The 14-hour flight from Seattle to Abu Dhabi was the delivery flight of Etihad’s newest Boeing 777-300ER and arrived yesterday (24 January 2012).

James Hogan, Etihad Airways’ President and Chief Executive Officer, said: “This flight marks a significant milestone in our efforts to  support and drive the commercialisation of sustainable aviation fuel in Abu Dhabi, the region, and globally.”

The delivery flight of the airline’s newest and most efficient long haul aircraft was operated using a combination of traditional jet fuel and plant-based jet fuel, which is fully certified for use as commercial jet fuel.

James Hogan continued: “The use of a presently available biofuel is just one part of a more comprehensive long-term biofuel strategy to ensure that we are able to use biofuels to decarbonise substantially an entire industry sector in the long term.”

SkyNRG, an Amsterdam-based sustainable jet fuel provider, supplied the fuel, which is based on recycled vegetable cooking oil. As a plant-based source that has been used already for cooking purposes, it qualifies as a bio-based waste stream with a high sustainability value.

Dirk Kronemeijer, SkyNRG’s Managing Director, said: “We think the Middle East has great potential to give a critical boost towards making a market for sustainable jet fuel that is affordable.  With this flight Etihad Airways has taken a fantastic step, particularly in increasing awareness within the region. There is a lot more to come in this continent and we are determined to be there when that happens.”

Boeing also supported this initiative by supplying their ‘fly-away’ fuel, provided for every new delivery, as a biofuel blend.

Etihad Airways, as a member of the global Sustainable Aviation Fuel Users Group, has committed to a stringent set of sustainability principles when looking at opportunities for biofuel development and use. This includes ensuring that feedstock is non-competitive with food sources and does not jeopardise drinking water supplies.

With new regulations now being imposed on aviation carbon emissions, the commercial viability of biofuel is gaining even more importance. Starting this year, the EU emissions trading scheme (ETS) will require all airlines to pay for emissions and this is likely to lead to other such schemes around the world. Biofuel is considered  ‘carbon neutral’ as the plant biomass takes in carbon as it grows and releases it again during the combustion process, and this means that the use of biofuel as part of the EU ETS would be considered exempt.

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Last year was a somewhat turbulent year for the aviation industry, and as you would expect, there were both positive and negative trends evident for those in the sector.

At the end of December 2011, The International Air Transport Association (IATA) reported that global traffic results for both passenger and cargo markets were softening.

Tony Tyler, IATA’s Director General and CEO, said of the 2011 figures: “Weak global economic performance is being reflected in air transport markets. Freight markets have contracted some 4% compared to January. Although passenger markets have had some growth relative to the beginning of the year – about 2% – the trend has been both soft and volatile. Continuing economic uncertainty will likely mean market shortcomings deepening as we enter 2012.”

However, it wasn’t all bad news at the end of 2011. The world’s principal provider of data, analytics and advisory services to investors in aerospace, Ascend, announced that 2011 was the safest year on record, with fatal accidents and passenger fatality rates at their lowest.

There was a marked regional difference to passenger numbers across the globe. While carriers in North America saw a decline in traffic, the aviation industry in the Middle East and Latin America experienced increases of 10.1% and 9.0% respectively, according to the December 2011 IATA figures.

The success of Middle Eastern and Latin American aviation is a trend that is likely to continue into 2012, thanks to robust trade activity (Latin America), and gains in market share on long-haul markets through price competitive products (Middle East).

Despite the aviation industry suffering because of economic uncertainty, IATA believe that the aviation industry itself can be a catalyst for growth.

Tyler said: “The story of aviation’s importance is even more compelling as governments around the world seek solutions to economic uncertainty. Economic growth is the only durable solution. Aviation can be a catalyst for that growth. But that depends on governments allowing airlines to get on with the business of providing global connectivity. The New Year’s resolution for every government with respect to aviation should be to stop over-taxation of mis-regulation of this vital economic driver.”

Reducing carbon emissions
One of the key influential factors on the aviation industry in 2012 is the environmental impact the industry has – and how to control this. The CAA states that aviation will only be able to fully realise its economic potential through tackling its environmental impact. In January 2012, the CAA set out four goals for its work, including to contribute to a cleaner and quieter aviation industry and to improve airspace design through new operational measures.

The development of lightweight, composite components is becoming increasingly important as the aerospace industry strives to reduce fuel consumption and emissions, and it is likely that people with skills and experience in this area will be in demand in 2012.

This is exemplified by the January 2012 opening of a new aero-engine facility on the Isle of Wight. The £14.8m facility, a joint venture between Rolls-Royce and GKN Aerospace, will employ 70 skilled engineers and has been supported with £7.4m in funding from the UK government.

Business Minister Mark Prisk, who opened the facility, said: “It is ventures like this that are helping to place Britain as a world leader in the growth area of low carbon solutions, while affirming our commitment to providing the technological needs of the future.”

London 2012 Olympics
The London 2012 Olympic Games will have a profound impact on the aviation industry in 2012, particularly in the UK. Upwards of half a million international visitors are expected for the 2012 Olympic Games, the majority of which will be travelling by air.

Many will travel on scheduled flights but some 700 extra charter flights and some 10,000 business jet movements are expected during the Olympics period.

This will mean that those working in London airports and in parts of the aviation industry connected with London airspace, as well as pilots, cabin crew and security staff, will have to adjust their procedures to cope with the extra demand to ensure safety and avoid congestion and delays.

The Department for Transport (DfT) is working with the Civil Aviation Authority (CAA), the en-route air navigation services provider (NATS), the Ministry of Defence (MOD), the Borders Agency (UKBA) and aviation industry stakeholders to meet the challenge posed by the London 2012 Olympics.

London Olympics Pilot Briefing Event
In particular, pilots looking for help to prepare for flying in the south east of England during the 2012 Olympics may wish to attend a free briefing day in London on Saturday 10 March 2012. The event, hosted by the Royal Institute of Navigation (RIN) and the CAA, will offer information how pilots will be affected by the Olympics and how to deal with the changes. For more information, visit the Airspace and Safety Initiative website.

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Etihad Airways has been named the World’s Leading Airline at the World Travel Awards for the third year in a row.

The national airline of the United Arab Emirates was presented with the award at the black-tie event last night (11 January 2012) in Doha, Qatar.

Etihad Airways were also presented with the World’s Leading First Class and the World’s Leading Airline to the Middle East awards.

James Hogan, Etihad Airways’ President and Chief Executive Officer, said: “We are delighted to have been named World’s Leading Airline at the World Travel Awards for the third successive year.

“2011 was a fantastic year for Etihad Airways, during which we began to reap the full benefits of financial and operational strategies developed over the last five years.

“Nothing is as important to us as our guests and we work tirelessly to ensure their experience with Etihad Airways surpasses expectations. We are always looking to innovate, whether that be by introducing qualified chefs in our Diamond First Class or bringing industry-leading inflight entertainment systems with mobile and internet connectivity to the sky.

“Etihad Airways’ vision is simple: to be the best airline in the world. These accolades from industry experts at the World Travel Awards demonstrate that we are meeting that goal.”

The World Travel Awards recognize the best airline, hospitality and tourism brands in the world.

2011 was a good year for Etihad Airways, which included the launch of seven new international routes and the purchase of a 29.2% stake in airberlin.

Photo: Mathieu Marquer

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According to a CAA report, without extra runway capacity, passengers will face higher fares and reduced choice.
The government has said it is developing “a sustainable policy framework for aviation”.

The CAA argues that unless the UK expands capacity, airports may struggle to keep up with growth in aviation demand boosted by emerging markets such as China, India and South America.

“Aviation should be able to grow, but to do so, it must be able to play its part in delivering our environmental goals and protecting quality of life of local communities,” the report said.

CAA chief executive Andrew Haines said consumers and the UK economy would benefit from extra capacity “so long as it is delivered in an environmentally sustainable way”.

“However, as we haven’t built a single runway in the south east of England capable of handling Boeing 747s and Airbus A380s for over 70 years, the difficulty of increasing capacity is obvious,” he added.

“The challenge facing the Government is to create an aviation policy that stands the test of time – not a policy for five years, but one for thirty years.”

Photo by Nickynunchuck

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The carrier has been flying from Glasgow since 2004 and will add a second daily direct flight from June 2012.

It will generate up to 12 new direct jobs and it is claimed indirectly support many others with Emirates’ contracted suppliers.

Laurie Berryman, Emirates’ vice president UK & Ireland, told the BBC: “Our Glasgow route has been a real success story, and we are extremely confident that there is the demand for additional services flying east to Dubai and onward to our global network of over 115 destinations.

“The service brings real benefits to Scotland’s economy and its international competitiveness.”

Amanda McMillan, managing director of Glasgow Airport, also spoke to the BBC, she said: “Since its launch in 2004, Emirates’ Dubai route has proved hugely successful with business and leisure passengers and its decision to introduce a second daily service is fantastic news for both Glasgow Airport and Scotland as a whole.”

Emirates is also to introduce a first class cabin onto both daily services, which is the first time this has been offered by a commercial airline from Scotland.

Photo by D.C.Atty

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Ajit Singh, the Civil Aviation Minister has said that the government could be set to recommend measures to ensure safety, the Economic Times newspaper reported.

According to the BBC, on Thursday, the aviation regulator met Kingfisher Airlines and Air India Express after an internal report had raised safety concerns which were deemed to be finance-related.

Experts have said the report suggested that the ailing airlines may be cutting corners which may impact passenger safety, however both Kingfisher Airlines and Air India Express defended their safety standards.

Kingfisher said it was operating with “utmost safety”. An Air India Express spokesman also defended the carrier’s safety standards.

Five of India’s six main airlines have been reporting losses for the past few years. They have been particularly badly hit by fuel price rises.

Mr Singh took charge of the ministry in December and he told the Economic Times: “There is no case to let airlines shut down for financial or safety reasons. We can recommend measures to ensure safety.

“We will not cancel licences because even one airline winding up has repercussions for the entire industry.

“World over, airlines are financially impacted. It is a rough patch for domestic carriers and we have to provide help to the sector.”

He also said that the government would ensure that the carriers got fuel at competitive prices and that working capital was to be made available to them.

Bharat Bhushan, the director general of civil aviation, met executives from Kingfisher and Air India Express in Mumbai in Thursday.

Mr Bhushan said that at a time when airlines were in financial difficulties, the regulator was bound to ask carriers to address its concerns.

He said: “We have been in touch with all the airlines… and we are ensuring that safety norms are ensured. We have asked them to come back in a few days and tell us what measures they will be taking.”

He also went on to deny that any carrier was in danger of having its licence cancelled, after the internal audit report was quoted as saying this might be considered.

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2011 saw the safest year on record for air travel and the lowest claims for insurance for seven years say Ascend, the world’s principal provider of data, analytics and advisory services to investors in aerospace.

Fatal accidents and passenger fatality rates were the lowest on record last year according to Ascend.

In addition, it was a good year for insurers, with no major catastrophes in the sky or on the ground. The estimated cost of incurred hull and liability losses in 2011 is not much more than half that recorded in 2010 – the lowest for seven years.

Ascend’s Director of Safety Paul Hayes said: “It’s the safest year ever. Airlines are getting safer – and more quickly than they’re expanding.

“On average, overall airline operations are now twice as safe as they were 15 years ago.”

Hayes added: “For insurers, passenger safety doesn’t necessarily equate to low claims; however, in 2011 it did. The cost of incurred airline hull and legal liability losses for 2011 is about US$1.18 billion – some US$966 million less than in 2010.

“We see the low level of incurred loss in 2011 as very much a mixed blessing. Most insurers will probably have made money this year, but that only begins to make up for a number of bad years they’ve had recently and it is sure to increase the pressure for insurance rate reductions.”

In Ascend’s special bulletin: Performance and Safety Review Year End 2011, Hayes says that “with estimated claims costs exceeding written premium over the last five years and current interest rates limiting investment income, there would seem to be little chance that the class as a whole is profitable, especially after the deduction of operating costs.

“Increasing costs, falling premiums and the ever-present risk of a catastrophic loss occurring do not suggest a healthy outlook for airline insurers in 2012. But it is likely that 2011’s good result will increase pressure for further rate reductions in 2012.”

For more information, visit the Ascend website.

Photo: Vox Efx

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They have come together to fight the APD when aviation businesses enter the new European Union emissions trading scheme (ETS) in the New Year.

A group of airline leaders including, Willie Walsh of the British Airways-owning International Airlines Group; Carolyn Mcall of EasyJet; Steve Ridgway of Virgin Atlantic; and Ryanair’s Michael O’Leary; all gathered together to release a statement.

Their statement said that the introduction of the ETS is a good time to ditch the controversial airline tax which was introduced to UK passengers in November 2009.

Their statement said: “Airlines’ entry into the EU emissions trading scheme on 1 January brings the injustice of APD into even sharper relief. APD was initially conceived as a green tax, and the Treasury still maintains it brings environmental benefits.

“The reality is that no APD revenue has ever been spent on environmental benefit. In contrast, ETS means that all future growth in European aviation will be carbon‑neutral, and provides an incentive for further reductions in emissions.”

They stated that the British aviation companies were paying enough to cover their carbon costs in full in 2008, “since when APD has more than doubled on many routes”. Walsh, O’Leary and their counterparts at Virgin Atlantic and EasyJet say that, under ETS, UK airlines face paying €400 million (£336m) by 2020.

Annual revenue from APD stands at £2.5 billion, and the government has said it wants this to rise to £3.6bn by 2016.

“We are already tackling our climate change impacts and ETS, while far from perfect, goes with the grain of improving environmental performance,” the statement adds. “APD actually makes it more difficult for airlines to invest in carbon‑reducing technology. APD is a self‑defeating tax that pays for no environmental benefits, chokes off economic recovery and cuts jobs.”

Picture: David Sanz

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With the latest investments, PANYNJ has now spent nearly $1.5bn so far this year on the airports, which has created over 5,000 construction jobs in the process, according to airport-world.com.

The four airports will each benefit from more than $200m worth of infrastructure investments which are designed to help reduce delays. The improvements will also help to improve the flow of flights, passengers and baggage through the gateways.

A new asphalt base will be put on Newark Liberty’s busiest runway, which is two-miles-long and the airport will also benefit from electrical system work.

Two new high-speed taxiways with new lighting will be built and the realignment of two other taxiways will be undertaken to move planes more efficiently between runways and gates.

PANYNJ will also commit $19.9m to a terminal expansion at Stewart International Airport which will increase the facility’s size by over 30,000sqft. Runways and gateways will also be getting a makeover as the revamp continues.

Susan Baer, aviation director at PANYNJ, told airport-world.com: “As operator of one of the world’s busiest airport systems, we recognise the importance of continued investment to make our airports as safe, reliable and efficient as possible.

“Today’s announcement is a win for everyone, because it reinforces our commitment to our customers, strengthens our competitive position in the global marketplace, and puts people in this region to work.”

Picture: BRIyyz

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