New Terminal 2 Next Stage in Heathrow's Transformation
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ISSUE SPONSORED BY The official magazine of the Airport Operators Association AUTUMN 2013 NEW TERMINAL 2 NEXT STAGE IN HEATHROw’s TRANSFORMATION Policy Features News Airports Commission – Edinburgh Airport’s £150m investment in an AOA Annual Conference & Exhibition: ‘emerging thinking’ outstanding passenger experience Comprehensive exhibitor news Guernsey’s airfield upgrade to ‘future proof’ the airport Delivering world class integrated baggage handling solutions Babcock provides integrated solutions which support We are one of the UK’s leading organisations providing critical airport operations, helping to keep passengers through-life integrated solutions and support services for moving and fl ights on schedule. Our services airport baggage handling. With over 15 years experience, encompass designing, installing and managing Babcock uses its unrivalled baggage processing and complex baggage handling systems, through to fl eet operational knowledge, together with its specialist management and engineering support for specialist engineering skills in automated handling and control ground support vehicles. systems development, to deliver the optimum throughlife performance in terms of cost, effi ciency and reliability. www.babcock.co.uk babcock-spring2013-1.0.indd 1 27/02/2013 09:54 p.3 WWW.AOA.ORG.UK THE Airport Operator AUTUMN 2013 Can I welcome readers to Ed Anderson, Chairman, this edition of the Operator, which is published around the Airport Operators Association time of our Annual Conference and Exhibition. We have The official magazine of the attracted a top class speaker line Airport Operators Association up to the conference, including the very recently appointed Minister for Aviation Robert Goodwill MP, Airport CHAIRMAN’S Commission Chair Sir Howard Davies, IAG Chief Executive Willie Walsh and Ryanair Chief INTRODUCTION Airport Operators’ Association Executive Michael O’Leary. The exhibition has sold out and 3 Birdcage Walk delegate bookings are extremely future. We will continue to London healthy. In short, we are set for urge the Commission to give SW1H 9JJ Tel: 020 7799 3171 another excellent conference. due consideration to all the Fax: 020 7340 0999 options that are put before it The AOA has prepared a and to keep to its timetable. www.aoa.org.uk response to the Government’s We also urge all the main Aviation Policy Framework, political parties to act upon the comparing the Framework Commission’s findings, once its with our own policy document Final Report is published in 2015. which we launched at last year’s conference and which We continue to lobby through contained 25 recommendations the ‘A Fair Tax on Flying’ for Government action. We coalition on Air Passenger The Airport Operator is produced will launch this response at Duty. We have been supporting by PPS Publications Ltd. this year’s conference. a business campaign to James Howson demonstrate the effect high Publisher & There is much for the industry levels of APD have on business Exhibition Manager to welcome in the Framework, costs (almost 500 businesses not least the positive language have signed up); and assisting Ross Falconer Editor about aviation and its a TaxPayers Alliance consumer contribution to the economy. PR campaign, which surveyed Amy Hanna This is in stark contrast to the the overall cost of holiday taxes Deputy Editor position some two or three years (resulting in articles in The Sun, ago. Our response will welcome The Daily Mail, the Telegraph, Richard Jende the broad direction of the and broadcast articles on ITV Head Designer Framework and its recognition and Sky News). Next steps in Victoria Wilkinson that the sector needs to grow, the campaign are being planned Designer provided of course that we currently. We are calling for deliver on our commitments APD to be reduced and for HM Paul Sweeney on carbon and noise. We will, Treasury to undertake a full General Manager - Association Business however, continue to highlight review of the economic impact the many areas in which the tax, which is now at a truly Paul J. Hogan we see the need for further eye watering level and which Managing Director Government action in order can be a major disincentive to create the environment in to airlines considering new which our industry can prosper. services from UK airports. PPS Publications Ltd 3a Gatwick Metro Centre Balcombe Road The work of the Sir Howard With Ireland only this month Horley, Surrey Davies Airports Commission following on from Belgium, RH6 9GA continues and we are pleased Denmark and Holland’s example United Kingdom that there is now a process in of scrapping APD entirely, and Tel: 01293 783851 Fax: 01293 782959 place, with a clear timetable, with Germany earlier this year Email: [email protected] to advise the Government on freezing it, it is clear the direction future airport capacity. We of travel in Europe is to lower the www.pps-publications.com are looking forward to hearing burden of air tax on passengers with policy makers than it our industry can prosper Sir Howard speak at the and the aviation sector – the was in 2010 but we cannot and make its contribution to ©PPS Publications Ltd 2013 conference and we are pleased UK should now follow suit. be complacent. There is still the economic recovery. Please ensure all press releases that his emerging thinking much to do to achieve our are sent to PPS Publications indicates that the Commission All in all, we feel that our aims of a policy, regulatory I look forward to seeing many directly, not to AOA head office. will support expansion in the sector is now better positioned and fiscal framework in which of you at the AOA Conference. Cover photo courtesy of Heathrow Airport AOA IS PLEasED TO WORK WITH Its CORPORatE AND SILVER SPONSORS Corporate sponsors Silver sponsors p.5 WWW.AOA.ORG.UK THE Airport Operator AUTUMN 2013 AIRPORts COMMIssION – ‘eMERGING THINKINg’ The event comes just two BY TIM ALDERSLADE, PUBLIC AFFAIRS & PR months before the Commission is due to publish an MANAGER, AIRPORT OPERATORS ASSOCIATION Interim Report, which will set out both short and medium-term measures that it believes can On Monday 7 October, the AOA was present at a well- alleviate current capacity constraints in the UK, and a short attended speech, delivered by Sir Howard Davies, Chair list of options for future capacity. of the independent Airports Commission, that set out the The options will then be scrutinised over the course of Commission’s emerging thinking on future airport capacity. 02 2014, resulting in a Final Report being published in the summer of 2015. growing demand, stating “we He admitted that past passenger trading more with developing “Demand forecasts overly will need some net additional forecasts have not been markets in countries such optimistic/use existing The speech was generally runway capacity... an attempt altogether reliable; however as India and China, the UK capacity”; “The market will positive for the airports to rely on runways currently he made clear that owing would require extra capacity. respond to constraints”; and sector as a whole. Sir Howard in operation would be likely to demand for leisure travel “The environment”. He then was unequivocal about the to produce a distinctly sub- increasing, the expected upturn Sir Howard mentioned a analysed each option in detail, need for future increases in optimal solution for passengers, in the economic situation number of arguments often explaining why he still felt that capacity as a way of meeting connectivity and the economy.” and the fact that the UK is cited against airport expansion: more capacity was required. 01 01 02 Gatwick is among the UK airports Sir Howard Davies, Chair of the independent Airports to have responded to the Davies Commission, was unequivocal about the need for future Commission. It has submitted a increases in capacity as a way of meeting growing demand, proposal for a second runway located stating “we will need some net additional runway capacity... to the south of the current site. an attempt to rely on runways currently in operation would be likely to produce a distinctly sub-optimal solution for passengers, connectivity and the economy.” p.6 THE Airport Operator WWW.AOA.ORG.UK AUTUMN 2013 • On issues related to importance of delivering a report • The Commission will publish, the market, Sir Howard that delivers a solution on each alongside the Interim questioned whether the of the climate change, economic Report, a draft appraisal Government can successfully and environmental dimensions. framework, to make sure involve itself in the market that it is assessing options and redistribute capacity Sir Howard also emphasised against the right criteria. This across different parts of the that he is likely to recommend a will be a technical piece of country – he argued that single option for future capacity work, which it will consult airlines will travel to those when he delivers his Final on in January and February 04 airports that best suit its Report in the summer of 2015. 2014, before publishing the business model and rejected framework proper in March; the idea of introducing Earlier in the summer, the AOA’s variable rates of APD. He Public Affairs & Communications • Between April and August also cautioned against Network (PACN) met with 2014, scheme promoters the idea of exporting hub the Airports Commission will be tasked with working capacity overseas, which Communications Manager, on their business cases. was also arguably bad for David Elvy, to hear about They will