Archive for January, 2008

Airlines could have to pay more to use congested US airports at busy times of the day under a proposal unveiled by the Bush administration on Monday to reduce flight delays.

The surprising move by the US Transportation Department comes after months of weighing options for airlines to voluntarily smooth out flight schedules and streamline air traffic operations in New York and other key cities.

The congestion pricing plan is opposed by major carriers, which want no new costs as they struggle with higher fuel prices, softer demand, and shrinking profit margins. They say new fees would simply drive up fares.

Airlines have repeatedly urged the government to concentrate on improving air traffic control run by the Federal Aviation Administration and let demand and market measures drive their business.

If finalized after a six week public comment period, the proposal would move airports away from the decades-old practice of charging landing fees based on aircraft weight. Instead, airports would have the flexibility to vary charges based on the time of day and the volume of traffic.

The change, regulators believe, would allow airports to even out traffic and allow airports to handle more passengers. Airlines often stack flights during busy morning and evening hours, aggravating congestion problems.

The extra fees also could be structured in a way that would allow airports to apply them up front for runway construction and other capital projects, reducing borrowing costs to airports.

Transportation planners are in the process of capping the number of flights during busy hours at New York’s John F. Kennedy Airport and New Jersey’s Newark Airport in another attempt to reduce delays and congestion.

Flight delays worsened significantly in 2007 in part due to congestion in New York. More than a third of US air traffic arrives, departs or flies over New York-area airports.

(Reuters)

 

Airbus has delivered the second A380 superjumbo to Singapore Airlines, the European planemaker said.

Airbus, recovering from a two-year delay in production of the world’s largest airliner, aims to deliver 13 A380s this year, after the first double-decker plane went into service with Singapore Airlines late in 2007.

The pace of deliveries could have a major bearing on the share performance of Airbus parent EADS, analysts say.

(Reuters)

 Dubai International, the aviation and cargo centre of the Middle East and the world’s emerging hub, was the world’s fastest growing airport in 2007 in terms of international passenger throughput with a growth of 19.31 per cent.

The airport handled a total of 34.34 million passengers, well over the projected 33 million for the year.

The record growth is likely to propel Dubai International higher on ACI’s (Airports Council International) list of the world’s busiest airports (in terms of international passengers). In 2006 Dubai International was ranked 10 on the list with a passenger throughput of 28.78 million.

The high growth rate in passenger throughput registered in 2007 means that for the sixth consecutive year, Dubai International has maintained an average growth rate of well over 15 per cent.

In 2007, August was the busiest month for the airport in terms of passenger figures with 3.28 million passengers, while October recorded the highest growth rate at 29.92 per cent. For the first time in the airport’s history, monthly passenger throughput crossed the 3 million mark thrice during the year, while it was above 2.5 million for each of the remaining nine months. The average passenger movement per day at Dubai International is 95,000.

The overall growth in 2007 resulted in increased aircraft movement at Dubai International, registering an increase of 9.81 per cent. The airport handled a total of 260,530 movements in 2007 as against 237,258 in 2006. The busiest period for the airport in terms of aircraft movement was in December with over 23,309 aircraft movements. On an average, there are 725 aircraft movements per day at Dubai International.

HH Sheikh Ahmed bin Saeed Al Maktoum, President of Dubai Civil Aviation Authority (DCAA) and Chairman of Dubai Airports, said ‘Dubai International’s growth is a reflection of Dubai’s robust economy, and its rising popularity as an international commercial and tourism hub. It is also a clear sign of our intent and vision for the future of the aviation sector in Dubai.’

‘Dubai International’s continuing success is a result of the dedication and teamwork of one and all at Dubai Airports and our strategic partners, and an achievement for all of us to take pride in,’ he said. Sheikh Ahmed added that passenger throughput at Dubai International is expected reach 40 million in 2008.

Paul Griffiths, CEO, Dubai Airports, said, ‘While the airport’s record growth in 2007 is an accomplishment, it is also the source of the many future challenges we at Dubai Airports must prepare for. As a commercial entity, Dubai Airports intends to further speed up the overall growth rate of Dubai International, and, in the near future, of Dubai World Central – Al Maktoum International, while at the same time improving our customer service levels.’

He added, ‘The opening of the new Terminal and associated facilities later this year means we will have the operational capacity to handle the increasing passenger throughput at Dubai International. Meanwhile we are currently working to maximize the use of our physical infrastructure to optimise the airport’s performance.’

Mohammed Ahli, Director General of Dubai Civil Aviation Authority, and CEO, Air Traffic Services (ATS), said one of the major reasons behind Dubai International’s sustaining a high growth rate for over half a decade is Dubai’s open skies policy.

‘We have had new airlines joining us periodically, thanks to Dubai’s envious position as the region’s best connection, and our destination network has also expanded rapidly especially in recent years. In 2007 the list of airlines serving Dubai rose to 120, seven more than in 2006, while our network now has 205 destinations,’ he added.

Singapore opened a new “green” airport terminal on Wednesday, boasting energy-saving skylights, a butterfly garden and over 200 species of foliage spread over enough floor space to cover 50 soccer fields.

The SGD$1.75 billion (USD$1.22 billion) terminal at state-owned Changi Airport received its first passengers, who landed on a Singapore Airlines flight from San Francisco amidst a high-powered welcoming committee including government ministers.

The new terminal, Singapore’s third, boosts Changi’s total passenger capacity by around 45 percent to 70 million, as airports throughout Asia expand to gear up for predictions of strong growth in regional travel.

Among the 28 aerobridge gates in the terminal are eight that are specially designed to handle the new Airbus A380, the world’s largest passenger jet, the first of which is being flown by Singapore Airlines.

But booming air travel is seen by environmentalists as bad news for greenhouse emissions, with aviation likely to be a controversial topic in discussions run by the United Nations to choose a pact to follow the Kyoto Protocol on climate change.

The terminal is designed to run on lower energy costs compared to the older terminals, mainly via natural lighting from the 919 skylights and by positioning air-conditioners nearer to floor-level.

“The cost to run the terminal should be lower. But it’s still too early to project what the cost-savings will be,” said a spokesman from the Civil Aviation Authority of Singapore, which manages the airport.

The terminal has a striking five level high wall of hanging plants, a butterfly garden and koi ponds dotted amid its gleaming 380,000 square metres (4 million sq ft).

But for Australian traveler Dawn Massey, 51, transiting with her husband on a flight back to Perth from the United Kingdom, the green features were barely noticeable.

“That’s not something very important to us,” said Massey, adding that she was more impressed with the new terminal’s cleanliness and orderly signs.

“It’s very reflective of Singapore actually,” she said. The city-state has long cultivated a reputation as a “garden city” and is also well-known for the cleanliness of its streets, where chewing gum is banned and littering draws heavy fines.

Singapore is competing against Hong Kong and Bangkok to be the region’s top aviation hub.

(Reuters)

Despite headaches caused by regulations that went into effect in 2007 requiring passports for air travelers returning to the U.S. from Canada , Mexico , and the Caribbean, the new restrictions may have had some positive side effects.

 According to a recent poll conducted by Travelocity gauging consumers’ travel plans for 2008, the Western Hemisphere Travel Initiative (WHTI) has actually inspired many to visit these regions and beyond. Of respondents who obtained their passport for the first time in 2007, 66 percent traveled internationally, and 30 percent traveled beyond the regions included in the WHTI.

 With 10.3 million passports issued in the first eight months of 2007 (according to the Department of State) – a 37 percent increase over the same period in 2006 – it’s no surprise travelers who may have otherwise chosen to stay stateside instead traveled overseas. Not even a weak dollar and uncertain economy will impede these eager jet setters, as 90 percent of survey respondents said they plan to travel internationally in 2008.

 “Regulations are scheduled to become tighter early next year when travelers returning to the U.S. by land AND sea will need a passport. Not only is this likely to result in more passports being issued in 2008, but it will open even more options to vacationing Americans looking to stretch their dollar abroad,” said Amy Ziff, Travelocity’s editor-at-large. “The up-tick in international travel may continue as a whole new group of consumers begins to explore beyond domestic vacations.”

 Consumers responded in stride to other changes impacting the travel environment as well, be it high prices or chronic delays. The majority of travelers (65 percent) are willing to sacrifice more flight choices if it means fewer delays – and with the recent news of flight caps at two New York-area airports scheduled to take place in March, that theoretical sacrifice is about to become a reality. Travelers also are a bit wiser from the challenges faced in 2007. This year, almost half of travelers will try and avoid connecting flights at all costs; one in six said they would alter the times of day they typically fly ; and 15 percent would consider booking through smaller airports to try to minimize problems.

 Other trends of note include everything from a renewed focus on eco-friendly travel to an emphasis on what Travelocity’s editors have coined “Fit Travel” in 2008.

(eTN) - China has set a March deadline to establish its first jumbo passenger aircraft company, as it moves to positions itself among countries technically capable of manufacturing large jets. Huang Qiang, secretary general of the Commission of Science Technology and Industry for National Defense (CSTIND), told Xinhua on Monday that a director and a chief engineer of research would be appointed by then to make sure “the work goes as planned.”

Previously, Shanghai Securities News reported the start-up would only be responsible for the design and assembly of jumbo aircraft, while the production of components and parts would be left to other aviation enterprises. It was the latest development of the research project approved in principle by China’s cabinet, the State Council, last February. This was to make the country capable of building aircraft with a take-off weight of more than 100 tons, or planes with more than 150 seats.

Just before the New Year holiday, Chinese Premier Wen Jiabao visited the Avic I Xi’an Aircraft Industry (Group) Company to give a pep talk on the manufacturing of jumbo jets. Last year, the company made China the fourth country to develop its own advanced fighter aircraft–the “Jian 10.”

During his talks with technicians, Wen emphasized a China-made jumbo aircraft as a “significant strategy” of the country. This would lift the country’s competence in the global market as a slew of technical breakthroughs, especially in engine, materials and electronic equipment, were to be made.

The maiden flight of the ARJII1, China’s first 90-seat regional jet, widely viewed as a step closer to jumbo jets, was scheduled for this year.

The new start-up would only be responsible for the design and assembly of large aircraft while production of components and parts would still be left to other aviation enterprises, the Shanghai Security News reported, quoting a former expert with the Ministry of Science and Technology.

Being the leading aviation makers, both Avic I and Avic II have expressly shown their interests in large jets. “There are no rivals but only partners when it comes to jumbo jet manufacturing,” general manager of Avic I Lin Zongming has said.

Given that the Avic I has taken over the larger and better slice of assets from the former Aviation industries of China, industry analysts say Avic II might give up its civil aviation outfits such as airborne equipment production to Avic I so as to beef up the manufacturing capacity of the latter.

Both Avic I and Avic II, together with domestic airlines and government-controlled investment companies, would likely be the shareholders of the large passenger aircraft company.

Another market guess is to take out the civil aviation business from both companies which also engage in military product manufacturing to establish a third company solely dealing with aircraft for civilian use.

With 240,000 employees and aggregate assets of more than 100 billion yuan (approximately US$13 billion), Avic I is the parent of 47 industrial enterprises, 31 research and development institutes, provides 90 percent of the aviation weaponry systems of the People’s Liberation Army and has produced over 15,000 aircraft in 20 projects, 50,000 aero-engines and more than 10,000 missiles, according to company statistics.

The smaller Avic II boasts a total asset of 31.5 billion yuan (approximately US$4 billion), with its aero production covering a wide rang of military and civilian vehicles including helicopters, trainers, general aircraft, unmanned aerial vehicles, engines and airborne equipment.

There is no official timetable for the set-up of the new large passenger aircraft company, but Shanghai-based China Business News revealed on Tuesday that March would be the earliest possible date.

Currently, only the United States, Russia, France, Germany, United Kingdom and Spain have the capability to build jumbo aircraft, with Boeing and Airbus taking a lion’s share of sales in the international market.

 

The United States, concerned about tainted imports from China, has exported its own batch of potentially harmful goods to Beijing in the form of mice on a flight from Washington, state media said on Tuesday.

Chinese inspectors found eight mice, dead and alive, on a United Airlines flight to Beijing after the airline reported the stowaways to local quarantine officials upon landing on Sunday afternoon, Xinhua news agency said.

The report prompted an “emergency team” to rush to the aircraft, Xinhua said, to “put rat poison and mouse traps at every possible corner on the aircraft, including the cockpit”.

“Eight mice, dead and (alive), were found at last… hidden in pillows,” the agency said.

The surviving mice were sent to labs for testing, it said.

The incident was reported in most newspapers on Tuesday, citing experts warning of dozens of fatal viruses that the mice could spread, and the risk of deadly accidents from them chewing through the plane’s wiring and circuits.

“We are taking this matter seriously and have begun a full investigation with the authorities to determine how this happened and ensure it is resolved,” United Airlines said in a statement.

“It would be inappropriate for us to comment further at this stage as the investigation is currently under way.”

China has been rocked by a number of quality scandals involving food, toys and drugs in recent months, but has repeatedly accused foreign media of biased reporting, while making a point of naming foreign companies it claims have sub-standard product problems.

(Reuters)

 

Air France KLM on Tuesday posted a 3.1 percent rise in passenger traffic in December, led by growth on its American and Asian routes, but its passenger load factor fell 0.8 percentage points to 78.6 percent.

Business was affected by a strike at Orly Airport, Paris, at the end of the month, the airline said in a statement. Capacity on the airline’s routes rose 4.1 percent during the month.

“Unit revenue excluding currency impact improved further,” Air France KLM said.

Cargo activity posted a traffic rise of 2.9 percent, as capacity rose 3.7 percent.

The load factor, which measures the proportion of aircraft capacity sold, fell 0.5 percentage points to 70.2 percent.

(Reuters)

CaribWorldNews, ST. GEORGE’S, Grenada, Tues. Jan. 8, 2008: Famous British resort developer, Peter de Savary, is vowing to put up bond money to help the Spice Island of Grenada attract another regional airline.

De Savary’s vow comes as the Grenada government slammed the tardy service of  LIAT, the regional carrier.  A strike by LIAT flight attendants last month left hundreds of passengers stranded throughout the region. Grenada, like many Caribbean countries, is dependent on tourism dollars to sustain its economy and tardy flights could hit the bottom line of the sector.

“We are willing to put up hundreds of thousands of U.S. dollars in the form of bonds to the airlines to guarantee the airlines that they don’t lose any money if they bring the planes to Grenada,` de Savary said Sunday.

The serial entrepreneur, renowned the world over for his legendary hospitality creations, last year bought four properties in Grenada in the Caribbean, where he is developing a marina and resort village.

Over the last 30 years, since his first project, the El Salam Hotel, in Cairo, Egypt in 1976, de Savary has developed 25 five star clubs and resorts, ranging from the St. James’ Clubs in London, New York, Los Angeles, Paris and Antigua to Skibo Castle in Scotland, Bovey Castle in England and Cherokee Plantation in Yemassee, SC. He has also created Carnegie Abbey, in Newport, RI, and founded The Abaco Club on Winding Bay in Abaco, The Bahamas, among many others. – CaribWorldNews.

 

A strike at British airports set for Monday has been called off after unions and employers agreed in principle to discuss the unilateral closure of a final salary pension scheme for airport employees.

The strike was the first of a series announced this month after airport operator BAA declared that its final salary pension scheme would be closed to all new employees.

Unions said the decision to close the scheme had been taken without consultation and scheduled three days of strikes to take place on January 7, 14 and 17, threatening the travel plans of thousands of people.

“The company has agreed there will be proper discussions before any decision is reached on the future of the pension scheme,” a union spokesman said on Monday after eight hours of talks.

Heathrow, Gatwick, Stansted, Southampton, Glasgow, Edinburgh and Aberdeen airports would have been closed by Monday’s strike.

A BAA spokesman said the two sides would meet again on Friday.

(Reuters)