OFFICIAL MAGAZINE OF THE NEW ZEALAND AIRPORTS ASSOCIATION March 2018
PROVINCIAL GROWTH FUND AND LOCAL AIRPORTS, SUSTAINABILITY INITIATIVES, EUROPEAN POSITION ON DRONES, CHRISTCHURCH AIRPORT 2040, AND CONTINUED NZ AIRPORTS CONFERENCE COVERAGE
7 Also in this edition ...
Provincial Growth Fund and Local Airports...... p2-3 Enhanced Sustainability Commitment from Auckland Airport...... p3-4 Sustainability and Going Green...... p4-6 360-degree Resilience – the Christchurch Airport Approach...... p7-8 Drones and Disruption...... p9-11 European Position on Drones...... p11-12 Christchurch Airport 2040...... p13-14 New Ops Centre Delivers for NZ Post...... p15 Changing Expectations 2 of Seismic Resilience...... p16-17 How to Design the Airport of the Future...... p17-18 Beyond Bricks and Mortar...... p19-20 Growing Travel Markets, Capacity and Connectivity...... p20-22 How to Build Real Relationships with Your Customers Through Technology...... p22-23 Dealing with Cyber 21 9 Security Risk...... p23-24
Level 6, Perpetual Guardian Building, 99 Customhouse Quay, Wellington | PO Box 11369, Wellington 6142 | +64 4 384 3217 | nzairports.co.nz Provincial Growth Fund and Local Airports The New Zealand Airports Association (NZ Airports) has applied to the Ministry for Business Innovation and Employment (MBIE) for funding support for small regional airports.
NZ Airports chief executive Kevin Ward says the association is confident that its Gisborne Airport proposal to assure the future of 12 local airports is a great example of the sort of investment the $1 billion Provincial Growth Fund (PGF) was set up for.
The PGF aims to lift productivity potential in the provinces. Its priorities are to enhance economic development opportunities, create sustainable jobs, enable Māori to reach their full potential, boost social inclusion and participation, build resilient communities, and help meet “We can put a big tick in all those “The airport owners (mostly district New Zealand’s climate change targets. boxes,” says Mr Ward. councils) are fully committed to their “In fact, air links from the regions airports, but it is unfair on the local to the main cities will be essential community to shoulder the cost burden NZ Airports has to get most of the fund’s projects when road and rail projects receive running smoothly.” generous funding. identified the Mr Ward says that New Zealand “Air travel to the regions is part Airports’ FlyLocal NZ campaign has of the national transport system, airports at Kaitaia, been gathering support since it was like state highways. Small launched at the Beehive in July last airports should have sustainable year. The association’s position Kerikeri, Whangarei, Government funding support, as paper Linking the long white cloud state highways do. Whakatane, Gisborne, (which can be viewed on
2 NZ Airports Magazine | March 2018 NZ Airports believes that securing the future of airport funding will add huge leverage to economic and social All provinces are eligible for funding, however, Tairāwhiti/ development in the regions, and East Coast, Hawke’s Bay, Tai Tokerau/Northland, ensure jobs and people are attracted and retained. Bay of Plenty, West Coast and Manawatū-Whanganui “It will be one of the keys that unlocks future productivity. New Zealand is one have been identified for early investment. Nine of the of the few developed countries that 12 small airports are located in these regions. does not have a programme of this sort,” adds Mr Ward. Enhanced Sustainability Commitment from Auckland Airport Iain MacIntyre
Auckland Airport has committed to the global Science Based Targets initiative as it strives to reduce its Scope 1 and Scope 2 greenhouse gas emissions1 by 45% per square metre by 2025 from a 2012 base.
The airport is understood to have offers resources, workshops Having also partnered with become the first company in Oceania and guidance to reduce barriers Enviro-Mark Solutions over the past to commit to the initiative, which is to adoption decade and adopted the global ISO a collaboration between the Carbon 14064 standard, the airport annually independently assesses and Disclosure Project, World Resources approves companies’ targets submits to external carbon footprint Institute, World Wide Fund for Nature audits which have consequently and United Nations Global Compact “Many companies are already achieved Carbon Emissions (and is also a We Mean Business demonstrating they have the Management and Reduction Scheme Coalition commitment). skills, expertise and ingenuity to (CEMARS) certification over the past simultaneously reduce their footprint five years. With a slogan of “driving ambitious and increase their growth – but want to corporate climate action”, Science ensure the transformational action they States Enviro-Mark: “Auckland Airport Based Targets: take is aligned with current climate is the key gateway into New Zealand showcases companies that set science,” states the initiative. and, as such, offers the first and last impressions for millions of international science-based targets through “Businesses can ensure they are visitors each year. Auckland Airport has case studies, events and media playing their part in the global effort to to highlight the increased limit global warming to well below two had a sustainability policy in place since innovation, reduced regulatory degrees Celsius by setting a science- 2008 and in the same year signed an uncertainty, strengthened based target.” Airport Council International declaration investor confidence and on climate change, confirming its desire Auckland Airport acknowledges that improved profitability and to work towards carbon neutrality.” the aviation industry contributes to competitiveness generated by climate change. It states it is working In a case study on Enviro-Mark’s science-based target setting with its aviation partners to reduce the Website, Auckland Airport states that defines and promotes best carbon its collective operations omit the business’ ongoing sustainability practice in science-based target and its commitment to the Science commitment has seen its carbon setting with the support of a Based Targets initiative is an important footprint comparably reduce by 26% technical advisory group part of this work. for the year to June 30, 2017.
1 According to iCompli Sustainability, Scope 1 greenhouse gas emissions (also referred to as “direct greenhouse gas”) are defined as “emissions from sources that are owned or controlled by the organisation” and Scope 2 greenhouse gas emissions (also referred to as “energy indirect greenhouse gas”) are defined as “emissions from the consumption of purchased electricity, steam or other sources of energy generated upstream from the organisation”
Level 6, Perpetual Guardian Building, 99 Customhouse Quay, Wellington | PO Box 11369, Wellington 6142 | +64 4 384 3217 | nzairports.co.nz 3 “The airport’s energy management airport’s activities and the increased cooling is required and gas savings team has upgraded plant and number of travellers passing through when heating is required. equipment in the international the facility”. “The project achieved verified electrical terminal,” it states. “A recently-completed energy efficiency energy savings of 84% and gas “In 2012 all the lights – some 750 – were project concentrated on heating and savings of 56%. That’s a combined replaced in the check-in area of the cooling in one of the piers in the monthly energy saving of 62% – international terminal. Replacements international terminal. The project saw the 175,000KWh or $15,000.” were highly efficient and dimmable replacement of old and inefficient drives The Paris Agreement has targeted and included a significant number of with the latest variable-speed technology, keeping the global temperature rise to light-emitting diodes. This initiative has linked to carbon dioxide sensors. below two degrees Celsius and as close reduced the energy being consumed on “This means fans moving air around to 1.5 degrees Celsius as possible. It a square-metre basis by 50%. the check-in area have changed from is understood a recent United Nations “In addition, the lights are connected to being either fully on or fully off, to climate report has projected greenhouse smart controls that mean they respond ramping up and down according to gas emissions will likely raise the global to light levels and occupancy, and demand. This provides an opportunity temperature by 3.7-4.8 degrees Celsius can be individually set to achieve the for electrical energy savings when by the end of the Century. correct light levels for tasks while also minimising energy consumption. This pushes the savings up to over 70% Auckland Airport’s ongoing sustainability commitment has seen its carbon footprint comparably reduce by 26% for the year to June 30, 2017 “And there is more to come with current reprogramming of the computers and software that control all the building’s energy functions. The airport’s carbon footprint has reduced 35% since 2012 from internal energy and fuel savings, and because more of the electricity available from the national grid comes from renewable sources.” The airport’s sustainability team also observes that energy and fuel costs at the airport have remained below 5% of operational costs – in the region of $4 million to $5 million – for the past five years, “despite the growth in the Sustainability and Going Green NZ AIRPORTS CONFERENCE 2017, WELLINGTON Highlighting the growing importance of environmental considerations in modern business practice, Airbiz aviation environment and sustainability manager Ken Conway and Air NZ head of government and industry affairs Duncan Small broached the topic from both the airport and airline perspectives. Supercharging future plans to deliver sustainable 1.5% average annual fuel business outcomes. efficiency improvement New Zealand’s Success (2009-2020) – Air NZ’s Approach to A participant of the New Zealand Emissions Trading Scheme (ETS) carbon-neutral growth Sustainability through its domestic operation, from 2020 “Carbon is a material issue for us”, the carrier has also signed up 50% reduction in net emissions Mr Small emphasised to delegates to the following global aviation by 2050 compared to as he outlined Air NZ’s current and climate targets: 2005 levels
4 NZ Airports Magazine | March 2018 Noting the carrier must reduce or offset “The transition to electric vehicles is carbon emissions, Mr Small said those seen as very important to improve targets would be a key focus for the New Zealand’s environmental business in the coming year. performance. We have a massive supply “The 50% net emission reduction of renewable electricity (82%) that can by 2050 will need to be achieved be increased as demand increases. by aircraft design and biofuel “It also offers a huge economic development, so we will need to opportunity for the nation – we understand the effect of those before currently import up to $4 billion we can see the effect on offsets annually to fuel the light vehicle fleet. numbers out to 2050,” he said. “We have around 600 ground support Air NZ’s primary carbon strategy equipment (GSE) units of which 45% focuses currently entail: are currently electric – up from around a carbon reduction programme 25% in 2013. We aim to have 90% of (CRP) – with operations GSEs electric by 2020.” integrity and standards, Furthermore, Air NZ is pursuing Duncan Small to achieve sustained various environmentally-beneficial emissions reductions initiatives through partnerships with pursuing potential aviation parties including the Department of He emphasised there were compelling biofuel opportunities – Conservation, iwi and Antarctica reasons to act – it was not just a implemented to deliver New Zealand. It is also advancing nice-to-have – and that the overall cost-effective future supply a number of social and economic strategy was “core to our success, not projects, just a sidebar”. contributing to making tourism “Green” is the New sustainable, Normal – the Case for encouraging stronger Going Green sustainability Mr Conway opened his presentation with within its supply the Finavia “A HEL of a challenge” video, chain and which outlined the multitude of initiatives showcasing local being progressed by the Finnish operator products within in order to ensure all 21 of its airports are its offerings. Carbon is a “material issue” for Air NZ carbon neutral by 2020. Additionally, These developments included utilising Mr Small said solar and wind power, electric and pursuing sustainable and the carrier was ensuring it shared its renewable-diesel vehicles, LED lights, cost-effective carbon authentic and inspiring stories. bioenergy and geothermal heating as offsetting options with well as new buildings constructed to “As well as having metrics and New Zealand partners that the highest sustainability criteria. indicators that can better help us offer environmental co-benefits measure success, we want to continue – biodiversity, linking with Finavia’s view in the video is: “What we Maori strategy and regional to communicate our progress – both do is not really a choice, it’s our duty.” successes and failures too – and development, which entails While contemplating it is not easy working with Government continue to win awards for our being “green”, Mr Conway said high policy officials programme in recognition of our broad levels of environmental performance approach to social, environmental As well as aiming to super charge were increasingly being built into and economic sustainability, and the airports throughout the world, as the New Zealand’s success socially, progress we’re making to embed “envelope is being pushed”. environmentally and economically the agenda throughout our business for “our people, our place and our strategy and operations.” Mega-trends and disruptors observed economy”, Air NZ is seeking to to be driving the move away from leverage the country’s renewable In overview, Mr Small said Air NZ had traditional thinking in the sector include energy opportunities. A prime example made good recent progress climate change, food shortages, of this goal being the January on its sustainability strategy, including tomorrow’s travellers, geo-political shifts, 2017-completed transition of its light having launched key projects and digitisation, natural disasters, fiscal debt, vehicle fleet to 79 electric or plug-in demonstrated strong leadership health shocks, artificial intelligence, hybrid options, said Mr Small. through communicating our ambition. robotics and the New Silk Road.
Level 6, Perpetual Guardian Building, 99 Customhouse Quay, Wellington | PO Box 11369, Wellington 6142 | +64 4 384 3217 | nzairports.co.nz 5 Mr Conway provided delegates with a snapshot of current and/or potential Ken Conway developments being advanced across the spectrum, including one aimed at addressing the massive carbon emissions generated from large aircraft being held up on the tarmac. He noted that taxiing via electric- powered and remote-controlled tugs significantly reduced aircraft fuel use and emissions as well as the tugs themselves delivering much less environmental impact compared to traditional equipment. Other notable initiatives included aircraft being solar/battery-powered or biofuelled, automated airport campus shuttles and baggage dollies, passengers increasingly Mr Conway strongly encouraged environmental – carbon travelling to/from airports via shuttles New Zealand airports to join the equivalent emissions and trains, as well as terminals being Airports Council International (ACI) (measured by annual CO2 designed with a focus on energy/CO2 Airport Carbon Accreditation Program. equivalent emissions) emissions, water, waste and BREEAM1 He noted this initiative currently has rating considerations. financial – operational cost of 198 members of which 35 are currently airport (measured by annual Additionally, he described energy being ranked carbon neutral, but with only dollar cost) generated from walking touch pads in one located in Australasia. terminals and exercycles for waiting Noting the green path is a never- He touched upon the balancing passengers, solar/electric-powered ending journey, Mr Conway outlined goal of “landing the C-Suite” baggage-handling equipment, growing that carbon-neutral growth revolved across the potentially-competing green produce on campus such around such keystones as being considerations of: as honey, monitoring air quality via resource smart, intermodal, profitable campus plants, as well as displaying/ operational – critical-to- and a good neighbour, as well as pledging green across various leading/ business activities, operations driving green skies, efficient airfields, greatest parameters in order to set and passenger experience intelligent terminals and adaptability. standards and generate a sense of (measured by time-in- Among notable achievers highlighted competition in the field. mode performance) in this regard were Galapagos Islands Airport as the world’s first ecological airport, San Diego International Airport Energy being generated from walking touch pads in terminals as the world’s first LEED2 platinum terminal, Gatwick Airport’s with the world’s first airport energy-from-waste plant, Indianapolis International Airport with the world’s largest airport solar farm and Trondheim Airport for its seawater exchange system. In conclusion, Mr Conway noted there was a considerable body of green innovation being advanced by airports throughout the world. “Follow the green path – quieter, cleaner, more efficient operations – innovate through intelligence and simplicity.”
1 BREEAM is a sustainability assessment method for master-planning projects, infrastructure and buildings
2 Leadership in Energy and Environmental Design (LEED) is a rating system devised by the United States Green Building Council to evaluate the environmental performance of a building and encourage market transformation towards sustainable design
6 NZ Airports Magazine | March 2018 360-degree Resilience – the Christchurch Airport Approach NZ AIRPORTS CONFERENCE 2017, WELLINGTON Operational resilience underpinned by people resilience and wellbeing is a key strategic priority for Christchurch airport, delegates were informed at this year’s NZ Airports conference.
being the South Island’s personnel to be brought into the region Caroline airfreight logistics hub and injured people to be flown out Harvie-Teare very promptly. being one of the five Antarctic cities in the world Furthermore, the airport learned explicitly from those experiences handling 6.6 million and has consequently been able to passengers annually further enhance both its operational employing 6500 people on resilience as well as people resilience its campus and wellbeing. Its strategic framework highlights the need to identify risks, receiving 30,000 visitors control risks, contingency plan each day (including command control, facilities, The importance of operational staff training, relationships and resilience has consequently been equipment) and learn lessons. championed at the airport’s executive Airport management now has A-B-C level, with senior management and staff “dedicated and empowered to checklists to follow in the advent of deliver” the strategy. disruptive events. Delegates were shown an example of the detailed “Disruptive events are numerous and contingency plans drawn up to cover come in many forms, both big and both terminal and non-terminal small,” delegates were told. assets during three different levels “Operational resilience is our ability of snow events, with various calls to to anticipate, prevent, manage, action listed under the headings of recover and learn from disruption. “communicate”, “people”, “equipment” Achieving and maintaining and “location”. operational resilience is a strategic The presentation drew specific focus priority, not just an afterthought. on the impacts of the Christchurch In a joint presentation by the airport’s “The impact of operational resilience earthquakes, noting that people people, culture and safety general is likely to reach wider than the airport respond differently to such events and manager Caroline Harvie-Teare and and immediate stakeholders.” that no one situation is the same as another – including the very nature of chief operations and property officer Recounting the Blair Forgie, the message was clearly key role the airport delivered that, for this business, has played in “resilience is not an afterthought”. Christchurch’s Defining operational resilience as economic recovery being “to anticipate, prevent, manage, following the recover and learn from disruption”, the earthquakes, the presenters noted presenters highlighted the importance its response plans of ensuring the airport operation were brought remains free from disruption, given its into repeated prominent role in the supply chain and action during economy includes: those events. being the gateway for This enabled Christchurch and the rescue and rebuild Blair Forgie South Island equipment and
Level 6, Perpetual Guardian Building, 99 Customhouse Quay, Wellington | PO Box 11369, Wellington 6142 | +64 4 384 3217 | nzairports.co.nz 7 response being influenced by when it might occur in a 24/7 airport environment. With the airport juggling with a sense of responsibility to continue operations while balancing personal situations during the earthquakes period, the presentation noted short- term impacts included a natural stress response, people being drawn together and even the potential for resentment given some had experiences worse than others. Medium-to-long-term impacts included risk that the feeling of unification or crisis response needs to be replicated, and that repeat events might trigger the reliving of traumatic memories. It was also noted that the interval to reach stress responses progressively shortened over time. Repeat events Christchurch Airport has leveraged its earthquake experiences to help enhance saw responses amplified and long both its operational resilience as well as people resilience and wellbeing periods of enduring high stress took a mental and physical toll both in Looking at the longer-term approach, giving back – Ronald professional and personal terms. the presentation noted the need McDonald House, Pink Ribbon to be prepared practically through events, Blue November, Fiji In regards to the immediate response emergency response tools (both Kids charity initiative and Fill to such events, the presentation Their Lunchbox emphasised that regular and informative individuals and businesses), business interruption plans and tools as well as communications – delivered by a range Having a clarity of purpose, being via communication mediums such as of tools – are critical. aware of and responsive to threats, E-text, Facebook and phone trees etc). being highly productive and also being “Are you okay? Is your family okay? Can The need to be prepared mentally and flexible, nimble and adaptable, are we help? Here is the situation at work. physically, was also emphasised. key aspects of the strategy. Key words “[Provide] information on the status “Building resilience equals wellbeing are “collaboration”, “purpose driven”, and safety of [your] infrastructure.” strategy – advancing in the face of “reasoning”, “tenacity”, “composure” It was equally important to demonstrate adversity, not just coping with it.” and “engagement”. flexibility, support and understanding, Bringing the wellbeing strategy to life at Achieving operational resilience noting that as people’s responses differ, Christchurch Airport includes: underpinned by people resilience so support requirements should equally and wellbeing plays a key role in physical health – onsite health differ. Recommendations included: the airport’s vision of championing checks, flu vaccinations, the South Island by building a practical measures – marathons/City2Surf, three- emergency packs (food, water, stronger business, enhancing month Wellbeing Challenge, torches and blankets), business customer journeys and “being great onsite yoga and safety interruption options (offsite kaitiaki” (guardians). seminar series working arrangements and hard copy contact details), practical sense of connection – random home support, and cooking and acts of kindness, Champion washing facilities onsite Team hosted lunches, long Previous Magazine Editions service celebrations, Champion wellbeing measures – critical Earlier editions of the NZ Airports Team awards, job shadowing response support, counselling magazine are available from our programme and Spring Carnival (individual and extended Website
8 NZ Airports Magazine | March 2018 Drones and Disruption NZ AIRPORTS CONFERENCE 2017, WELLINGTON Airports and the aviation industry need to not only accept but moreover embrace changes that will inevitably be driven by “disruptive technologies” and the advancement of drones, delegates were told by Beca technology strategy group manager Vaughan Robertson and UAVNZ chairperson Andy Grant. Commercial Drone greater endurance and faster charging – new Futures in New Zealand battery chemistry Mr Grant began his presentation in full redundancy and co-operation dramatic fashion with cabin footage of between robotic units a commercial jet liner having its port wing tip destroyed in collision with a In regards to other emerging drone – before then revealing it to be a developments, Mr Grant noted “fake news” creation. physically-tethered systems were being progressed in the field of Providing attendees with a rundown surveillance and communications, on current and future predicted which therefore negate any risk of developments in the field, he explained control of a drone being lost. The that the sudden upsurge in drone New Zealand-based VigilAir numbers has been facilitated by the Andy Grant system, which entails a drone being simultaneous advancement of various programmed to follow automated different technologies. paths and actions, was also being “Business Insider Intelligence predicts just minutes by drone versus a whole advanced for security functions sales of drones to exceed US$12 day via traditional means. in airports. billion in 2021, up from US$8.5 billion He predicted drones would further However, addressing potential in 2016,” said Mr Grant. advance in the areas of: issues with drones operating in and “This growth will occur across different around airports, Mr Grant played a greater autonomy – outside line- segments of the drone industry. computer animation outlining the huge of-site and remote operations Consumer drone shipments will hit 29 downstream impact of one single drone million units [and] enterprise drones greater payload weight recently appearing in the flight path of (also known as commercial drones) and sophistication incoming aircraft at Gatwick airport. sales will reach 805,000 in 2021.” He noted that in New Zealand there were currently 92 commercial enterprises operating 279 drones with Civil Aviation Authority 102 Certification. Real estate was identified as a key contemporary market and agriculture predicted as a potential boom area, with the full breakdown entailing 75 operators in photography work, nine in power line inspection, two in agricultural and 86 in other areas such as media operations and aerial surveying/mapping. As an illustration of why drones would continue to increase in popularity and range of use, Mr Grant described that a kilometre of steel wire used in the removal of felled timber could be Global drones sales are predicted to exceed US$12 billion in 2021 stretched over difficult forest terrain in
Level 6, Perpetual Guardian Building, 99 Customhouse Quay, Wellington | PO Box 11369, Wellington 6142 | +64 4 384 3217 | nzairports.co.nz 9 planes actually possible to utilise different tools to outnumbering “improve accuracy of prediction over manned planes the wild-assed guess”. at airports. Highlighting Gartner’s “Hype Cycle Firmly predicting for Emerging Technologies” as one drones would example, Mr Robertson listed 18 drive a cultural prime areas of technology disruption, shift, he noted included within which was the Internet there would be of Things, drones/UAVs (unmanned significant safety aerial vehicles) and artificial issues to address intelligence (AI)/machine learning. in the airport He said important points to note environment – when striving to decipher such over the next 12 to information included: If we can identify exponential trends early it can 36 months airports give us a huge advantage – Vaughan Robertson would need to timeframes are critical – and very hard to pick become active in This incident was demonstrated to preparing for drones and he predicted terminology changes have generated massive flight holding the public would expect airports to watch the intersections patterns in the skies around Gatwick, have drone counter measures in place flight diversions and even delayed within the next five years. some sources are more reliable departures from other airports. than others “The first step is awareness and then Emphasising the point, he noted the working out processes and procedures.” new technology is not Airprox agency has recorded a huge necessarily disruptive increase in the number of reports Disruptive Technologies it might not be real – check involving drones coming close to and How They and corroborate aircraft over the United Kingdom since 2013. Might Impact Us He described the two-year “cone of uncertainty” within which an expected To address such concerns, “Why should we care about disruptive reality should develop – “it’s not about Mr Grant observed that counter technology?” Mr Robertson asked what, it’s about what and when”. drone technologies were being delegates while simultaneously displaying the names of notable investigated in the form of: Looking into general behavioural traits, yesteryear companies Kodak, Nokia Mr Robertson observed: “Humans surveillance and Blockbuster. are hard wired to recognise linear interdiction Observing that over half of the Fortune progression, but one of the key indicators of disruption is exponential acoustic 500-listed companies in the Year 2000 have now disappeared – mainly due development. If we can identify net guns – flying nets to the impact of digital technologies exponential trends early it can give us RF (radio frequency) – he nonetheless emphasised it was a huge advantage.” interception
jamming – GPS/control Vaughan Robertson radar – pulsed and FMCW (frequency modulated continuous wave) laser/guns/kinetic visual/IR (infrared) birds Albeit, he also commented that “nothing concrete as yet” had come out of such endeavours. In conclusion, Mr Grant predicted convergence would be seen between drones and manned flight, as well as a not-too-distant future of unmanned
10 NZ Airports Magazine | March 2018 In regards to current examples of the point, then played footage of a of applications being used right now, disruption technology playing out within drone being clawed out of the air by and increased processing power and the Internet of Things, he highlighted a tiger and a drone crashing into a the need for efficiency will drive more. wireless smart city lighting, stock motorcyclist in the throes of a jump. “Think of the changes at immigration management via the Amazon GeniCan, Nonetheless, he equally laid a with SmartGate and how that has weather-detection via the Peggy challenge to airports in New Zealand to changed the process.” connected clothes peg, environment become more proactive in this field. monitoring via robomussels, the In parting, Mr Robertson challenged Swiss research institute Empa’s “Given the range of platforms described the audience to be responsive fruit-mimicking sensors, the Prevent as UAVs, the possibilities seem as yet to change and adaptive to concussion-detecting mouthguard and untapped. You should be grabbing this new technology. the London Pigeon Air Patrol. stuff and seeing how you can manage.” “Why is all of this so important? I truly In the sphere of drones, he noted a Moving onto disruptive technologies believe that our ability to adapt has version of this technology was now playing out in the realms of AI, Mr been the single factor that has taken being used to pollinate plants in Japan, Robertson listed current applications the human race to the top of the food and observed the Dubai Road and as including photo classification, real- chain and the continual improvement of Transport Authority was planning to time facial recognition, transportation that ability will determine the success introduce the one-person Ehang 184 to optimisation data analysis, OCR of not just you or me or Beca, but provide last-mile transport. (optimal character recognition), E-mail actually of the whole human race.” spam filtering, topic spotting (news However, Mr Robertson also To drive home the point, he quoted clipping), language translation, weather suggested there would be significant Charles Darwin: “It is not the strongest prediction and medical diagnosis. compliance issues with deploying of the species that survive, nor the this 100 kilogram-carrying and 60 “If you’re tempted to think of AI as a most intelligent, but the one most kph-capable craft and, emphasising future concept, don’t. There are plenty responsive to change.” European Position on Drones Iain MacIntyre
Airports Council International (ACI) Europe has outlined a series of key conclusions and recommendations on the opportunities and challenges posed by drones operating both in and around airports.
In a position paper published in January, airport’s operations or commercial Within this process, it recommends: the professional association of airport activities. Integration of the technology a registration scheme be operators noted that drones (also into controlled airspace will be a critical established for drone operators component to reduce the risk that referred to as “unmanned aerial vehicles and UAVs to ensure all owners [UAVs]”) were occupying ever-wider drone operations currently pose to are easily identifiable, and which uses in such industries as agriculture, the safety of manned aviation at and takes account of digital and transport, media and entertainment. around airports, as well as challenges mobile technology to facilitate to privacy and the security of aviation.” signing up at minimum cost With their global number having grown significantly over the past five years Drones Safety Rulebook the rules be performance-based – and expected to increase ten-fold and not overly prescriptive and, to about 68 million by 2021 – ACI Consequently, ACI Europe has as far as possible, future-proofed Europe considers there are two key recommended that a European safety in anticipation of technological considerations for airports and the rulebook on drone operation be finalised developments in drone and aviation sector. as a matter of urgency by the European traffic management technologies Aviation Safety Agency (EASA). ACI’s strong experience with “Firstly, keeping airports safe from risk assessments from safety unwanted drone activities – especially “This rulebook should include a management systems be used by hobbyists and potentially from consistent approach to protected zones around airports, requirements for pilots for the safe integration of UAV terrorist or criminal acts,” states the and be presented in a clear manner operation at aerodromes association’s position paper. enabling ordinary users to understand the rules be consistent with “Secondly, facilitating the use of UAV what they can and cannot do with their European policy on unmanned technology where it adds value to an buy-to-fly aircraft.” traffic management
Level 6, Perpetual Guardian Building, 99 Customhouse Quay, Wellington | PO Box 11369, Wellington 6142 | +64 4 384 3217 | nzairports.co.nz 11 Protecting Airports “So far, technical and policy-making traffic management – or ‘U-Space’ – advances have been made on setting which ACI Europe strongly supports. ACI Europe concludes that guidelines up a general framework for unmanned The operational issues with drone and benchmarking is needed on the flights at airports carry their own measures necessary to protect airports complexities, involving safety cases, About Part 101 and Part 102 Rules from drones. Additional Information air traffic control procedures, authority
For all the information you need about flying your aircraft The associationFor all the information will focus you need itsabout safety flying your aircraft approvals, technology adoption – all of safely, and within the rules, go to www.caa.govt.nz/rpas. safely, and within the rules, go to: which are currently at an early stage. and security work in this area, as www.caa.govt.nz/rpas well as engage local and European “ACI Europe will continue with Everyone flying under the rules in Part 101: On that web page, you can also see a list of organisations authorities approvedto develop to train you effective to fly your aircraft safely and If the maximum takeoff weight – that is, the weight further technical work under the within the rules. of your aircraft plus any additional gear you havesolutions to such challenges as: auspices of its technical and on it, such as a camera – is under 15 kg, you don’t For free stuff about airspace – posters, booklets – have a look need to worry about doing anything other than at the web page above, then email [email protected]. flying it safely, according to those rules. Most airport-specific protection operational safety committee models sold in shops weigh one to three kilograms. To be notified of any changes or updates to the rules Flying assisted by the Aviation Security policies,in Parts 101 and including 102, go to our Emailstandardised Notification Service:
If the maximum takeoff weight is 15 kg to 25 kg, restricted zones, which it Committee, meanwhile inviting www.caa.govt.nz/subscribe your aircraft must have been constructed, with or inspected and approved, then operated, notes are “called for ... but aviation authorities to collaborate under the authority of a person or association Go to the same place to subscribe to receive a notification approved by the Director of Civil Aviation. maywhen our not safety be magazine covered Vector is published yet by on the the web site. towards an ambitious integration of Go to the CAA web site, www.caa.govt.nz/rpas European rulebook” Control? drones into airport environments.” for a list of them. To learn more about the world of RPAS, and for help with Have fun, but remember planning your flights, go to the UAV hub, ‘Airshare’ it’s an aircraft… technical systemswww.airshare.co.nz to detect. and Its recommendations in this area include: ‘Certification’ under Part 102 may enable you to neutralise drones from the state begin by facilitating the approval fly your aircraft if you cannot fly under the rules authorities responsible for law in Part 101: of simple and lower-risk Part 102 is based on the risk of flying operations. Applicants enforcementThe only official depiction of airspace is in the aeronautical must submit an ‘exposition’ showing that they have identified charts available to buy from www.aipshop.co.nz. operations, such as surveillance the hazards in their operation, and assessed and managed the associated risks. Each application will be considered on its defining the roles and operations at a safe distance There are about 75 model aircraft clubs in New Zealand. merits – that allows for the wide scope of operations made responsibilitiesYou might want to join oneof todifferent take advantage of local possible by RPAS. from the movement area of knowledge, learn about safe operating practices, and get Once you’ve decided that you do need to be certificated for actors,a better both understanding public of andrule requirements. private, an aerodrome your type of operation, we’ve provided some documents to Model Flying NZ, www.modelflyingnz.org, is the longest- help you. There’s a compliance matrix for both Part 101 and in protecting airports established model flying organisation in New Zealand. 102, and you will need to complete both to apply for a Part 102 develop standard scenarios Contact them for information about having your 15 to 25 kg certificate. There’s also a sample exposition you can use. aircraft inspected and approved to fly; and about gaining with risk assessments for an Before you start flying, contact the CAA for advice: Trafficthe qualification Management to fly less than 4 km from an aerodrome. [email protected]. accelerated authorisation using Noting there is opportunity for the declarations of compliance aviation industry to reap benefits from drones, ACI Europe states advance aviation industry that authorities, air traffic control Rules for New Zealand drone operators proposals on best practice and operators alike must work (including helpful brochures such as the technical and operational collaboratively to establish how drones above) can be found on the CAA Website concepts available to can operate at busy airports.
ACI Europe has recommended that a European safety rulebook on drone operation be finalised as a matter of urgency by the European Aviation Safety Agency (EASA)
12 NZ Airports Magazine | March 2018 Christchurch Airport 2040 Over the past four years, Christchurch Airport has seen record nominal passenger growth, adding around 950,000 passengers per annum to be closing in on seven million passengers a year. The airport set an all-time record in December 2017, handling 685,000 passengers for the month. This was followed in January 2018 with an all-time record for international passengers in a month, of 195,881. In addition, 2017 saw Christchurch become the fastest-growing entry point of Chinese visitors (both nominally and in percentage terms) off the back of strong capacity growth from China Southern Airlines, Cathay Pacific, Singapore Airlines and Qantas.
Christchurch itself has the fastest championing the South Island and and Auckland – and our long-haul growing accommodation sector, both with focus now firmly on future growth, partners continue to show positive in terms of new hotel rooms and Airbnb the airport’s planning team has been growth attitudes towards Asia and the (now accounting for around 25% of leading a project looking out to 2040 to Middle East. We’re super proud to be international accommodation nights in come up with a vision and master plan the smallest city on the planet to have the city). for the airport campus. This process a daily A380 service.” Christchurch Airport remains an culminated in the public release of a Mr Johns says the airport reviews its essential gateway for spreading video entitled “Christchurch Airport long-term planning for land use and the social and economic benefits of 2040” in November 2017. infrastructure every ten years. He tourism and airfreight to the regions “The airport is the South Island’s says this video shares that thinking, of the South Island. In fact the airport gateway,” he says. which had been underway for almost spreads international visitors to more two years. regions than any other New Zealand “It’s the strongest growing airport “Christchurch Airport is focused international gateway. According in nominal terms in the South on how emerging technology will to official Government statistics, Island and needs to learn from renovate airport business models and visitors who enter New Zealand the experience of others and keep is actively partnering with companies through Christchurch spend around investing alongside growth, to who operate in this space and 76% of their stay in the regions – ensure it can service its airline are developing technology today. this compares to 67% for Auckland, customers, the travelling public and This is best demonstrated through 53% for Wellington and 46% the regions of the South Island. our partnership in the country’s for Queenstown. “Christchurch Airport’s airline partners first autonomous vehicle trial, our Chief executive Malcolm Johns says are eyeing growth on our four main partnership with Alibaba and being a the airport company is focused on hubs – Melbourne, Sydney, Brisbane partner in the country’s first (and the
Level 6, Perpetual Guardian Building, 99 Customhouse Quay, Wellington | PO Box 11369, Wellington 6142 | +64 4 384 3217 | nzairports.co.nz 13 Southern Hemisphere’s largest) fully- electric vehicle sharing scheme. “We are conscious that the activity at Christchurch Airport underpins 6000 jobs on campus and more than 60,000 jobs across the South Island. We expect employment on campus to grow to around 20,000 by 2040.” Mr Johns says the 2040 version of the airport would see its main arterial road, Memorial Avenue, extended to create a “grand avenue” to an expanded terminal to cater for forecast passenger growth. A series of minor runway extensions would cater for larger and more frequent aircraft, without a need for major changes to the airfield or noise impacts in residential areas. He says the latest master plan gives the airport a framework to deliver future growth while making the most of exciting innovations in technology and sustainable management, which are likely to form an important part of society’s evolution over the next 20-30 years. The animated video showing key aspects of the 2040 Vision and summary document can be viewed at
14 NZ Airports Magazine | March 2018 New Ops Centre Delivers for NZ Post Iain MacIntyre
A comparable four-fold increase in processing capacity has been reported by NZ Post’s Southern Operations Centre since its opening alongside the Christchurch International Airport tarmac as part of the Dakota Park development in the earlier part of last year.
Contrasted to the previous “For current and future customers, the Auckland, Christchurch and 5000-square-metre facility in Wairakei the new technology, facility and Palmerston North airports. Road, the new 14,600-square-metre location means increased processing “Our air network change to 737-400 Southern hub is processing 6000 speed and accuracy of tracked items. aircraft was because of the need to parcels an hour, advises NZ Post This contributes to faster delivery to replace an ageing fleet, combined with Southern Operations Centre site customers and greater tracking ability moving to a fleet configuration with manager Marie Watson. for them and NZ Post. lower costs. To make this investment “The centre brings all of our operations “The centre also provides an in the larger, faster aircraft, one of together at one site in Christchurch international gateway for inbound the things we also did was combine for our overnight and urgent courier freight flying directly into the parcel volumes with other freight and services, and parcel processing for South Island, as well as a great logistics companies. our third party logistics and distribution location and parking facilities for network,” says Ms Watson. customers who need to visit us. “The aircraft are leased by a joint- venture airline called ParcelAir. “The centre currently handles up “This building has been specifically This provides the airfreight services to 14 aircraft and 46 road linehaul built for NZ Post and around 170 of both businesses require to deliver a movements in a 24-hour period. our people are based there. They premium overnight courier service enjoy all the benefits of working “Its location to the road network is between the North and South Islands.” also ideal – just 200 metres off State in the centre’s excellent facilities, Highway 1 makes for faster and which include the latest health and NZ Post has leased the site through safer truck movements in and out of safety considerations.” to 2026 with options to extend and Christchurch. It also supports a fleet of Ms Watson adds that the facility has Although there was no direct link over 80 couriers.” additional space for growth. between the facility and NZ Post’s Ms Watson says NZ Post has invested recent move to 737-400 aircraft, “We’ve secured first rights to the over $8 million in the facility, which Ms Watson observes the business 25,000 square metres of adjacent land includes a significant outlay in new has also achieved new efficiencies should this be required in the future automated parcel sorting technology. in its aircraft operations between for expansion.”
Level 6, Perpetual Guardian Building, 99 Customhouse Quay, Wellington | PO Box 11369, Wellington 6142 | +64 4 384 3217 | nzairports.co.nz 15 Changing Expectations of Seismic Resilience NZ AIRPORTS CONFERENCE 2017, WELLINGTON Beca earthquake engineering technical director Richard Sharpe is challenging building owners in New Zealand to give renewed consideration to the level of earthquake resilience incorporated in their structures.
Beginning his conference address with the five-tiered some backgrounding, he informed Importance Levels delegates that over recent decades, for Building Types building design had progressively table. This rating evolved to focus on: level is defined as: “Structures that life safety in rare, as a whole may major earthquakes contain people in no damage in more frequent crowds or contents small earthquakes of high value to bigger design loads for more the community important facilities or pose risks to people in crowds.” Explaining that building design is Architectural fit out collapsing during an earthquake predicated on “annual probability of Elaborating on exceedance” calculations for surviving some of the various natural events, Mr Sharpe technical aspects of building design, potential for the architectural fit out nonetheless emphasised that no he said earthquake resilience can be to collapse on the people inside a building is earthquake proof. raised by increasing the ductility of building during an earthquake. To steel in structures and emphasised emphasise the point, he showed “Of course, when they don’t happen that columns should be stronger delegates numerous pictures of – and there’s been a period of than beams. such instances with buildings acquiescence for some time – we damaged by the Christchurch and On the latter point, Mr Sharpe have trouble getting people to pay for Kaikoura earthquakes. earthquake resilience,” he said. explained that strong columns with weak beams meant earthquake forces “The traumatic effect of that – even “They want a cheaper building were distributed across all storeys in a though the structure might be all right – and don’t want to be bothered with structure as well as providing greater is not acceptable.” [maximising resilience].” scope for lateral building displacement. He also added that some, even quite Referencing the New Zealand Building Contrastingly, weak columns with new buildings designed in such fashion Code, he outlined that airport terminals strong beams focused all impacts were having to be demolished after are assigned a level of three on in the bottom storey and provided earthquakes. Despite doing their job in much smaller an engineering sense, the damage is scope for building not economical to fix. Richard Sharpe displacement before the point To counter such issues, Mr Sharpe of collapse noted there had been a recent outbreak was reached. of cross-bracing in building design.
However, he “Stiffness in an earthquake gives noted the downfall you some protection against the contents – the architectural fit out – of the strong being damaged, because the fit out columns/weak is often brittle. beams design approach that “We were never [previously] allowed to has progressively contemplate telling an architect to put evolved was the that in a building. But attitudes have
16 NZ Airports Magazine | March 2018 changed, that’s the way we are going Another related [and] you can make it look good.” innovation was the P-Alert, whereby However, Mr Sharpe also emphasised following detection the need to ensure the respective of a primary strengths of steel and concrete needed earthquake to be appropriately balanced when retrofitting with cross-bracing. wave a warning could be issued One aviation sector example of this as to when the modern design trend can be found in secondary wave the Wellington Airport terminal. would arrive. In regards to monitoring the impacts of However, Mr earthquakes on buildings, Mr Sharpe Sharpe noted the noted that building owners could jury is still out on Architectural fit out collapsing during an earthquake incorporate measuring equipment such the initiative, given as accelerometers. This technology, the limited time which he observed was becoming people would have to react and the and alerts are issued as to which increasingly smaller in form and reducing undesirable likelihood people would structures need prompt inspection. evacuate buildings en masse during in cost, measures and transmits data on In summary, Mr Sharpe observed that peak ground acceleration. an earthquake. building design had evolved to largely Mr Sharpe said Beca itself has To improve its post-earthquake building solve life safety and damage control been experimenting with such inspection process, Mr Sharpe said issues, but noted that in regards to instrumentation, whereby a “signature” Beca has developed a service which is business continuity and resilience, that could be developed of a structure triggered in the event of a Magnitude remained “largely your choice”. when impacted by strong winds or 5 event. In such instances, relevant “After all of these decades we’ve small earthquakes which could then be earthquake data is captured, analysed changed to a different form of seismic analysed against readings taken during and contrasted against previously- resilience, but in the end it is up to you a significant event. logged information on client buildings what level you want to be protected.” How to Design the Airport of the Future NZ AIRPORTS CONFERENCE 2017, WELLINGTON “An airport is an airport, not just another construction project”, delegates were informed in a joint presentation by Auckland Airport project manager Paul Duffy and Mott Macdonald Australia and New Zealand head of aviation/projects director Ian Guy.
The pair described the various This symbiotic engage-consult- longevity is achieved in the build and detailed planning facets being feedback relationship has shaped ultimately completed. incorporated into the “airport of the project’s key vision as being to “Start with the end in mind – if you the future” Terminal Development achieve a world-class airport, that is don’t know where you’re going, you’re Project (TDP) to achieve an distinctly New Zealand and unlike any probably not going to get there,” affordable and resilient build, other airport in the world, and that fully delegates were told. completed in stages and which supports the operations of its aviation- facilitates stakeholders throughout. related stakeholders. “The one thing we can be sure about is that in 20 years what we have will not Recognised as a step change in the It was emphasised this vision provides be what we set out to get.” future of Auckland Airport, the project’s a constant checking back facility masterplan is evolving through that underpins all project decisions. Examining process, it was observed extensive, ongoing consultation with This ensures the flexibility necessary the project will effectively see an stakeholders including airlines and to enable inevitably-changing expanding cone of work from the representatives, legislators, border technologies to be incorporated masterplan into feasibility studies and authorities and service providers. over time and therefore guarantee implementation, contrasted against a
Level 6, Perpetual Guardian Building, 99 Customhouse Quay, Wellington | PO Box 11369, Wellington 6142 | +64 4 384 3217 | nzairports.co.nz 17 Another guiding principle is that Paul Duffy airport planning informs all design – Ian Guy forecasting, condition assessment and business case inputs drive the airport planning process consistently through the terminal, master planning and airfield developments. Demonstrated to delegates as a process map, airport planning was illustrated as drawing on the airport and stakeholder vision, capacity and asset condition as well as air traffic forecasts and schedules to respectively inform the development of operating concepts, conceptual layouts and facility requirements. decreasing cone of uncertainly and risk This process evolves to a phase up and down the chain so you are elements. Underpinning the process of technical evaluation and option delivering a world-class airport and throughout is a single programme refinement, with the subsequent not a world-class step in the journey management thread. incorporation of business and cost of the airport.” The importance of recognising the planning, enhancement of conceptual It was also observed that unlike concept’s position in the airspace- layouts as well as phasing and the construction of bridges being airfield-apron-terminal-landside delivery planning elements, ultimately typically civil and structural activities- hierarchy of need was emphasised, combining to forge the overall led, buildings being architectural- given that work in one area has flow-on development strategy. led and refining plants being effects on others. Implementation of that development MEP (mechanical, electrical, and plumbing)-led, airports are different “The TDP, we are very clear, is partly strategy – same process, many times and require appropriate internal and apron, pretty much all of the terminal and – showed airport planning work as external skill sets to cover all of those a little bit of landside – but it needs to initially being a dominant workflow engineering drivers and more. interface with those other components or that progressively diminishes, while it simply won’t provide the airport of the other design disciplines begin small “An airport’s prime function is to be future that Auckland Airport needs.” and progressively expand as the an airport. That’s how you get your project evolves through the stages Noting it was better to tweak airport of the future. It’s to look at it as of feasibility design, concept design, and adjust than invest in entirely an airport and not necessarily purely preliminary design, developed design, new rebuilds where possible, the as a design challenge, and you bring detailed design and procurement presenters discussed optimisation in the other design disciplines as you and construction. before expansion and the need to need them.” carefully analyse the reasons for “You’re designing part or all of the In parting, delegates were also capacity optimisation as well as the airport system, don’t try and adjust reminded that successfully delivering a consequencesAirports are of different!not optimising. things in isolation, look at the impacts project such as the TDP – which was at the concept design phase at the time of conference – means ensuring
Civil and the facility ultimately completed is Structural appropriate for the services it needs led Civil and Structural to provide. “You can design great facilities, but if you can’t do it within a budget and Architecture Airport aligning within that hierarchy you led MEP Planning Architecture simply won’t get a world-class airport, led because it won’t work for you as a business – it won’t be a sustainable, operating airport and it will close. MEP led Specialist Systems “A world-class airport has to balance the dollar with the fact it is an airport product, and it is an airport product Airports28/09/2017 areJoint different! AIAL and MM Presentation – Paul DuffyNZAA Conference and 2017 Ian Guy 14 within a whole system.”
18 NZ Airports Magazine | March 2018 Beyond Bricks and Mortar NZ AIRPORTS CONFERENCE 2017, WELLINGTON Christchurch Airport’s evolution from a traditional bricks and mortar platform business model to one that will provide a fit for purpose connection between producers and consumers into the future, was outlined by airport aeronautical chief commercial officer Justin atson.W
Speaking to conference delegates content. The just two weeks after the supported world’s largest rollout of Alipay under its innovative accommodation partnership with E-commerce, retail provider owns and technology conglomerate, Alibaba, no real estate. Mr Watson said today the supply chain The world’s most was no longer the central aggregator of valuable retailer business value. has no inventory.”
“What a company owns matters less He noted that than what it can connect,” he said. globally, air passenger Whereas traditionally, the business spending was also model relied on a physical retail space, reducing – online shopping being seen and ultimately to build a stronger Mr Watson said a significant shift relationship with visitors to the country, was being seen throughout the world, as a quicker and cheaper alternative where we can extract value before, whereby consumers were increasingly – as was particularly evidenced by under-30s now only knowing digital. during and after their stay”. shopping in a virtual space. Hence to ensure Christchurch Airport Emphasising the powerful ecosystem “If it can be digitised, it can remains relevant in the changing behind the Chinese-based be disrupted.” marketplace, Mr Watson said the Alibaba offering, Mr Watson noted He pointed to Uber, Facebook, airbnb business had embarked upon its New Zealand currently hosts 400,000 and Alibaba itself as prime examples world-first partnership with Alibaba. visitors from the country each year, of this power shift away from the The initiative facilitates ordering with this figure expected to reach one traditional analogue, bricks-and- and automatic transacting – buying, million by 2025 – thereby representing mortar business model towards selling, payment and finance – in a a huge opportunity. virtual interactions. circular relationship. To maximise the value exchange “The world’s largest taxi company Involving multiple platforms and between the airport and Chinese owns no vehicles. The world’s most apps, the partnership is predicated visitors, the initiative focuses on popular media owner creates no on “using data to connect with people the key themes of targeting value, capturing value and creating value. One example of targeting value entails Justin Watson the establishment of a flagship South store on Fliggy (Alibaba’s online travel platform), to promote value, drive dispersal and collectively promote the South Island to potentially, higher-value Chinese visitors. “That will have a big skew towards certain seasons and also pushing people around the regions, because those two things are important for the New Zealand tourism industry. Seasonality is also really important for our airline partner, China Southern Airlines, who want to see the shoulder and the off-season grow out. So this is a way we can target the Chinese market before they come here and target certain types of visitors
Level 6, Perpetual Guardian Building, 99 Customhouse Quay, Wellington | PO Box 11369, Wellington 6142 | +64 4 384 3217 | nzairports.co.nz 19 to come at certain times and visit certain the Mackenzie Country and they buy ten-year project which would involve parts of the country.” an Aoraki salmon. Through Alipay’s considerable resource and investment apps we record that data and can then To help capture value, the airport is for the airport, with Alibaba equalling target that person when they get back supporting the New Zealand rollout eyeing New Zealand as a test bed for home to buy that salmon again – and of Alipay (Alibaba’s online payment its offerings. to buy that based on the experience platform, which currently has 540 that they had. “It is one way we can step outside million Chinese users), which is the realms of our physical bricks and expected to further enhance visitor “It is something that NZ Inc has been mortar to capture value and increase experiences from the country. trying to do for some time – to build the relationship while they are here the value exchange between us “At the moment, less than 15% of and having a great time. We know that and China. It’s a no-brainer for local Chinese have credit cards and they use Chinese visitors to New Zealand rate businesses to be involved.” either Alipay or WeChat Pay as their their experiences as 9.2 out of ten, they primary way to pay when they are back love our food and products. We know home. As an industry, we are leaving that a Chinese consumer that has visited money on the table [without Alipay].” New Zealand is six-times more likely to Previous Magazine Editions buy a New Zealand product in China. To create value, the business is Earlier editions of the NZ Airports acting like a virtual airport store to “Because of the data and the magazine are available from our connect small-to-medium enterprises understanding that we have of their Website
Citing predictions that New Zealand seat capacity to accommodate capacity and connectivity is the lead is on target to annually attract such growth. enabler of visitor growth and are all over 5.2 million inbound visitors by “Auckland Airport and I am sure our working to ensure New Zealand gets 2025, Mr Tasker said the country equivalents in the other international its share of capacity growth from the correspondingly needed a 66% airports – Queenstown, Christchurch available pool of airlines who have increase in international airline and Wellington – recognise that airline capacity growth to activate,” he said.
Scott Tasker
20 NZ Airports Magazine | March 2018 and one-stop) in 2015 to 76% by the Northern Summer 2017, which Auckland Airport and strategic partners such as has also increased New Zealand’s Tourism New Zealand, regional tourism operators attractiveness to the Chinese market. “The proportion of China passenger and other tourism industry partners will work with traffic flowing via South East Asia falls to 5% [in 2017] from 23% in 2015, thus airlines to ensure that strategically-important opening up that pipe for other markets to access seats. capacity will stick, through assisting the airlines “It is great that we see Malaysia up by 36%, Philippines by 28% – those markets to convert the right demand so that can now get seats to New Zealand.” their routes to Auckland are profitable. Similarly, the airport’s network modelling has illustrated 16% growth Auckland Airport aeronautical-commercial general manager Scott Tasker in relayed Europe-Auckland passenger flow, with new Middle East-connected services opening up a useful further routing option and freeing capacity via Listing recent capacity increases being the continued dip in jet fuel other connections. seen across the country’s international cost making long-haul flights airports and the related impact of less expensive A move of India-Auckland traffic from positive domestic developments, South East Asia to other routings is New Zealand being seen as an Mr Tasker nonetheless described such also realising a 15% increase in this attractive destination by tourists progress as merely playing catch up. volume, but Mr Tasker noted direct He emphasised: “We are now in the new aircraft deliveries being connectivity was absolutely required keep-up-with-the-demand phase.” expected to double the global to attract more of the high-value airline fleet capacity by 2035 Indian visitors. Acknowledging New Zealand’s international airports are competing New Zealand’s relatively open New services having facilitated in a global market for airline capacity, air services regime and other a notable shift in North America- he nonetheless expressed confidence regulatory settings proving Auckland passenger flow from the targeted increase in international attractive to airlines gateway West Coast North American seat volume would be attracted to this Via Auckland Airport’s advanced cities to destinations deeper into country due to: network modelling capabilities, the the United States and Canada, and the potential to address business has been able to both build 24% visitor growth in the United New Zealand’s current a very useful picture of passenger States market is reported. However, 24% level of under-service flow to/from its most important visitor Mr Tasker lamented the seasonal in regards to international markets and, from there, seek to decline of services in this market due capacity versus demand positively influence developments. to New Zealand lacking sufficient winter season offerings, which local advancements in aircraft A key example is the successful stakeholders are striving to address. technology improving the growth of direct China-Auckland traffic viability of long-haul routes from 61% of Chinese flights (direct To play its part in driving capacity and connectivity growth, he said Auckland Airport currently has three main focuses – growing capacity, sustaining capacity and diversifying markets. “I can assure you we are continuing to pursue capacity growth on under- served markets, for example, India- direct capacity. We have a strong pipeline of opportunity, however, we won’t see such explosive capacity growth in the next year as we saw in the last 18 months. We have caught up on some of the deficit, but work is still to be done to keep up and get ahead of the under-served demand.
Level 6, Perpetual Guardian Building, 99 Customhouse Quay, Wellington | PO Box 11369, Wellington 6142 | +64 4 384 3217 | nzairports.co.nz 21 “Auckland Airport and strategic and Australia growth must continue to focus on the fundamentals of what partners such as Tourism be focused on. Other smaller markets visitors want. New Zealand, regional tourism that are also growing such as Japan, These included: operators and other tourism industry South Korea, Canada, Argentina are partners will work with airlines to ensure also a focus. Diversification into new how does the visitor want to buy that strategically-important capacity will markets, such as hopefully the ‘next and research their travel? stick, through assisting the airlines to big thing’, India, are also important.” convert the right demand so that their can the visitor get to With Auckland Airport also advancing routes to Auckland are profitable. New Zealand, is there a seat its own infrastructure investments to and a convenient routing? “A portfolio of balanced large and help facilitate New Zealand’s massive small markets is good de-risking for predicted growth in inbound passenger do we have the right great New Zealand tourism industry and volume, Mr Tasker expressed experiences and infrastructure airport operators. In particular China, confidence targets would be achieved in place to facilitate them when United Kingdom/Europe, United States if local stakeholders maintained a they get here? How to Build Real Relationships with Your Customers Through Technology NZ AIRPORTS CONFERENCE 2017, WELLINGTON ADVAM New Zealand business manager Matt Ryan predicated his address on emphasising that airports are not just transport hubs – “you’re quite often the first and last experience someone coming into your town or city has”.
“The experience they have through Recounting ADVAM’s interaction with about 16,000 tour coaches during you might give them a good reason Auckland Airport, Mr Ryan noted that the year. to come or not come back into in 2016 the business received about “They wanted a way that, number one, your region again,” he stated, while 18.5 million international passenger they could make their ground-based recounting his own personal dread at arrivals and hosted about 30 million transport system more streamlined the experience of flying via some of people in total. Handling that volume and, number two, they could manage the world’s security-intense and maze- also saw the airport accommodate who was going in and out.” like airports. about 45,000 taxis per month and Mr Ryan said ADVAM implemented ParkCharge, a ticketless parking management solution using RFID technology, whereby readers determine who they are and what vehicle they have and automatically activate barrier arms to provide access. The system requires both taxi operators and drivers to complete an online registration process and set up an account – a key requirement of which being they provide a credit card. As a consequence, automated billing is initiated for each access event, thereby eradicating the need for manual payment or pursuing of overdue accounts – drivers do not even need to get out of their cars – and the system includes an option for automatic topping-up when funds are low, which drivers are able to do via smartphone.
22 NZ Airports Magazine | March 2018 positive feedback on the system: “We identified that we could improve the customer parking experience by providing a single, seamless parking and payment process. ADVAM was able to meet our needs of secure payment processing and the integration with our existing systems, providing us with a solution that will enable us to sustainably support growth.” Towards the end of his address, Mr Ryan took the opportunity to also implore businesses in New Zealand’s Matt Ryan aviation industry to ensure they are compliant with modern PCI (Payment Card Industry) rules. For example, Mr Ryan noted that with Auckland Airport in ADVAM implementing the he suggested many legacy systems/ consequently gaining greater control UnattendedPayments solution. processes, databases and parking over taxis, the onus had since shifted to columns themselves could still be This system involves arriving operators ensuring their drivers acted storing sensitive credit card data. customers now presenting a professionally, which in turn had seen payWave card to both gain entrance Consequently, Mr Ryan urged a notable improvement in customer or leave via a parking column, businesses to not implicitly trust service throughout the taxi fleet. with the system automatically suppliers who claimed they were PCI He urged modern businesses to determining if they are prebooked compliant, but to instead approach proactively adopt such online-based or should be paying on site. The their own banks to directly discuss their solutions, observing that two million- stay of prebooked customers is also PCI obligations. plus people shopped online for monitored and overstaying charges New Zealand products in 2016 initiated if necessary. Previous Magazine Editions of which 21% was via mobile. “What that’s meant is that we’ve saved Furthermore, he said Millennials – about 40% of the time that it takes to Earlier editions of the NZ Airports who are notable online browsers and come through the front gate – if they magazine are available from our shoppers – were expected to represent prebook, it is essentially tap and go. Website
PwC associate director Phil Ross implored conference delegates to ensure their firms developed an aligned, business-level cyber security strategy to address the ever-increasing global threat of cyber attacks.
“It doesn’t have to be complex – just with technology being used to “Cyber threats are increasing across make sure you have one,” he said. “improve the passenger all industries. For aviation, these are experience, optimise use of real headlines. “When the inevitable board questions space and maximise revenue “The impacts vary – disruption or data arise – are we secure and what is our opportunities”, Mr Ross emphasised theft. Some of it state-sponsored, some cyber strategy – you can answer.” that digital transformation of it politically motivated. Noting the aviation industry itself necessitated a complementary cyber “A lot of the time, cyber risks aren’t was undergoing a state of transition, security strategy. obvious – cyber isn’t tangible. So if the
Level 6, Perpetual Guardian Building, 99 Customhouse Quay, Wellington | PO Box 11369, Wellington 6142 | +64 4 384 3217 | nzairports.co.nz 23 which would define “how we achieve our strategic objectives and a set of actions to arrive at a future state of sustainable and effective security”. He emphasised the need to be prepared – assume you are going to be hacked and train your staff about cyber security. “Even if you don’t have a cyber security strategy, one of the best things you can do involves a change of mindset – assume it’s going to happen.”
In this vein, Mr Ross recommended Phil Ross running a tabletop exercise, involving such parties as a firm’s communications and IT teams as well business wants to move in a digital your internal network and obtains credit as senior leadership. He recounted a direction, the risk increases.” card information that everyone told you recent PwC instance with a client. wasn’t stored on the internal network. Emphasising that cyber security is a “It didn’t go smoothly. But now we’ve business problem, not an IT problem, “Why do we have antiquated systems identified the problems in process Mr Ross broke down the approach to that are the core of our business and procedure and now we’re more developing a cyber security strategy as connected to the Internet or third parties prepared for the real thing.” identifying/addressing: that we don’t actively control or monitor?” 1 what’s important On the third point, Mr Ross said it He added that it was easy for cyber was necessary to identify the control security programmes to get caught 2 what could go wrong objectives required both now and in up in procurement and deployment of 3 how do we reduce the impact or the future to address the key drivers to expensive technology. reducing risk to acceptable levels. likelihood of it going wrong “The reality is that people are often 4 how far from there are we now “We can reduce the likelihood with your weakest link. There is a saying: certain controls – patching servers, ‘Amateurs hack systems. Professionals 5 how do we get there content inspection. hack people’.” On the first of those point, Mr Ross “Sometimes we can’t reduce the In conclusion, he said in most instances, said it was important to prioritise and likelihood of an event – this is the firms would get far better and faster focus activity on the information and future state. return on their investment by purchasing systems most crucial to a business’ a comprehensive security awareness purpose – some of which were not “Assess the current state and the gap always instantly obvious. between that and the future state. programme to raise staff awareness and which particularly addressed: “You can’t protect everything! “Define strategic objectives and a set Define what is most critical from an of actions to arrive at a future state phishing campaigns of sustainable and effective security. information perspective based on the USB drops purpose and mission of the airport, Define the requirements and inputs both now and in the future.” required to develop and implement a social engineering robust assurance framework.” The threat landscape then needed physical security tests In regards to addressing where are we to be researched to identify both now, Mr Ross said the question needed current and emerging threats to the to be asked: “How much is under most critical assets within the aviation management and control now, and how context – examples including disruption NZ AIRPORTS ASSOCIATION well equipped are we to deal with it?” from nation state and politically- Level 6 motivated attacks as well as data theft “This is where a capability assessment Perpetual Guardian Building 99 Customhouse Quay from organised crime and insiders. comes in handy – where your security Wellington maturity is assessed and benchmarked “A nation state actor performs a denial against the industry and best practice.” PO Box 11369 of service on your Web service for Manners Street arrivals and departures. An insider On the last point, he said a two-year Wellington 6142 leaks your information around resource to three-year roadmap was required to www.nzairports.co.nz consents. A hacker somehow gets into implement a cyber security strategy,
24 NZ Airports Magazine | March 2018