Alex Cruz returned to the Aviation Club UK on 7 December 2017 to address a capacity audience of 250 members and guests at the Club’s Christmas luncheon, held at the IoD, Pall Mall. Read Cruz’s full speech HERE.
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Brexit, competition and expanding Heathrow …. Members and guests were served plenty of food for thought when Alexandre de Juniac, CEO IATA addressed the Aviation Club UK lunch meeting on 8 November 2017.
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UK Aviation Priorities: Clarity on Brexit and Expanding Heathrow
8 November 2017 (London) – The International Air Transport Association (IATA) urged the UK Government to shore-up its international air connectivity by focusing on a cost-effective expansion of Heathrow Airport and achieving early clarity on post-Brexit issues.
Brexit
“In building the post-Brexit world, the prosperity of the UK will depend on the strength of its connectivity—links with Europe and the rest of the world,” said Alexandre de Juniac, IATA’s Director General and CEO, in an address to the UK Aviation Club.
“There is a real challenge ahead. When the UK leaves the European Single Market, it will also leave the European Common Aviation Area. And when it breaks from the European Union, all traffic rights to the rest of the world associated with Europe will also be thrown into question. The basis of international aviation is bilateral air services agreements. There is no WTO agreement to fall back on. For that reason, I don’t see any alternative to a negotiated agreement,” said de Juniac.
IATA urged an early resolution for aviation in the Brexit discussion. “Time is precious. The Brexit clock is ticking towards a deadline of March 2019. But the aviation deadline is earlier. Normally passengers can book travel about a year in advance. At a minimum, the flight schedules and seat and cargo inventories must be available at least six months in advance. So that puts the airlines’ deadline at October 2018—just 11 months from now,” said de Juniac.
“My message to all involved is threefold: Get started. Don’t step backward—people will not accept anything that turns back the clock on the achievements of the EU Common Aviation Area. And, lastly, don’t underestimate the amount of work ahead as there are intense political and commercial interests at stake,” said de Juniac.
While much attention has been paid to air service agreements, IATA urged action across a broad spectrum of issues including:
“The pressure is mounting, with passenger numbers predicted to grow irrespective of Brexit. Solutions need to be found quickly to ensure a smooth transition. With the amount of work that needs to be done, there are good arguments to put transition agreements in place,” said de Juniac.
Expanding Heathrow
IATA urged the UK government to address severe capacity constraints in the Southeast of the UK by expanding Heathrow airport. “Heathrow is where expansion should take place. I know the struggle to build a third runway has meant decades of frustration. But the UK will be left behind in the globally connected world if it does not come to a final decision and implement it,” said de Juniac.
The UK Department for Transport’s Draft National Policy Statement notes that a third runway at Heathrow will create GBP 200 billion in economic value and support up to 110,000 jobs. “Expanding Heathrow is about building prosperity. It should be a priority for the UK. And facing the post-Brexit world makes it even more urgent,” said de Juniac.
IATA, however, cautioned that the cost of expanding Heathrow needs to support its future competitiveness. “I am not saying to build the third runway at any cost. The original estimates of GBP 17 billion were completely unacceptable. Heathrow Airport’s recently announced intention to reduce that cost is a step in the right direction. Heathrow is already the most expensive airport in the world from which to operate. It is essential that Heathrow’s charges do not rise from today’s levels. The construction of the third runway must enhance Heathrow’s competitiveness, not destroy it!” said de Juniac.
A successful airport needs sufficient capacity and quality, aligned with airline operational needs and costs that are affordable. “In delivering the third runway, Heathrow’s capacity issue will be resolved for now. But achieving the right quality at the correct price requires consultation with the airlines. And one idea from the airline community that should be taken into consideration by the government is seeking competitive bids from developers,” said de Juniac.
CLICK HERE to see full text of de Juniac’s address or visit the IATA website .
The boss of the airlines’ leading industry body IATA – the International Air Transport Association -, is the next speaker to address the aviation industry in London…..
CLICK HERE To download full release issued by the Aviation Club UK
adj-1-big-2017
Post-Brexit developments and other major challenges confronting the UK will come under the microscope at the Aviation Club monthly lunch on Wednesday week, 8 November, when IATA director-general Alexandre de Juniac addresses the audience …..
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Members of the Aviation Club UK Committee and guests attended the CAPA Aviation Awards for Excellence Gala Dinner on 12 October 2017 at the Sofitel Hotel, Heathrow T5.
There evening hosted nine award categories: Regional, Medium and Airport of the year; Airline start-up of the year; Airline Turnaround of the year; Regional Airline of the Year; Low cost airline of the year; Airline of the year and Airline executive of the year, plus the CAPA Legend Award. Recipients included Dublin Airport, TAP Portugal and Air Baltic.
It was particularly pleasing to see several Honorary Club members receiving Awards. These included Bjorn Kjos of Norwegian, who collected the award for ‘Airline of the Year 2017’ for Norwegian and Andres Conesa, who received the award for ‘Airline Executive of the Year 2017’. The ‘CAPA Legend Award’ went to Willie Walsh, IAG.
Our thanks go to CAPA for their invitation and congratulations on a splendid event.
Report by Dominic Perry, FlightGlobal:
Embraer has begun to crystallise its previously disclosed interest in the market for turboprop airliners, holding a series of meetings with potential customers…
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It took a bit of prodding by a journalist, in this case Robert Wall of the Wall Street Journal, but Embraer is seriously looking at an up to 70-seat turboprop for production in the next decade.
It all came out at last week’s London Aviation Club lunch, and followed a get-together of Embraer operators in Amsterdam, who briefed about the proposal. Guest of honour at the club was Embraer CEO John Slattery whose speech did not mention turboprops.
To read the full article from Business Travel News CLICK HERE
John Slattery, CEO Embraer Commercial Aircraft, pictured here with Aviation Club UK Chairman Jane Johnston, spoke candidly yesterday, 14 September 2017, at the Club’s luncheon, about Embraer’s future plans and aspirations.
To download full article from ATW CLICK HERE
Embraer Considers Building a New Turboprop Plane Thursday, September 14, 2017 03:10:00 PM (GMT)
By Rober Wall LONDON — One of the world’s biggest plane makers, Embraer SA, is in talks with airlines about potentially developing a turboprop regional airliner amid signs demand in the U.S. for such aircraft may be ready to rebound. The company this week hosted two days of talks in Europe with airlines from around the world to gauge their interest in a new plane to satisfy demand for the next 20 to 30 years, said John Slattery, president of Embraer Commercial Aviation. “We are at the early stages of assessing what the business case could be,” he said Thursday. The plane principally would compete with Canada’s Bombardier Inc. and ATR the European turboprop maker owned by Airbus SE and Italy’s Leonardo SpA. Mr. Slattery said current turboprop designs now being sold are “decades old” potentially opening the door for a plane featuring a new airframe, engines and other enhancements. “We are serious about it,” he told the Aviation Club in London. The Brazilian aircraft maker is best known for making 70-seat to 100-seat regional jets heavily used on routes with not enough demand to warrant operating larger Boeing Co. or Airbus planes. Mr. Slattery said the feedback from the so called airline advisory board was instructive. Plane makers typically hold such meetings to get customer feedback and refine their aircraft concepts before formally offering new aircraft designs for sale. Embraer would likely introduce more than one version to cover different passenger numbers. The exact sizes haven’t been defined yet. He wouldn’t say when Embraer may decide whether to introduce a new turboprop plane. Turboprops tend to fly fewer passengers on shorter distances. But they typically burn less gas than their regional jet cousins offering airlines a way to cut their fuel bill. Turboprops fell out of favor in the U.S. because passengers generally preferred jets they viewed as more comfortable and modern. But after a prolonged orders lull, ATR, which has the largest market share, said it has won a preliminary 20 aircraft deal with Fort Lauderdale, Fla.-based Silver Airways Corp. The first of the planes, being introduced through a plane rental company, could be delivered before year-end, an official for the plane maker said. Mr. Slattery said the U.S. market for smaller airliners for now likely will remain focused on regional jets, though new turboprop technology could help spur a renaissance. ATR projects a demand for more than 2,500 turboprops globally through 2035. The company also has considered launching a more than 90-seat turboprop, larger than its existing models, though the company held off on committing to such a design. Embraer built turboprops from the mid-1980s through the 1990s, though more recently has focused on building regional and private jets. The newest generation of its regional jets is due to enter service next year. Write to Robert Wall at robert.wall@wsj.com