection purposes of power generator, water cooling systems etc.; and Dubai Municipality for land scanning surveys. We also have given approvals to many film production companies including Mission Impossible 4, Star and also the latest Jackie Chan movie. There are distributors of the manufactured drones who want to demonstrate capacity of their drones and construction companies, who got approvals.

As a result of all these efforts, there has not been any incident of violation after January related to drones in Dubai.

There are some requests for delivery, but we will analyse all the aspects before granting them an approval. We are expecting drones usage to increase significantally.

The DCAA has started registrations for commercial as well as non-commercial operators. How many registrations have been done so far? After we started publicizing the regulations, we have been receiving more than 50 calls or emails every day from people requesting to operate drones in

What are the consequences of violations? We are in the process of getting into an agreement between DCAA, Dubai Police, Department of Economic Development and Dubai Customs regarding the mechanism of controlling for selling, importing, re-importing or exporting drones.

DCAA to provide online registration of drones for noncommercial operators We are also working to reach an agreement with Dubai Police in case of violation so we have direct communication with them. What are your plans to deal with the increase in usage of drones in future? There are some technical aspects we are working with. We are planning in future to put a chip on a drone, which will give full detail of the owner of the drone. In case of a crash, we will be able to know the details of the operator. Very soon non-commercial drone operators or hobbyists will be able to register online and get their registration cards after approval, we are working toward that. In addition, we will target the shops which sell drones so that shop owners are able to do the registrations. What is your message to those interested in operating drones in Dubai? You can all fly drones. We are not here to stop. Our objective is to ensure sustainable, socially responsible growth committed to the safety, health, environment and security in transparent, effective and commercially balanced regulatory framework.We want to ensure you are safe and so are others around you, register your drones before your operate them. 

November 2015

UAE in Focus

DSO collaborates with DCAA for drone security surveillance

ubai Silicon Oasis Authority (DSOA), the regulatory body for Dubai Silicon Oasis (DSO), in collaboration with Dubai Civil Aviation Authority (DCAA) has announced the introduction of the smart security surveillance programme at the integrated free zone technology park.

The Drones for Security Surveillance initiative will follow the Remote Piloted Aerial Vehicles guidelines issued by the DCAA. Operated by an authorized team of patrol personnel, the machines, equipped with a high resolution camera and a super-sensitivity microphone, will have the ability to record audio and video in real time. Additionally, the camera will have the option of capturing flawless still photographs of a specific scene or location. The drone operators are equipped with a Terrestrial Trunked Radio

(Tetra) system, which allows for SMS exchange between handsets handset-to-handset calls and locating of handsets through GPS - all the while ensuring complete confidentiality in communication as a result of the system’s built-in endto-end encryption mechanism. Khalil Odeh Shalan, Vice President of Operation and Facilities at DSOA, said: “We have conducted thorough research and due diligence before introducing the new system. Authorization of drone operations is currently limited to a

select few from the security team at DSO. Presently, we have one drone patrolling the premises. We plan to add four more by the end of 2015.” Khalid Al Arif, Director of Standards and Regulations at DCAA, said: “We have been following the use of drones around the world for safety, security and surveillance purposes with a great deal of interest since they were first launched, with the view to implementing the system for the benefit of the Emirate of Dubai and its residents. Civil safety and security is of utmost importance to us. The use of drones and the related air support they provide can be a distinct advantage in protecting the public from threats and in successfully helping to identify and prevent crimes.” Michael Rudolph, Head of Aviation Regulations and Safety at DCAA, said: “After examining DSO’s application and learning about the significant potential of its concept, we have granted the necessary approvals for the project. We hope more organizations in the emirate come forward with similar innovative proposals, because drones most definitely make up a big part of the next generation of aviation technology.” 

November 2015

UAE in Focus

November 2015

UAE in Focus

UAE, Slovenia signs civil aviation agreement

EK and Etihad on course to join Top 10 global brands

mirates, along with two other Arabian Gulf airlines, will rank among the world’s Top 10 aviation brands by as early as 2018, according to a new forecast.

he UAE represented by the General Civil Aviation Authority (GCAA) and the Slovenian government have signed an air services agreement (ASA) to expand cooperation. The agreement which consists of 24 articles and two annexes enables the two countries to exercise the fifth freedom rights and specifies the general legal framework

for cooperation between the two countries. The deal was inked in Ljubljana by Eng. Sultan bin Saeed Al Mansoori, UAE Minister of Economy and Chairman of the GCAA, and Peter Gaspersic Slovenia’s Minister of Infrastructure. Al Mansoori said the agreement reflects the interest that the two countries take in expanding their cooperation in all sectors. 

High-profile sponsorship deals, fleet investments and route expansions are causing the Etihad and Qatar Airways to ascend Brand Finance’s ranking of the world’s most-valuable airline brands to join Emirates, which sits at the top of the pile. The London consultancy said Emirates is global aviation’s biggest name, with a brand valuation of $6.6 billion. Qatar Airways ranks 11th on Brand Finance’s 2015 list, with a brand valuation of $2.7 billion, while Etihad Airways is in 19th place, with its brand worth $1.4 billion. 

Al Jaber Aviation plans move into MRO

l Jaber Aviation (AJA) is the latest Gulf operator to plan a move into MRO as it strives to broaden its offering beyond the highly competitive business-jet charter market. The company, based at Abu Dhabi’s Al Bateen, is in negotiations to form a joint venture with a “well-known European MRO provider” to open a hangar at the dedicated downtown business aviation airport, says COO Mark Pierotti. The 3,230ft facility, to open in 2018, will provide light maintenance services to airline and business aviation operators of Airbus and Boeing narrow-bodies, as well as Embraer and Hawker jets.

November 2015

AJA will then pursue a 10-year plan to take us up to major checks, as well as overhauls, although not full-scale completions, he says. AJA was found-

ed in 2007, the third in a trio of locally owned, high-end business aviation charter providers based in Abu Dhabi, along with Royal Jet and Falcon Aviation. 

Interpreting local traditions, embracing tomorrow’s needs

Engineers and architects creating outstanding and proﬁtable airport facilities

Chengdu Shangliu International Aiport Chengdu, China

www.adp-i.com A member company of Aéroports de Paris Group

November 2015

UAE in Focus

Etihad Airways signs $700 million deal with IBM

tihad Airways and IBM have announced a ten-year technology services agreement worth approximately $700 million. This will allow the airline to enhance guest experience, develop world-class infrastructure and security, and improve efficiency. IBM will deliver a range of secure and efficient technology services, allowing Etihad Airways and its partners to transform their IT infrastructure into global, flexible and agile cloud-based platforms to better serve their guests and employees. The agreement includes plans for the creation of a new cloud data center in Abu Dhabi. The center, to

be developed and operated by IBM, will be one of the most sophisticated technology facilities in the Middle East. Through IBM’s mobile solutions, developed under the Apple-IBM alliance, the airline will provide enhanced mobile capabilities to its employees and guests. Other solutions will enable airport operations to run more efficiently, which will improve the guest experience as a result of an enhanced end-to-end process.

IBM and Etihad Airways will create a joint technology and innovation council in Abu Dhabi to develop more personalized travel solutions using IBM’s global research capabilities and the airline’s industry expertise. Etihad Airways’ current data center, IT infrastructure, applications and security operations will be migrated to the new data center in Abu Dhabi, and disaster recovery will be managed at an IBM Cloud data center in Europe. 

CASS awards aviation diplomas to 168 students

s many as 168 students, both expats and Emiratis, received diplomas in aviation security management and baggage handling from the Dubai-based Centre of Aviation and Security Studies (CASS), the academic branch of Emirates Group Security.

The record-number graduates included four Emirati nationals. As many as 155 graduated with degrees in aviation security and 55 graduated with degrees in baggage handling. A large percentage of the graduates this year are Emirates cabin crew members.

The diplomas were presented by His Highness Sheikh Ahmed bin Saeed Al Maktoum, President of DCAA and Chairman of Dubai Airports and Chairman and Chief Executive of Emirates Airline and Group, and Hendy Cowan, Chancellor of Edith Cowan University - which is a partner in the programme - and Australian Ambassador Pablo Kang.

The 18-month course included a wide variety of practical skills that can be applied in the aviation industry. To pass, students had to sit for written exams at the end of every module. Once completed, diplomas are issued by Edith Cowan University of Australia, and are officially recognized by the General Civil Aviation Authority (GCAA).

November 2015

The students from the Centre for Aviation and Security Studies come from 54 countries.CASS manages a portfolio of education courses for aviation management to support the continued professional development of staff in Emirates Group and partner organizations. CASS is also developing a research capacity with the aim of it becoming a regional hub for research into security and aviation. The centre will be home to several research projects and will work with collaborators from the UK, Australia and Singapore. This research element of CASS will be developed further over the next few years. 

UAE in Focus

UAE and Gabon inks Open Skies deal

UAE to begin restructuring crowded air space

he UAE represented by the General Civil Aviation Authority (GCAA) has inked an Air Service Agreement on Open Skies basis and signed a MoU with the Government of Gabon. The two delegations agreed that any number of designated airlines of both parties will have the right to perform scheduled air services between the two countries. The MoU allows full flexibility on the routes, capacity, number of frequencies and types of aircraft, in any type of service (passenger or cargo). The signed memorandum also includes the exercise of fifth freedom traffic rights. In addition, both Parties agreed to allow unrestricted non-scheduled/ charter operations between the two countries. 

he UAE is to start restructuring its crowded air space next year.Like road networks, air space is divided into corridors. Only some is open for use by civilian traffic, while the rest is reserved for military purposes. With the expansion of air travel from Gulf hubs - as well as existing fleets, Emirates, Qatar and Etihad Airways have almost 700 aircraft on their order books - concerns have been raised that available space for flights will impinge on growth. “This is a potential risk, which if not responded to today will face severe consequences tomorrow - not only for efficiency but

also for safety and security,” said Ahmed Al Jallaf, Deputy Director General of the UAE General Civil Aviation Authority (GCAA). “We don’t want things to pile up until an accident takes place.” 

November 2015

Cover Story

Dubai Airshow 2015

The Centre of Aerospace Industry

is Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of UAE and Ruler of Dubai, and His Highness Sheikh Mohammed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces, officially opened the Dubai Airshow 2015 at Al Maktoum International Airport.

November 2015

Over 1,100 exhibitors from more than 60 countries are taking part in the biennial five-day event. The exhibitors include major aircraft makers like Airbus and Boeing. Last edition of the Dubai Airshow, in 2013, generated business of up to $200 billion, with orders for new passenger airplanes topping $162.6 billion, beating the showâ&#x20AC;&#x2122;s previous record of $155 billion set in 2007. After cutting the ceremonial ribbon, Sheikh Mohammed and his entourage took a tour of the Dubai Air-

show site in Dubai South, beginning with a visit to the liveried search and rescue helicopter fleet of the UAE Joint Aviation Command. He then greeted the pilots of the UAE Air Force aerobatics team, Al Fursan. The team, which flies seven Aermacchi MB-339A jet trainer aircraft, is taking part in daily demonstrations during the Dubai Airshow 2015. He also went onboard an Airbus A350, of which Emirates is considering an order, and also boarded a Qatar Airways Airbus A380, accompa-

Cover Story

nied by the airline’s chief executive, Akbar Al Baker. He also stopped to have a look at the Dubai South and Russian Helicopters stands, among others. A total of 1103 exhibitors at the show are expected to receive 65,000 trade visitors. For the first time, the event is seeing a 3D print pavilion and an exhibition by the newly formed UAE Space Agency. The biennial Dubai Airshow has grown over five-fold in the past 28 years of its existence. Over 160 aircraft are on display, including a Boeing P-8 military jet, a Qatar Executive G650ER and an Emirates Airline’s Airbus A380. In a first for any international air show, Unmanned Aerial Vehicles (UAVs) are taking part in the colorful, breathtaking flying display. The show has also seen the return of Gulf Aviation Training Event (GATE) pavilion and conference and the ever-popular Futures’ Day. Along with the Flying Display every day, a number of official events are part of the Dubai Airshow including a gala dinner for the exhibitors, Air-

port Safety and Security Conference, Airshow Offset Conference, Dubai Airshow Gala Dinner, and the third edition of GATE focusing on pilot training and human factors versus automation, as well as flight tracking systems. Future’s Day gives groups

of students, aged 16 and above, the chance to experience career opportunities first-hand and to understand the diversity of the aerospace industry. The Dubai Airshow is held in co-operation with Dubai Civil Aviation Authority (DCAA), Dubai Airports, Emirates Airline, Dubai South (formerly Dubai World Central) and the UAE Armed Forces. F&E Aerospace, a division of F&E, had launched the Dubai Airshow in 1989. Since 2013, the show has moved from Dubai International Airport Expo Centre into a large purpose-built facility in Dubai South. His Excellency Mohammed Abdulla Ahli, Director General of DCAA, said: “The continuous support of DCAA for the airshow since its inception is the outcome of the vision and directives of His Highness Sheikh

November 2015

Cover Story

Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of UAE and Ruler of Dubai, of maintaining Dubai’s strategic role in the global aviation industry and ensuring the overall development of the UAE and the Middle East in this domain” He attributed the grand success of Dubai Airshow all through the history to the unlimited support and cooperation by all levels in the government and private sectors and the visionary leadership of His Highness Sheikh Mohammed. The event, he added, also facilitates cooperation among the key players of the civil aviation industry from across the world and the show was helping the global aviation industry to benefit from Dubai’s strategic location.

November 2015

Cover Story

Emirates, for the first time, unveiled its first two-class configured A380 at Dubai Airshow. The aircraft on display is Emirates’ 68th A380 in its fleet and was delivered directly from Airbus in Hamburg Finkenwerder to the show site, allowing Dubai Airshow visitors to be among the first guests onboard the brand new double-decker. It will also soon enter service to be deployed to Copenhagen on December 1. Emirates was the first airline to order the A380 and is the largest operator of this aircraft carrying almost 47 million passengers to date. The Emirates A380 currently flies it to 34 destinations around the world from Dubai. The airline currently has 68 A380s in service and has a further 72 on firm order. HH Sheikh Ahmed bin Saeed Al Maktoum, President of Dubai Civil Aviation Authority, Chairman of Dubai Airports and Chairman and Chief Executive of Emirates Airline & Group, said: “The Dubai Airshow has grown to become a key event in

the aviation and aerospace calendar and it is fitting that the aircraft on display this year embody the growth of Emirates as a global airline and as an enabler focusing on meeting the future demand for highly skilled professional airline pilots.”

Emirates also displayed its newly acquired Cirrus SR 22 and Embraer Phenom 100 jets, which will be utilized by the Emirates Flight Training Academy. The airline has invested in building this Academy to address the growing global need for pilots, and recently signed an agreement with Cirrus and Embraer to order 27 new aircraft for cadet training. The order includes 22 single-piston Cirrus SR22’s and five twin-jet Embraer Phenom 100E, which are valued at more than $39 million dollars at list prices. Michele van Akelijen, Managing Director of F&E Aerospace, organizers of Dubai Airshow, remarked: “The 2015 edition is our biggest event yet. We have seen growth across a number of areas, including an increase in new exhibitors and increased investment from many returning ones. The 2015 Dubai Airshow builds on the success of 2013.

November 2015

Cover Story

Boeing to establish ME headquarters at Dubai South Boeing has announced at the Dubai Airshow a Memorandum of Agreement with Dubai South, outlining the company’s intention to establish its Middle East headquarters in the Aviation District. The agreement was confirmed at a signing ceremony attended by His Highness Sheikh Ahmed Bin Saeed Al Maktoum, chairman, Dubai Aviation City Corporation (the parent organization of Dubai South); Khalifa Al Zaffin, executive chairman, Dubai Aviation City Corporation; Dennis Muilenburg, Boeing president and CEO; among others. High Highness Sheikh Ahmed said: “I congratulate Boeing on its strategic decision to establish its regional headquarters at Dubai South – a city that embodies Dubai’s aerospace

November 2015

vision. I am confident that the new address will deliver a solid advantage to Boeing as it seeks to expand its footprint in Dubai and in the region.” The agreement details a framework for Boeing’s operations to be housed at the Dubai South, which will include Boeing Middle East’s headquarters, a spare parts warehouse, a distribution facility and a maintenance training facility to service the region. The aim is to solidify plans in 2016 and commence operations by the end of 2017. In July 2016, Boeing will celebrate its 100th anniversary. Building on the company’s inspiring legacy, Boeing wants to build an even better future, globally and in the Middle East.

The Dubai Airshow is not just about the order book, but represents every sector in the aviation industry, providing the right platform to not only do business but also help promote product launches, new innovations, technologies and exhibitors.” The 2013 show attracted 1,046 exhibitors from 60 countries, 163 aircraft on display, and more than 60,000 trade visitors from 123 countries. New exhibitors this year came from all around the world, including for the first time from Taiwan, Morocco and Latvia. Qatar Airways showcased four of its latest generation aircraft at the Dubai Airshow. It also displayed its 25th Boeing 787 Dreamliner. The carrier showcased both the Airbus A350 XWB, for which it was the global launch customer, and an A380, two of the 166 in the fleet of highly-sophisticated, most technologically-advanced aircraft in the sky.

Cover Story

Deals

Last edition, Dubai Airshow witnessed $206.1 billion orders, almost overtaking the long-established Farnborough, Paris and Singapore airshows. Dubai Airshow 2007 had the record order book of $155.5 billion, and no other air shows surpassed that until Dubai Airshow 2013, which made history with orders of $206.1 billion. This year, the Dubai Airshow has a large number of US exhibitors returning including Boeing, Engine Alliance, GE and Honeywell, among others. The US Pavilion has doubled in size, from 659 square metres at the 2013 edition to more than 1,300 square metres. The global space industry is worth $300 billion, and growing at 8 per cent annually. The UAE’s investments in space technologies have already exceeded AED20 billion. By 2020, the UAE aims to launch an unmanned mission to Mars by sending a robotic space probe to the Red

Planet. The UAE is operating six commercial satellites and aims to be among the top countries in this field by 2021. The UAE-based organizations like Mohammed bin Rashid Space Centre (MBRSC), Al Yah Satellite Communications Company (Yahsat) and Thuraya Telecommunications Company exhibited at the Dubai Airshow.

Michele remarked: “We have a 10year growth plan with our partners and are currently in discussions about a planned extension of the Dubai Airshow site for the 2017 edition. This increased space will give the Dubai Airshow room to continue growing into the future.

2017 edition

The organizers are already planning to expand the 2017 event by more than a fifth. “Regarding the 2017 airshow expansion it is something that was included since we did the initial design of the venue,” said DAEP CEO Suzanne Al Anani. “Specifically, it is for an additional 10,000 square metres, if there enough demand for it,” she added. The 2015 airshow exhibition site at Dubai World Central currently measures 46,650 square metres, meaning the event in two years could be more than 21 percent bigger 

November 2015

Special Report

Aircraft retirement

A quite exit O

ver 2,000 passenger aircraft are currently inactive and in storage, with an average age of 21 years. Over 60 per cent of these will not return to commercial service.

787s and A350s now being delivered in increasing numbers By the end of 2014, over 34,000 jet airliners had been delivered, of which two thirds are in active service today with an average fleet age of 11 years. Over 2,000 passenger aircraft are currently inactive and in storage, with an average age of 21 years. Over 60 per cent of these (and almost 80 per cent of those over 15 years old) will not return to commercial service due to their age, the length of time spent in storage and the cost associated with returning them to a serviceable condition.

November 2015

To date, more than 8,500 aircraft have been retired from use, at an average age of 27.2 years, which is reduced to 25.7 years when time spent in storage prior to retirement is factored in. About 75 per cent of these retirements are concentrated in 10 aircraft fleets. According to a whitepaper published by Avolon, most retirement decisions are a direct function of age, when an operator concludes that the cost of maintaining and operating an aircraft at an acceptable level of utilization exceeds the financial contribution it can earn.

Dick Forsberg, Head of Strategy, Avolon, who authored the whitepaper, said: â&#x20AC;&#x153;Often the decision is triggered by a specific event, such as the requirement to complete a costly major maintenance event. This economic inflection point may be accelerated if a new, more efficient alternative is introduced as a result of advances in technology; however the inability of the OEMs to deliver this new technology in quantity significantly dilutes the impact on retirements, as replacements cannot all be supplied at once.â&#x20AC;?

Special Report

Titled Aircraft Retirement and Storage Trends - Economic Life Analysis Reprised and Expanded, the document noted that at certain times in an industry cycle, the value of an aircraft, even a relatively young one, may be exceeded by the value of its major components, especially engines, causing owners (though not usually operators) to retire the asset prematurely for partout. This decision is more likely to be taken if the aircraft in question has a limited or niche application, or if significant expenditure is required, perhaps at the end of a lease term, following a lessee default and early termination or if there is localized market demand for high value components, and remains limited to small numbers of aircraft. It added: “These stored fleets provide some degree of capacity safety valve for the industry, although the reality is that relatively few

aircraft emerge from long-term storage to fly again. Over the past 20 years only 20 per cent of all aircraft stored for more than three years have been returned to active service and, of these, fewer than 10 per cent were passenger aircraft over 15 years old. A wide range of factors, not all cycle related, continues to influence the pattern of aircraft retirement and fleet replacement, raising important questions for the industry.”

The next wave

The next “wave” of aircraft coming through the retirement window are those that are most recently out of production or, in the case of long-lived programmes, the earliest examples of types that are still being produced, but in small numbers (the 767s). This category includes 737 Classics, 757s, MD80, Fokker 100s and BAe146/Avro RJs, plus wide-body (WB) fleets of A300s, A310s, 747-400s, 767s and MD11s.

November 2015

Special Report

The most obvious feature of this group of aircraft is that the overall level of retirement is still low - just 27 per cent on average and with the most actively retired fleets barely 50 per cent depleted. Also, the level of annual retirements has been maintained over the past two years relative to the preceding two, reflecting the steady stream of candidate aircraft still remaining to enter the retirement window. Since the average age of this large remaining cohort is less than 20 years, a similar rate of retirements can be expected to be maintained for some time. The first Boeing 767 was delivered in 1982 and, with 1,100 deliveries made or due, the type remains in production, albeit with a low level of commercial demand, predominantly for freighters. Less than 15 per cent of the fleet has been retired to date, 136 aircraft in total with an average adjusted retirement age of 22.6 years. This average age has been increasing, with 42 aircraft retired in 2013 and 2014 at an average age of 24 years. With 787s and A350s now delivering in increasing numbers, the overhang of 767s that have been placeholders for the long-awaited new generation wide-bodies is expected to reduce, leading to accelerating retirements over the coming years. However, the feedstock of older vintages (almost half of the in service fleet is already more than 20 years old) should ensure that the retirement age distribution is maintained at or above the current average.

Current in-production fleets

The third wave of aircraft retirements comprises fleets of aircraft that are currently in production, include A320s, 737NGs, A330s, A340s and 777s - most of which are directly relevant to the aircraft financing and

November 2015

investment community. Their relative youthfulness and the scale of their installed base means that only a small fraction of delivered aircraft has been retired, with 97 per cent of the 14,000 aircraft delivered to date still in service, at an average age of 7.6 years. The 374 aircraft that have left the fleet did so at an average age of almost 18 years and 75 per cent of retirements took place during the past four years.

Over 40 per cent of First Engine Option (FEO) deliveries have now been retired Airbus 320 family

Whilst still low, retirement of A320 family members has picked up in the past two years, during which time the number of aircraft leaving the fleet has doubled, to just over 260. Retirement age has also been increasing, with an average age of 18.8 years overall and 19.4 years for aircraft retired in 2013 and 2014. The age distribution chart confirms that the profile continues to move to the right and the trend is supported by the growing feedstock of aircraft that will be closing in on 25 years in the coming years. Within the A320 family, retirements are highly concentrat-

ed in the A320 itself, which accounts for 88 per cent of the total. A318 and A319 retirements total 11 of each variant and, whilst there has been a good deal of commentary around the parting-out of these aircraft early in their lives (at 6.4 years and 13.3 years respectively on average), the fact remains that these were opportunistic part-out events that were appropriate under specific and/ or transient circumstances that are not generally applicable to the wider fleets. It is clear that almost all A320 retirements relate to first generation, pre-1995 variants with CFM56-5A or V2500-A1 engines, which have a clear performance disadvantage over more recent engine variants and are also, by definition, closer in age to their natural retirement window. Over 40 per cent of â&#x20AC;&#x153;First Engine Option (FEO)â&#x20AC;? deliveries have now been retired, including 54 since 2012 at an average age of 22 years. Taking the A320 model in isolation, a total of 232 retirements have an average age of 19.7 years, with 75 aircraft retired since 2012 at an average age of 20.4 years, helping to move the age distribution gradually to the right in a trend that supports the long-term forecast made in the 2012.

Boeing 737NG family

The 737NG family has experienced an even lower level of retirements, with a total of just 43 having an average age at retirement of 12 years. The pattern of retirements across the family members and over time maps very closely with the A320, suggesting that factors relating to the size and popularity of each model are driving retirement decisions rather than any wider issues affecting Airbus or Boeing narrow-bodies (NB).

Special Report

With lessors owning 90 per cent of the retired aircraft, the incidence of “prudent opportunity” is again highest for the smallest family members. 737-600s and 737-700s accounted for 40 retirements, leaving just three 737-800s that have been retired to date. Default lease returns preceded only 15 per cent of NG retirement events, whilst aircraft returning from three airlines (Jet x13, Gol x8 and Malev x6) featured prominently in end of lease retirements, including the three 737-800s. In-production wide-bodies have not been retired in sufficient quantities to identify trends. Although the average age of those that have been retired is under 20 years (17 years for 15 A330s and 15.4 for 10 777s), the occurrences are too few and operator-specific to conclude that their retirement patterns are off-trend. Less than 10 per cent of the remaining 1,000-strong A330 fleet currently comes close to the same utilization levels, suggesting that the retirement pattern is following historical age - and specification-related norms, whereby the oldest and least capable typically get retired first. With respect to the 10 retired 777s, four of these came from the batch of early -200 variants delivered to British Airways and United.

Looking at the age versus storage time relationships in more detail and concentrating on passenger aircraft returning to active service (in passenger configuration), the impact of the aircraft’s vintage at the time of entering storage can clearly be seen , with aircraft age applying a substantial multiplier effect to the probability of re-activation – or not. Very young aircraft that have been parked for less than 12 months will almost always become active again and most young and mid-life aircraft (up to 15 years old) will also be returned to service, even after relatively long storage periods. However, beyond five years’ in storage, even aircraft that were youthful when they entered storage will often not re-enter service, whilst the probability of older aircraft becoming active again following prolonged storage diminishes steeply, to less than five per cent for anything over 20 years of age. The probability of aircraft being returned to active service is also influenced by whether the model is in production at the time of entering

The average age of retired aircraft is under 20 years (17 years for A330s and 15.4 for 777s) storage. There is a marked difference in the behaviour of in production and out of production aircraft, with the latter significantly less likely to fly again. Whilst over 90 per cent of in-production types placed in storage over the past 20 years have subsequently emerged, only 56 per cent of out of production aircraft have done so, a difference that becomes more marked as storage time increases. 

Freighter aircraft

The profile for dedicated freighter aircraft is similar to the overall picture, but with a higher re-activation rate, which reflects not only the preponderance of older aircraft in the freighter fleet, but also the greater volatility of the air cargo market which drives a higher level of short-term capacity reductions facilitated by the temporary parking of freighters.

November 2015

Middle East News

Emirates to resume flights to Baghdad E

mirates Airline has resumed passenger flights to the Iraqi capital, months after they were suspended over safety concerns. The Dubai carrier started operating four weekly flights from Du bai to Baghdad, served by an A330-200 aircraft from September 17. In January, Emirates was among several carriers to sus-

pend flights to Baghdad after a bullet hit the fuselage of a flydubai aircraft on its descent in the capital. Many have since resumed the flights, including Turkish Airlines and Middle East Airlines.Emirates operate four weekly services to Iraq's northern city of Irbil and a twice-daily service to Basra in the south.

The General Civil Aviation Authority (GCAA) ordered the ban on January 27 after the flydubai plane was hit with small-arms fire while landing at Baghdad airport. The low-cost carrier, along with Etihad, Emirates and Air Arabia, immediately suspended operations to the Iraqi capital. 

Oman Air announce lease deal for 14 jets

man Air and the US-based Air Lease Corporation (ALC) have signed long term lease agreements for 14 jet aircraft. The lease agreements cover three new Boeing 737800s, seven new Boeing 737-8MAXs, and one new Boeing 787-9, all from ALC’s order book with Boeing. This transaction also includes one used Boeing 737-700 and two used Boeing 737-800 aircraft. The deliveries are scheduled start this year and continue through to 2019. Oman Air’s expansion plan will see Oman Air’s fleet expand to 57 aircraft by 2018 and to 70 aircraft by 2020.

November 2015

The national carrier of the Sultanate of Oman was founded in 1993 and has a fleet of 39 aircraft flying to over 48 destinations across the Middle East, Europe, Asia and Africa.

Oman Air’s increased fleet size is enabling it to offer even more exciting destinations within its global network. New services have been launched to Manila, Jakarta, Goa and Singapore. 

November 2015

International News

Kuala Lumpur’s $1 billion terminal ‘sinking’

he new budget passenger terminal at Kuala Lumpur International Airport is sinking, with cracks appearing in the taxiway and water forming pools that planes must drive through.

The defects could cause flight delays, increase wear and tear on planes and pose potential safety risks, according to AirAsia, the new terminal’s biggest user. Though take offs and landings aren’t affected, the carrier has asked Malaysian authorities to fix the problems before passengers get hurt.

34 34

a report on ponding issues “in due course,” the ministry told Bloomberg.

Air Asia CEO, Aireen Omar, said: “The airport operator, Malaysia Airports Holdings, has done some partial resurfacing, but what the airport actually needs is a permanent solution. The airport is still sinking.”

Malaysia Airports, which has used its own funds to rectify the situation, “will be responsible for the findings and proposed solutions,” the ministry said in an e-mail.AirAsia initially refused to move when KLIA2 opened in May 2014, citing concerns over flight operations and security. The carrier gave in after the government said it would stop immigration and customs services at the old budget terminal.

Construction expenses for klia2, as the new terminal is known, ballooned from an initial estimate of about 1.7 billion ringgit ($446 million) to four billion ringgit. The Transport Ministry has set up an independent audit committee, which will submit

The AirAsia group of airlines flew 15.2 million passengers through KLIA2 in its first year of operation, accounting for 87 percent of the terminal’s traffic, according to Malaysia Airports data. Tiger Airways Holdings Ltd., Cebu Air Inc. and Malindo Air

November November 2015 2015

declined to comment on their experience at the new terminal. An official from Lion Mentari Airlines PT didn’t respond to requests for feedback. Construction of KLIA2 started in 2009 after the growth of lowcost travel, particularly by Malaysia-based AirAsia, pushed passenger traffic beyond the existing budget terminal’s capacity. At 257,000 square meters, the terminal can handle 45 million passengers, with the potential to expand. Most full-service carriers, including Malaysia Airlines, use the main KLIA terminal, which began operations in 1998. Malaysia Airports said the depressions and ponding at KLIA2 were caused by differential soil settlement in the apron and taxiway. 

International News

Shenzhen Baoan airport penalized for flight delays

he Civil Aviation Administration of China (CAAC) has penalized the Shenzhen Baoan International Airport for poor handling of major flight delays.

The authority withheld approvals for new air routes, chartered services and additional flights at the airport until 31 December.

rival of the crew, another prompted passengers on a China United Airlines flight to open an emergency door after waiting on board for four hours before the take-off.

Numerous flight delays beginning in the middle of 2014 have resulted in several incidents at the airport where passengers vented out their frustration, with four disturbances reported in May alone. While one incident involved passengers reaching the tarmac before the ar-

Following the incidents, CAAC had reprimanded the airport due to its inability to efficiently handle the delays. The South China Morning Post said while the airport’s traffic and income would be affected by the ban, it was unlikely to affect the operations of major airlines. 

Cirrus celebrates 6,000th airplane delivery

irrus Aircraft has announced its latest significant milestone: the customer delivery of its 6,000th new airplane. The accomplishment comes just 16 years after the company delivered its first production aircraft. Cirrus Aircraft is recognized globally for its relentless pursuit of

London’s City airport up for sale he London airport on the doorstep of the City is to be put up for sale as its owners look to capitalize from the soaring global demand for air travel. Global Infrastructure Partners, the US fund that also has stakes in London Gatwick and Edinburgh airports, has decided to sell London City airport, which it has owned since 2006. The group said it was in the process of appointing advisers with the aim of selling the airport this year. People familiar with the business suggest it could fetch as much as £2 billion. Just seven miles from London’s traditional business district and even closer to the financial centre at Canary Wharf, almost two-thirds of the airport’s passengers are business travellers. London City has seen passenger numbers double over the past decade from 2m in 2005 to an estimated 4.1 million this year. Officials have projected an increase in the number of passengers to six million by 2023. The airport has already been granted permission to increase the number of flight movements from 70,000 to 120,000 a year. 

aircraft safety, comfort and technology innovations. The 6,000th aircraft boasts an eye-catching, aerodynamically inspired design. The Cirrus Vision SF50, with over 550 production positions reserved, will provide a new personal and regional business transportation solution: the personal jet. 

November 2015

International News

Stockholm airport installs weather simulator

ost people pore over weather forecasts before they set off on holiday, but one Swedish airport is letting people physically experience the conditions they can expect, using three climate-controlled rooms. Whether the destination is in searing heat, freezing cold, or a hive of activity, Stockholm Arlanda Airport believes they have found the perfect passenger preparation. The Climate Portal, located in terminal five, contains three rooms simply named 'Hot,' 'Cold' and 'Big'. They use heaters, air conditioners, fans, misters and audio-visual aides to provide a realistic experience. The three climate-controlled rooms are in Terminal 5 at Stockholm Arlanda Airport.

Sydney airport buys Qantas terminal

ydney Airport will gain control of the retail operations at its Terminal 3 and move to co-locate domestic and international operations there over the longer term, after agreeing to buy the terminal's lease from Qantas Airways for $535 million. The deal was announced as the airport operator reported a 6.4 per cent rise in half-year earnings to $488.3 million. In return for Sydney Airport buying back the terminal lease, which had been due to expire in 2019, Qantas has received assurances it will have pri-

ority access to 12 of 17 gates and 75 per cent of the check-in area and the majority of the baggage claim area in the terminal between 2019 and 2025. That alleviates its concerns that Sydney Airport could turn the terminal, used only by Qantas and QantasLink, into a large multi-user facility post2019. About 10 million passengers use Terminal 3 every year, compared with 15 million at multi-user Terminal 2. Over the longer term the airport plans to connect the two terminals. ď&#x201A;&#x192;

CAAS sets up Changi Airport Development Fund

The Climate Portal simulates weather from all over the world. If you are set to travel out to warmer climes, the 'Hot' room might be a good experience. If you are set to travel out to warmer climes, the 'Hot' room might be a good experience. ď&#x201A;&#x192;

he Singapore Parliament has passed the Civil Aviation Authority of Singapore Amendment Bill to set up the Changi Airport Development Fund. The fund will be used for developments like the building of Terminal 5 at the Changi Airport. There are three terminals currently, while construction of a fourth terminal is

November 2015

underway. Terminal 5 is expected to have a capacity similar to that of Terminals 1 to 3 combined. The fund can also be used for the upgrading and replacement of air navigation facilities and other facilities required for airport operations at the expanded airport. The Government has already set aside S$3 billion for the fund. ď&#x201A;&#x192;

International News

New aviation policy for the Irish aviation sector launched

Bangkok’s Don Mueang is world’s largest LCC airport

angkok’s Don Mueang airport saw passenger traffic surge by 50 per cent in H1 2015, enabling it to become the world’s largest LCC airport. Don Mueang has overtaken Kuala Lumpur International (KLIA), which was until recently Asia’s largest LCC airport, as well European LCC airport leader Barcelona El Prat and North American LCC

airport leader Las Vegas McCarran.Don Mueang is unlikely to relinquish its new title as Thailand’s three main LCC groups continue to pursue rapid expansion. Thailand’s LCC fleet is expected to surpass 100 aircraft by the end of 2015. Thailand’s LCC sector currently consists of 87 aircraft, up from 74 aircraft at the end of 2014. 

reland has launched a new policy for the aviation sector for the first time in its history. The aviation sector contributes significantly to the Irish economy as it contributes over €4 billion directly to Ireland’s GDP. The tourism industry is also heavily reliant on aviation and accounts for a further €5.3 billion in GDP and 180,000 jobs. Last year 25.5 million passengers used Ireland’s airports – up seven per cent on 2013 and total flights in Irish airspace grew by 2.7 per cent. 

LA to transfer airport ownership back to Ontario

fter years of litigation and contentious negotiations, Los Angeles has agreed to transfer ownership of struggling LA/Ontario International Airport back to the city of Ontario, The Times reported. The deal reverses a 30-year-old acquisition and marks a retreat from the vision of Los Angeles' airport agency as an ascending, region-wide air travel powerhouse with major branch operations in the Inland Empire and Palmdale.

The tentative agreement with Ontario calls for Los Angeles World Airports to be reimbursed for its investments in the facility, job protection for the facility's 182 employees and the settlement of a lawsuit in which Ontario sought to regain control of the airport. The Inland Empire city allowed Los Angeles to operate the airport beginning in 1967 and handed over ownership in 1985 on the condition that LA officials do their best to attract airlines to the facility. 

November 2015

ATM

Human performance key to ATM excellence

s ATM becomes ever-busier, more complex and more inter-connected across different Air Navigation Service Providers (ANSPs), an industry expert says time is ripe to consider how human performance is best optimized for smooth, efficient and safe handling of air traffic.

Human performance is especially important in ATM as it is a 24/7 industry which strongly depends on people. Aviation needs its frontline staff to be on top performance in order to maintain the safety and efficiency of the air transport system, remarked Neil May, Head of Human Factors at NATS, the UKâ&#x20AC;&#x2122;s leading provider of air traffic control services which handles 2.2 million flights and 220 million passengers in UK airspace. Neil is part of a FAA/Eurocontrol panel putting together a Standard of Excellence for Human Performance. The Human Performance Standard of Excellence (HPSoE) will ultimately help ANSPs gauge their maturity with regards to how human performance is integrated across ATM system design, development and operation.

November 2015

ANSPs can use the HPSoE to establish a baseline upon which improvements can be identified and so better manage operational safety risks and improve efficiency and resilience. The business case includes managing costs such as insurance and borrowing. Human Factors experts are sometimes challenged in communicating their tools and methods to ANSPs. The HPSoE recognises that those working in Human Factors need to connect with different parts of the organisation and that their efforts can even act as a catalyst for interactions between organisational stove pipes because they contribute to teams in different departments. It is recognised that Human Factors is by no means the whole answer, but without Human Factors ANSPs will be challenged to reach the most

The business case includes managing costs such as insurance and borrowing efficient and reliable levels of safe operations. An investment in Human Factors is an investment in safety as well as efficiency. To accomplish this integration ANSPs need a vision and a pathway to build upon in order to achieve sustained improvement in human performance. ď&#x201A;&#x192;

ATM

Scotland launches new departure route

Surface MLAT deal for three German airports

Proba-V maps world air traffic from space

RA has been awarded a contract to deliver MLAT/ ADS-B systems to provide surface ATM surveillance at three major airports in Germany Cologne/Bonn, Düsseldorf and Stuttgart international airports.

dinburgh Airport has introduced a new departure route from the airport to increase its capacity. The airport will carry out its airspace trial run for the next six months, ending December. NATS is supporting the trial that will be in line with Civil Aviation Authority (CAA) guidance. The introduction of the new Standard Instrument Departure (SID) route that will be applicable for certain aircrafts will help in allowing the departure of aircrafts of certain sizes within a one minute interval. Some of the aircrafts expected to use the route are B737s, A319, A320, A321, 787 and A330s. As per the new route, aircrafts will be required to take off in a south westerly direction and turn right towards the River Forth, climbing above water before flying back over land at a height of around 13,000 feet. The new route which is currently in a trial phase will require a statutory change process in the future and additional public engagement and consultation with stakeholders. 

All the proposed systems are based on central time architecture, which is ERA´s own invention. All together the delivery for three airports will consist of 82 receiving stations. They are designed according to RFP requirements and the ED-117 standard for surface systems. The ERA experts have already carried out a site survey and have chosen proper locations for the MLAT stations. Additionally vehicle tracking units SQUIDS are another essential part of the contract. The final completions of the systems followed by the Site Acceptance Tests are planned for 2017, 2018 respectively. 

he European Space Agency (ESA) has announced that its Proba-V satellite has successfully picked up signals from thousands of aircraft around the globe. The findings of the mission, which was primarily tasked with watching changes in vegetation across the planet, could pave the way for a more accurate air traffic control system.Since launching in 2013, the probe has picked up over 25 million positions from more than 15,000 individual aircraft. Though the teams are still in the process of corroborating the findings with ground-based recordings, the successful detections serve as a proof of concept, demonstrating the feasibility of using orbital satellite constellations for operational aircraft monitoring. The detections were made possible by a receivers placed aboard the satellite by DLR and SES TechCom, designed to pick up signals from aircraft carrying Automatic Dependent Surveillance Broadcast (ADS-B) equipment, which is expected to become a requirement for all aircraft operating in European airspace. 

November 2015

ATM

US air traffic towers wasted over $850 million

ATM system delays to cost $9.1 billion in Middle East

he US government has wasted more than $850 million over six years by operating inefficient air-traffic control towers, according to a watchdog audit. At a time of fewer flights, the efficiency of the Federal Aviation Administration’s (FAA) facilities at airports ranging from large hubs to smaller private-plane strips varies widely, the Transportation Department’s Inspector General found.

The extra labor for air-traffic controllers and equipment to handle similar volumes of flights cost the government more than $140 million a year from 2008 through 2013. The 35-page report found "the least productive towers using more of both labor hours and equipment to handle each operation and prepare each trainee than the relatively efficient towers." 

New technology to reduce emissions at Luton Airport

ondon Luton Airport (LLA) has introduced Area Navigation (RNAV1) technology for departing flights leaving the airport along the Match/Detling flight routes used during westerly operations; helping to draw aircraft away from densely populated areas. The introduction follows approval of the airport’s ‘Airspace Change Proposal’ by the Civil Aviation Authority (CAA) earlier this year which was made possible thanks to the positive engagement from Air Navigation Service Provider,

November 2015

NATS, airlines and local stakeholders and community groups. RNAV1 uses GPS type technology enabling aircraft to fly routes more precisely, drawing aircraft away from densely populated areas, reducing noise disturbance and cutting emissions. Trials carried out from March to June 2013 found that the introduction of RNAV technology reduced the number of people over flown by 79 per cent and will lead to annual savings of 290 tonnes of fuel and 885 tonnes of CO2. 

he Air traffic control system delays are expected to cost $9.1 billion to airlines and $7.2 billion to passengers in the Middle East in the next decade, according to a latest study. An estimated $16.3 billion in economic benefits can be achieved in the region over the next ten years by delivering enhancements to air traffic control systems, the report, commissioned by NATS, has revealed. The independent report- Economic Benefits of Improvements to Air Traffic Control- was undertaken by Oxford Economics. With aircraft fleets across the Middle East forecast to grow at an annual rate of more than 10 per cent over the forthcoming decade, skies above the region are becoming increasingly congested. According to the report, more than $16.3 billion in economic benefits can be generated by avoiding a doubling in delays over the course of that period. The congestion also represents a significant threat to the two million jobs that depend on aviation and, more generally, to the $116 billion regional aviation economy. Of the $16.3 billion surplus potentially available, 44 per cent (or $7.2 billion) would be realized by passengers and 56 per cent ($9.1 billion) to airlines through faster travel times. Using data from NATS and EUROCONTROL, Oxford Economics calculated that the average flight in the region was delayed by 36 minutes and that 82 per cent of those delays were attributable to air traffic control capacity and staffing issues. 

ATM

Remote Tower – It’s a new era in Air Traffic Control

ir Navigation Service Providers (ANSPs), airport owners and operators, and related stakeholders are facing growing pressure to reduce their operating costs for air traffic services (ATS) services while maintaining safety and efficiency.

When cost-effectiveness puts high demands on airport operations, Remote Tower is exactly what airports need in order to stay competitive and to reduce cost. The Saab Remote Tower system is an integrated package of subsystems which facilitates the provision of a range of conventional ATS. High definition images and all relevant airport systems are transferred via a data network to an integrated controller working position at the Remote Tower Centre (RTC) that best suits the customer’s business model. A comprehensive suite of image enhancement tools and state of the art video compression provides optimal image resolution whilst minimizing bandwidth usage.

(ANSPs) worldwide are trying to reduce the cost of providing ATS without affecting safety or operational availability. Remote Towers will not only help this happen but it will also introduce a never before seen level of flexibility that allows service levels to be enhanced. This may result in smaller airports remaining open for longer or even keeping some regional airports open that otherwise would have been forced to close due to high costs. At some locations, it has been shown that the Remote Tower Regional Airport Solution can enable ANSPs to increase efficiency by up to 60 per cent.

To maximize the efficient use of the tower controllers, ANSPs can group airports depending on their traffic pattern throughout the year, week or even day. The traffic demand at certain aerodromes might be such that it enables RTC controllers to operate a maximum of three aerodromes simultaneously. Thus several movements at multiple aerodromes might be executed in parallel. Airport owners should not be concerned about different traffic types, i.e. commercial, business, VFR, IFR, flying training schools or military. They all benefit equally from the Remote Tower solution. 

While maintaining safety and efficiency, Remote Tower enables more effective staffing for aerodrome control service and heavily reduces the costs related to building brick and mortar control towers. New features such as object tracking and alerting, night vision and image enhancement, are available in this new digital environment to enhance the controller’s situational awareness. Sweden is the first in the world to have a remotely operated air traffic management infrastructure in place. Air Navigation Service Providers

November 2015

Opinion

The vision to create value we are committed to further reducing aviation’s impact on the environment and have an aggressive target to achieve carbon neutral growth from 2020, with a 50 per cent reduction in net CO2 emissions by 2050 compared to 2005. Tony Tyler Director General & CEO International Air Transport Association (IATA)

viation today is very different compared to when IATA was formed in April 1945. This year airlines will carry 3.5 billion passengers--or around 9.6 million each day—which is more than were carried in the entire year of 1945. Over a third of global trade by value is transported through the skies; and aviation contributes some $2.4 trillion to global GDP. The vision to create value is being achieved. Aviation’s ability to make the world a richer, more connected place rests on three pillars: We must be safe, sustainable and profitable. Safety is the number one priority for everyone associated with aviation. By sharing our expertise and working together through global standard, we have made it the safest form of long-distance transportation the world has ever known. Sustainability is our second pillar. It is our license to grow—and we have achieved remarkable progress over the decades in terms of reducing noise and emissions. The noise footprint of new aircraft is at least 15 per cent smaller than that of the aircraft they replace and they provide fuel efficiencies that are at least 70 per cent greater than jets produced in the 1960s. As an industry

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Profitability is our third pillar—and historically, it’s been our weakest— I’m sure you’ve heard the joke that the way to make a small fortune in the airline industry is to start with a large one. The good news is that after many years of hard work and restructuring, the situation is improving. For 2015, we expect an industry net profit of $29.3 billion on revenues of $727 billion, for a net profit margin of four per cent. What this means is that the airline industry on average is finally earning its cost of capital. If our industry is not profitable, we will not be able to satisfy future demand - and we will certainly not achieve our ambitious environmental targets in the desired timeframe. 

Edited excerpts from the speech at the World Financial Symposium 2015, Barcelona

Opinion

Minimal carbon emissions F

rom the airport perspective, technology will play a key role in our carbon reduction efforts and good work is being done by airports all over the world to help the industry meet its ambitious goals. Hong Kong International Airport started a Carbon Reduction Programme with the aim to reduce airportwide carbon intensity by 25 per cent by 2015. The Heathrow Sustainability Partnership will contribute to carbon reduction target of 34 per cent by 2020. Athens International’s photovoltaic park produces emission-free electricity, approximately 25 per cent of the airport’s own electricity needs. Aéroports de Paris’ goal is to reduce emissions by 25 per cent over seven-year period ending 2015. Cork Airport has achieved savings of 33 per cent in total energy consumption resulting in considerable cost and CO2 reductions through energy management. Galapagos Ecological Airport’s terminal building itself is made from 80 per cent recycled material from the old terminal and the structure that supports the new terminal was built from recycled petroleum exploration pipes. The ACI is working to mitigate the environmental impacts of aviation. Airport Collaborative Decision Making (A-CDM) consists of bringing together the different on-airport partners and instilling information sharing protocols and channels among them. Munich Airport was the pioneer of A-CDM when it began its programme in 2007. Following its success, Eurocontrol and ACI Europe jointly launched a wider deployment programme. There are now 35 airports in Europe at various stages of implementing A-CDM, with 16 airports fully integrating the concept in their procedures.

Angela Gittens Director General Airports Council International (ACI World)

setting and meeting rigorous environmental standards, went fully global last year when the ACI North America and Latin America-Caribbean Regions joining Africa and Asia-Pacific. ACI’s do-it-yourself airport carbon inventory tool (ACERT) can now be used across all accreditation levels with a focus on helping smaller airports join the Airport Carbon Accreditation programme. At ACI’s World Annual General Assembly recently, members passed a new resolution supporting ICAO’s work on climate change. Clearly, airports are on board when it comes to ensuring environmentally sustainable operations, and the industry at large has pulled together in an unprecedented manner to ensure that aviation’s future is one of minimal carbon emissions. 

Edited excerpts from the speech at the Global Sustainable Aviation Summit 2015

The Airport Carbon Accreditation, developed by ACI Europe for airports to achieve self-determination in

November 2015

Opinion

Identifying hazards, evaluating risks Therefore, building an appropriate ‘safety partnership’ based on respect and trust is fundamental to get things right in the best interests of aviation safety.

Mark Skidmore Director of Aviation Safety Civil Aviation Safety Authority (CASA) Australia

ASA’s engagement with the aviation community forms a significant part in performing our duties as Australia’s aviation regulator. We also need to recognize the importance of positive engagement with the aviation community to develop and implement the best possible safety standards, deliver effective safety education and get the right operational outcomes. I believe in a regulatory approach that gives due consideration to non-regulatory alternatives such as training and education, before moving to introduce new and additional regulation. I also believe in regulating aviation activities based on risk, taking into account the costs and benefits of regulation, and making decisions based on where CASA’s and the aviation community’s safety resources are best directed. This is an important area where we can collectively work together to ensure that we are getting the biggest safety return from our aviation safety investments. Industry input is invaluable to CASA, both in terms of identifying hazards and evaluating risks, and in advising CASA of any safety issues that should be taken into account.

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CASA has no major concerns regarding ageing aircraft management at the higher end of the aviation spectrum – that is Australia’s Transport Category aircraft. The maintenance programs developed for most large commercial aircraft in Australia have extensive involvement with the aircraft’s manufacturer. This also extends to the incorporation of manufacturer sponsored ageing aircraft programs and initiatives. However, the introduction of new and exciting aircraft types and technologies in Australia will bring about new challenges and ways of doing business which we are yet to encounter. We will of course have to remain ever vigilant in our oversight and adapt accordingly to these new challenges. CASA continues to provide the industry with ageing aircraft related literature, seminars, on-line and e-learning opportunities which the CASA people present at this conference will be able to provide more information. CASA is also considering several options in regard to the minimum levels of maintenance that are appropriate for aircraft operated many decades beyond their originally intended use-by date. 

Edited excerpts from the speech at the Aircraft Airworthiness & Sustainment Conference 2015, Brisbane

Opinion

General Aviation vital to US economy G

eneral aviation is vital to the fabric of our economy and plays an important role in the nation’s transportation network and commerce. To highlight the industry’s total impact on the US and individual state economies, GAMA and seven other GA associations hired renowned auditing firm PricewaterhouseCoopers to determine the overall contributions of GA to the United States economy. The study found that GA provides 1.1 million in jobs (direct, indirect, induced, and enabled impacts) in the US and $219 billion in total economic output in the US annually. The narrative that accompanies the study shows firsthand the many ways that GA is an integral part of our national transportation system and its important role in our nation’s commerce. General aviation manufacturing is a significant contributor to this narrative. However, the marketplace for general aviation products is a very competitive one globally, and certification and regulatory processes and decisions can impact sales, revenue, and jobs. As we approach the reauthorization of Federal Aviation Administration (FAA) programs, GAMA and our member companies have worked diligently to identify ways that we can continue to improve certification processes and the regulatory environment and better leverage FAA safety resources. We strongly encourage policymakers to work to reauthorize these policies and reforms in an expeditious manner that avoids the extension delays of the past.

Peter J. Bunce President and CEO General Aviation Manufacturers Association (GAMA)

manner. This will provide needed predictability and certainty. Another priority for our membership is facilitating acceptance of US-manufactured and FAA-certified aircraft abroad. Another critical certification challenge is transitioning the piston aviation fleet operating today from leaded to an unleaded aviation fuel. Growing international exports have helped sustain the GA industry through the past five or six years. A decade ago, the US typically accounted for four out of five airplane sales, but in 2014 the market was split: half of the USmanufactured airplanes produced by GAMA’s members went to North American customers, and the other half went to customers in other parts of the world.  Edited excerpts from the presentation on US Aviation Manufacturing Competitiveness, Senate Committee on Commerce, Science and Transportation

In addition, we believe that an improved issues resolution process for significant certification process milestones will enable better outcomes for both industry and FAA by ensuring that they are addressed in a timely

November 2015

Airlines

Finnair first in Europe to fly Airbus A350

innair became the first airline in Europe and the third in the world to begin flying Airbus’ new-age A350 jet. The carrier made its first regular passenger flight on the jet on a route between Helsinki and Amsterdam. Finnair's first A350 flight came just two days after the airline took delivery of the jet in Toulouse, France.

Hong Kong airline alliance extended

The A350 is the first of 19 ordered by the Finnish flag carrier. The jet initially will fly on intra-European routes before shifting to long-haul service on November 21, when Finnair begins using the A350 for its service between Helsinki and Shanghai. The airline plans to launch A350 flights to the USA by the end of the year, using the aircraft on the New York JFK-Helsinki route. 

BA to fly direct LondonCosta Rica in 2016

ritish Airways has announced the opening of a nonstop flight between Gatwick airport in London and Juan Santamaría International Airport in Costa Rica starting May 2016. This will be carrier’s first route to Central America. Currently only Spanish carrier Iberia has a direct route to Costa Rica from the old continent.

he Air New Zealand and Cathay Pacific partnership between Auckland and Hong Kong has been extended by the government despite objections from the tourism industry. The two-and-half-year-old alliance has been extended for four years until October 31, 2019. The alliance has ensured the airlines work together on tourism and marketing initiatives so travellers can continue to benefit from more seats, improved flight schedules, shorter connection times, and reciprocal frequent flyer schemes. Since the alliance was approved in 2012, visitor arrivals from Hong Kong to New Zealand have increased by more than 16 per cent. Cathay Pacific has announced it will operate an extra 13,500 seats on the Auckland-Hong Kong route in the 2015/16 peak summer period. 

November 2015

The Costa Rica Tourism Board estimates that the new route could move some 30,000 passengers per year. It could also attract more visitors from British Airways connections to 130 destinations worldwide. The route will be operated using Boeing 777 with capacity for 275 passengers. 

Airlines

Myanmar airline to go international

yanmar’s state-owned airline is to spread its wings internationally for the first time. Myanmar National Airlines (MNA) launched its maiden flight to Singa-

pore, the latest phase of a dramatic makeover that has seen the company revamp its routes, aircraft and even uniforms. The airline’s revamp is a product of the military junta’s decision to step down in 2011 after almost 50

years in power, opening the way to greater foreign investment and a loosening of western economic sanctions. The Ministry of Transport has invested $37 million in MNA, allowing it to acquire 16 new aircraft and work with Avia Solutions, a British aviation consultancy, the carrier said. It plans to publish financial statements as it “on track to become profitable, within its own right, in a short space of time”.But MNA’s plans to expand beyond its 26 domestic routes appear challenging when set against the wider industry backdrop, according to industry experts. 

IndiGo firms up 250 A320neo aircraft order

ndia’s largest domestic airline by market share, IndiGo celebrated its ninth birthday by firming up their last year’s commitment and ordering 250 A320neo Family aircraft. Aditya Ghosh, President of IndiGo said, “This new order further reaffirms IndiGo’s commitment to the longterm development of affordable air transportation in India and overseas.

Astana on flydubai’s network

lydubai has announced the launch of its flights to Astana, the capital of Kazakhstan, extending the air-

The IndiGo team is even more energized and excited than ever before to herald this new phase of our growth for many years to come.” IndiGo placed an order in 2005 for 100 A320s which have all now been delivered. In 2011 IndiGo became the first Indian operator to commit to the A320neo bringing their total to 280 Airbus aircraft. With this announceline’s route network in the country to three destinations. The airline will operate four flights a week, starting from October 26 and will be the first Dubai-based carrier to serve this route. flydubai launched operations to Kazakhstan in September 2014 with flights to Almaty and Shymkent. Astana becomes the ninth destination in flydubai’s network in Central Asia and the Caucasus.

ment, IndiGo has ordered 530 A320 Family aircraft with Airbus. The A320neo “new engine option” incorporates many innovations, including latest generation engines and large Sharklet wing-tip devices, which together deliver 15 percent in fuel savings from day one and 20 per cent by 2020. This is equivalent to a reduction of 5,000 tonnes of CO2 per aircraft per year.  With the new launch the airline will operate 38 weekly flights from Dubai to cities in Armenia, Azerbaijan, Georgia, Kazakhstan, Kyrgyzstan, Tajikistan and Turkmenistan. flydubai operates a fleet of 49 new Next-Generation Boeing 737-800 aircraft from its hub in Dubai has created a network of more than 95 destinations in 46 countries. 

November 2015

Cargo & Logistics

New messaging standard modernizing air cargo industry

he air cargo industry is in its early stage of implementing the Cargo-XML standards, according to a latest study by IATA. Embracing the e-vision in the air cargo supply chain communication, the air cargo industry is facing a number of challenges. One of the major challenges is the limitations of electronic messaging. Air cargo electronic messages -Cargo-IMP- were initially developed for interline purposes. Then later on, the use of these messages was extended to large freight forwarders and ground handlers for booking and operational purposes. IATA is maintaining and publishing these messages in the Cargo-IMP Manual. Cargo-IMP Messages are widely used in the air cargo industry. Some of the common challenges associated with the Cargo-IMP Messages are: airport to airport focus, airline centric, limited internet connectivity, costly to develop and maintain, high transaction cost, poor data quality and length and character limitations. As per the mandate given by IATA Cargo Committee (CC), IATA, with its members, is actively working on the development of new Cargo-XML Messaging standards as the successor to the existing Cargo-IMP Standard. The Cargo-XML Task Force (CXMLTF) is responsible for the development of the standard and has already developed the Cargo-XML Messages for core air cargo documents including Air Waybill, Flight Manifest and House Air Waybill. These messages have been endorsed by IATA Cargo Businesses Processes Panel (CBPP) and adopted by the CSC. As of June 2015, the CXMLTF has developed 15 Cargo-XML messages.

November 2015

As XML is considered the favorite language for developing the messaging standards, the IATA Cargo-XML messages are interoperable with standards used by other modes of transport (maritime, road and rail). A number of airlines, freight forwarders and ground handlers (mainly the CXMLTF members) have already taken the lead in implementing certain Cargo-XML messages. The wider air cargo community has yet to embrace the Cargo-XML standard. Industry members are highly dependent on the IT companies providing solutions in air cargo do-

main. One of the impediments to the adoption of the Cargo-XML standard is the dependency on Cargo-IMP. One common concern of air cargo stakeholders is how to support its partners who continue to use Cargo-IMP once they have transitioned to Cargo-XML. Though it is possible to support users of Cargo-IMP within a Cargo-XML solution, this may result in compromising certain benefits of adopting Cargo-XML. On the other hand, to take the full advantage of the Cargo-XML standard, updates to the existing cargo/messaging systems as well as backend databases is required. ď&#x201A;&#x192;

Cargo & Logistics

Emirates SkyCargo boosts Iran trade

mirates SkyCargo, the freight division of Emirates, increased its cargo capacity to Iran, with Emirates its five daily non-stop flights to Mashhad from September 1.

Mashhad became Emirates’ second Iranian destination after the capital city Tehran, which Emirates has been serving since March 1990.

Last year, Emirates carried more than half a million passengers and transported over 17,500 tonnes of cargo to and from Iran. With the new service to Mashhad, Emirates SkyCargo will provide more than 150 tonnes of belly-hold capacity between Iran and the UAE each week. The top markets to which Emirates SkyCargo carries Iranian’s exports include Dubai, Kuwait, Riyadh, Bahrain, Osaka, Tokyo, Melbourne, Sydney, and Los Angeles, while main import markets include the UAE, Hong Kong, Seoul, Shanghai, Mumbai, Frankfurt and Basel. 

New Hamilton airport freight facility opens

new cargo facility has opened at the John C. Munro Hamilton International Airport. The 70,000-square-foot facility was built to accommodate the rising needs of the airport’s growing air freight business, states a release from Infrastructure Canada, and includes multiple truck docks, dedicated merchandise and courier handling, as well as secured customs areas. It will also in-

Blue Dart to enhance air cargo capacity

ogistics provider Blue Dart Express will be acquiring an aircraft by November to increase its capacity of air cargo handling. The company said in a filing to the Bom-

clude temperature controlled systems for a wide variety of climate-sensitive goods such as flowers, fruits and vegetables, and pharmaceutical products, a release reads. The governments of Canada and Ontario jointly committed $8 million for this project under the Provincial-Territorial Base Fund. TradePort International Corporation, the organization responsible for management and de-

bay Stock Exchange (BSE) that it is seeking the approval of its shareholders for availing the services of Blue Dart Aviation (BDAL) as part of the Aircraft, Crew, Maintenance and Insurance (ACMI) Agreement that is expected to be renewed until end of September 2016.Currently, Blue Dart Aviation has a fleet of

velopment of the airport, contributed $4 million, bringing the total cost to $12 million. According to the release, the airport is one of Canada’s busiest for domestic air-cargo distribution. 

five Boeing 757 and provides a network payload of 300t across 60 route connections per night. The renewed ACMI contract would include transactions worth $113.46 million between 11 March 2015 and 31 March 2016 and an estimated transaction worth $63 million between 1 April 2016 and 30 September 2016. 

November 2015

Cargo & Logistics

DHL continues investment in Americas hub

HL, the world’s leading global express and Logistics Company, is continuing to invest in its Americas hub at the Cincinnati/Northern Kentucky International Airport (CVG) to ensure that it will have the capacity needed to meet the demands of future growth generated by international shipping and global trade. In the last seven years, DHL Express has expanded its operations at CVG, its main international

Aramex in talks to build logistics parks in Egypt

hub for the Americas, with continued capital improvement projects totaling $281 million. The latest investment – the $108 million North Ramp expansion project just getting under way – will provide additional warehouse space, up to 16 more aircraft gates to accommodate route expansions, new equipment to increase sorting capacity as well as faster unloading and reloading of planes. 

ramex, the Dubai-listed courier company, said it is in talks with Egypt-based Orascom Telecom Media and Technology (OTMT) to build logistics areas in Egypt. Aramex has not yet signed an agreement to build the parks, the company said in a statement on the Dubai Financial Market (DFM). Reuters reported that Aramex is in talks to build five logistics parks in Egypt. OTMT, an Egyptian telecommunications company, reportedly said this week it plans to build five logistics parks with Aramex worth $127.7 million over five years. 

DWC cargo traffic rises in H1 2015 C

argo volumes at Al Maktoum International - Dubai World Central (DWC) continued to rise sharply in the first half of 2015, as the airport continues to rise up the ranks of the top cargo airports worldwide, edging into 19th position up from 20th earlier in the year. Freight volumes surged 42 per cent during January-June 2015 period to 443,012 tonnes, up from the 311,365 tonnes achieved in the same period last year. The growth was driven by

November 2015

Dubai Airports’ decision to relocate all freighters from Dubai International to DWC in May last year. Worldwide airport cargo increased by 4.7 per cent in 2014 to 102 million metric tonnes, with positive levels of growth across all six regions, according to an Airports Council International (ACI) report. Hong Kong (HKG) and Memphis (MEM) take the first and second places respectively for the busiest

air cargo airports with 4.4 million and 4.3 million metric tonnes in 2014. Airports in the Asia-Pacific region handled the largest amount of air cargo during 2014. Middle East handled 7.4 million metric tonnes, up 9.2 per cent over 2013. The world’s air cargo market is highly concentrated, with the top 30 air cargo hubs handling 53 per cent of global air cargo volumes. Dubai International handled 2.4 million metric tonnes, down 3.1 per cent over 2013. 

Cargo & Logistics

JAL and LOT announce new cargo partnership

OT Cargo and JAL Cargo have signed a new co-operation agreement covering the Polish carrier's Japan-Poland operation. The general sales agreement starts in January 2016 and will see JAL Cargo selling cargo space on LOT’s Dreamliners operating between Warsaw and Tokyo.

dnata acquires cargo operation in Amsterdam

nata has reached an agreement with Aviapartner to acquire its cargo handling operations at Amsterdam Airport Schiphol.In addition to cargo handling operations, the facility includes the Schiphol Animal Centre, Temperature Control Centre and Freighter Ramp Handling operations. Aviapartner’s cargo operations at Amsterdam comprise 44,000 square metres of cargo warehouse space.

It handles 360,000 tonnes of cargo each year, employing 430 staff. With the acquisition in Amsterdam, dnata will have more than doubled its footprint from four to ten European stations in the past two years and will now handle more than two million tonnes of cargo at 26 airports worldwide. Completion of the acquisition is subject to competition approval in the Netherlands. This is expected to be achieved by the end of September. 

LOT’s service on the route flies three times a week with as much as 65 cubic metres of cargo space and 15 tonnes of payload available on each flight. JAL Cargo will also handle the cargo carried on LOT’s planes once it reaches Tokyo’s Narita airport. Japan’s export to Poland equals €1.1 billion, while imports exceed €1.5 billion per year. JAL does not have its own network from Japan to Poland nor central and Eastern Europe. 

Cargo revenues slide at Turkish Airlines

urkish Airlines continued to report improved profits during the second quarter of the year, but revenues at its cargo division declined once again. Turkey’s flag carrier recorded an overall net profit of $253 million during the second quarter of the year compared with $190 million during the same period last year. The 2015 half-year profits increased to $406m from $88m a year earlier.

The cargo division also had a tough time on the revenue side as it recorded a 3.2 per cent second-quarter decline on a year earlier to $241 million. Second quarter cargo revenues from the passenger side of the business recorded a slight decrease to $142 million, while freighter revenues, on its five Airbus 330-200Fs, were down 6.6 per cent on a year earlier to $99 million. In March, the airline signed a firm order to buy four more A330200 freighters. 

November 2015

Technology

Airlines invest in the IoT

major revolution in the passenger experience is set to emerge over the next three years as airlines invest in the ‘Internet of Things’ (IoT).

According to the SITA 2015 Airline IT Trends Survey, the vast majority of airlines (86 per cent) expect that the IoT will deliver clear benefits in the next three years and already more than one third (37 per cent) have allocated budget to it. The results of the survey released today, show that IoT investments will be focused in the areas of check-in, bag drop and bag collection. The ‘Internet of Things’ is when physical objects are connected to the internet, which enables tracking, data collection, analysis and control. As part of this revolution, more things in the airport are being connected up including buildings, equipment, bags, trolleys, tugs – basically all the ‘things’ that could emit a status. The survey, carried out among the world’s top 200 airlines, shows that airlines are already considering the benefits of IoT and over the next three years more than half plan investments in this area. By 2018, 16 per cent plan major programs and a further 41 per cent plan to invest in research and development. Jim Peters, Chief Technology Officer, SITA, said: “This year airlines are beefing up their investments in both business intelligence and data centers, which are key foundations required for the IoT. SITA is al-

November 2015

ready working across the community, with airlines, airports and other stakeholders, to see how to make the IoT effective across every point of the business and passenger journey.” This year’s survey shows that airlines are heavily investing in these areas. Already 94 per cent of airlines are investing in Business Intelligence (BI) with 74 per cent planning major investment programs by 2018. While 68 per cent have a major investment program planned for data centres in the next three years, with a further 14 per cent investing in R&D or a pilot programme. One of the first manifestations of the IoT in the air transport industry is the use of beacons.

This will be the first area that airlines will see the benefits of sensors and the ability to match location with other information. Today just nine per cent of airlines are using or trialing beacons but this is set to rise rapidly to 44 per cent by 2018. Bag services are the steps of the journey where beacons will be most used by then – 44 per cent of airlines are planning to use them at bag drop and 43 per cent at bag claim. Another area of progress identified in the survey is how communications are set to develop rapidly from the first wave of notification services, which are now established, to the point where interactive mobile communication becomes the standard for the majority of airlines. 

EEPING PASSENGERS PASSENGERS KEEPINGKEEPING PASSENGERS CUSTOMER FACING STAFF CUSTOMER FACING STAFF CUSTOMER FACING STAFF Technology TO EMBRACE TABLETS TO EMBRACE TABLETS TO EMBRACE TABLETS NFORMED INFORMED INFORMED Aircraft Maintenance

TTER LOCATION TO DRIVE BETTER OCATION TO DRIVE BETTER Baggage location COMMUNICATIONS OMMUNICATIONS status updates

70%

Aircraft Maintenance Aircraft Maintenance 75% 75% 75% Aircraft Transfer Transfer Aircraft Transfer Aircraft Turnaround Baggage location Turnaround Turnaround Baggage location 50% status updatesstatus updates 50% 50%

70% 70%

25% On-board

On-board

65%

Location-based 10% notifications10%

64%

Implemented today plemented today

Missing baggage Planned by 2018 nned by 2018 communication

63%

Baggage 25% Handling

Boarding

Roaming

25%

Baggage Handling

Roaming

10%

On-board

Location-basedLocation-based notifications

65% 65% notifications Boarding

Boarding

64% 64% Missing Premium Missing baggage baggage lounge communicationcommunication

63%baggage 63% Real-time Real-time statusbaggage status

Real-time baggage status information for passengers

Premium Premium Check-in/bag-drop lounge lounge Airport security checkpoints

information forinformation passengersfor passengers Passenger Operational

Check-in/bag-drop Check-in/bag-drop

Airport security Airport security checkpoints checkpoints

Today Total byOperational 2018 Passenger Today Operational Passenger Total Today by 2018 Total by 2018

% of airlines planning to provide%tablets to staff % of airlines planning to provide of airlines planning to provide tablets to stafftablets to staff

AIRLINES GETTING READY FORAIRLINES IoT GETTING READY AIRLINES GETTING READY FOR IoT FOR IoT

86%

86% 71% 71% 86% 71%

DAirlines Airlines AND AND et the Internet the Internet of Things oof T) Things (I oT) (I oT)

37%

IoT will present clear benefits IoT willOur organization understands We haveOur budget allocatedunderstands for We have budgetWe IoT willbenefits present clear benefits organization have budget present clear Our organization understands allocated for allocated for in the next 3 years the concept of IoT the implementation in the next 3 years the concept of IoT the implementation of IoT in the next 3 years the concept of IoT the implementation of IoT

% of airlines who strongly agree or agree% of strongly airlines who strongly agree or agree % of airlines who agree or agree

BEACON-ENABLED APPS: PIONEERS FORAPPS: THE IoT? BEACON-ENABLED APPS: PIONEERS FOR THE IoT? BEACON-ENABLED PIONEERS FOR THE IoT?

% of airlines % of airlines Wayfinding 8% Wayfinding 8%57% 8% Wayfinding 57% planning to planning to Implemented leverage beacons leverage beacons to enhance appsgate info to enhance apps Flight and Flight Flight and gate info and gate info 14% 49% 14% 14% 49%

57% 49%

Total by 2018

Baggage collection

3 Walk to gate time % 5 Duty free offers %

35%

Baggage collection Baggage7% collection 7% 40% 40%

3 Walk to gate time Walk to gate34% time 34% 33% % % 5 29%%

5 Duty free offers Duty free offers 29% %

35%

Total by 2018 Total by 2018

40%

34% 33%

Implemented Implemented

33%

29%

35%

53 www.sita.aero/surveys I @sitaonline I #SITAInsights www.sita.aero/surveys I @sitaonline I #SITAInsights www.sita.aero/surveys I @sitaonline I #SITAInsights November 2015