Monthly Newsletter issued by Dubai Civil Aviation Authority
www.viadubaionline.com
Issue 35 April 2016
Inside DCAA
Dubai to host World Aviation Safety Summit
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DCAA spreads consumer awareness
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UAE in Focus DXB starts 2016 with 12 record 7.3 million passengers in January Abu Dhabi Airports celebrates 10th anniversary
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Etihad Airways Engineering to host E& M conference
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Smart Path replaces passports, boarding passes with biometric checkin
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Opinions Safely integrating unmanned aircraft is never going to be a finite process
Urgent need for environmental action
31
Olumuyiwa Aliu
Technology 42
30
Michael Huerta
Committed to ensuring safety of skies
World’s largest aircraft can stay aloft for 5 days
20
Cargo & Logistics 38
10
Airlines 36
Hafidh Masoud
ATM 32
Complimentary Passes
4th Annual
for Aviation Safety Professionals available at www.aviationsafety.ae
M ORLD
AVIATION
SAFETY SUMMIT
Strategies that save lives and grow businesses
25 - 26 April 2016 InterContinental Dubai Festival City | Dubai
Register Today!
Email: info@aviationsafety.ae Call: +971 4 447 53 57 www.aviationsafety.ae
FEATURED SPEAKERS: RubĂŠn Morales
Harry Nelson
Ben Alcott
General Manager Corporate Safety and Security Hong Kong Airlines
Experimental Test Pilot, Aircraft Test and Integration Dept Airbus
International Director CAA
Nicklas Dahlstrom
Bhamidipati Srinivas
Tim Steeds
Human Factors Manager Emirates
Head of Aviation Safety, ARFF, Emergency & BCM Bangalore International Airport
Director of Safety and Security British Airways Plc
Strategic Partners:
Knowledge Partners:
Lanyard Sponsor:
Delegate Folder Sponsor:
Sponsor:
Exhibitors:
screen, test, analyse
Organised by:
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April 2016
www.aviationsafety.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 05
DCAA observes Earth Hour
General Supervision Mohammed Abdulla Ahli Coordinator Hanan Al Mazimi
07 DCAA celebrates ‘Mother’s Day’
Creative Manager Mohammed Al Jarouf 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
DCAA Interview Committed to ensuring safety of skies Hafidh Masoud
Tel +971 4 25 66 707 Fax +971 4 25 66 704 info@naddalshiba.com www.naddalshiba.com
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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
twitter.com/DcaaDubai
Aprilyoutube.com/user/dcaadubai 2016
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CONTENTS
Declaration to check illegal trafficking of wildlife
UAE in Focus
36
16 Abu Dhabi International
12 DXB starts 2016 with record 7.3 million passengers in January
44 DXB International Airport offers
welcomes the millionth passenger to airport’s US preclearance facility
45 Alaska Airlines tests reusable
Etihad Airways Engineering to host E& M conference
smartwatch experience on both iOS and Android electronic luggage tags
Global air cargo faces challenges, IATA estimates 3 per cent volume growth in 2016
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April 2016
Message
from the President
Connecting the world
D
ubai is today one of the most important aviation hubs of the world. Attaining this position has not come easily. Behind it is the vision of our leaders and consistent, concerted efforts of all those associated with Aviation, which have led to massive investments and initiatives. Dubai International, the world’s number one hub for international passenger traffic, has increased its capacity to 90 million with the opening of Concourse D toward which an investment to the tune of US$1.2 billion has been made. We look forward to welcoming more than 85 million passengers in 2016 and by 2020, we expect more than 100 million passengers. From being the 30th busiest airport 15 years ago, to reaching the top position of becoming the world’s busiest for international passengers for second consecutive year in 2015, Dubai International has made a remarkable progress. Dubai International is also the world’s leading hub for Airbus A380 operations with around 16,000 A380 flights to 39 destinations around the world. A major initiative, the Al Maktoum International Airport, will ultimately have the capacity to handle over 220 million passengers per year. We have recently signed an agreement for the Passenger Terminal Building expansion at Al Maktoum International Airport, which is a historic milestone in the journey of Al Maktoum International which is set to become the world’s largest airport.
Ahmed bin Saeed Al Maktoum
er of Dubai, to position Dubai as the aviation hub of the world. As a part of our initiatives to share our growth journey and learn from experiences and knowledge of international aviation experiences, to further excel, Dubai will also be hosting the World Aviation Safety Summit (WASS). The Safety Summit, which is being hosted by the Dubai Civil Aviation Authority (DCAA), will bring together decision-makers, leaders and experts from world over. As Dubai’s aviation sector continues with its growth, we are committed to setting an example in providing the best passenger experience for international aviation sector to follow.
We are guided by the vision of our leader, His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of UAE and Rul-
April 2016
3
Message
from the Director General
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Safety, the top priority
W
orldwide, air connectivity continues to grow and so does the focus on aviation safety.
Aviation safety is an area that is not limited to territorial boundaries and is a responsibility for all stakeholders. The Dubai Civil Aviation Authority (DCAA) continues with its strong commitment to safety. In line with its goals, the DCAA will bring together international decision makers in aviation safety, regulatory authorities, airport and airline operators and other stakeholders at the World Aviation Safety Summit (WASS) discuss essential safety measures in order to efficiently manage the processes, threats, risks and calamities facing aviation safety professionals worldwide. The Summit, which takes place on April 25-26, will engage local and international stakeholders from regulatory authorities, airline and airport operators, aircraft manufacturers, pilot associations, safety organisations and air traffic control service providers to highlight key strategies for the safety culture of the future. The Summit takes place against the backdrop of the UAE continuing to make its mark in aviation safety. Last year, the UAE achieved the world’s highest score for aviation safety in the history of the ICAO. A latest study has put two UAE carriers, Emirates and Etihad, among the Top 10 airline safety rankings for 2016 for which 407 airlines were monitored.
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Mohammed Abdulla Ahli
Flying continues to remain safe. The past 60 years have seen an ongoing decline in fatal accidents globally and 2015 has been the safest year so far. This improvement in aviation safety is the result of safe aircrafts as well as adoption of latest technologies to ensure safety of the skies. As Dubai continues to stay on a strong growth trajectory and set exemplary standards, we believe this is the right time to share our journey to success as well as learn from the experiences of international aviation players and gain valuable insights. We wish the World Aviation Safety Summit great success!
v
Inside DCAA
Condolences for the families and friends of passengers and crew of FZ981 His Highness Sheikh Ahmed bin Saeed Al Maktoum, President of the Dubai Civil Aviation Authority – President of Dubai Air Navigation Services and His Excellency, Mohammed Abdullah Ahli, Director General of Dubai Civil Aviation Authority and Chief Executive Officer of Dubai Air Navigation Services and all Directors, Executives and all employees of Dubai Civil Aviation
Authority and Dubai Air Navigation Services, have extended their sincere condolences and sympathy to the relatives and families of the victims of flydubai tragic incident and to the Russian people and Government and all flydubai employees His Highness also expressed his deep grief over flydubai Boeing crash 737-800, flight FZ981 while
landing in Rostov-on-Don Airport, Southern Russia, morning of Saturday 19-March-2016 . His Highness Sheikh Ahmed bin Saeed Al Maktoum also extends his gratitude to all Authorities all over the world for offering their condolences, sympathy and sincerity of their feelings and contribution to extend help.
DCAA observes Earth Hour The DCAA participated in the international environmental initiative ‘Earth Hour’, organised by Dubai Electricity and Water Authority (DEWA) under the patronage of His Highness Sheikh Hamdan Bin Mohammed Bin Rashid Al Maktoum, Crown Prince of Dubai and Chairman of the Dubai Executive Coun-
cil, which was held in Bay Avenue Park - Business Bay area. The initiative was attended by Ahmad Al Zarouni, Public Relations Manager, Fatma Al Hammadi, Senior Executive, Corporate Communications. The initiative featured DCAA honoring the parties participating in the event.
April 2016
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Inside DCAA
Dubai to host World Aviation Safety Summit Mohammed Ahli: DCAA committed to support on-going development of safety across the world.
A
ddressing the ongoing challenges facing the global aviation industry, the Dubai Civil Aviation Authority is hosting the World Aviation Safety Summit (WASS), returning to Dubai this year in its fourth edition. Taking place on 25 and 26 April, WASS 2016 will engage local and international stakeholders from regulatory authorities, airline operators, airport operators, aircraft manufacturers, pilot associations, safety organisations and air traffic control service providers to highlight key strategies for the safety culture of the future. The Summit will address how the aviation industry ensures that safety is standardised and best practice is implemented worldwide, particularly considering the impact of rapid growth of airlines in emerging markets, and how airports with increasing levels of traffic and new routes must enhance and optimise their safety practices. The Summit will also look at how airlines and airports measure their own performance and implement effective predictive measures and pressure checks to prevent incidents before they happen. Some of the sessions at WASS include creating a just culture, effective crew management strategies for safe operations, risk management and predictive safety, assuring air cargo safety, as well as inflight tracking and safety.
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April 2016
Mohammed A. Ahli at Dubai Civil Aviation Authority said: “The Dubai Civil Aviation Authority is committed to support the on-going development of safety in the aviation sector across the world. We believe that a global gathering of safety experts will make a genuine difference to the industry, enhance performance levels and celebrate best practices, so we are dedicated to backing the World Aviation Safety Summit.
According to IATA, the number of air accidents and resulting fatalities dropped in 2015 from the previous year, and was well below the five-year average.
We look forward to supporting the learning and innovations that come out of the Summit, highlighting Dubai’s commitment to ensure a safe and secure future for air travel.” Nick Webb, Managing Partner at Streamline Marketing Group commented: “WASS has been established as the ideal platform for thought leaders of the global aviation safety sector to come together. It is where they discuss the safety measures and processes necessary in order to efficiently manage threats, risks and road blocks challenging aviation safety professionals worldwide.
In his recent report, Tony Tyler, Director General of IATA commented that 2015 was another year of contrasts when it comes to aviation’s safety performance. In terms of the number of fatal accidents, it was an extraordinarily safe year and the long-term trend data show us that flying is getting even safer.
Air traffic is projected to double in the next 15 years and WASS is giving the industry’s leaders an opportunity to discuss solutions to the demands of the booming industry. We look forward to welcoming the world’s global aviation safety experts in Dubai for the fourth edition of the Summit.”
IATA said the 2015 global jet accident rate, measured in hull losses per 1 million flights, was 0.32, compared with 0.27 in 2014 and 0.46 in the previous five years.
Tyler added that we were all shocked and horrified by two deliberate acts-the destruction of Germanwings 9525 and Metrojet 9268. “While there are no easy solutions to the mental health and security issues that were exposed in these tragedies, aviation continues to work to minimise the risk that such events will happen again,” concluded Tyler. The World Aviation Safety Summit is organised by Streamline Marketing Group.
Inside DCAA
DCAA celebrates ‘Mother’s Day’
T
he DCAA organised an honoring ceremony for the mothers among its staff in the occasion of Mother’s Day. His Excellency Mohammed Abdulla Ahli, Director General, DCAA,
honored all the mothers working in the authority in recognition of their responsibilities and effort in raising new generations and their significant role in the upbringing of future
generations. During the honoring, vouchers from Dubai Duty Free and memorial images for all the mothers, drawn by one of the employees were presented.
DCAA spreads consumer awareness I n the occasion of the World Consumer Rights Day, DCAA urged consumers of the aviation sector to check their rights and duties through dealing with service providers.
The authority receives complains and suggestions of consumers in
the aviation sector through two major platforms; Mohammed Bin Rashid Smart Majlis ,Dubai Government’s Unified Suggestions System and Dubai Government’s Unified Customer Complaints’ Portal (eSuggest, eComplain) The DCAA suggests, recommends and ensures direct contact of consum-
ers with service providers before receiving complaints related to the aviation sector. The authority aims to raise the level of consumer awareness through development and strategy programs to increase the consumer’s awareness which has a direct impact on reducing the number of complaints in the sector.
April 2016
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Inside DCAA
dans successful participation in World ATM Congress 2016 in Madrid Signs new contracts, active participation in conference, high-level business meetings
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high level delegation from dans (Dubai Air Navigation Service) signed 2 contracts with Deutsche Flugsicherung GmbH (DFS), a German air navigation services provider, during the World ATM Congress in Madrid last month.
The contracts highlight the beginning of a long-term strategic partnership between the two air navigation service providers (ANSP). dans had a successful participation in the World ATM Congress, which brought together world-leaders and decision makers in aviation to discuss, demonstrate and sell means
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April 2016
to transform air traffic management (ATM) performance, at Madrid last month.
to purchasing one of the training licenses offered by DFS as a product to ANSPs.
One of the contracts is targeted at securing consultancy services between DFS and dans, to evaluate the existing training infrastructure and provide enhancement opportunities, the second contract is related
The contracts aim at enhancing the organisation’s standards of operational training, through providing unique training tools and solutions. In addition to benchmarking best practices on managerial and opera-
Inside DCAA
tional levels, both ANSPs will have access to a knowledge exchange platform as they both operate in unique environments. As both organisations are equally committed to delivering world leading air navigation services, the contracts pave the way for an agreement that supports dans in striving to fulfill its vision to “Transform the Sky”, through enhancing safety, capacity and efficiency to the Middle East & beyond. Moreover, the contracts come in a time to support DFS aspirations to work with leading air navigation services providers in the Middle East such as dans, while the latter continuously strives to build partnerships with entities where mutual enhancement and growth benefits are achieved.
AirBus Prosky discussion with dans
The high level delegation from dans met with officials from Airbus Prosky to discuss the launch of an enhanced and more modern feature of “Flight Radar 24” that will feature ANSP data, as a joint collaboration between both entities. The new platform will provide integrated scheduled data that reflect ANSP information, flight plan details combined with up to date weather conditions. The new software utilised in this platform will feature ATC services data that will be added to flight radar details to enable an enhanced possibility of tracking all flights around the globe. In addition, the platform will provide unique intelligence to dans such as information on demand monitoring at Dubai Airports, innovatively demonstrating airport demographics when exceeding capacity, or when there is a drop. The platform will also feature informa-
tion on the average holding time per aircraft present on the runways, and is capable of providing information on air traffic planned across any defined zone.
Frequentis – COMSOFT Solution discussion with dans
As part of the market research that was carried out by the delegation on new tools and systems, the high level delegation held a meeting with COMSOFT Solution to Examine new options. Comsoft Solutions which are part of Frequentis group have introduced a new Aeronautical Information Management (AIM) System during “World ATM Congress 2016”. The “Data originator” solution which can be full scaled to an AIM System is offered as an AIM service, providing digital NOTAM. The Data originator also provides flight planning
& briefing services, static data management features and AIP publications.
Nils Svan, dans Advisor as panellist in “ Down to Earth Session”
Along with Olle Sundin, CEO of LFV, Moody Cheikh, CEO of Searidge and Klaus Scheurle , CEO of DFS, Nils Svan was one of the panelists in the “ Down to Earth Session”, The session focused on how airports can add value to their customers through control towers, challenges in changes being faced by the ATM industry; remote tower technology as an opportunity for improved operational efficiency for air navigation service providers (ANSPs) well for competitive outsourcing and added value for users and implementation of A-CDM (Airport - Collaborative Decision Making) on a more widespread basis.
April 2016
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DCAA Interview
Hafidh Masoud, Head Of Airport Certification, Dubai Civil Aviation Authority (DCAA)
Committed to ensuring safety of skies
T
he Dubai Civil Aviation Authority (DCAA) is hosting World Aviation Safety Summit this month, which brings together global leaders and decision makers in aviation safety on a common platform.
Hafidh Masoud, Head of Airport Certification, DCAA, spoke to Via Dubai about WASS and how the department contributes to ensuring safety of Dubai’s skies. Excerpts from the interview: Can you share with us the role of your department and its achievements in DCAA. Standards & Regulations has been instrumental in enhancing safety in the key aviation operations in Dubai. Standards & Regulations (S&R) Department is a regulatory unit, responsible for overseeing and promoting safety and environment related issues in the aviation industry within the emirate of Dubai. The department supervises and controls all activities that could affect safety and environment based on International Civil Aviation Organizations (ICAO) standards and regulations in Airport Certification, Environment and Obstacle Control and Aviation Regulations and Safety.
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The Aerodrome Certification Section is responsible for Aerodrome Certification audits as well as Safety Inspections of Aerodrome Operations (AOP) and Rescue Fire Fighting Services (RFFS). It is also center point for oversight of all land and off shore facilities for all aviation movements in the Emirate of Dubai. Heliport, Helipad, Sports Flying Facilities, Aviation Clubs Flying Facilities, Flying Training Academics to ensure the division fulfills all responsibilities of regulatory compliance to satisfy the needs of the DCAA and the Government of Dubai. Safety Oversight and Compliance Certification of all aviation entities in Dubai including risk assessment and safety evaluation of aviation entities not yet regulated by the GCAA. This includes the formulation and development of policies, procedures and regulations in accordance to Law (7) 2015, Airspace Safety and Security in the Emirate
of Dubai. Environment and Obstacle Control Section is responsible for the coordination of environmental policies of Dubai aviation sector and controlling any obstacles within the airspace of the Emirate of Dubai.
DCAA Interview
What are your plans for 2016? With the new law no. 7 in 2015, concerning Airspace Safety and Security in the Emirate of Dubai approved by the ruler of Dubai, we are trying our best to device and implement new technologies to further enhance Aviation Safety and Security within the Emirate of Dubai.
WASS 2016 will engage local and international stakeholders from regulatory authorities, airline operators, airport operators, aircraft manufacturers, pilot associations, safety organization’s and air traffic control service providers to highlight key strategies for the safety culture of the future.
The DCAA is hosting the World Aviation Safety Summit. How will the Summit contribute to the regional and global aviation industry? The World Aviation Safety Summit hosted by the Dubai Civil Aviation Authority has become the meeting place for thought leaders of the global aviation safety sector to discuss essential safety measures in order to efficiently manage the processes, threats, risks and calamities facing aviation safety professionals worldwide.
Air traffic is projected to double in the next 15 years and WASS will give an opportunity to discuss amongst industry professionals how we can support the rising challenges and demands of the booming industry. Where does UAE stand in terms of Aviation Safety Compliance? Aviation Safety is Dubai Airports’ one of the top priorities. They are central to the success of any responsible airport operator and considered vital to every decision or action.
Dubai Airports constantly reviews how to improve the delivery of safe, secure and environmentally responsible airport. To achieve this, Dubai Airports with Dubai Civil Aviation Authority is working closely with their counterparts at Dubai Police, General Civil Aviation Authority (GCAA) other key stakeholders in compliance with national and international regulations. The UAE has achieved the highest ranking in the world in compliance with international aviation safety standards through the International Civil Aviation Organization (ICAO)'s Universal Safety Oversight Audit Program. The UAE scored a success rate of 98.86 per cent, which is the highest rate in history given by ICAO.
April 2016
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UAE in Focus
DXB starts 2016 with record 7.3 million passengers in January
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ubai International (DXB) started the New Year with record monthly traffic of 7.3 million passengers in January, surpassing the previous benchmark of 7.2 million passengers which was set in August 2015.
Passenger traffic reached 7,327,637 in January 2016, up 6.3 per cent from 6,895,668 registered during the same month in 2015, according to the traffic report issued by operator Dubai Airports today. In terms of percentage growth, North America recorded the highest growth in passenger traffic (19.9 per cent) – led by Emirates with the addition of an Orlando route and increased services to Boston, New York and Seattle – followed by the GCC (11.6 per cent) where Saudi Arabia registered double-digit growth thanks to the surge in traffic from Jeddah, and the Indian Subcontinent (8.7 per cent) mainly propelled by traffic on routes to traditionally strong markets of India and Pakistan.
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India remained the top destination country in January with a total of 989,819 passengers, followed by Saudi Arabia (606,730 passengers) and the UK (488,819 passengers) while London was placed number one on the list of top destination cities followed closely by Doha and Jeddah. Aircraft movements totalled 35,914 during the month under review compared to 34,643 movements recorded in January 2015, up 3.7 per cent. Passengers per aircraft movement in January came in at 214.
“The record passenger numbers in January confirm that the growth trend from last year has continued into 2016 and we are on course to meet our projection of 85 million passengers that we expect to pass through our airport this year,” said CEO Paul Griffiths.
DXB handled freight volumes totaling 201,483 tonnes in January 2016, an increase of 8.2 per cent compared to 186,230 tonnes recorded in January 2015.
In the months ahead we will begin the complete refurbishment of Concourse C which will further improve passenger flows and the overall customer experience,” he added.
“Concourse D’s opening in February has increased DXB’s capacity to 90 million passengers a year, allowing us to continue to accommodate the rising number of people whilst boosting service levels.
UAE in Focus
Flydubai crash investigations on
$20,000 hardship payments to families of victims
A
n investigation team from the General Civil Aviation Authority (GCAA) is in the process of identifying aircraft wreckage recovered from the flydubai accident.
Flydubai flight 981 crashed and exploded in the southern Russian city of Rostov-on-Don on March 19 after a second attempt to land at the city’s airport. All 62 passengers and crew died in the crash. President His Highness Sheikh Khalifa bin Zayed Al Nahyan, in a cable, extended condolences to Russian President Vladimir Putin for the victims of the FlyDubai plane crash which took place early morning while it was attempting to land at Rostov-on-Don Airport in Russia. In the cable, His Highness Sheikh Khalifa expressed his sincere condolences and sympathy to the Russian president, the friendly people of Russia and the families of the tragic accident.
Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister and Ruler of Dubai, and His Highness Sheikh Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces, sent two similar cables to President Putin. Investigations in process The General Civil Aviation Authority, GCAA, has said that investigations into the cause of the flydubai crash are still examining the collected data related to the crew, aircraft, maintenance, ATC and weather, as well as the aircraft wreckage of the crashed flydubai Boeing 737-800. Saif Mohamed Al Suwaidi, GCAA Director-General said, “Before the
data is fully examined, it would be premature to hypothesise on the cause of the accident.” Ismaeil Al Hosani, Assistant Director-General of AAIS, stated that the operation investigation team is continuing to examine the flight and weather data. “Analysis of the flight and voice data extracted from the recorders is ongoing to determine the aircraft technical performance, and crew control inputs and performance,” he said. Ghaith Al Ghaith, flydubai Chief Executive Officer, in a press conference after the crash, said: “On behalf of everyone at flydubai, I would like to express the devastation we all feel in relation to this morning’s tragic events in Rostov-on-Don. Our primary concern is for the passengers and crew involved at this tragic time. Everyone in our company is in deep shock and our hearts go out to all loved ones of those involved.” flydubai announces $20,000 hardship payments per passenger flydubai has announced that it is organising a programme of hardship payments to the families of the passengers of the plane which crashed yesterday at Rostov-on-Don Airport, announcing that it would allocate US$20,000 per passenger, in accordance with the Conditions of Carriage. The move aims to address any immediate financial needs of the affected families.
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UAE in Focus
Abu Dhabi Airports celebrates 10th anniversary
Invests AED 20 billion toward capital development projects in 10 years
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bu Dhabi Airports is marking a decade of innovation in aviation this year as the company celebrates its 10 anniversary. high quality facilities and services with cutting-edge solutions to passengers at all our airports, and we will continue to do as we receive more and more visitors from around the world.”
Created in 2006 through an Amiri Decree from the Executive Council of Abu Dhabi, Abu Dhabi Airports Company was formed to spearhead the development of the Emirate’s aviation infrastructure, and assumed responsibility for the operation and management of Abu Dhabi International Airport (AUH) and Al Ain Airport (AAN). Abu Dhabi Airports later added Al Bateen Executive Airport (AZI), an exclusive business aviation airport, along with Sir Bani Yas and Delma Island Airports to its portfolio. The company has further diversified its assets over the last ten years to include Abu Dhabi Airport Business City – a free zone operating at AUH, AAN and
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AZI; and the Gulf Center for Aviation Studies – a center of excellence for airport and aviation training. H.E. Ali Majed Al Mansoori, Chairman of Abu Dhabi Airports, commented: “Innovation, as well as the passion and determination of our staff, have been the key pillars to our continued success. The aviation sector in the emirate has changed considerably over the last ten years and we are proud of the role that Abu Dhabi Airports has played in facilitating that the positive changes witnessed in this dynamic sector. Through innovative products such as our recently launched Smart Travel System at Abu Dhabi International Airport, we have consistently provided
Since 2006, Abu Dhabi Airports has thrived. The company has invested over 20 AED billion in capital development projects during the past ten years across all of its airport sites. The biggest infrastructure project undertaken so far, the Midfield Terminal Complex (MTC), will increase Abu Dhabi International Airport’s overall capacity to 45 million passengers per year. Emiratisation figures have increased from 25 per cent in 2010 to over 50 per cent in 2015, with 82% of executive management roles now occupied by UAE nationals. The company remains committed to its objective to be an employer of choice for Emiratis and has developed its National Development Program (NDP) for employing and training UAE graduates. “Aviation is playing a significant role in the diversification of the economy, as outlined in Abu Dhabi’s Economic Vision 2030. It is therefore imperative to develop national expertise and workforce within the industry to deliver sustainable growth. Our National
UAE in Focus
Development Program is enabling us to exceed our targets and develop the human capital able to lead this vital industry well into the future”, H.E. Al Mansoori added. Some of the key milestones of the last ten years include: 2006 – Abu Dhabi Airports Company (ADAC) was created to manage and operate AUH and AAN. 2007 - People and assets were integrated into ADAC from Department of Civil Aviation (DCA). 2008 – Abu Dhabi Airports took over the operation and management of Al Bateen Executive Airport, Sir Bani Yas and Delma Island airports; AUH became one of the first in the world to be ACI Service Quality Assured Certified. 2009 – Terminal 3 at AUH was opened, becoming the home of Etihad
Airways; the northern runway became operational; and the Gulf Center for Aviation Studies (GCAS) was established. 2010 – Terminal 1 at AUH was refurbished; the first 1 million passengers in a month (August) at AUH was recorded; and Expo Check-In was opened at ADNEC. 2011 – New Air Traffic Control (ATC) tower was opened at AUH; Abu Dhabi Government announced AUH, AAN and AZI as free zones; AUH was certified as the first Airport Carbon Accredited in the Asia-Pacific region. 2012 – First Abu Dhabi Air Expo was held; AUH achieved a Gold Status for Fast Travel Worldwide in 2012; Abu Dhabi Airports held the 18th World Route Development Forum; and construction commenced on the Midfield Terminal Complex. 2013 – New arrivals hall opened at AUH; National Development Program was introduced. 2014 - US Pre-Clearance facility at AUH was opened; southern run-
H.E. Ali Majed Al Mansoori way was renovated; first A380 flight from AUH took off; first steel arch assembled at MTC; and VIP terminal at AUH opened. 2015 – The process began to deprop the 18 steel arches of MTC; passenger traffic at AUH reached 23.2 million passengers per year; Abu Dhabi Duty Free sales reached a record high of 1.5billion AED; the US pre-clearance facility won an Abu Dhabi Excellence Award; and the Duty Free operators were announced for the MTC.
ATC opened in 2011
April 2016
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UAE in Focus
Abu Dhabi International welcomes the millionth passenger to airport’s US preclearance facility
T
he award-winning United States Customs and Border Protection (CBP) facility at Abu Dhabi International Airport (AUH) has welcomed its one-millionth passenger. To celebrate this milestone Abu Dhabi Airports, CBP and Etihad Airways presented Elizabeth Dail with 250,000 Etihad Guest Miles and an upgrade to First Class for her US bound flight. The prize will enable her to use the miles to book a business class return flight to the cities Etihad Airways flies to in the US. Ahmad Al Haddabi, chief operations officer at Abu Dhabi Airports, said: “We are proud to be one of the few airports around the world, and the only one in the Middle East and Africa to host this facility.
The fact that today, just over 2 years since opening in late January 2014, one million passengers have already used our US preclearance services, shows that it is a valuable facility offered by Abu Dhabi Airports and our partner Etihad Airways, and one that is making AUH the airport of choice for passengers traveling to the US.” In addition to reducing the processing time upon arrival in
the US, the preclearance facility also brings a number of other key benefits, including the introduction of the most advanced baggage screening technology which meets United States security standards, meaning air travellers connecting onto US domestic flights can now have their baggage checked through from Abu Dhabi to their final destination.
Etihad Airways Engineering to host E& M conference
E
tihad Airways Engineering will be the host sponsor of MRO Network’s upcoming Airline Engineering & Maintenance: Middle East conference, taking place in Abu Dhabi on April 26-27, 2016. Exploring MRO growth is at the heart of the discussions at this conference which has a 20-year history of gathering key stakeholders in the MRO value chain – airlines, OEMs, MROs and suppliers – to network and discuss a range of aftermarket issues. Topics range from the developments in the Middle East Air Transport Market, an MRO indus-
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April 2016
try forecast and how airlines engage with their MRO partners and suppliers. Among the industry leading speakers is Jeff Wilkinson, Etihad Airways’ Senior Vice President, Technical, who said: “It is our pleasure to host delegates of Airline Engineering & Maintenance in Abu Dhabi – the emerging hub of aerospace and aviation in the Middle East.” Off the back off a successful show last year, Etihad Airways Engineering will once again be holding a tour of its facility exclusively for con-
ference delegates at the conclusion of the conference, introducing delegates to the Etihad Airways Engineering management team and offering the opportunity to visit hangars and various workshops within the facility. “We are organising an escorted tour of Etihad Airways Engineering state-of-the-art workshops and hangars, one of the largest MRO facilities in the region. This will include Hangar 6 which accommodates up to three A380 aircraft simultaneously.”
UAE in Focus
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: email:
+971 56 6810685
it.support@dcaa.gov.ae
April 2016www.dcaa.gov.ae 17
Cover Story
Allowing passengers to use a single biometric token from entry to exit
Smart Path replaces passports, boarding passes with biometric checkin
P
resenting your passport or boarding pass to board an aircraft may soon be a thing of the past as biometric airport screening witnesses rapid advancements.
A latest biometric system, launched by IT provider SITA, allows passengers to move through the airport and board the aircraft simply by presenting them for a biometric checkin, without any need for presenting a boarding pass, a passport or travel documents. With SITA Smart Path, the passenger’s biometric details are captured
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April 2016
through a facial scan at the first touch point in the journey. The record is checked against the passenger’s travel documents, typically the passport, and a secure single token is created. Then, at each step of the journey – from check-in, to aircraft boarding or border control – passengers gain access simply with a facial scan and without having to show their passport or boarding pass.
SITA said it is currently working with a number of major airlines and airports to integrate biometrics into the passenger journey and expects that by 2020 passengers using biometrics will be the norm at airports across the world. Matthys Serfontein, Vice President, Airport Solutions, said: “The key to single token travel is gathering and
Cover Story
and databases, allowing integrated immigration and border checks.
How it helps
The future of air travel – where we can truly begin to provide a walkthrough experience from check-in to the aircraft door – is fast becoming a reality. The emergence of ‘single token travel’ is probably the most exciting development for passengers hoping to fast-track through the airport.
verifying data as early in the process as possible in order to establish a robust token. This includes both biometric and biographic information. And then if necessary to update it with more detailed information from airline, airport or government systems at various steps in the journey. That is exactly how we have designed SITA Smart Path.” The system and seamless walkthrough experience within reach of passengers today. Unlike other offerings, SITA’s can be easily integrated into existing airport infrastructure and airline systems. This includes standard common-use, self-service equipment already in use across the industry such as check-in kiosks, bag drop units, gates for secure access, boarding and automated border control, making rapid deployment easy and cost-effective. Smart Path also integrates with government systems
SITA Smart Path uses biometrics as the single identification token at every step in the passenger journey. It is easily integrated into existing airport infrastructure and airline systems. This includes standard common-use, self-service equipment already in use across the industry such as check-in kiosks, bag drop units, gates for secure access, boarding and automated border control, making rapid deployment easy and cost-effective. Smart Path also integrates with government systems and databases, allowing integrated immigration and border checks. Designed to be modular, it allows airports to implement whole journey identity management into the passenger self service. Smart Path technology captures a passenger’s biometric details through a facial scan at the first touch point in the journey. Once checked against the passenger’s travel documents, a secure single token is created. Then, at every step in the journey – whether it is during self bag drop, at border control or aircraft boarding – facial scanning removes the need to show a passport or boarding card. It’s easy to see why airports and airlines might embrace it so enthusiastically. It will improve security over-
sight, speed-up passenger processing and reduce the resources needed to manage the travel journey. This enhances the passengers’ experience who will then be more inclined to enjoy the airport amenities.
Smart Path includes: CUSS kiosks with fast, secure biometric enrollment/registration capabilities Self bag drop units, retro-fit or new-fit Single or double door gates for self-boarding, access control to secure areas and automated border control A single platform capable of an integrated approach to common-use terminal equipment (CUTE), common-use passenger processing systems (CUPPS) and common-use self-service (CUSS) kiosks, bag drop and gates Background identity management system that captures passenger travel and identity data and links it to their biometric And is complemented by: Day of Operations BI - a cloudbased business intelligence portal to view critical data, monitor, measure, and predict daily operational flow challenges and more Airport Management - a suite of integrated software applications that enable control of all airport operations from a central point, making common situational awareness easy.
April 2016
19
Special Report
World’s largest aircraft can stay aloft for 5 days
H
ybrid Air Vehicles Ltd. (HAV), the designer and manufacturer of air vehicles known as hybrid airships, completed the 302ft (92m) long Airlander 10 – which is part plane, part airship – and the British-built aircraft was floated in a First World War hangar in Bedfordshire.
Hybrid Air Vehicles Ltd. believes the Airlander 10, which can take off vertically and land on almost any surface, including ice, sand and water, is the future of air travel. Airlander 10 uses helium to become airborne.
Aloft for 5 days
Able to stay aloft for 5 days without refuelling, Airlander 10 has a top speed of 148 km/h, which it is considerably slower than other airborne vehicles. It is 143ft (44m) wide and 85ft (26m) high. The aircraft is silent and has no emissions but needs 1.3 million cubic feet
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April 2016
of helium to get off the ground, which is enough to fill 15 Olympic-sized swimming pools. Airlander 10 chief test pilot, David Burns, who last flew the aircraft in 2012, said: “It’s very pleasant to fly. From the flight deck you have a lovely view.” “It allows you to have a good look around because generally the flying is fairly low so there’s plenty to see.” “For the people on board and the people down below it’s going to look quite a sight. You’re talking about 300 feet long. There’s nothing that size at the moment.”
The aircraftwhich is part plane, part airship, was recently unveiled after being fully assembled in the UK
Special Report
Absolutely fantastic
Professor Chris Atkin, who will become president of the Royal Aeronautical Society in May, described the project as “absolutely fantastic”. He said: “It’s a new slant on a well-established idea with very clever use of technology.” The super-strength fabric of its hull holds four engines, fins and the flight deck. Hybrid Air Vehicles Ltd. is hoping to build 12 Airlanders a year by 2018, some of which can be used as passenger aircraft able to carry up to 48 people at a time. At 92m in length, Airlander 10 is around 15m longer than the biggest passenger jets and was first developed for the US government as a long-endurance surveillance aircraft.
Airlander 10 was first developed for the US government as a long-endurance surveillance aircraft but it fell foul of defence cutbacks.
Business and leisure flights British firm Hybrid Air Vehicles (HAV) launched a campaign to return the Airlander 10 to the skies in May 2015 and it will now carry out ground testing before 200 hours of test flights begin later this year. The ship is being converted to provide business and leisure flights in a hangar in Cardington, Bedfordshire. Chris Daniels, HAV’s head of partnerships, said: “This fantastic story of British innovation getting a unique aircraft fully assembled to do something both useful and commercially viable. “We are ready to show the world the potential it can achieve in
Airlander 10, the world’s largest aircraft, is 15 metres longer than the biggest passenger jets. monitoring, search and rescue, cargo, aid distribution and even passenger roles.” Months of ground tests are ahead but its creators hope the hybrid craft will fly over the UK this summer. It is hoped that the Airlander 50 will eventually be developed, which would be able to transport 50 tonnes of freight.
April 2016
21
Middle East News
Oman Air continues with expansion
2015 results show 14 per cent rise in revenues
O
man Air’s shareholders received positive financial results for 2015 at the airline’s Annual General Meeting (AGM) that was held at Oman Air’s headquarters in Muscat.
Oman Air’s Chairman, His Excellency Darwish Bin Ismail Bin Ali Al Balushi, provided reports covering the company’s financial and operational progress over the last full year. Shareholders heard that Oman Air’s revenues increased by 14.1 per cent, to RO 465.971 million. Furthermore, the airline’s losses were reduced for the second consecutive year by 21.2 per cent to RO 86 million.
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In addition, Oman Air carried 6.3 million passengers in 2015, up from 5.1 million the previous year. More than 28,000 round trips were recorded and capacity in 2015 rose to 20.5 billion available seat kilometres, with an average seat factor of 71.4 per cent being achieved.
flights, 19,830 were operated by airlines other than Oman Air, resulting in an increase to RO 17.610 million in the total handling fees received in 2015 compared to RO 14.346 million in last year, an increase of RO 3.264 million.
Oman Air saw the arrival of nine outstanding new aircraft in 2015. These have included Oman Air’s first two Boeing 787-8 Dreamliners and new Boeing 737s. In the same year, the airline launched three new destinations, Singapore, Goa and Dhaka, as well as adding frequencies to some of its established routes.
Oman Air’s catering division served 7.5 million meals in 2015, which was 900,000 meals more than 2014. A healthy growth of 9 per cent in income from rooms, food and beverages was also recorded. The amount of cargo that Oman Air handled in 2015 increased to 140,000 from 125,000 tonnes of the previous year.
Oman Air’s staff at Muscat International Airport also handled 47,823 flights and 10.3 million passengers over the course of the year. Of these
His Excellency Darwish Bin Ismail Bin Ali Al Balushi, Chairman of Oman Air, on behalf of the Board of Directors of Oman Air, said:
April 2016
“The ambitious programme of expansion upon which Oman Air first embarked in the fourth quarter of 2014 is now well underway. Guided by a development plan which was endorsed by the Board of Directors in 2013, the programme has accelerated and has, overall, delivered very positive results. Central to Oman Air’s expansion has been the continued increase in the size of our fleet and, over the last 12 months, we have seen the arrival of nine outstanding new aircraft. These have included Oman Air’s first two Boeing 787-8 Dreamliners. Widely regarded as the most innovative airliners in a generation, the Dreamliners have provided a welcome enhancement to our long haul fleet.
Middle East News
Gulf Air appoints new country manager for Turkey
G
ulf Air, the Kingdom of Bahrain’s national carrier, has announced the appointment of Mr. Shadi Raweh, a seasoned aviation professional, as its new Country Manager for Turkey. With over 15 years’ experience and an in-depth, working knowledge of the aviation and travel industry, Shadi has covered several management roles both within Gulf Air and in other industry organisations. He previously held the position of Country Manager for Yemen,
initially for IATA in 2004 and later for Gulf Air in 2008. “On behalf of the entire Gulf Air family I am delighted to welcome Shadi to his new role representing the Kingdom of Bahrain’s national carrier in Turkey. His industry knowledge and experience will further strengthen our team, helping to raise awareness of all that Gulf Air has to offer the Turkish market. Mr. Ahmed Janahi, Gulf Air A/Chief Commercial Officer
Gulf Air is a major international carrier serving 39 cities in 22 countries spanning three continents. The airline operates one of the largest networks in the Middle East, with double daily flights or more to 10 regional cities, in addition to select destinations in the Indian Subcontinent and Europe, from its hub at Bahrain International Airport. The airline currently operates 5 weekly flights between Istanbul and Bahrain.
MEBAA announces conference in Jeddah this May
M
EBAA has announced that it is organising a conference in Saudi Arabia for the third time. It will take place in May. The event will take place May 1-2, at the Jeddah Hilton Hotel. Expected topics of discussion include; regulations, grey market, airports, and aircraft registration. Other conferences have happened in Dubai and Jordan amongst others.
April 2016
23
International News
2016 Air Transport News Awards
Abu Dhabi International Airport, Turkish Airlines, Aeroflot, Istanbul Airport and Vitaly Saveliev among the winners
T
ech savvy, early-adopting passengers flying through Dubai International (DXB) will now have timely, important travel information delivered to them on their smartwatch following the launch of a new service integrating the gadget with Dubai Airports’ popular smartphone app.
H E Ali Majed Al Mansoori, Chairman of Abu Dhabi Airports, said: “Winning the 2016 Air Transport News Award for Airport of the Year in the 10-30 million passengers category, is an honor for Abu Dhabi Airports as it reflects a strong vote of confidence from our passengers who appreciate the high quality services we provide. It is also a firm indication that we are making great strides on our journey towards achieving our vision of becoming the world’s leading airports group. It takes a collaborative effort to win such an award, and it is down to the extraordinary hard work and commitment of all those involved in running Abu Dhabi International Airport that we have received this recognition.” Fred Cromer, President, Bombardier Commercial Aircraft, said: “We are delighted to be recognised by Air Transport News’ distinguished industry award program. Being awarded the best Regional Aircraft Manufacturer of the Year reaffirms our position as a leader and influencer in the industry this year as we ready to deliver the C Series aircraft – the only all-new, single- aisle offering available in the 100- to 150- seat segment in close to 30 years.”
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April 2016
The Abu Dhabi International Airport has bagged the Airport of the Year Award by Air Transport News Awards Eric Born, Group President & CEO Swissport: “I am immensely proud of Ground Handler of the Year Award, and I wish to express my gratitude to the jury and Air Transport News’ expert audience on behalf of all our employees.” Francesco Violante, CEO, SITA, which was awarded the IT Company of the Year, said: “Operating at the forefront of the air transport industry, we continuously collaborate with our industry partners to create community value and develop new technologies which transform air travel. This win is an endorsement of all of the hard work by SITA staff around the globe.”
Managing Director of SkyTeam, Perry Cantarutti: “Winning the Alliance of the Year award for the second consecutive year is a great honor and clearly demonstrates that SkyTeam’s customer-focused approach is being recognized by the industry and valued by our customers. We are focused on delivering value to the 20 member airlines and their 665 million customers by creating aseamless travel experience across our network of 1,057 destinations.” Pascal Personne, CEO, Bordeaux Airport: “The award is a major recognition of our work and of our good results. This award is particularly enjoyable because it is a professional appraisal, it comes from professional bodies or high responsible who know that the tremendous evolution of Bordeaux Airport for the last decade has not only needed, first, to draw the good strategic line but, much more difficult for my team members, to make the necessary everyday efforts to reach set objectives . TAV Group President and CEO Sani Şener remarked: “We are making continuous improvements in collaboration with all our industrial stakeholders to provide safe, rapid and comfortable travel to all our pas-
International News
sengers. We are honored to be deemed worthy of “Airport of the Year” award.” “Turkish Cargo is strongly committed to increase service quality day by day and to promote Istanbul to become a logistics centre.” said Dr Temel Kotil, CEO, Turkish Airlines, for the Cargo Airline of the Year Award. Turkish Airlines also received the Airline of the Year Award. Carolyn McCall, CEO of easyJet: “We are honoured to receive the 2016 Air Transport News Award for Low Cost Airline of the Year and would like to thank the readers of Air Transport News as well as the expert jury for their support. This award is testimony to all the hard work and dedication from our people who commit to making flying easier and more affordable every day.” “I am very grateful to Air Transport News for naming me Woman of the Year,” Dr. Fariba Alamdari said. “As Boeing celebrates its Centennial in 2016, this award is a testament to the
growth in opportunities for women in aerospace in general and at Boeing in particular, and I look forward to seeing generations of women follow me into this amazing industry as we build our second century of aerospace.” “It is a great honour and responsibility for me to be named Leader of the Year,” Vitaly Saveliev, Chairman and CEO, Aeroflot said. “But this is not just my personal achievement; I regard this as an acknowledgement of all of the efforts of the whole of our management team and all my colleagues at Aeroflot. “We are also honoured to win the Readers’ Choice Award — the first Air Transport News Award in Aeroflot’s history — and particularly pleased that it has been voted for by readers. This is recognition of the hard work that we have done to reinvent Aeroflot over the past seven years, and clearly shows that passengers appreciate the best-in-class service we offer on our young fleet of aircraft. We of
Winners by category • • • • • • • • • •
Regional Aircraft Manufacturer of the Year: Bombardier Aircraft Manufacturer of the Year: Airbus Engine Manufacturer of the Year: Pratt & Whitney Ground Handler of the Year: Swissport IT Company of the Year: SITA MRO Company of the Year: Turkish Technic Airline Alliance of the Year: SkyTeam Airport of the Year under 10 Million Passengers: Bordeaux Airport Airport of the Year 10-30 Million Passengers: Abu Dhabi International Airport Airport of the Year: Istanbul Atatürk Airport
• • • • • • • • •
Cargo Airline of the Year: Turkish Cargo Regional Airline of the Year: Adria Airways Low Cost Airline of the Year: easyJet Airline of the Year: Turkish Airlines Readers’ Choice Award: Aeroflot UATP Award: AirPlus International George Iatrou Lifetime Achievement Award: Dr Michael Kerkloh, CEO Munich Airport Woman of the Year: Dr. Fariba Alamdari Leader of the Year: Vitaly Saveliev, Chairman and CEO, Aeroflot
The international Air Transport News Awards honour all the main categories of the air transport industry course have no plans to rest on our laurels, but will continue striving to ensure Aeroflot achieves its strategic goal of being a world-leading airline and a worthy champion for the Russian civil aviation sector.” The Chairperson of the Jury, Jeff Poole, Director General of CANSO said: “As always, the competition for each of the ATN Awards in 2016 was very strong and presented the jury with some difficult choices. On behalf of the jury, I congratulate the winners for their outstanding achievements.” “It was an honor and a privilege to be part of this distinguished jury and to co-host the event with Air Transport News. We have worked with ATN for several years and these prestigious awards showcase the tremendous companies that have excelled to win this year’s awards,” said Ralph Kaiser, President and CEO, UATP. “Congratulations to all of the winners for their hard work and dedication to advancing the travel industry.”
April 2016
25
International News
Demand records 7.1 per cent growth
Strong passenger demand continues into 2016
T
he International Air Transport Association (IATA) announced global passenger traffic results for January 2016 showing demand (revenue passenger kilometers or RPKs) rose 7.1 per cent compared to January 2015.
This was ahead of the 2015 full year growth rate of 6.5 per cent. January capacity rose 5.6 per cent, with the result that load factor rose 1.1 percentage points to 78.8 per cent, the highest load factor ever recorded for the first month of the year. “January maintained the strong traffic growth trend seen in 2015, showing the resilience of demand for connectivity despite recent turmoil in equity markets. The record load factor is a result of strong demand for our product and airlines making the most productive use of their assets. Underlying conditions point to another strong year for passenger traffic, with
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April 2016
the latest decline in oil prices likely providing additional stimulus for air travel growth,� said Tony Tyler, IATA’s Director General and CEO. Middle East carriers had the strongest year-over-year demand growth in January at 10.9 per cent, helped by ongoing network and fleet expansion. Capacity rose 12.9 per cent and load factor dipped 1.4 percentage points to 77.8 per cent.
International Passenger Markets
January international passenger traffic rose 7.3 per cent compared to the
year-ago period. Capacity rose 5.9 per cent and load factor rose 1.0 percentage point to 78.8 per cent. All regions recorded year-over-year increases in demand. Asia Pacific carriers recorded an increase of 10.3 per cent compared to January 2015. Capacity rose 7.6 per cent, pushing up load factor 2.0 percentage points to 79.2 per cent. A 7.3 per cent increase in the number of direct airport connections within the Asia region over the past 12 months or so has helped to stimulate demand.
International News
have picked up somewhat in recent months. North American airlines saw demand rise 2.4 per cent in January over a year ago. Capacity rose 1.3 per cent, pushing up load factor 0.8 percentage points to 80.3 per cent. North American international traffic growth was weakest among the regions, as carriers have focused on the stronger and larger domestic market.
European carriers’ international traffic climbed 4.2 per cent in January compared to the year-ago period. Capacity rose 2.6 per cent and load factor rose 1.2 percentage points to 78.8 per cent. Airline strikes and the shutdown of Russia’s Transaero caused the region’s traffic to fall in the last quarter of 2015. Volumes
January 2016 )year-on-year %( Domestic Australia Brazil China P.R India Japan .Russia Fed US
Latin American airlines’ traffic climbed 8.9 per cent in January. Capacity rose 7.8 per cent and load factor increased 0.8 percentage points to 82.5 per cent, highest among the regions. Domestic traffic remains under pressure from economic difficulties in the region’s biggest economies, notably Brazil, but the strong growth in international demand shows little sign of slowing. African airlines saw January traffic jump 12.1 per cent compared to January 2015. This continues the strong upward trend in travel since mid-2015 that coincides with a jump
World share¹ 36.4% 1.1% 1.4% 8.4% 1.2% 1.2% 1.3% 15.4%
RPK 6.8% 3.8% -4.1% 11.9% 22.9% 1.2% -2.0% 5.5%
in exports from the region over the same period. With capacity up 8.2 per cent, load factor rose 2.5 percentage point to 71.3 per cent.
Domestic Passenger Markets
Domestic air travel rose 6.8 per cent in January year-on-year. Capacity rose 5.1 per cent and load factor was 78.9 per cent, up 1.3 per cent percentage points. India’s domestic air travel soared 22.9 per cent in January compared to a year ago. Growth is being propelled by the comparatively strong domestic economy and increases in air services. The Indian market overtook both Australia and Japan during 2015 and is currently level with Russia at around 1.2 per cent of global RPKs. Russian domestic traffic slipped 2.0 per cent in January. Despite the decline, the Russian domestic load factor reached an all-time January high as capacity fell at a faster rate, suggesting that local carriers have absorbed traffic affected by the shutdown of Transaero.
PLF PLF pt)²-%( level)³( 5.1% 1.3% 78.9% 2.3% 1.1% 76.9% -2.6% -1.3% 83.3% 10.6% 0.9% 79.1% 21.9% 0.7% 84.7% -4.3% 3.5% 64.7% -5.2% 2.2% 68.4% 3.7% 1.4% 81.0% ASK
¹% of industry RPKs in 2015 ²Year-on-year change in load factor ³Load factor leve *Note: the seven domestic passenger markets for which broken-down data are available account for 30% of global total RPKs and approximately 82% of total domestic RPKs
April 2016
27
International News
Vinci Airports completes expansion of two airports Expansion increases annual capacity of Phnom Penh and Siem Reap airports to 10 million passengers
P
rime Minister Hun Sen of Cambodia inaugurated the Phnom Penh and Siem Reap airport expansions at an official ceremony held at Phnom Penh International Airport.
These expansion projects, carried out within the framework of the concession held by VINCI Airports, the VINCI Group’s airport subsidiary, in partnership with Muhibbah, double the capacity of the two airports from 5 to 10 million passengers per year. The investments, amounting to more than $100 million in the 2013-2016 period, are designed to enable the airports to accommodate substantial air traffic growth: over the past 20 years, the number of passengers has increased 10-fold, driven by the country’s very dynamic economy and tourism sector. Developing new destinations and services To continue to expand traffic, VINCI Airports works to promote new destinations, notably in India and the Philippines. To better serve its growing business traveller clientele, VINCI Airports opened a 1,400 m2 business lounge at the Phnom Penh airport. It is run according to the standards of Asia’s best airports. Works in occupied premises VINCI Construction Grands Projets, the Group subsidiary dedicated to ma-
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April 2016
jor structures, initiated the expansion works in 2013 and carried them out in the terminals, which remained open throughout the project, without disrupting their operation. The projects also used state-of-the-art BIM (Building Information Modeling) technology to improve safety performance and construction schedule compliance. The architecture of the Phnom Penh airport is a fairly classical example of modern capital city design, but the Siem Reap airport, near the Angkor temples, a UNESCO World Heritage site, takes inspiration from Cambodian tradition. VINCI’s positive impact in Cambodia VINCI is committed to corporate social responsibility in Cambodia. VINCI Airports is a longstanding partner of Artisans d’Angkor, a company set up to perpetuate and foster the development of traditional Khmer crafts, which supplied the decorations for the new airport terminals. The airport operator also works to help preserve the local heritage by supporting the pro-
gramme of archaeological excavations carried out at the site of the Siem Reap airport near the Angkor temples. On the airport expansion projects, workers were recruited and trained locally. Airport development, at the heart of the Group’s strategy The inauguration of the Cambodian airport extensions is an example of the Group’s stepped-up focus on airport development: since the acquisition of the Portuguese ANA airports in 2013, VINCI Airports won the concession contract for the international airport in Santiago de Chile, in partnership with ADP. More recently, the company acquired 6 airports in the Dominican Republic. On 1 April 2016, VINCI Airports, in partnership with Japans’ Orix Group, will become the official operator of two Kansai regional airports, including the Osaka airport (totalling 38 million passengers in 2015). On that date, the total traffic managed by VINCI Airports will amount to more than 100 million passengers per year.
International News
April 2016
29
Opinion
Safely integrating unmanned aircraft is never going to be a finite process Our goal is to create a performance-based regulatory framework that addresses potential hazards, rather than a classification that is based only on weight and speed.
Michael Huerta Administrator, Federal Aviation Administration
Speaking of new rules, we expect to have our small UAS rule finalized this spring, that will allow for routine commercial operations of small UAS within certain limitations. We have a host of other initiatives under way or planned.
T
oday’s gathering is a testament to the enormous influence unmanned aircraft (UAVs) have had on our society in an incredibly short period of time. We have made significant progress on several important initiatives: a robust registration system, a MicroUAS aviation rulemaking committee, and a successful No Drone Zone campaign for the Super Bowl, just to name a few.
Safely integrating unmanned aircraft is never going to be a finite process where one day we’ll sit back and say, OK, our work is done. We have to constantly evolve in our approach so we can accommodate innovation while maintaining the highest levels of safety.
We are very encouraged by a high number of registrations for drones. We have a successful registration system because we – the FAA – knew that we couldn’t, and shouldn’t, do it alone. We set up a diverse task force to develop recommendations for what the system should look like. Based on opinions of our task force partners , we feel we shouldn’t treat all UAS the same. Late last month, we announced that we are setting up an Aviation Rulemaking Committee to develop recommendations for how we can safely allow certain UAS to be operated with people below.
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April April2016 2016
(Excerpts from South by Southwest Press Event)
Opinion
Urgent need for environmental action T
he eyes of the world are now clearly focused on the air transport sector post COP/21, and we must respond by delivering concrete progress on reducing emissions. With a number of Pacific Island States already experiencing dramatic revenue loss due to climate change, the especially urgent need for environmental action cannot be ignored. I am very proud of the degree of leadership which the aviation community has brought to the challenge of aviation emissions. For instance a given international flight today will produce on average only half the CO2 emissions of the same journey in 1990. This alone is a clear signal of our determination and commitment. But the world now expects and deserves more from aviation. To date, a total of 87 States representing almost 90 per cent of global international aviation traffic have since submitted emissions reduction Action Plans to ICAO. ICAO’s Committee on Aviation Environmental Protection (CAEP) has achieved historic consensus on a new Aircraft CO2 Standard.
Dr. Olumuyiwa Benard Aliu President of the Council of the International Civil Aviation Organization (ICAO)
- Airport facilities and aviation infrastructure must be sustainable and climate-sensitive. - ICAO States must continue to develop and adhere to emissions reductions Action Plans. - And they must also adopt a viable MBM solution for international aviation at our upcoming 39th Assembly. This is one of the great challenges to leadership in our time. Your support and participation each step of the way will help us to assure a positive outcome. ď‚ƒ
But besides this new Standard, ICAO must continue to drive sectoral consensus and progress across all environmental targets: - We need more sustainable energy alternatives to fossil fuels. - Airlines must increase their uptake of energy-efficient technologies and procedures.
(Excerpts from opening address at the Singapore Airshow Aviation Leadership Summit)
April 2016
31
ATM
FAA to reduce bird fatalities
Changes communication tower lighting standards
T
he Federal Aviation Administration (FAA) expects thousands of birds may be saved each year because of changes the agency has made to its communication tower lighting standards.
The FAA has developed a number of tower lighting configurations for tall structures to warn pilots they are approaching an obstruction, particularly during nighttime hours and in bad weather. The configurations include white and red steady-burning lights, flashing lights and strobe lights, as well as various combinations of the three types of lights. Over the past few years, wildlife biology research (PDF) has determined that migratory birds appear to be particularly attracted to non-flashing red tower lights. The research concluded the birds are drawn toward that type of light and
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April 2016
become confused and exhausted or collide with the towers and their supporting guy wires, killing thousands of birds every year. As a result of the research conclusions, wildlife organizations, the telecommunication industry, and the Federal Communication Commission collectively asked the FAA to consider changing its lighting standards to reduce migratory bird fatalities by developing configurations that feature flashing lights instead of steady-burning lights, or completely omit the steady-burning lights in some cases. After evaluating the proposal, the FAA conducted flight tests in northern Michigan to compare the traditional
steady-burning lighting with a variety of different types of flashing lights. The results (PDF) showed that the new configurations that featured flashing lights provided acceptable warnings for pilots and were likely to result in a significant decrease in bird fatalities. Based on that determination, the FAA updated its Advisory Circular (AC) (PDF) for obstruction marking and lighting in December 2015. New tower lighting schemes should now follow the revised guidance, and operators of towers with the old lighting system should submit plans explaining how and when they will transition to the new standards.
ATM
Aviation leaders discuss key issues on Air Traffic Management
Latest technologies showcased at the World ATM Congress
A
viation leaders discussed, demonstrated and showcased latest technologies and measures to transform air traffic management (ATM) at the fourth annual World ATM Congress , the world’s largest air traffic management (ATM) exhibition in Madrid recently.
The conference examined remote towers and the implications of new entrants into the system, and forecasted the short- and long-term future of aviation. The exhibition showcased innovative aviation products, like flight and remote tower simulators, sensors, and radomes, and hosted several high-profile industry deal signings, such as mergers and partnerships. Several events took place as well, including the European Commission’s Single European Sky Awards.
Five theatres featured over 80 hours of presentations, including product demonstrations and launches, from over 55 leading aviation professionals from industry, government, labor, and educational institutions. CANSO Director General Jeff Poole said, “Everyone who attended World ATM Congress this year benefitted from the obvious high value of the event. From commercial companies signing deals; to air traffic man-
Jeff Poole agement staff learning about the latest technologies and best practice; to leaders from across the industry sharing ideas and working together to improve the efficiency and enhance the safety of airspace. Everyone to whom I spoke leftMadrid having gained value and committed to returning in 2017. World ATM Congress serves the entire needs of the global ATM industry.” The Congress welcomed 7,175 registrants and 225 exhibitors. The organisers announced that the next ATM Congress will be held from March 7-9, 2017.
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ATM
FAA aerospace releases forecast report 2016-2036
Hobbyist drone purchases to grow to 4.3 million by 2020
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he latest Aerospace Forecast Report Fiscal Years 2016 to 2036 by FAA estimates a sustained increase in overall air travel and the use of Unmanned Aircraft Systems (UAS).
The FAA estimates small, hobbyist UAS purchases may grow from 1.9 million in 2016 to as many as 4.3 million by 2020. Sales of UAS for commercial purposes are expected to grow from 600,000 in 2016 to 2.7 million by 2020. Combined total hobbyist and commercial UAS sales are expected to rise from 2.5 million in 2016 to 7 million in 2020. Predictions for small UAS used in the commercial fleet are more difficult to develop given the dynamic, quickly-evolving nature of the market. Both sales and fleet size estimates share certain broad assumptions about operating limitations for small UAS during the next five years:
daytime operations, within visual line of sight, and a single pilot operating only one small UAS at a time. The main difference in the high and low end of the forecasts is differing views on how those limitations will influence the widespread use of UAS for commercial purposes. Looking at commercial air travel, Revenue Passenger Miles (RPMs) are considered the benchmark for measuring aviation growth. An RPM is one revenue passenger traveling one mile. The FAA forecast calls for system RPMs by mainline and regional air carriers to grow at an average rate of
2.6 percent a year between 2016 and 2036, with international RPMs projected to increase 3.5 percent a year, doubling over the forecast period. Domestic RPMs are forecast to increase by more than 50 percent over the same time. In 2015, system RPMs by U.S. carriers grew from 857 billion to 889 billion, a 3.8 percent increase. The FAA’s NextGen program is helping to meet this consistent aviation growth. NextGen focuses on implementing technologies and procedures that utilize satellite-based aircraft navigation and phase out efficiency limitations of the current ground-based radar navigation system. For example, the environmental and economic gains of reduced fuel usage associated with NextGen advancements are projected to achieve a savings of billions of dollars in airline operational costs and achieve sustainable aviation growth. Proven economic data that utilize sources such as generally accepted projections for the nation’s GDP are used in the FAA annual forecast, which has consistently made it the industry-wide standard of U.S. aviation-related activities. The report looks at all facets of air travel including commercial airlines, air cargo, private general aviation, and fleet sizes.
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Airlines
Airlines are united for wildlife
Declaration to check illegal trafficking of wildlife
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lobal aviation industry has underscored its commitment to combating wildlife trafficking by signing the United for Wildlife Transport Taskforce Buckingham Palace Declaration.
The Declaration makes a commitment to support the private sector in fighting and shutting down the illegal wildlife trade. The ‘United for Wildlife’ initiative, created by the Royal Foundation of The Duke and Duchess of Cambridge and Prince Harry, invited representatives of the transport industry to Buckingham Palace to pledge their support.
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IATA, Airports Council International (ACI), the African Airlines Association and a number of individual airlines signed commitments aimed at raising awareness of the trafficking issue among passengers, and training staff to recognize and report suspicious packages and behavior. The initial focus of action will be on the trafficking of high-risk protected
animals, specifically certain big cats, pangolins, and ivory products, on high-risk routes, particularly originating from or transiting through East Africa. The landmark agreement sets out real steps to close the routes exploited by traffickers of the illegal wildlife trade as they move their products from killing field to marketplace.
Airlines
It focuses on breaking the link between the rapidly escalating poaching crisis in places like Africa and the demand for these illegal wildlife products elsewhere around the world. The interconnected air transport network is being exploited by criminal gangs to smuggle animals or their products from the killing field to the market place. The air transport industry can help stop this trade by providing additional intelligence to enforcement authorities about suspicious shipments. “I can think of few other causes that galvanize more interest and support across the global transport and logistics sectors than the challenge of wildlife trafficking, said Tony Tyler, IATA’s Director General and CEO. “Today marks a step forward for environmental protection—a commitment that we take very seriously. In the 1990’s the industry came together to address noise. More recently we joined forces to manage our impact on climate change—committing as an industry to carbon-neutral growth from 2020 and to cut net emissions to half the 2005 levels by 2050. We now extend that commitment to playing an active role in reducing illegal trafficking of wildlife. We will collaborate in support of government enforcement authorities to put an end to this evil trade,” said Tony Tyler, IATA’s Director General and CEO. Angela Gittens, Director General, ACI World, said: “This is an important mo-
ment for United for Wildlife, and for the air and maritime transport industries. After a year of hard work and negotiations, industry leaders have today spoken with one voice to condemn illegal wildlife trafficking. “This declaration will help raise standards across the board, and support measures to detect and dissuade traffickers looking to exploit the system,” she continued. “I extend my thanks to The Duke of Cambridge and Lord Hague for being the driving force behind this agreement. For ACI’s part, we pledge to do our utmost to help in the fight to stop illegal wildlife trafficking—a practice which harms not only animals, many of them on the brink of extinction, but also communities through the associated violence and corruption that often goes hand in hand with this activity.” The declaration contains 12 commitments across categories that include actions aimed at tackling the illegal wildlife trade (zero tolerance policies, raising awareness, promoting the declaration across the transport sector); information sharing (developing mechanisms to facilitate the timely sharing of information, enhancing data
systems to help identify potential shipments of suspected illegal wildlife and associated products, identifying and promoting reporting systems, training staff to identify and report suspected illegal wildlife trade); practical measures to stop the transportation of illegal wildlife products (developing a harmonized system for passing information to customs and law enforcement, notifying law enforcement of suspicious cargo, establishing a cross-disciplinary team to develop best practices); and new mechanisms (supporting the development of new technologies and processes that can aid in the detection and prevention of trade in illegal wildlife and associated products). IATA said cooperation with enforcement authorities and international conservation organizations such as the Convention on International Trade in Endangered Species (CITES) has already begun. Two awareness-raising workshops for airline and airport staff have been held at international airports in Nairobi and Bangkok. In addition, IATA joined the US Agency for International Development’s (USAID) Reducing Opportunities for Unlawful Transport of Endangered Species (ROUTES) Partnership.
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Cargo & Logistics
Better Enforcement Needed for Lithium-ion Battery Shipments
Global air cargo faces challenges, IATA estimates 3 per cent volume growth in 2016
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he International Air Transport Association (IATA) called for continued transformation in the air cargo industry with a focus on raising the quality of its offering.
The global air cargo sector continues to face a difficult business environment. The anemic growth experienced since 2010 continued in 2015 with a 1.9 per cent expansion of volumes. And yields have contracted each year since 2012. IATA estimates that volume growth will increase to 3.0 per cent in 2016. Under pressure from integrators, competing modes of transport (land and sea) and increased cargo capacity in the passenger fleet, yields are expected to fall a further 5.5 per cent in 2016. “Air cargo continues to be a challenging environment for airlines to keep revenues ahead of costs. The business, however, generates enormous value.
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Over a third of goods traded internationally—measured by value—are delivered by air cargo. To do that profitably, the air cargo sector must bolster its key strengths of speed and flexibility with modern processes and improved quality. That means transformation,” said Tony Tyler, IATA’s Director General and CEO. “Compared to other modes of shipping, air cargo is a premium service. Yet shippers give the industry a satisfaction rating of only 7 out of 10 on average. That is not good enough. The industry must raise the service quality of air cargo and provide a more personalized customer service,” said Tyler.
Industry transformation
Tyler questioned why cargo has not undergone the same thorough transformation process that has reinvigorated the passenger side of the business. “Developments like e-tickets, bar-coded boarding passes, airport self-check-in kiosks and inflight WiFi have transformed the passenger experience. Is it a coincidence that after a decade of change, load factors are at record highs and airlines are finally rewarding their investors with adequate returns? We need similar breakthroughs on the cargo side of the business.
Cargo & Logistics
There are lots of potential disruptors out there—data-sharing platforms, new market entrants, or e-commerce. The challenge is to stay a step ahead in satisfying customer expectations,” said Tyler. Paperless processes and customized services are critical to the sector’s future. The foundations are being built but challenges remain: The pace of adoption of the e-Air Waybill (e-AWB) must accelerate. As of the end of 2015, e-AWB penetration stood at 36%. To speed this up, the industry, through IATA, is engaging governments and airports to achieve targeted initiatives.
There are still concerns over the quality of service for time- and temperature-controlled shipments, especially pharmaceuticals. Patient safety is a key concern and compliance certification programs (such as the CEIV Pharma initiative) are a step in the right direction. But the breadth of adoption must evolve quickly for shippers to have full confidence in the system. In both of these examples, teamwork is the critical element. “The value of air cargo is so great because it is a team effort. Only if the different participants in the air cargo value chain pull together behind a common vision will the industry thrive in the coming decades. If the air cargo business can stay focused on the customer, delivering a reliable, high-quality service at a competitive price, and build on the speed and flexibility for which air freight is renowned, then this business will not only survive but prosper,” Tyler said.
Lithium-ion Batteries
Tyler also noted that teamwork will
be critical in resolving issues around the shipping of lithium-ion batteries. In February 2016 the International Civil Aviation Organization (ICAO) temporarily banned shipments of lithium-ion batteries as cargo on passenger flights, pending the development of a fire-resistant packaging standard. Some 400 million lithium-ion batteries are produced each week. Safety concerns arise from several areas: irregular manufacture, mislabeling and improper packing, including non-compliance with dangerous goods regulations and the IATA Lithium Battery Shipping Guidelines. “Safety is the top priority. Banning lithium-ion batteries from air freight does not solve the issue of counterfeit or non-declared goods. The issue lies with the lack of enforcement of the regulations by governments. So it is essential that authorities redouble their efforts to enforce the regulations and close the loopholes that prevent prosecutions of serial offenders,” said Tyler.
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Cargo & Logistics
Aircraft now ‘follow the greens’ at DXB
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ubai Airports, in collaboration with technology provider Honeywell, today confirmed the successful implementation of its ‘follow the greens’ airfield guidance system, leading-edge technology which streamlines operations, optimises ground traffic flow and reduces controller-pilot communications . The state-of-the-art Ground Traffic Management (GTM) solution, helps pilots to safely navigate through the airport’s complex network of taxiways, even in the case of reduced visibility. The system assesses all aircraft traffic on the
airfield, identifies the optimal routing to the gate (or conversely from gate to runway) and activates a series of lights on the tarmac. Instead of following radio instructions from the air traffic control tower, pilots simply follow the green lights. Honeywell’s GTM system helps reduce taxi times, save fuel and emissions while improving taxiway safety. The new system also reduces strain on air traffic controller operations, improves situational awareness, and generates additional savings through reduced lighting and operational costs.
ASR Logistics opens facility in Dubai
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SR Logistics India has opened a facility in Dubai to focus on transportation and warehousing in the region, said a report in arabiansupplychain.com. The new company, ASR Cargo Dubai will provide complete logistics solutions to the customers operation from the Gulf, the report quoted Rajendra Singh Rao, director, ASR Logistics India, as saying. “We will be based in Jebel Ali free zone. This new enterprise will be working independently to provide transport service in the UAE too,” said Rao. Given the uncertain nature of the logistics sector, ASR is taking an
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asset light approach to the new business and as such will not directly own any of its trucks. The company will instead focus on the container business. “We have 1100 containers at present and plan to add another 700 containers this year, and by the end of next year, we will own over 2000 containers,” said Rao. The company is primarily engaged in facilitating containerised transportation, but is expanding its activities to other areas of the logistics industry, with supply chain solutions through offices in in several countries in Singapore, Malaysia, Thailand, Vietnam, Myanmar and Indonesia, according to the report.
Amazon Acquires 9.99% of AirCargo Partner ATSG
Leases 20 Boeing 767 freight jets to launch its own air cargo service
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mazon is rapidly exercising the right to buy 9.99% of Air Transport Services Group, a sign the Seattle tech giant plans to look over the shoulder of its air-cargo partner from the get-go as they jointly work out new ways to haul Amazon merchandise across the United States, according to a report in The Seattle Times. Two weeks ago, ATSG agreed to run an ambitious airfreight service operation for Amazon out of ATSG’s Wilmington, Ohio, hub. The agreement, which followed months of secret testing with a few planes, includes the leasing of 20 Boeing 767 freighter jets by ATSG to Amazon. The big fleet will connect Amazon’s far-flung fulfillment centers at a time the company seeks to speed up delivery of items while keeping its transportation costs under control. The big fleet will connect Amazon’s far-flung fulfillment centers at a time the company seeks to speed up delivery of items while keeping its transportation costs under control. As part of the deal, ATSG gave Amazon the right to acquire up to 19.99% of its outstanding common shares over the next five years. In a filing with the Securities and Exchange Commission recorded March 18, Amazon reported the acquisition of 7.1 million shares of common ATSG stock.
Cargo & Logistics
An uptick for air cargo, while ocean remains flat Shipper confidence in the air cargo sector appears to be gaining on that of ocean freight
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ccording to the latest edition of the Stifel Logistics Confidence Index, the total air freight logistics confidence Index gained 0.5 points in March 2016, totalling 48.6, according to a report on logisticsmgmt.com.
The Index is 9.3 points lower than in March 2015, and 7.3 points lower than in March 2014. Regarding the present situation, the air freight Index rose by 0.9 points to 45.4. Continuing on from January, all lanes posted month on month growth with the exception of Asia to Europe, which lost 2.5 points to reach 41.4. Europe to Asia gained 1.3 points, though remained below the 50 point mark, standing at 39.1. US to Europe gained 2.6 points to 49.0, while Europe to US also gained 2.6 points, and at 53.0 represented the only lane in positive territory.
In the expected outlook, the total results were flat, as half the lanes saw gains, while the other half saw declines. Europe to US recorded the most significant gain, increasing by 2.6 points to 52.2. By contrast, US to Europe fell 1.6 points to 53.3. Meanwhile, Europe to Asia fell by 1.6 points to 49.7, whilst Asia to Europe increased by 0.6 points to 51.8. Meanwhile, the logistics confidence Index for sea freight declined by 1.0 points to 45.3. Additionally, when compared with the same month in 2015, the Index is 11.4 points lower, and it is also 12.7 points lower than in March 2014.
For the present situation, the Index gained 0.8 points to 41.5. Half of the lanes noted gains, whilst half saw declines. The former group was made up of Europe to US and US to Europe, which noted gains of 3.9 points to 49.3 and 0.9 points to 37.9, respectively. The expected situation Index for sea freight saw a 2.8 point decline to 49.1, with contractions in all lanes apart from Europe to US, which gained 0.8 points to 56.0. Meanwhile, US to Europe lost 4.6 points, falling to 46.2. Europe to Asia lost 3.0 points, and Asia to Europe declined 4.3 points, with each amounting to 44.1 and 50.5, respectively. Each month, respondents to the Stifel Logistics Confidence Index survey are asked a unique, “one-off question.” The March one-off question referenced both the seasonal dip in air and sea freight volumes derived from Chinese New Year, and the current slowdown of China’s economy. The question asked respondents what they expected to see happen to volumes during this February’s Chinese New Year. In response, 55 per cent of survey participants, a clear majority, replied that they expected a more pronounced dip than usual, while 17 per cent responded to the contrary. The remaining 28 per cent of respondents indicated an expectation that the volume dip would be consistent with historic trends.
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Technology
Dubai stands to gain $5 billion from digitalisation
UAE-based CIOs discuss opportunities in digital transformation during CIOMajlis
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igital transformation presents a $4.9 billion worth of opportunity for Dubai over the next five years, according to latest statistics. With the government undertaking numerous ‘smart’ initiatives, the benefits of digitalisation are expected to percolate to every sector in the economy, especially utilities, transportation, aviation and tourism. “The UAE’s leadership is taking active initiatives toward becoming the world’s smartest place. The initiatives are inspiring companies to actually push themselves in the direction to digital transformation. In a recent survey, CISCO estimates
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that over the next five years, this digitilisation will contribute $4.9 billion to the GDP, which includes $3.7 billion from the private sector,” said Ashley Woodbridge, Customer Solutions Architect, Cisco, while addressing the CIOMajlis on a ses-
sion on ‘Digital Transformation’. More than 30 UAE-based CIOs from different sectors including oil and gas, infrastructure, logistics, finance, energy and IT, shared experiences and discussed the challenges and opportunities in the way
Technology
to digital transformation during the recent CIOMajlis, held at Al Badiya Golf Club, Festival City. Ahmad Al Mulla, Senior Vice President, Information technology, Emirates Global Aluminium, Chairman of the CIOMajlis, said: “The rapidly changing technology necessitates that companies keep up with the pace and gain out of it, which can be challenging particularly as the CIOs need to align new technology initiatives with the goals of the organization and at the same time, face challenges in form of global competition and availability of resources. At the CIOMajlis, the biggest advantage is the sharing of tried and tested methods. We are getting tremendous response to the CIOMajlis and expecting number to grow multiple times within a few months.” Abdulqader Obaid Ali, Chief Executive Officer (CEO), Smartworld, said:
“The UAE government’s initiatives toward adopting smart technology and driving innovation across all sectors is a driving force for organisations to follow the path and successfully meet competition at global level. The experience at CIOMajlis will help companies across the UAE to implement effective strategies, which will also bring more international business.” During the session, the CIOs shared the challenges and opportunities that digital transformation brings forth. Ali Abdul Aziz Al Ali, Vice-President, Information Technology Division, ADNOC, said: “The government’s initiatives are driving organisations such as ours to actively work toward excellence through digital transformation. We believe
that digital solutions will serve a lot in terms of performance, operations, security, control and business growth and we have been actively working toward it. We have put our plans in place and also started implementing those plans; our next step is SMAC (Social, Mobility, Analytic and Cloud) technology, which for a business like ours, where our customers are spread across different countries, will be greatly beneficial. It will help us meet customer expectations and stay ahead of competitors.” Thameem Rizvon, Group IT Director, Kamal Osman Jamjoom Group, said: “The CIOMajlis is a unique and strong platform that provides an opportunity to learn from experiences of other organisations. As CIOs when we get together, the best advantage is hearing what others have done, what are the areas that challenges issues you can face. It will help us prepare better and the advantages are long-term.” The CIOMajlis members have regular monthly meetings during which the members get an opportunity of learning from local and world renowned leaders on topics relevant to them and their businesses as well as participating in local and overseas field trips and educational sessions.
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Technology
Dubai International App on smartwatch
First international hub to offer smartwatch experience on both iOS and Android
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ech savvy, early-adopting passengers flying through Dubai International (DXB) will now have timely, important travel information delivered to them on their smartwatch following the launch of a new service integrating the gadget with Dubai Airports’ popular smartphone app. To satisfy Dubai International’s huge and diverse customer base, the smartwatch app is being made available on the two main software platforms – iOS and Android, effectively offering a smartwatch experience for all. An extension of the Dubai Airports mobile app, the smartwatch app provides the modern traveller quick and easy access to the latest status of their bookmarked flight - showing the user their current flight status, the actual arrival or departure time, terminal,
gate or baggage belt information in one easy glance. “This development is part of an ongoing series of digital initiatives at Dubai Airports that are aimed at enabling easy access to personalised information that allows our customers greater freedom to plan their journey and make the most of their time at the airport. It’s a service that will find appreciation among the increasing number
of travellers that are now smartphone and smartwatch users,” said Matthew Horobin, Head of Digital Media at Dubai Airports. “As part of the first phase of the project the smartwatch app currently provides customers access to only the most important information related to their flight. There are plans to make the app more interactive while also widening its functionality to include wayfinding and commercial offers from food and beverage and retail outlets across the airport,” Matthew added. The app has been developed by Dubai Airports in conjunction with Amsterdam-based company M2Mobi.
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Technology
Alaska Airlines tests reusable electronic luggage tags
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laska Airlines, the carrier that has tested solar-powered passenger ramps and fingerprint identification devices for passengers, is continuing to experiment, according to a media report.
The Seattle-based airline has begun testing an electronic, reusable luggage tag that is linked to a passenger’s Alaska Airlines mobile app. The report in Los Angeles Times said that once you buy a ticket on Alaska and check in using the mobile app, the app asks whether you want to activate your electronic bag tag. When you turn on your electronic tag, the Bluetooth technology in your phone synchs with the tag and displays your flight’s destination on the tag’s tiny screen. The goal of the tag and previous Alaska experiments is to make air travel more expedient, said Loesje Degroen, Alaska’s customer research and development manager. Alaska began testing the electronic tag with 60 employees last summer and is now trying the technology with about 50 passengers. Later this year, Degroen said, the carrier plans to expand the test to about 500 passengers.
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