Etihad adding two B777 freighters
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Etihad Airways has exercised its options on two Boeing 777 freighter
aircraft, making the announcement on the opening day of the Dubai Air Show.
The freighter options, with a list price value of $637m, were part of UAE
national airline’s $67bn mixed fleet order for 199 aircraft in 2013. The
additional freighter duo, set for delivery in 2016, will be part of Etihad Cargo,
which currently operates three 777Fs, three Boeing 747s and four Airbus
A330s.
Etihad Cargo serves 11 freighter-only destinations worldwide from its
Abu Dhabi hub and has freighter capacity on Etihad Airways’ fleet of 109
passenger aircraft. James Hogan, president and chief executive of
Etihad Airways, said: “Etihad Airways is delighted to exercise options for
two freighters that will join our fleet next year, demonstrating our
confidence and commitment to our partners at Boeing and to the global freight
market. “As we continue growing our freighter fleet and network, together
with our partners we are able to provide a comprehensive, extensive and
compelling global offering for the benefit of our customers.”
ICAO proposes 30% lithium battery state charge limit
New safety recommendations covering lithium battery shipments
carried on passenger and freighter aircraft have been agreed by the Dangerous
Goods Panel (DGP) of the International Civil Aviation Organization (ICAO).
“The proposal to require lithium batteries to have a state of charge of
30% or less, when carried in shipments on commercial aircraft, was felt to be
prudent enough to improve aviation safety while a packaging performance
standard is being developed,” said Olumuyiwa Benard Aliu, the council
president of ICAO. “This recommendation will still permit the rapid and
reliable global transit of what has become a vital energy source for people
and businesses everywhere in the world.”
Fires in consignments of lithium batteries have been implicated in the
loss of three aircraft over the last 10 years. It is estimated that 5.5bn
lithium batteries were produced in 2013, 86% of them lithium ion and the
remainder the lithium metal type.
TNT 'making progress' for fleet sell-off
TNT has confirmed that it is “making progress” in finding a buyer for the
parcel carrier’s freighter fleet. TNT has to sell its aircraft assets if the
$4.8bn takeover by FedEx is to go ahead.
A spokesman for TNT Group said: “We are making progress with potential
buyers” for TNT Airways and Madrid-based Pan Air which operate a fleet
of 54 aircraft, a mix of wholly-owned and leased freighters. One
press report suggested that Dublin-based ASL Aviation Group was again one of those
interested in TNT’s airline activities, but ASL Aviation Group corporate
affairs director Andrew Kelly said: "There was no statement and there is
nothing new here."
ASL had agreed to buy the two TNT airlines for an undisclosed sum when
United Parcel Service UPS
looked certain to acquire the Dutch parcel operator in 2012, until the UPS
takeover deal was scuppered by European Commission regulators in Brussels.
TNT’s takeover by US package and logistics giant FedEx is due to clear next
year after Brussels announced that it would not be raising anti-competition
objections.
Turkish
adds to freighter network
Turkish Cargo has launched freighter services
to Atlanta, New York, Kinshasa, London Stansted, Amsterdam and Doha. The
Atlanta, New York and Kinshasa flights will use Airbus A330 freighters,
with Stansted and Amsterdam served by an Airbus A310
freighter.
As from the beginning of the winter schedule 2015, Turkish Cargo will
provide cargo services to 280 destinations — including 55 freighter
destinations — in 110 countries.
Turkish Cargo operates a fleet of ten freighters and 287 passenger
aircraft.
Focus on Emirates :
His
Highness Sheikh Ahmed bin Saeed Al Maktoum, Chairman and Chief Executive of
Emirates Airline and Group officially opens Emirates SkyCargo's new
terminal, Emirates SkyCentral at Dubai South, Tuesday November 10.
Pictured
left to right— Nabil Sultan, Emirates Divisional Senior Vice President,
Cargo; His Excellency Sultan Ahmed Bin Sulayem, Chairman of Ports, Customs
and Free Zone Corporation (back row); His Highness Sheikh Ahmed; Thierry
Antinori, Emirates Executive Vice President and Chief Commercial Officer;
and His Excellency Ahmed Mahboob Musabih, Director of Dubai Customs (back
right).
Dubai Exclusive—Nothing was about to stop Emirates SkyCargo Divisional
Senior Vice President Nabil Sultan as he hit the road on Tuesday, November
10, and moved swiftly down the long wide super highway between Dubai
International Airport (DXB) and Al Maktoum International at Dubai World
Central (DWC) for the launch of Emirates SkyCargo’s new freighter home,
Emirates SkyCentral.
Located in Dubai South (formerly Dubai World
Central), the official ribbon cutting and opening of SkyCargo Services
featured His Highness Sheikh Ahmed bin Saeed Al Maktoum.
Also on hand for the big reveal was Emirates
Group Executive Vice President and Chief Commercial Officer Thierry
Antinori, as a grand party saw local dignitaries and others drop by with
well-wishes before returning to the Emirates Chalet at the air show.
As Sheikh Maktoum cut the ribbon amid
traditional good will speeches and gifts, Nabil was jubilant.
“The opening of Emirates SkyCentral at Dubai
South is an important milestone for us,” Nabil said.
“As
home to our 15 freighters, SkyCentral is just beginning at 2.5 million tons
annually and can be expanded to achieve our vision of 12 million tons per
year by 2050.”
“Today, Emirates SkyCargo is established
across all its operating areas as the world’s leading cargo carrier,” Nabil
Sultan added.
Vice President of Logistics at Dubai South
Mohsen Ahmad (right) couldn’t agree more:
“Dubai South begins an important new chapter
toward establishing Dubai’s excellence as a logistics hub,” Mr. Ahmad said.
A Team Effort
“It is not about
personalities; we all do our job and the Emirates SkyCargo Team is superb.
Our mission is to build upon success and focus all our energies towards the
continued success of Emirates SkyCargo.”
SkyCargo Divisional Senior Vice President
Nabil Sultan is never short on superlatives when talking about the part of
Dubai-based Emirates Airline that has been his baby. He has served as
SkyCargo’s top executive for the past two and a half years.
“I would also like to recognize our various
teams, along with many of our partners and stakeholders, that have been
working very hard over the past 18 months to integrate operations since we
moved our freighter operations to DWC in May 2014.
“We have proven our readiness and ability to
deliver and even exceed expectations in every aspect of the facility, as
the movement of cargo between the DWC and Dubai International has become a
smooth transition enabling us to deliver as promised.”
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Up and coming generation with
culture for cargo in UAE . . . Budoor Al Mazmi (left) turned a pioneering place in the air
cargo business into a posting as top cargo executive at SkyCargo for the
entire UAE. Mohamed Hassan, flydubai VP Cargo (right) reports, “With
increased flights from DWC, air cargo boarded on flydubai represents
about 3% of the throughput of our carrier but about 30% of the annual
profit.”
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SVP Cargo Emirates Freighters
Hiran Perera (right) was flanked by VP Hub Operations Sunimal Fernando.
“Dubai South" is a spectacular addition to the world supply chain,
enabling ease of movement for all types of cargo, including both
freighter main deck capacities and also below deck belly-cargo that
continues to arrive and depart in growing numbers from the new
facilities.
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With plans to go to 12 million tons by 2050 and lots of
room to grow, Emirates SkyCargo Operations Manager Henrik Ambak delivered
a knockout presentation of the big, wide-shouldered SkyCenter cargo
facility at Dubai South.
It was all high tech, from the tracking systems to
the rows of reefer madness to an acceptance door with cool chain temps
maintained right to the ramp to several dozen large cargo hauling rigs
connecting this giant "home of the freighters" facility to DXB.
Henrik made it look easy at one of the most advanced air cargo facilities
in the world.
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A Party Lull
For an airline that is given to throwing
extravagant launch and service start-up parties, there has been a
noticeable lull since Emirates SkyCargo held its last cargo press gala.
But that may just be Nabil. He is confident,
if not understated.
In some respects, his behavior is reminiscent
of the American pioneer frontiersman Davy Crockett, whose motto was:
“Be Sure You’re Right And Then Go Ahead.”
SkyCargo, it turns out, migrated its entire
freighter operation to DWC Al Maktoum International on May 1, 2014.
So for the past year and a half it has been
full force ahead, developing the next world hub for an air cargo operation
that some estimate may deliver up to 35 percent of the Emirates Airline
total throughput. Everything, it seems, moves up from there.
Left to
right at the ceremony—His Excellency Khalifa Al Zaffin, Executive
Chairman of Dubai Aviation City Corporation; Nabil Sultan and Paul
Griffiths, CEO of Dubai Airports.
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Phase Two Underway
Preceding the cargo press gag by almost two
full weeks, word came that DWC would commence preparations in 2016 for
Emirates Airlines to move operations sometime during the next decade.
Asked about construction, His Excellency
Khalifa Al Zaffin, executive chairman of Dubai Aviation City Corporation,
Dubai South, said:
“We will do a lot of preparations by next
year.”
The passenger terminal at Al Maktoum
International Dubai South was launched in October 2013.
To date only four airlines are operating
schedules from the new airport.
“People want to be here (Dubai International)
because they can make connections and everyone is there,” said Paul
Griffiths, CEO of Dubai Airports.
“Now as capacity opportunities are becoming
more difficult to satisfy, people will have to look at different airports,”
he added.
The Sultan of
SkyCargo
Nabil may have been the new face of
leadership at SkyCargo when he assumed command of one of the fastest
growing airline freight businesses, but his appointment also signaled a
step change in Emirates Airline leadership.
From that point forward it became apparent
that the culture for the airline is alive, well, and growing in UAE. Local
talent is moving up the ranks at EK and rapidly making that journey.
Born in Dubai and educated in Dubai and the
United States, Nabil holds a Bachelor of Computer Science and Management
Information Systems from the University of Portland, Oregon.
So along with traditions learned from
generations at home, Sultan also has a bit of an American sense of humor
when he smiles and declares in mock exasperation:
“Every day it rained in Portland after a life
in the desert!”
Nabil Sultan looks comfortable in his clothes
and apparently is enjoying the ride of his life.
That said, Mr. Sultan is bright and in touch.
With hair slightly graying and eyes holding a straight and level gaze, he
leaves no doubt when he says:
“Now we will carry things further.”
Still The Paperwork
Jungle
“Assuming leadership, I was immediately aware
and surprised at the overwhelming amount of paper it takes to move air
cargo.
“Especially coming out of the passenger end
of the business, where the migration away from paper has been swift and
complete in many aspects of that business.
“No doub,t even though we have taken giant
strides and in fact can be viewed as a best-case scenario toward creating a
paper-free environment for air cargo, in 2015 the complexity of the
industry can only be better served by streamlining processes, taking costs
out, and adding value for the customer.
“But much can be realized by making every
effort in every aspect of the logistics supply chain toward a paperless
environment.
“Of course, I learned at several smaller
stations coming up in this business that when it comes to change and
dealing with government agencies and bureaucracy, we still have a long way
to go.
“My take is that we have to work even harder
at this point to change the cargo mindset,” Nabil Sultan said.
Love An Airline
“In many ways,” Mr. Sultan says, “no matter
how you approach it, Emirates is an inspiring airline.
“We offer the trading community a very
efficient global resource that constantly translates into direct value to
the customer.”
Geoffrey
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Dubai
Skyline in 2002 re-imagined in 2015.
Skyscrapers cut the background along the Sheikh Zayed
Highway while pink flamingos look for food by the Creek at the Ras Al Khor
Wildlife Sanctuary in Dubai, United Arab Emirates.
Beneath a glitzy skyline wooden boats ply Dubai Creek,
the historic heart of a city that was transformed in little more than a
generation from a tiny pearling and fishing port to a global trading hub.
In 1948, visionary leader Sheikh Rashid bin Saeed Al
Maktoum shared a quiet moment with his son, Sheikh Mohammed bin Rashid Al
Maktoum.
There is a compact, preserved district in Dubai that
represents the past.
There, one finds an excellent museum housed in an old
fort containing remains and artifacts over 3,000 years old—an invitation to
understanding the history of Islam.
Geoffrey is pictured here during an early 2002 visit at
the restoration.
One sees and hears amazing things in Dubai, and it is
reassuring that in this place, the past lives with the future.
Courtesy : Flying Typers.
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A Pyrrhic
victory occurs when the winner of a fight suffers such losses that
their win is actually comparable to a defeat.
No
doubt, losses in that measure negate or outweigh any achievement that may
have been the goal of the conflict in the first place.
The term could apply to the
battle the Portable Rechargeable Battery Association (PRBA), National
Electrical Manufacturers Association (NEMA), and others mounted to win the
day at the ICAO Dangerous Goods Panel meeting, which took place from
October 19th to October 30th in Montreal, Canada.
Assault
On Batteries Fails
Since the report of the meeting
has not yet been released (but based on leaks is not a well kept secret,
either), it is prudent to remember in all of this that we will have to wait
for the official paper.
ICAO’s bureaucracy is grinding fine but slow, so
the in-depth analysis for FT’s
readers will have to wait.
However, at the center of the action has been the
question of whether or not stricter regulations should be imposed on the
transport of lithium batteries by air.
Papers To
Sort
Under consideration more
specifically are a multitude of working papers related to the transport of
lithium batteries and the associated risks.
ICCAIA, the interest group of the aircraft
manufacturers representing Boeing, Bombardier, and Airbus, and IFALPA, the
International Federation of Airline Pilots, had teamed up, arguing that the
tests undertaken in February 2014 at the FAA’s William J. Hughes Test
Center sufficiently illustrated that a lithium battery cargo fire would
likely be uncontrollable, and thus ‘fatal.’
FT
had covered these issues for our readers in May 2015's Pilots
Want Lithium Cargo Revamp and August 2015's A
MidSummer's Lithium Dream—they may want to refresh their memories.
Risky Business
After Lithium metal batteries
(deemed the bigger risk because of their more volatile nature and higher
burn temperatures) were outlawed worldwide effective January 1st, 2015, on
passenger aircraft (a limitation in effect within the U.S. for decades),
Lithium ion batteries were under scrutiny, especially bulk shipments of the
so-called “excepted” batteries in accordance with section II of the
applicable packing instruction which require no formal training on the side
of the shipper and no formal transport document.
What
Happened?
Attendees of the ICAO DGP meeting
make the point that there “is a tight cap on all talks with the press” and
that “quite some pressure had been applied prior to heated discussions,”
confirmed that, indeed, the combined ICCAIA/IFALPA proposal had been
rebuffed.
Ups &
Downs
Surprisingly, sources tell FT that the People’s
Republic of China—the biggest manufacturer of both legit and illicit
lithium batteries— together with Russia, Brazil, and Spain voted with the
U.S. representative to ICAO in favor of the ban. On the other side sources
say Australia, Canada, France, Italy, The United Arab Emirates, The
Netherlands, The United Kingdom, South Korea, and Japan vetoed the proposal
along with airline watchdog and interest group IATA.
While the latter may seem surprising to the
outsider, IATA’s industry-friendly position toward lithium batteries has a
long tradition, although it is not shared by a considerable faction of
IATA’s members, accounting for a sizable chunk of the worldwide air
transport capacity.
Checking the record of IATA members, today an
ever-growing number of airlines have filed variations (imposing further
restrictions or embargoing) related to the transport of both Lithium metal
and Lithium ion batteries either shipped in bulk or installed in equipment.
Lufthansa (LH), Cargolux (CV), Air France (AF),
KLM (KL), British Airways (BA,) and Delta Airlines (DL) are just some of
the carriers who have filed variations.
Others have imposed further restrictions without
filing variations in the manuals.
Questions
Need Answering
Although IATA was instrumental in
developing a comprehensive and encompassing document that enables and
guides airlines in their individual risk assessment pertaining to the
carriage of Lithium batteries (IATA Lithium Batteries Risk Mitigation
Guidance for Operator), valid questions remain with respect to how accurate
that assessment can be when most likely the majority of Lithium batteries
carried are not required to be shown on the Notification to Captain (NOTOC)
or Notification to Pilot-in-Command (NOPIC) and thus travel under the
airline’s radar.
Another point—where common ground allows everyone
including PRBA and NEMA to agree—is that the biggest problem is either
counterfeit batteries (which have never undergone the required testing in
accordance with part III, subsection 38.3 of the UN Manual of Tests and
Criteria) or Lithium batteries willfully or negligently undeclared or
misdeclared.
In reality, they are often identical.
Results
That Affect Everyone
There is one direct and
one indirect result of this as yet unannounced decision from ICAO that will
impact both the shippers and the airline industry:
Packing Instruction 965,
covering the transport of Lithium Ion Batteries in its 2016 version, will
include three headlines to cover airline variations.
But truthfully, while the
upcoming ICAO decision has theoretically kept shipping options open for
shippers and consumers, the practice looks different, since airlines are
under no obligation to carry any particular substance or article.
Indirectly, since no one is
able to rule out a ‘fatal’ lithium battery fire scenario and because there
is some likelihood that the root cause may not even be found in a scenario
where an aircraft is lost, the aircraft manufacturers’ statement that
today’s airframes are not designed to withstand a Lithium battery fire may
have far-reaching implications on insurance costs.
Although everyone without a
doubt hopes that the worst never happens, the apparent dismissal of the
opinion of aircraft manufacturers, airline pilots, and the U.S. FAA could
at some time backfire.
It’s safe to say the current
divided state of the industry in safety matters benefits neither consumers
and shippers nor the industry.
Jens |
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