ISSUE OCTOBER 2014 6 ISSN 2304-5043
SPC Economic Development Division | Association of South Pacific Airlines
PACIFICAVIATION MAGAZINE THE PACIFIC'S LEADING AVIATION MAGAZINE | No.1 in Circulation and Readershipskies
FEATURE AIRLINE: NAURU AIRLINES
DOMESTIC AIR SERVICES IN THE PACIFIC
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FRONT COVER: Nauru Airlines recently took delivery of a B737–300 Freighter Aircraft See cover story for more information
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Contents
04 MESSAGE FROM THE EXECUTIVES 26 PACIFIC AVIATION NEWS Message from Director SPC Economic Development Division 32 PACIFIC AVIATION SAFETY OFFICE UPDATE Message from Secretary-General Association of South Pacific Airlines 34 SPC ECONOMIC DEVELOPMENT DIVISION The wider benefits of aviation in the Pacific 08 ASSOCIATION OF SOUTH PACIFIC AIRLINES 36 PETROLEUM Airlines and industry partners meet for the 60th Asian jet fuel prices: October 2013 to July 2014 general session of the Association of South Pacific Airlines 38 AIRWAYS NEW ZEALAND Airways New Zealand leads aviation projects 10 SPC ECONOMIC DEVELOPMENT DIVISION in the Pacific We’re Domestic air services in the Pacific 41 TRAVELPORT 13 KIM MURRAY – AVIATION LAW The rise and rise of ancillary revenue Harmonising Pacific aviation law 46 PAPUA NEW GUINEA – 18 FEATURE AIRLINE NATIONAL AIRPORTS CORPORATION Feature Airline: Nauru Airlines redefining Civil Aviation Development Investment Program 22 INTERNATIONAL AIR TRANSPORT airline growth ASSOCIATION Montreal Convention 1999: A universal airline liability regime for a global industry
Maximize the revenue from every seat sold Have you got any stories or photos that you want to share regarding aviation in the Pacific Travelport’s Merchandising Platform transforms the way you deliver, Please send us an email to [email protected] differentiate and retail your brand to over 67,000 travel agency customers globally. Our award-winning and industry-leading technology, encompassing Rich Content and Branding, Aggregated Shopping and Ancillary Services, © Copyright SPC / ASPA 2014 For more information, contact: Secretariat of the Pacific Community is designed to maximize the revenue you can generate from every seat sold. 2nd Floor, Lotus Building, Nabua | Private Mail Bag, Suva, Fiji Parts of this document may Tel: +679 337 0733 Fax: +679 337 0146 | Email: [email protected] be reproduced, provided Website: http://www.spc.int/edd Discover how our platform can help grow your business. acknowledgement is made to this publication and SPC and ASPA as Disclaimer: All care and diligence has been used in extracting, analysing and Please contact [email protected] for more information. source. compiling this information, however, SPC and ASPA gives no warranty that the information provided is without error. Cover photo by: Nauru Airlines
© 2014 Travelport. All rights reserved travelport.com Layout & Design: Jale Solivakanene Prepared by the Economic Development Division Secretariat of the Pacific Community SPC ECONOMIC DEVELOPMENT DIVISION
Message from Director, SPC Economic Development Division
Welcome to another edition of Pacific Skies. This edition contains a range of topics of relevance to aviation in the Pacific, including domestic air services, harmonising aviation law, airline liability, the work of the Pacific Aviation Safety Office, the social benefits of aviation, new aircraft acquisitions, fuel John Hogan Director prices, and the rise in the use of ancillary services by airlines. SPC Economic Development Division e have also introduced a While enhancing the frequency of feature article on airlines flights in the region is good for the W operating in the region, region’s tourism and business sectors, with Nauru Airlines being the focus of the increased activity can also come this edition of Pacific Skies. at a cost. Passengers are well aware of the need to undertake relevant aviation As with all our previous editions, security screening when undertaking "In order special thanks are extended to those a flight anywhere in the world, and to ensure who have contributed articles and other the cost of those measures, in terms the industry material that make this magazine an of increased ticket prices and longer continues increasingly anticipated read every six processing times, are well known. But to grow and months. And of course our thanks also one of the costs of increased travel go to our advertisers, whose support operate in a and freight volumes is the risk of safe and secure enables Pacific Skies to continue to be exposure to an increasing number of environment, published for the benefit of the aviation existing pests and emerging diseases community in the Pacific. that have the potential to be a threat the aviation to Pacific economies, especially with sector needs to You will note from the Pacific respect to agriculture production. be supported Aviation News and others sections of Accordingly, there is a need to ensure by ongoing the magazine that the last six months that effective bio-security measures and have been a busy time in terms of maintenance risk management processes are in place airlines receiving new or replacement of essential at airports to reduce the likelihood of aircraft – and there are more deliveries infrastructure potentially harmful pests and diseases on the horizon. This signals increased and sufficient entering a country. While the direct confidence by governments and the investment in costs to government from implementing private sector in the ongoing viability an effective biosecurity regime may airport and of the aviation industry in the region. be high, the cost of not having such a navigational However, in order to ensure the industry regime in place could be devastating facilities." continues to grow and operate in a safe to countries in the region. So the next and secure environment, the aviation time baggage or cargo is checked at sector needs to be supported by ongoing an airport by bio-security officers, it maintenance of essential infrastructure is important to remember that such and sufficient investment in airport and measures are being undertaken to protect navigational facilities. Such investment a country’s people and its economy. should be a priority, if the aviation sector is to continue to be a key facilitator of I hope you enjoy the sixth edition economic development in the region. of Pacific Skies.
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Message from ASPA Upskilling local managers
Greetings from the Secretariat of the Association of South Pacific Airlines (ASPA).
f you are a regular reader of not necessarily directly concerned Pacific Skies, you will be familiar with training but could impede the I by now with ASPA’s passion for ability of managers to implement George Faktaufon training local airline managers: it has newly learned knowledge in the work Secretary-General been a top priority since1996. We place. Such issues can involve internal Airlines conduct training on a regional basis as systems and procedures and even Association of South Pacific it is more economical to do it this way; policies and work practices. many airlines do not have the numbers This has come to light during to justify in-house training. It also discussions with the course participants allows local managers and potential and our own observations. Many of managers from different airlines to them expressed concern that they network and learn from each other. "The Secretariat might not be able to put into practice continually what they had learned because their The first ASPA Management Skills monitors and Training Programme was developed by internal systems and procedures do evaluates the a human resource development (HRD) not allow them to introduce new ideas. consultant, GV Killen and Associates, Some felt strongly that their bosses effectiveness in 1996. The programme was based on needed to attend the same courses so of the training a set of criteria agreed on by the ASPA that they would all speak the same to ensure that HRD Working Group, and was tendered language. These remarks were made the airlines are out to the International Air Transport by the participants who attended both benefiting and Association and several international the management skills training between also to highlight training organisations, including some 1996 and 2006, as well as the current any issues that universities. The programme ran twice management training programme. the airlines yearly from 1996 to 2006, and 496 local Their comments were relayed to the need to address airline CEOs for consideration and airline management staff went through internally." it. During the 11 years, the programme necessary action. was regularly updated to keep up These issues came as no surprise. with the latest trends in management In my 40+ years in the airline industry, development. It was discontinued in I have noticed that there has been 2006 and, in 2007, ASPA redirected its very little effort put in by individual management training towards quality, airlines to train and develop local safety/security, risk management and managers on a regular basis. There auditing. This training was mainly is one exception, Air Vanuatu, which focused on managing the processes I describe later. that achieve desired outcomes. The Secretariat continually monitors and Most airlines promote employees evaluates the effectiveness of the into management positions because of training to ensure that the airlines their technical competence. Very often, are benefiting and also to highlight however, the newly promoted fail to any issues that the airlines need to grasp that their roles have changed; address internally. Such issues are their jobs are no longer about their
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personal achievement, but about enabling profile tasks to the staff, the staff will get others to achieve as well. Sometimes, building the credit. Secondly, is the fear of abdicating a team is just as important as cutting a deal. control; if the staff are given the task, how can the manager be sure that it will be done Even the best employees can have trouble correctly? In the face of this fear, the new adjusting to these new realities. That trouble manager may delegate tasks, but will supervise may be exacerbated by feelings of insecurity, staff so closely that they feel uncomfortable. which can make the newly promoted managers There is also the possibility that the new hesitant to seek help, even when they find manager may be hesitant to delegate work themselves on unfamiliar ground. As they for fear of over-burdening the staff, or s/ become insecure and self-focused, it will he may be uncomfortable assigning work be difficult for them to properly support to former peers because they may resent their teams. On the other hand, overly him/her. But the real resentment comes confident new managers could also have when staff feel that the lack of opportunity the same effect if they do not listen to and/ is blocking their advancement. or consider suggestions from those under their supervision. Inevitably, trust breaks One of the problems I have observed in down, staff members are alienated, and this area of development of local managers productivity suffers. is the high turnover of top management personnel. Quite often, a new executive Many airlines unwittingly support this downward spiral by assuming that their team comes in with new ideas and the trend newly promoted managers will somehow continues when top management changes. learn the tricks of the trade by osmosis. No On the other hand, many airlines seem doubt some do, but these are the exceptions. reluctant to spend money on training and Most need help, and in the absence of regular developing local managers and different training, and follow-up advice and coaching styles of management. The frequent changes – which most airlines do not offer – the in management styles can cause confusion new manager’s boss plays a key role. Of amongst staff. course it is not possible for most senior I earlier mentioned Air Vanuatu, which has managers to spend hours and hours every begun an internal training and development week overseeing a new manager at work. programme to upskill local managers. But if senior managers know what typical They started this programme in late 2012 challenges the new manager faces, they will and are in the final stages of completing be able to anticipate some problems and it. I encourage other airlines to visit Air prevent them arising. Vanuatu to see if they can adopt the same One of the common problems identified programme for themselves. The People by the participants is effective delegation. Management Development Programme This is probably one of the most difficult (PMDA) was developed specifically for tasks for the new manager. Senior managers ASPA member airlines and is customized for will demand from them huge responsibilities individual airlines depending on their own and tight deadlines. There will be a lot of requirements. PMDA addresses all levels of pressure put on them to produce results staff development, including management. and on time. The natural response of new Unlike the Integrated Airline Management managers when faced with such challenges System, which was first introduced as is to just do it, thinking that is what got an airline business management course, them promoted in the first place. But their conducted on a regional basis, PMDA focuses reluctance to delegate assignments also has on developing an in-house HR Development its roots in some very real fears. First, is System for each airline. We do not need to the fear of losing status. If they assign high reinvent the wheel.
6 PACIFIC SKIES MAGAZINE ■ Issue 6 ■ 2014 TENTH ANNIVERSARY | 2014
Celebrating a decade of E-Jets. 1,000+ deliveries. 65 airlines. 45 countries. 10 years of changing the way the world flies. ASSOCIATION OF SOUTH PACIFIC AIRLINES UPDATES
Airlines and industry partners meet for the 60th General Session of the Association of South Pacific Airlines
By George Faktaufon
The Association of South Pacific Airlines (ASPA) held its 60th General Session at the Le Parc Conference Centre, Noumea, New Caledonia on 24 and 25 July 2014.
he conference was officially opened by the successful conference. The Chairman, Mr Didier newly elected President of New Caledonia, Tappero, CEO of AIRCALIN, thanked the President T Madam Synthia Ligerd. Madam Legerd for her welcome speech and for taking time from welcomed the delegates and said how delighted her busy schedule to officially open the conference. she was to be asked to address the Association’s He wished her a successful term as President of 60th General Session and to be speaking to such an New Caledonia. international audience. She reminded the airline The theme of the conference was ‘Enhancing executives of the vital role airlines played in the profitability by reducing waste’. The theme was uneasy task of providing the vital air links between designed to encourage member airlines to constantly Pacific Island countries. She said that, although review their processes to ensure that they were New Caledonia was blessed with mineral resources, relevant and that the desired outcomes were achieved. tourism was seen as an important industry that could In the airline industry, studies had shown that there drive economic and social development further. She was still a lot of wastage due to errors and non- was pleased that ASPA was holding its conference compliance. This was reflected in the findings of the in Noumea, for the third time in its 35 year history. IATA Operational Safety Audits carried out between She hoped delegates would take time to see more 2006 and 2012. In analysing some of these findings, of the country, and she wished the delegates a very it was clear that, while most airlines were complying
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with documentations, there was a weakness due to that could assist airlines to operate more efficiently lack of the necessary processes for implementation. by using the most preferred routes, thus saving fuel.
There was also a lack of clear understanding of the Travelport presented their airline solution that links between the various activities that go on within offered inventory control, as well as other functionalities an organisation and how each activity contributes associated with passenger processing. This service towards the chain that eventually produces the final was in addition to its main core activity related to product. In other words, people are working very the global distribution of travel products. much in silos, not realising how their particular Willis Aerospace reinforced the need for airlines activity could impact on the next activity. There is to conduct regular risk assessments in order to no systematic method of checking that each activity foresee any future potential problems that could is done correctly so that its output for the next affect their operation and put in place appropriate activity is appropriate. It did not dawn on the various mitigating measures. Having adequate insurance activity owners that a breakdown in one activity cover is important, but it is more important for affects other activities. airlines not to have to use the cover, because an Some of these errors and non-compliances resulted accident or a serious incident could cause more in unnecessary costs to the airlines, costs that could damage than insurance could ever cover. Airlines have been avoided. To help the airlines reduce also need to ensure that they have an effective waste, ASPA, with the help of an International Air emergency response plan that is regularly tested. Transport Association (IATA) consultant, developed An overview of the insurance market was presented the Integrated Airline Management System, which by Aerosure. focuses on process management. ASPA conducted Other presentations included the review of the several regional training courses from 2008 till Pacific Aviation Safety Office (PASO) and the Regional 2012 to address these issues and then, in late Aviation Infrastructure Programme funded by the 2012, moved to help individual airlines with their World Bank. IATA presented on the state of the internal processes by providing in-house training and industry, and this was followed by the regional coaching. The training focused mainly on processes tourism update from the South Pacific Tourism to achieve safety, security and efficiency outcomes Organization (SPTO). in the operational areas. Altogether, 68 delegates attended the two-day The idea of introducing the theme to the ASPA conference, representing ten airlines and 24 industry conference was to expand its scope and allow our partners, including IATA, SPTO, PASO, the World Bank, industry partners to share their experience in their Directors General of Civil Aviation New Caledonia specific fields of expertise that could help the airlines and several observers. enhance profitability by reducing waste. These could be in the way we manage our distribution systems, The Conference also finalised the dates for or in procuring spare parts or services. Managing forthcoming meetings as follows: fuel and taking advantage of satellite technology → 61st General Session in Nadi, 4–5, could also reduce waste, and we had several experts December 2014. in these areas who could point the airlines in the → 62nd General Session and the 33rd AGM in right direction. Port Moresby, 2–3 July, 2015. → 63rd General Session in Brisbane, 3–4 Airways New Zealand presented the latest December, 2015. development of PASNet (Pacific Aviation Safety Network) – a satellite communications network for For more information, contact: the Pacific, primarily for air traffic control-related George Faktaufon data, but could also allow for airlines and agency Secretary-General reservations communications. Airways New Zealand also presented the aviation system block upgrades [email protected] Association of South Pacific Airlines
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Domestic air services in the Pacific By Brenton Clark
A number of Pacific Island countries and territories have recently experienced many disruptions of domestic air services, which has significantly upset the travel plans of passengers and the profitability of the affected airlines. While many readers would say that a disruption to air services in the region is not uncommon, the number of reported disruptions in recent times seems to be higher than usual. Accordingly, it is worth having a closer look at some of the factors currently affecting the provision of regular domestic services around the Pacific.
Engine problems spare parts have had to be specially manufactured in order to keep the aircraft operational, which It has been reported that at least four airlines adds significant costs to airlines. And while many have had aircraft rendered unserviceable due to airlines around the world would seek to order newer engine problems that have required significant replacement aircraft in order to reduce operational time and expenditure to repair or replace. While and maintenance costs, this is often not an easy such incidents are experienced by many airlines option for airlines in the Pacific. This is due not around the world, the impact on airlines in the only to the capital cost of acquiring new aircraft, Pacific is magnified due to the small number of but also to the fact that there is an increasingly aircraft in their fleets. In some cases, airlines in limited range of aircraft now being manufactured the region operate with only two or three aircraft, that would be operationally suitable for the existing so when one becomes unserviceable, the airline is airport infrastructure in which a Pacific airline may suddenly faced with a loss of half or a third of its operate. Accordingly, some airlines need to continue passenger and freight capacity until the aircraft is to acquire second-hand aircraft for financial and returned to service. operational reasons. Spare parts Payloads Recent incidents have put a spotlight on the The payloads that can be carried by aircraft availability and cost of spare parts for aircraft used operating into small airfields and/or over relatively on domestic services in the Pacific, along with the long distances also affects the commercial viability limited financing available to airlines to purchase of operating domestic services in some countries such equipment. In one instance, an airline had one in the Pacific. The maximum payload of a small of its two aircraft in a hangar for four months while capacity aircraft often needs to be reduced to take waiting for funding approval to purchase relevant into account the weight of fuel that needs to be replacement parts, sourcing the spare parts, having carried on any particular sector to conform with the parts air freighted to its base, and then fitting operational and safety requirements, and to match the parts to the aircraft. Such circumstances are any weight limits that may apply when taking off from clearly not conducive to operating and maintaining airfields that are short or located at high altitudes. an effective and reliable domestic flight schedule. Fewer passengers translates into less revenue and/ or higher fares for passengers. Replacement aircraft The high cost and lack of availability of spare parts Navigational facilities is, in some instances, due to the operational aircraft Also affecting the efficiency of domestic services not being in production for many years. In some cases, in the region is the fact that many flights can be
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undertaken only during daylight hours and under replacement. In the short term, if governments in the reasonable weather conditions. In many countries Pacific want to see airlines maintain and increase their in the Pacific, instrument landing and navigational services to domestic destinations, adequate funding facilities are limited to those airports receiving needs to be made available to improve airfields to international flights. The lack of such facilities at ensure that aircraft are not damaged when landing other airports means that the majority of domestic or taking off from underprepared surfaces. airline services are limited to daylight hours only, which in turn reduces aircraft utilisation. Under these In the medium to long term, governments and circumstances, an airline needs to apportion its fixed airport operating authorities need to be planning costs (for example, aircraft leasing or purchase costs) and funding the upgrade of key airfields to cater for across a smaller number of flights, which is passed the operation of larger capacity aircraft. Existing on to passengers by way of higher ticket prices. fleets that are capable of operating in and out of small airfields are beginning to age, with supplies Retention of technical staff of similar categories of second-hand and new aircraft being limited, so it is essential that airport The retention of pilots and engineers and the infrastructure be upgraded to accommodate the lack of career path opportunities are other matters operation of larger capacity aircraft in the future. that affect the ability of some airlines to maintain In particular, if governments in the Pacific want a domestic flight schedule. It is a situation that is to continue to build their tourism industries as a not unique to domestic airlines, with some larger means of supporting economic growth, upgrading Pacific-based international carriers also affected by infrastructure at airports close to existing and growing this issue. The growth of air services worldwide has tourism destinations should be given some priority. seen high demand for trained and experienced flight crew and engineers, with major airlines competing Navigational infrastructure to employ such staff with salary packages that are Being able to increase the utilisation of aircraft has significantly higher than those that can be offered benefits for both airlines and passengers. One way by small Pacific airlines. Many Pacific airlines are of achieving this is by making facilities available to unable to offer career path opportunities for pilots, enable more flights to take place when there is limited given their very small fleet size. visibility and after last light. This would improve the utilisation of existing aircraft and enable airlines to All of the issues discussed above have a significant meet increased demand without an immediate need impact on the profitability of most domestic airline to acquire additional aircraft. The travelling public operations in the Pacific and, in the past, governments would also benefit from accessing an expanded have needed to assist airlines to maintain their range of travel opportunities. However, for this to operations through capital injections, subsidies occur, governments need to invest in appropriate and loan guarantees. However, governments in the air navigation facilities. A priority for the provision future may not have the resources to continue to of enhanced en-route and airport navigational provide direct financial assistance to airlines, and equipment should be at those destinations where steps need to be taken to improve airline operating there is growing demand for travel by the business environments to enable domestic services to be community and the tourism industry. provided on a more commercially viable footing. What can be done? Larger aircraft It is inevitable that airlines will seek to acquire Upgrading airport infrastructure larger and more modern aircraft to improve the A key impediment in many areas of the Pacific is economic performance of their operations, particularly the lack of expenditure on maintaining and upgrading given the increasing cost of fuel, which is now the existing aviation infrastructure, particularly airport single biggest operating expense for airlines. Over runways and other landing strips. Uneven surfaces, the past couple of decades. regional airlines around loose surface material and ineffective maintenance, the world have been transitioning to larger aircraft as have been cited by several airlines as contributing to the economics of operating smaller aircraft becomes the damage caused to aircraft engines and landing more difficult. Rising operating costs spread across gear – damage that requires expensive repairs or limited seats have outweighed the extent to which
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airlines can raise compensating revenue. It is a offered by potential suppliers that would not otherwise trend that is already taking place in the Pacific and be available for single, one-off orders. Airlines that governments need to support these moves with have common aircraft types could also consider adequate infrastructure investment. This will go a long further cooperation in terms of contracting the way to ensuring that these airlines can continue to supply of spare parts and the provision of relevant provide an efficient and effective schedule of domestic maintenance checks. services, utilising a fleet of modern, fuel-efficient aircraft that reduce payload/range limitations and Conclusion provide increased seating and enhanced amenities Action is required now to improve the aviation for passengers. infrastructure needed to maintain and expand domestic airline networks, and to provide the basis for a Cooperation more commercially viable delivery of domestic air The cost of purchasing and maintaining inventories services. If no action is taken, it is highly likely that of spare parts and the leasing or purchasing of new scheduled domestic services will be withdrawn from aircraft are significant burdens on small domestic an increasing number of communities in the region airlines in the Pacific. In an effort to reduce these in coming years. costs, airlines may need to consider enhancing their cooperative arrangements in relation to the For more information, contact: purchase/lease of aircraft and the undertaking of Brenton Clark maintenance. For example, a multiple aircraft order by an organisation representing airline companies SPC Economic Development Division in the Pacific is likely to result in discounts being [email protected] Research Officer
12 PACIFIC SKIES MAGAZINE ■ Issue 6 ■ 2014 KIM MURRAY – AVIATION LAW
Harmonising Pacific aviation law By Kim Murray
The international law background be at varying degrees of economic development and may not have the capacity to fully comply. Although The impetus for harmonising Pacific aviation law is international standards adopted by the ICAO Council derived from the obligations that Pacific Island States (as distinct from recommended practices) become take on by becoming a party to the Convention on automatically binding on contracting States, there International Civil Aviation (the Chicago Convention) is provision to ‘opt out’. Article 38 provides that any and, as such, a member of the International Civil State which finds it ‘impracticable to comply in all Aviation Organization (ICAO). The current 19 annexes respects with any such international standards …’ to the Chicago Convention include many thousands must notify ICAO of the differences between its own of standards and recommended practices (SARPs) practices and those established by the international intended to achieve a high level of aviation safety and standard. The ICAO Council is then obliged to notify security among ICAO’s 191 Member States. This will all other States of these differences. only be achieved, however, if States actually comply with their obligations under the Chicago Convention Although this is the legal situation, in practice, if to make the SARPs effective in their national law States do not achieve a high degree of compliance with and actively apply that law. There are several key the SARPs, the safety objectives of the Convention are articles in the Chicago Convention in this regard. seriously undermined. Indeed, as a result of a spate of serious accidents in the early 1990s it became Article 12, relating to rules of the air, provides evident that a large number of States were failing to that each contracting State undertakes to keep its achieve a high degree of compliance with the SARPs own regulations uniform to the greatest extent and also failing to notify ICAO of their differences. possible with those established from time to time This resulted in some States taking unilateral action under the Chicago Convention, namely the SARPs. to conduct rigorous ramp checks on the aircraft of Article 28 relates to air navigation facilities and foreign carriers and blacklist the carriers if serious standard systems. Under that article, each contracting safety issues became evident. Without going into State undertakes, so far as it may find practicable, detail here, this controversial situation promoted a to provide in its territory, airports, radio services, global response within the institutional framework meteorological services and other air navigation of ICAO. The initial outcome was modest. It consisted facilities to facilitate international air navigation only of voluntary participation by States in a safety in accordance with the SARPs. oversight audit programme conducted by ICAO auditors on a strictly confidential basis and only Article 37 relates specifically to implementation of directed at assessing the levels of compliance with the SARPs. Under that article, each contracting State Annex 1 (Personnel Licensing), Annex 6 (Aircraft undertakes to collaborate in securing the highest Operations) and Annex 8 (Airworthiness).1 practicable degree of uniformity in regulations, standards, procedures and organisation in relation In November 1997, however, ICAO convened a to aircraft, personnel, airways and auxiliary services pivotal Directors-General of Civil Aviation Conference and all matters in which such uniformity will facilitate to develop a global strategy for safety oversight. This and improve air navigation.
It is evident from these provisions that the obligations 1 See further Achieving Global Safety in Civil Aviation – A Critical Analysis of Contemporary Safety Oversight of the Chicago Convention contracting States are not Mechanisms by Md Tanvees Ahmad, Annals of Air and absolute. The wording recognises that States will Space Law, Vol XXXVII, page 81.
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conference unanimously adopted 38 recommendations of the Convention. Another critical element is the calling on ICAO to carry out regular, mandatory, requirement for States to have specific operating systematic and harmonised safety audits of Member regulations to give effect to the primary legislation States.2 Pursuant to Assembly Resolution A32-11, and to conform with the SARPs.4 ICAO then established the mandatory Universal There were two important responses to this Safety Oversight and Audit Programme (USOAP) in situation. The first was that several Pacific States January 1999. This programme has subsequently engaged aviation law consultants to work on reform expanded to encompass all the safety-related Annexes of their domestic aviation laws. This work resulted in of the Convention and developed into a continuous several States enacting primary aviation legislation monitoring approach in relation to each State’s based closely on the New Zealand Civil Aviation Act safety plan.3 1990. Some of this legislation included empowering Developments in the Pacific provisions for the relevant minister to simply adopt the technical regulations of another Convention This very significant global initiative soon started contracting State by signing a ministerial adoption to have an impact in the Pacific region. The initial and interpretation statement. By utilising this method round of ICAO audits of Pacific States commencing the States were, therefore, able to adopt relevant in 2002 started to catalogue serious deficiencies in parts of the New Zealand civil aviation rules (NZCARs) the aviation law of most of the States. In particular, as their own law by way of simple administrative the USOAP audits focused attention on the eight notices. Any necessary modifications would be set critical elements required for a State to have an out in the interpretation statements. effective safety oversight system. One of these is The second response was the commencement the requirement for States to have comprehensive of discussions at the regional level about possible and effective primary aviation legislation consistent options for carrying out aviation safety oversight on with the environment and complexity of the State’s a collaborative basis. These discussions resulted in aviation activity and compliant with the requirements the Pacific Islands Forum aviation ministers adopting a formal action plan, dated 4 May 1998. This action 2 The Report of the Conference is in ICAO Document 9707. 3 See further Aviation Safety Through the Rule of Law – ICAO’s Mechanisms and Practices by Jiefang Huang, Wolters 4 The eight critical elements developed by ICAO are set out in Kluwer (2009). the ICAO Safety Oversight Manual Part A, ICAO Doc 9734.
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plan encompassed proposals for collaborative upper New Zealand aviation law as airspace management, improved economic regulation model law and liberalisation of air services, and development of a collaborative regional aviation safety oversight In this regard, the PASO Member States quickly programme. The first two of these items are beyond agreed that they should use New Zealand aviation the scope of this article. The third item, however, law as model law. As noted above, this process was led eventually to the adoption of the Pacific Islands already under way before PASO’s establishment. Civil Aviation Safety and Security Treaty (PICASST) Furthermore, even in the States that had not enacted in Apia, Samoa, on 7 August 2004. PICASST came the New Zealand aviation safety regulatory system, into force for five States on 11 June 2005. It has now contracted inspectors from the New Zealand Civil been accepted by ten States.5 Aviation Authority were already applying the safety standards set out in the NZCARs. This pragmatic The main purpose of PICASST is the agreement approach no doubt achieved immediate safety benefits of the parties to fulfil their obligations under the but, as the PASO inspectors increasingly took over Chicago Convention for regulatory oversight of this role, the intention was that in all the Member civil aviation in a regionally collaborative manner. States a generally harmonised aviation legislative This will be done in the areas of airworthiness, framework would be in force. In 2007, therefore, ICAO flight operations, airports, security, and personnel funded a legal and technical review of the then seven licensing for those subjects.6 The parties agree that PASO Member States to carry out an analysis of the the mechanism for this regional collaboration is the law in force in each Member State and an assessment establishment of a centralised technical advisory of the work required in order to achieve harmonised organisation known as the Pacific Aviation Safety Pacific aviation law, at least among the PASO Member Office (PASO).7 Once PICASST came into force, this States. Based on the findings of this work, in 2011 new international organisation automatically came the Asian Development Bank commissioned a full into existence, with Vanuatu becoming the host State technical assistance project to assess the safety and for its headquarters. In fact PASO was one of the first security regulatory situation in each PASO Member regional safety oversight organisations established State and to facilitate the harmonisation work. This as part of ICAO’s global strategy for improved safety work included a full aviation treaty status report outcomes through enhanced regional arrangements.8 for each Member State.10 A key responsibility of the parties that request safety oversight services from PASO is that they It is fair to say that the current situation is still must: ‘institute and maintain an aviation safety and a work in progress. Some of the original States that security legislative framework in a standardised and had followed the New Zealand model, such as Cook consistent manner’.9 Islands, Niue, Samoa and Vanuatu, now need to catch up with the extensive amendments that have been made to the New Zealand Civil Aviation Act 1990 and the NZCARs. Solomon Islands and Kiribati have
5 Cook Islands, Kiribati, Nauru, Niue, Papua New Guinea, successfully enacted New Zealand styled civil aviation Samoa, Solomon Islands, Tonga, Tuvalu, Vanuatu. Except acts and adopted modified versions of the NZCARs for Niue and Tuvalu these States are also parties to the under these Acts. Tonga is poised to follow with a Chicago Convention. 6 Article 3. In 2009 an amendment to PICASST was comprehensive Civil Aviation Bill ready for enactment. proposed in order to extend the scope of thetreaty and Nauru has recently enacted its new Civil Aviation Act PASO’s jurisdiction from the five Annexes covering these 2011 and Tuvalu is ready to amend its civil aviation subjects to an additional eight Annexes, including air traffic services. However, the amendment has not achieved act so that it more closely conforms with the New the required two-thirds of parties’ acceptance to bring the Zealand Civil Aviation Act 1990 and includes the amendment into force. Now PICASST needs further amendment, anyway, consequent on the adoption of Annex 19 (Safety Management) by the ICAO Council with effect on 15 July 2013. 10 A short article about the ADB technical assistance project 7 Article 4. was published in Pacific Skies issue 2 of December 8 See further Ruwantissa Abeyratne “Ensuring Regional Safety 2012. The full ADB technical assistance report by in Air Transport” in Air and Space Law, 35, no 3 (2010), pp the consultants is now available at http://www.adb.org/ 249–262. This article does not refer to PASO, however. projects/documents/institutional-strengthening-aviation- 9 Article 5. regulation-tacr.
PACIFIC SKIES MAGAZINE ■ Issue 6 ■ 2014 15 KIM MURRAY – AVIATION LAW
power to adopt relevant parts of the NZCARs. Papua Two substantive improvements as a stage two New Guinea has a comprehensive New Zealand style harmonisation exercise are, therefore, recommended civil aviation act. Rather than adopting the NZCARs, here. The first is to deal with each State’s primary the Minister for Transport has promulgated a full aviation legislation by re-enacting it in subject suite of Papua New Guinea Civil Aviation Rules, but specific Acts. This means there would be separate in a form almost identical to the New Zealand Rules. Acts for aviation safety and security, aviation crimes, However, all this progress should be regarded only aircraft accident investigation, international air as a stage one technical harmonisation exercise. A services licensing, and air carriers’ liability. These second phase of harmonisation is now needed in smaller Acts would be more comparable to the order to make the law more accessible. size of the State’s other legislation already on the statute book. It is likely that the smaller Acts would Further harmonisation work raise fewer interpretation issues and be far more The principal advantage of using the New Zealand easily administered by officials and amended by Civil Aviation Act 1990 as model law for the PASO the legislature.12 The smaller statutes would still be Member States is that the Act is comprehensive. It is modelled on the equivalent provisions in the New omnibus aviation legislation. It encompasses not just Zealand aviation legislation and the Act dealing with aviation safety and security but also international aviation safety and security would still include provision air services licensing for economic purposes, as well for adopting the NZCARs. The stage two harmonisation as extensive provisions governing the liability of air exercise would, however, see the adopted Rules being carriers for passengers, baggage and cargo.11 For actually consolidated and published electronically the purpose of harmonising Pacific aviation law, the as the State’s own civil aviation rules. As such, they approach to date has been to prepare draft legislation would be a stand-alone code of technical standards which includes the safety and security provisions, without requiring reference back to their origin in omits the liability provisions, but includes extensive New Zealand. This presupposes, however, that the provisions taken from the New Zealand Transport Rules would be kept under review and frequently Accident Investigation Commission Act 1990. Then consolidated electronically to incorporate NZCAR additional empowering provisions are added to amendments. authorise the adoption of the technical regulations of another Chicago Convention contracting State as The Montreal Convention 1999 the fast track methodology for being able to establish There is a further dimension to the harmonisation a national code of aviation law to give effect to the of Pacific aviation law. As noted above, all ICAO SARPs. Once enacted, the result is a massive piece Member States have an obligation to collaborate in of legislation that instantly achieves a substantial achieving the highest practical degree of uniform modernisation of the relevant State’s aviation law. aviation safety and security law and, for PASO Member Nevertheless, the sheer size of the Act is daunting States, they must do this in a standardised and for those expected to comply with it, for officials to consistent manner. But there is also a pressing need administer and for small legislatures to keep under for Pacific Island States to modernise and harmonise review. Furthermore, once this primary aviation their aviation liability law. Some States, for instance, legislation is used as the authority for adopting still have old carriage by air liability Acts that give the NZCARs, the sheer volume of law can become effect to the 1929 Warsaw Convention, or later overwhelming. Indeed, in order to ascertain exactly amended versions of that Convention. However, what the local civil aviation rules are, it is necessary the modern aviation law governing the liability to access the NZCARs on the NZCAA website and of air carriers for international carriage by air of then make allowance for any local modifications passengers, baggage and cargo is now set out in set out in the relevant minister’s adoption notices and interpretation statements. 12 The New Zealand Civil Aviation Act 1990 and the Airport Authorities Act 1966 are currently under review by the New 11 The Act has been amended eleven times since 1990. The Zealand Ministry of Transport. One proposal in the ministry’s most recent amendment in 2010 implemented in New consultation document released on 1 August 2014 is that Zealand law the 2001 Capetown Convention on International New Zealand also breaks up the Civil Aviation Act into Interests in Mobile Equipment and the related Protocol. separate subject specific Acts
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113,100 special drawing rights (approximately NZD 200,000), the air carrier is not able to exclude or limit its liability. For losses above that amount, the carrier will also be liable unless the carrier is able to prove that the damage was not due to its own negligence or other wrongful act or omission or that such damage was solely due to the negligence or other wrongful act or omission by a third party.
All states are able to achieve the advantages of this uniform, or harmonised, liability law simply by ratifying or acceding to Montreal 99 and implementing the 1999 Montreal Convention for the Unification the exact words of the Convention in their domestic of Certain Rules for International Carriage by Air laws. This is easily done by enacting a carriage by (Montreal 99).13 air liability Act that includes the text of Montreal 99 as a schedule to the Act with confirmation that the The International Air Transport Association and Convention law applies in the relevant State. Any the Association of South Pacifc Airlines strongly international passenger, baggage or cargo claims, or support the drive for all States worldwide to accept even claims for delay against the air carrier within Montreal 99 because it means that the law governing the courts of the State must then be determined the potential liability of airlines is known and, according to the Montreal Convention liability rules. consequentially, obtaining liability insurance at The same rules can also be made to apply to non- reasonable rates is facilitated. Correspondingly, international carriage by air within the state. The the benefits for airline passengers in particular are governments of all Pacific Island states should considerable. For claims under Montreal 99, the air obviously ensure their citizens have the benefit of carrier is liable for death or bodily injury of the this harmonised aviation liability law, just in case passenger upon condition only that the accident which the worst should happen. caused the death or injury took place on board the aircraft, or in the course of any of the operations of The author of this article is a barrister and aviation law consultant based in New Zealand. He has carried out embarking or disembarking. This means the passenger substantial consultancy work for ICAO, PASO and the or next of kin only needs to prove the quantum of ADB in relation to the subject matter of this article. loss but not liability. Furthermore, for losses up to However, this article is written and published entirely in the author’s personal capacity. For more information, contact: [email protected].
13 See “Airline passenger liability in the Pacific – Time for harmonisation?” Pacific Skies issue 3 July 2013.
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PACIFIC SKIES MAGAZINE ■ Issue 6 ■ 2014 17 FEATURE AIRLINE
Feature Airline: Nauru Airlines
One of the world’s smallest countries has an airline of its own – one that serves more than just its home market. Nauru Airlines is the national carrier of Nauru, a Pacific Island nation located around 3,300 kilometres north-east of Brisbane, Australia, and around 2,200 kilometres north-west of Nadi, Fiji. The country’s location and small population ensures the airline is one of the more unique operations in the region and Pacific Skies went to find out what makes the airline work.
Brief history Nauru Airlines and its predecessors (Air Nauru from 1970 to 2005 and Our Airline from 2006 to 2014) have been flying Central and South Pacific routes for more than 40 years providing the various communities, businesses and governments with their travel, trade and communication needs. As Air Nauru, the airline commenced regular scheduled services in the early 1970s and over the next decade provided services to a wide range of destinations in Asia, Australia and the Pacific. While the airline’s network has significantly reduced Nauru Airlines CEO, Geoff Bowmaker since the 1980s, Nauru Airlines continues the tradition of serving a number of With Nauru Airlines pilots and engineers trained markets that were pioneered many years ago and to Australian standards, and aircraft maintenance these form a core part of today’s business. carried out by Australian maintenance providers, the airline ensures operations are conducted in The airline was corporatised in July 1996 and, as accordance with the highest safety standards found Nauru Air Corporation, it is now a separate statutory anywhere in the world. corporation (as a foreign registered company reporting to the Australian Securities and Investments In August 2014 the airline changed its trading name Commission), with the Republic of Nauru as its from ‘Our Airline’ to ‘Nauru Airlines’ in recognition of prime shareholder. Nauru Air Corporation’s head the proud history of Nauru’s aviation achievements office is located in Nauru, while the operational and the natural and primary role of the airline in base and principal place of business is located in servicing the people of Nauru. Brisbane, Australia. The corporation’s business is overseen by the Board of Directors appointed by Operations the Government of Nauru, with the Chief Executive Nauru Airlines provides return scheduled services Officer, Mr Geoff Bowmaker, and his team being from Brisbane to Nauru, Majuro (Marshall Islands) tasked with providing safe, efficient and profitable and Tarawa (Kiribati), and between Nauru and Nadi services for the people of Nauru. (Fiji). Nauru is a transit port on the network (see Nauru Airlines has also operated under the Table 1 below for complete route schedule). Nauru Australian Civil Aviation Regulations and with an Airlines operates these services in its own right and Australian Air Operators Certificate since 1996. does not currently code share with other airlines. In
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addition, Nauru Airlines provides charter services of acquiring newer versions of the Boeing 737-300 to clients in Australia, New Zealand, Central and to replace the older models in the fleet. South Pacific and South East Asia. Currently, the airline is operating four regular charter services While Nauru Airlines does not operate dedicated (two passenger and two freight) per week from community service flights, in providing services to the Australia to Nauru which are in addition to its people of Nauru the airline ensures urgent medical scheduled services. Nauru Airlines has also provided supplies are carried in a timely manner. The airline’s wet lease and ACMI (aircraft, crew, maintenance and network also ensures that the people of Nauru can insurance) charter services to various airlines in connect with Australia and neighbouring islands and the South Pacific, and continues to work with South nations for essential services. The airline has also Pacific peers during periods of heavy maintenance been requested on occasion to undertake searches and service disruptions. for missing vessels at sea.
In September 2006, the company launched ‘Our The current financial performance of the airline Airline’ with two weekly flights from Brisbane to is quite strong compared to previous years and it Nauru, Tarawa and Majuro using a B737-300 aircraft. is envisaged the airline will continue to prosper in The airline acquired a second B737-300 aircraft in the coming years. The opening of the Australian 2008 and a third was added in October 2013, with off-shore processing centre on Nauru has seen a the frequency of flights to Nauru increasing to three significant increase in the number of passengers times per week. In August 2014 – and now known being carried, driving the decision to acquire the as Nauru Airlines – the airline acquired an all-cargo B737-300 freighter. Increased frequencies and load B737-300 aircraft and began regular freight flights factors are a reflection of this activity. to Nauru. Nauru Airlines is currently in the process
Table 1: Scheduled passenger services operated by Nauru Airlines
FLIGHT No. DEPART LOCAL Time ARRIVE LOCAL Time SUNDAY ON002 Brisbane 0100 Nauru 0735 ON007 Nauru 0835 Majuro 1005 ON007 Majuro 1105 Tarawa 1220 ON005 Tarawa 1305 Nauru 1420 ON017 Nauru 1530 Nadi 1830 MONDAY ON018 Nadi 0800 Nauru 1100 ON006 Nauru 1210 Tarawa 1325 ON008 Tarawa 1410 Majuro 1525 ON008 Majuro 1620 Nauru 1750 ON001 Nauru 1850 Brisbane 2125 WEDNESDAY ON002 Brisbane 0700 Nauru 1335 ON001 Nauru 1435 Brisbane 1710 SATURDAY ON002 Brisbane 0700 Nauru 1335 ON001 Nauru 1435 Brisbane 1710
Maintenance and airport infrastructure The airline contracts its day-to-day maintenance maintenance and repair organisations approved by to Toll and Qantas (up to and including ‘A Checks’). the Australian Civil Aviation Safety Authority. Heavy maintenance is carried out by experienced
PACIFIC SKIES MAGAZINE ■ Issue 6 ■ 2014 19 FEATURE AIRLINE
While the airline operates services to a number of Air services arrangements destinations where airport infrastructure currently As is the case with most airlines around the meets minimum acceptable standards, ongoing world, Nauru Airlines operates its services using improvements are needed to ensure that these entitlements provided under bilateral air services standards are maintained and improved. In particular, arrangements with other countries. Nauru Airlines there needs to be sufficient capital investment, has indicated that more could be done to ‘free up’ maintenance and ongoing training of key personnel some constraints that still exist under some of these to ensure relevant airports are able to continue to arrangements. Such constraints are limiting the support operations by Nauru Airlines. The absence options available to airlines in offering competitive of runway lighting and interruptions to fuel supplies services for the wider benefit of consumers, and and to the serviceability of navigational aids are restrict airlines from responding quickly to changing among some of the issues that occasionally disrupt market conditions. the airline’s schedule.
Staffing What sets the airline apart from others? Nauru Airlines distinguishes itself from other The airline currently employs 120 people, including operators in the region by providing high quality service, 18 pilots and 12 engineering-related staff. Of these managed by experienced and attentive cabin crew, employees, 48 are women and 42 are expatriate. The and a full meal service. Nauru Airlines also operates airline actively looks to employ Nauruan staff wherever in the charter market and has a reputation for being the skills are available. Unlike some airlines in the very responsive to clients’ urgent requirements. The region, Nauru Airlines has no immediate concerns airline’s Australian registered aircraft also provide about its ability to continue to recruit sufficient the airline with an unique advantage in being able technical staff as and when required. A substantial provide charter services at short notice within the portion of the airline’s maintenance requirements Australian domestic market. are outsourced, reducing the demand for in-house engineering staff. Priorities Tourism and cargo The foremost priority of Nauru Airlines is servicing the transport needs of the people of Nauru, with While a large proportion of the passengers non-stop services being operated to Brisbane and currently carried by Nauru Airlines are travelling Nadi. That said, Nauru Airlines is also looking to for ‘business’ purposes, the airline has had some link neighbouring states, and the recent addition success in engaging with tourism organisations in of Majuro into the weekly schedule is an example. jointly promoting serviced destinations. However, The airline also currently includes Tarawa on its with tourism organisations in a number of smaller schedule of services, and flights to other central island nations being hampered by insufficient funding and northern Pacific countries are currently being and limited resources, the airline continues to do explored. most of its own promotional activities. Tourism promotion will become a more important factor Future operations in coming years as the airline seeks to expand its network beyond its core business-oriented markets. In looking at its future operations, the airline’s key issue is the cost of replacement aircraft. While Having recently acquired a freighter aircraft, the current supply costs of aircraft similar to its Nauru Airlines is gaining experience in the dedicated existing fleet is not yet a concern, in the longer freight/cargo market and will assess opportunities term the move to newer next generation aircraft for developing new cargo markets in partnership will require significant capital outlays. with relevant stakeholders. The carriage of time- sensitive fish exports from the Pacific to Australia The airline also hopes governments and other key and other markets is one such opportunity being stakeholders recognise the importance of ensuring explored. airport infrastructure issues are addressed if they want regular scheduled airline services to continue to operate throughout the region.
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In five years’ time… The airline has carved out niche markets which allow easier and more affordable access between have so far proved successful. The airline’s diverse the north, central and south Pacific areas. range of scheduled passenger, cargo and charter flights provides it with a sound operating base for For more information, please contact: the future. In five years’ time Nauru Airlines hopes Geoff Bowmaker, CEO to be operating an expanded network to and from Nauru Airlines Nauru and as well in the Pacific region that will [email protected]
PACIFIC SKIES MAGAZINE ■ Issue 6 ■ 2014 21 INTERNATIONAL AIR TRANSPORT ASSOCIATION
Montreal Convention 1999: A universal airline liability regime for a global industry
By Tim Colehan, Assistant Director External Affairs, International Air Transport Association
Ratification of the Montreal Convention 1999 by more States in the South Pacific would help to bring an end to the liability lottery that passengers, shippers and airlines currently face. Airlines in the region play a crucial role to ensure that governments understand the significant benefits that MC99 brings and the need for urgent ratification.
very year, over three billion passengers and 1999 (MC99) governs airline liability in such cases goods worth USD 6.8 trillion travel safely during international carriage. by air. Flying is the safest mode of travel E MC99 was designed to be a single, universal and accidents and incidents are rare. But when they do occur they can involve injury or death of liability regime to replace the complex patchwork passengers, or delay, loss, damage and destruction of treaties that have developed haphazardly since to baggage and cargo. The Montreal Convention 1929, shown in Table 1. However, only just over half of all International Civil Aviation Organization
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(ICAO) states have ratified MC99, with 85 States complexity and confusion, with many passengers, still to do. Therefore, the patchwork that MC99 shippers and airlines unable to access the superior was intended to replace still exists. This results in protections and benefits that MC99 offers.
Table 1: The patchwork of air carrier liability instruments that MC99 was designed to replace
Treaty Entry into force Number of Parties Warsaw Convention 1929 1933 152
Chicago Convention 1944 1947 191 Hague Protocol 1955 1963 137 Guadalajara Protocol 1961 1964 86 Montreal Additional Protocol 1 1975 1996 49 Montreal Additional Protocol 2 1975 1996 50 Montreal Additional Protocol 3 1975 Not in force 21 Montreal Additional Protocol 4 1975 1998 58
MC99: greater protection for passengers The concept of air carrier liability limits dates back to Today, these low limits may still apply. MC99 the 1920s when commercial aviation was in its infancy. was introduced to bring the liability limit into the The Warsaw Convention of 1929 (Convention for the modern era and it is currently set at 113,110 special drawing rights, equivalent to about USD 174,000, for unification of certain rules relating to international death and injury to passengers, below which carriers carriage by air) introduced a liability limit that gave cannot assert any defenses to claims. Crucially, MC99 passengers and shippers protection whilst enabling contains an ‘escalator clause’, which allows ICAO to airlines to secure reasonable insurance premiums. adjust this limit every five years so that states are Inflation made the USD 12,000 limit obsolete over not tied to an outdated limit. The latest review was time, however, and in 1955 The Hague Protocol approved by the ICAO Council in June 2014, with amended the limit to the equivalent of USD 24,000. levels remaining unchanged, as shown in Table 2.
Table 2: Differing liability limits in practice (expressed in USD for comparison purposes)
Type Warsaw Hague Protocol Montreal Convention (1999) – Current limits Convention (1955) (1929) Death or injury USD 12,000 USD 24,000 USD 173,000 (SDR,113,100)
(first threshold, higher sums recoverable) Baggage USD 20 per kg USD 20 per kg USD 1,700 (SDR 1,131) (new global limit, approx. USD 74 per kg on 23kg bag)
Cargo USD 20 per kg USD 20 per kg USD 28 per kg (19 SDR per kg)
Provisions No No Ye s for electronic documentation?
Note: The table compares the USD conversion figure at midmarket rates on 18 August 2014 from xe.com, for the various limits and thresholds. Note that the treaties do not specify a USD value – these have been calculated for easy reference/comparison.
PACIFIC SKIES MAGAZINE ■ Issue 6 ■ 2014 23 INTERNATIONAL AIR TRANSPORT ASSOCIATION
MC99 includes other consumer-friendly provisions as long as there is some form of record, including such as the ability for passenger claims to be brought electronic information. ‘So it is not a case of the in a wider choice of jurisdictions, and advanced Warsaw Convention preventing e-freight and MC99 compensation payments by airlines to victims. Given allowing it, ‘explains Tim Colehan, International Air that it also covers compensation for baggage and delays Transport Association (IATA) Assistant Director, in addition to death and injury, ratification of MC99 External Affairs. ‘However, e-freight would be a risk represents a quick practical step that governments under the Warsaw Convention as there is potentially can take to ensure greater consumer protection. no liability limit.’ MC99: trade facilitation and air cargo In cargo, both the origin and destination countries transformation must be parties to MC99. If this is not the case, a shipment is subject to the Convention that both MC99 not only brings protection, clarity and fairness countries have ratified. to passengers, it opens the door for e-freight. This in turn brings benefits for shippers and promotes wider MC99: a global standard for airlines trade facilitation for the country. MC99 provides the Many airlines operate large international and legal framework that permits the use of e-air waybills increasingly global route networks. Without universal (e-AWBs) and other electronic cargo documents. ratification of MC99, the patchwork of liability Shippers and forwarders benefit from faster and regimes continues to exist, creating complexity and more accurate document processing, improved confusion in determining which regime covers a security, better customs compliance, and accelerated particular incident or accident. The claims handling shipment times. All of this is good news for shippers, process and litigation resulting from an accident particularly those located in island economies that or incident is unnecessarily complex for airlines. rely on air cargo to provide the connectivity they Universal acceptance of MC99 will go a long way to need to get their goods and services to markets. eliminate such issues, giving airlines greater certainty. The Warsaw Convention does not prevent e-freight, What is blocking the process? but does say that if there is no paper confirmation of a shipment then an airline cannot rely on the Although MC99 came into force in November liability limit. MC99 allows the liability limit to apply 2003, a number of countries have yet to adopt the
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agreement. These include Russia and a number A call for action of Asia-Pacific States: Bangladesh, Fiji, Indonesia, Papua New Guinea, Philippines, Sri Lanka, Thailand The call for universal adoption was highlighted th and Vietnam. Non-MC99 countries could be signed again at the ICAO 38 Assembly held in Montreal up to the Warsaw Convention, the Hague Protocol, in 2013. The Assembly passed Resolution A38-20, the Guadalajara Convention 1961, the Montreal recognizing the importance of a universal airline Additional Protocols 1975, or any combination of liability regime and the important benefits MC99 the above. Some, like Thailand, have not adopted offers. It urges all States to support and encourage any convention. universal adoption of MC99 and calls on all remaining The passenger, the airline, and the country are States to become Parties to it as soon as possible. affected by this bewildering mix. ‘Take a Singapore- Jakarta trip, for example,’ explains Colehan. ‘Singapore IATA is supporting ICAO in terms of promoting is a signatory to MC99 while Indonesia is still only MC99 at the global, regional and local levels. It is party to the Warsaw Convention. If a passenger conducting an advocacy campaign, together with its has a one-way ticket in either direction then the regional partner airline associations, that is designed Warsaw Convention applies. But on the outbound to ensure that MC99 remains front and centre in the leg of a SIN-JKT-SIN return ticket MC99 applies. industry. The effort appears to be working as there Different passengers on the same flight are covered have been some recent successes. Ethiopia became by different rules.’ the 107th party to ratify MC99 in June. ‘The industry Most often, countries fail to adopt MC99 because is behind MC99 and we urge all states to adopt it,’ of lack of awareness, political inertia or political concludes Colehan. volatility. By and large, MC99 is non-controversial as it delivers benefits to all stakeholders, but can For more information, please contact: easily slip off the agenda if there are more pressing Tim Colehan issues. MC99 can also necessitate changing local or Assistant Director national laws, a time-consuming activity that many External Affairs, IATA governments fail to prioritise. [email protected]
PACIFIC SKIES MAGAZINE ■ Issue 6 ■ 2014 25 PACIFIC AVIATION NEWS
Pacific By BrentonAviation Clark News
as at 15 October 2014 Pacific Aviation News showcases the region’s airline activity. A highlight of this edition is the expansion of airline fleets in region.
The information in Pacific Aviation News is sourced companies and organisations that have distribution from media releases and reports, advertising material lists for the electronic circulation of information, and airline flight schedules. SPC would like to encourage it would be appreciated if SPC could be added to stakeholders to provide ongoing information for your list using the [email protected] email address. inclusion in this section of the magazine in future Brenton Clark editions, particularly items on airline activity that may not be readily accessed on the internet. For those SPC Economic Development Division Aviation Research Officer
and Lae-Popondetta services (from 4 to 2), and withdrawing Popondetta-Aloatu (Gurney) services; → withdrawal of non-stop services to Alotau from Lae and Popondetta, as well as dedicated services from Aircalin will operate a sixth weekly frequency Port Moresby, while maintaining the daily Port between Noumea and Tokyo from 1 December 2014 Moresby-Alotau services that extend to Misima/ to 9 February 2015, using A330-200 aircraft. The Losuia; airline also took delivery of a second A320 aircraft → withdrawal of non-stop services on the Goroka- in August 2014, with the airline adopting a new Madang, Lae-Mt Hagen, Mt Hagen-Madang and Port Moresby-Hoskins routes, with all points on these livery for this aircraft. Other aircraft in the fleet routes continuing to receive frequent flights to/ will be repainted in the new livery during heavy from other destinations on the airline’s network; maintenance checks. During heavy maintenance and checks on each of its 2 A330 aircraft, the airline → withdrawal of non-stop services to Daru from Lae, and reducing the weekly frequency of Port chartered an A340 aircraft from to Air Tahiti Nui Moresby-Daru (from 2 to 1) and Port Moresby- maintain scheduled services. Daru-Kiunga (from 5 to 4) services.
Airlines PNG announced the introduction of Air New Zealand will operate a third weekly Lihir (Londolvit) to its domestic network effective service between Auckland and Papeete from 10 from 1 October 2014. In summary, recent changes December 2014 to 24 March 2015, operated by to the airline’s schedule include: B767-300 aircraft. Seasonal adjustments will see the airline reduce its Auckland – Port-Vila and → introducing 10 Port Moresby-Lihir services (with 3 operating via Rabaul and 1 operating beyond to Auckland – Niue services to once weekly A320 Kavieng), as well as a Lihir-Rabaul-Kavieng service; flights from mid – October and mid – November → reducing the weekly frequency of services operated 2014, respectively. Twice weekly flights to Port Vila between Rabaul and Buka (from 7 to 6), between and Niue are scheduled to resume in late April and Rabaul and Kavieng (from 7 to 5) and from Port late May 2015, respectively. Air New Zealand is also Moresby to Tabubil/Kiunga via Mt Hagen (from 2 adding an extra 16,000 seats between Auckland and to 1); Nadi from May to October 2015, with the airline → reducing the weekly frequency of Port Moresby- Popondetta services (from 13 to 11, with 3 flights substituting B767 and A320 aircraft with B777 continuing to operate beyond Popondetta to Tufi) aircraft on most services during this period.
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→ reducing dedicated Port Moresby–Lae services from 5 to 4 daily flights operated by Fokker 100 aircraft, while re-introducing Lae as an intermediate point on services to Hoskins/Rabaul, Manus Island and Buka; and → reducing Port Moresby-Lihir (Londolvit) flights Air Niugini reportedly terminated its lease on from 11 to 4 per week, withdrawing the weekly 1 of its Dash 8-200 aircraft, with the aircraft being Fokker 100 service between Mt Hagen and Wewak, returned in September 2014 to Canada’s Avmax and re-routing a non-stop Port Moresby-Vanimo Q400 service to operate via Madang, Aviation.
Air Niugini has announced that its schedule effective from 26 October 2014 will focus on increasing frequencies and improving connections across its international and domestic networks. These changes include: Air Rarotonga has revamped its web site: → increasing weekly frequencies between Port www.airraro.com/en. Moresby and Brisbane (from 11 to 13 with a mix of B767 and B737 aircraft) and between Port Moresby and Cairns (from 9 to 11 with Q400 aircraft), and operating B767 aircraft on all 5 weekly services between Port Moresby and Singapore; → increasing daily frequencies between Port Moresby Air Tahiti took delivery of its second ATR 42-600 and Mt Hagen from 3 to 4 (operated by Fokker aircraft in July 2014. 100 aircraft), and increasing weekly frequencies between Port Moresby and Popondetta from 7 to 9 (with a mix of Dash 8-300 and Dash 8 aircraft replacing some services previously operated by Q400 aircraft); → increasing total weekly frequencies between Port Air Vanuatu has acquired a second ATR 72 aircraft Moresby and Manus Island from 8 to 9 with the as part of the airline’s plan to enhance services introduction of a second weekly B737 service, within Vanuatu and provide better connections re-introducing twice weekly services via Lae with international flights. A Harbin Y-12 aircraft has (operated by Fokker 100 aircraft) and withdrawing services previously operated via Rabaul; also returned to the Air Vanuatu fleet following the → Increasing total weekly frequencies to Kavieng (to completion of its lease to REALtonga. Air Vanuatu is 13, with 5 operating non-stop from Port Moresby planning to operate several supplementary flights and 8 via intermediate points), Daru (from 2 to 3, between Port Vila and Noumea in November and and to 5 from December 2014), Kundiawa (from 2 December 2014, using ATR 72-500 aircraft. to 3), Mendi (from 2 to 3, and to 4 from December) and Wopenamanda (from 6 to 7 from December); Air Vanuatu has announced the establishment → following the completion of upgrading works at of a partnership with Jetstar in New Zealand that Hoskins Airport, re-introducing Q400 aircraft on flights between Port Moresby and Hoskins and will enable passengers to purchase fares from Port on some flights between Rabaul and Hoskins, and Vila to Christchurch, Dunedin, Queenstown and resuming the Port Moresby-Lae-Hoskins-Rabaul Wellington. The airline has also re-launched its web route with 3 (4 from December) weekly flights site (www.airvanuatu.com) to include provision for operated by Dash 8-300 aircraft; online booking of flights, accommodation, car rental → operating Q400 aircraft on all Port Moresby- and travel insurance, as well as online check-in for Goroka flights and increasing capacity to Alotau (Gurney), Madang and Wewak, with Fokker 100 international and some domestic flights. Further aircraft replacing smaller capacity aircraft on some improvements to the web site will include the option services; to change flights online.
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Delta Airlines operated a number of closed charter services between Nagoya and Saipan in AviaCharters announced in a press release dated August 2014 using B757 aircraft. 29 August 2014 that it had suspended its activities. Earlier press releases on the company’s web site referred to charter services from Russia to Guam and Saipan being suspended from mid-August 2014 with Orenburg Airlines deciding not to continue operating flights for AviaCharters. The charter flights had been operated by the airline’s B737-800 aircraft. Dynamic Airways commenced regular charter services (every 5 days) between Guam and Beijing on 21 June 2014, and between Koror and Hong Kong on 16 September 2014, using B767-200 aircraft. Blue Micronesia Airlines is expected to launch operations in early 2015 linking Guam with Rota Federal States of Micronesia has signed an Open and Saipan, and Saipan with Tinian, using Islander, Skies Agreement with Singapore that provides for Shorts 360 and Saab 340 aircraft. The airline is unlimited services to be operated by airlines of each owned by Aviana Airways Corporation, the parent side between the two countries. company of Inter Island Airways.
Cebu Pacific is expected to commence services between Manila and Guam from December 2014 Fiji Airways Group reported an underlying with 4 flights per week using A320 aircraft. operating profit of FJD 17.2 million for the 6 months from 1 January to 30 June 2014. An additional B737- 800 aircraft is expected to join the Fiji Airways fleet in the second quarter of 2015.
Fiji Airways suspended services to Honiara in July China Airlines increased services between Taipei 2014 following a dispute between the aeronautical and Koror from 5 to 7 per week from 1 September to authorities of Fiji and Solomon Islands. The airline 25 October 2014 using B737-800 aircraft. From late had been operating a weekly Nadi-Port Vila-Honiara July to late September 2014, the airline also operated, flight and had announced the commencement of a in conjunction with a Japanese tour operator, a series new direct Nadi-Honiara flight before services were of charter flights between Fukuoka and Guam using suspended. A330-300 aircraft. Fiji Link’s new ATR 72-600 aircraft commenced operations on 16 June 2014. The aircraft is currently scheduled to operate regional services between Fiji and Samoa, Tonga and Vanuatu, as well as domestic China Eastern Airlines commenced twice weekly services between Nadi and Suva. The airline has also scheduled services between Beijing and Saipan on taken delivery of a new ATR 42-600, with the airline’s 1 May 2014 using A330-300 aircraft. The airline second ATR 72-600 expected in December 2014. In also operated a number of closed charter services addition, the airline announced the introduction of between Shanghai and Saipan in July and August 2014. a third weekly service between Suva and Taveuni, operated by Twin Otter aircraft, effective from 13 September 2014.
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’ services from Pago Pago Inter Island Airways Jin Air is planning to double capacity on its daily to Apia and the Manu’a Islands have been suspended services between Seoul and Guam, with the airline with the airline’s Dornier 228 aircraft out of service to replace its 189 seat B737-800 aircraft with 393 awaiting an engine replacement. A date for a resumption seat B777-200 aircraft on the route effective from of services has not yet been set. The airline has 12 December 2014. announced the proposed commencement of domestic services in Fiji (to be operated by Inter Island Airways (Fiji) Limited) has been delayed to early 2015. The airline has also recently established Blue Micronesia operated a number of charter flights Airlines based in Guam (see above). Korean Air between Tokyo and Guam in August 2014, using Inter Island Airways announced a further delay B737-900 aircraft. The services were operated for to the commencement of services by Manu’a Airways Japanese tour operators. from Pago Pago to Ofu and Tau Islands, with flights now targeted to begin in mid - December 2014. The airline and the American Samoa Government (ASG) have concluded a lease agreement for the use of the ASG’s ‘Segaula’ (a BN2A Islander) aircraft, with the aircraft now carrying Manu’a Airways titles and Our Airline changed its name to Nauru Airlines colours. Indicative schedules show plans for the effective from 1 August 2014. Effective from 29 June operation of 10 weekly flights from Pago Pago (3 2014, the airline increased flights to Nadi, Majuro to Tau Island, 2 to Ofu Island, and 5 that combine and Tarawa, with a weekly service now operating both islands). With the airline’s services to the Brisbane-Nauru-Majuro-Tarawa-Nauru-Nadi and Manu’a islands being delayed, Samoa’s Polynesian return. This service replaced a fortnightly service that Airlines has been granted an exemption to operate operated Brisbane-Nauru-Majuro-Nadi and return. services to the Manu’s islands on a temporary basis The airline also operates 2 additional scheduled (see below). flights per week between Nauru and Brisbane. The airline has recently acquired a B737-300 passenger aircraft to replace its original aircraft of the same type, and added a freighter version of the B737-300 to its fleet. Jeju Air has announced the commencement of a daily Seoul-Saipan service effective from 1 October 2014 with the flights to be operated by B737-800 aircraft. The airline also operates services to Guam.
Northern Air has completed its refurbishment of an Embraer Bandeirante aircraft which is intended to be operated on domestic services in Fiji once Jetstar announced it will offer 8 supplementary return services between Sydney and Nadi between 14 all regulatory approvals are in place. Additional December 2015 and 11 January 2015. Operated by Bandeirante aircraft are in the process of being A320 aircraft, the services supplement the airline’s added to the fleet. The airline currently operates regular schedule of 4 flights per week on the route. services from Suva to Gau, Koro, Labasa, Levuka, Moala, Ono-i-Lau and Taveuni using BN2A Islander aircraft.
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to scheduled services in August 2014. The 19-seat aircraft is the first of 2 Jetstream 32 aircraft to be leased from Australia’s Fly Pelican Airlines and is used mainly used on services to Ha’apai and to provide back-up for services to Vava’u. The airline leased a Convair 580 from New Zealand’s Air Chathams for a short time to operate supplementary services Palau Pacific Airways’ website indicates the new airline is intending to commence charter services between Nuku’alofa and Vava’u during a period of between Koror and Hong Kong from 1 November peak demand and while waiting for the delivery of the 2014, and is planning to operate services to Guam, first Jetstream aircraft. The airline also introduced a Japan and Taipei in 2015. factory new 17-seat Harbin Y12E aircraft to its fleet in August 2014, replacing the Y12 aircraft that had been leased from Air Vanuatu. The airline has also upgraded its web site (realtonga.to)
Philippine Airlines is increasing the frequency of its Manila-Guam services from 5 to 7 per week, effective from 26 October 2014, with all services to be operated by A321 aircraft, replacing smaller capacity A320 aircraft.
Solomon Airlines suspended services to Nadi in July 2014 following a dispute between the aeronautical authorities of Fiji and Solomon Islands. The airline had been operating a weekly Nadi-Port Vila-Honiara Polynesian Airlines has taken delivery of a third Twin Otter aircraft. Effective from 1 September flight before services were suspended. The airline 2014, the airline was granted an exemption (initially has also revamped its web site (www.flysolomons. for 30 days) by the United States Department com), enabling it to be fully accessed from any of Transportation to operate domestic services desktop PC, laptop, iPad or smart phone. The new within American Samoa between Pago Pago and web site also enables international and domestic the Manu’a islands. The Government of American flights to be booked in one transaction. The airline Samoa supported the application, with Inter Island has appointed Airline Marketing NZ as its General Airways currently unable to provide services on Sales Agent in New Zealand. the route. The exemption is to be reviewed every 30 days, and will be withdrawn within 5 days of an American carrier initiating services on the route. The airline has commenced operations with 3 flights per week using its Twin Otter aircraft. Star Marianas Air commenced scheduled services between Saipan and Rota effective from 14 August 2014, with twice daily flights. The flights are operated by Piper Navajo Chieftain aircraft. Flights between Saipan and Tinian are also listed under the airline’s flight schedule. The airline has applied to operate REALtonga introduced a BAe Jetstream 32 aircraft scheduled services from Guam to Rota and Saipan.
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2014), between Guam and Niigata (from 14 December 2014) and between Guam and Okayama (from 21 February 2015), with the airline noting the financial Travel Air introduced Buka to its Papua New performance of these routes had not met expectations. Guinea network earlier this year. The airline also operates services to Hoskins, Lae, Madang, Mt Hagen, Vanuatu and Singapore have signed an air services Popondetta, Port Moresby, Rabaul (Kokopo), Vanimo agreement that provides for unlimited services to and Wewak, with all flights operated by Fokker be operated by airlines of each side between the 50 aircraft. Services to Hoskins were suspended two countries. for several months while the airport underwent upgrading works.
Virgin Australia increased its Brisbane-Port Moresby flights from 5 to 6 per week, effective from 6 July 2014, with the services operated by B737-800 United Airlines is commencing a daily service aircraft. The airline has announced the introduction between Guam and Seoul from 27 October 2014, as well as a twice weekly service between Guam of business class on its Pacific Island flights, with the and Shanghai from 28 October 2014. Both services roll out expected to completed by April 2015. The will be operated by B737-800 aircraft. The airline airline has also recently sought approval to enable is also cancelling twice weekly B737-800 services Singapore Airlines to code share on its services to between Guam and Hiroshima (from 19 December Tonga and Vanuatu.
PACIFIC SKIES MAGAZINE ■ Issue 6 ■ 2014 31 PACIFIC AVIATION SAFETY OFFICE
Pacific Aviation Safety Office Update
The Pacific Aviation Safety Office (PASO) is an internationally recognised aviation safety/security organisation created by an international treaty, the Pacific Islands Civil Aviation Safety and Security Treaty (PICASST).
ith 13 Pacific Island member states and observers, PASO is W controlled by a Council made up of delegates from each member state and has its headquarters in Port Vila, Vanuatu.1 The Council provides policy and strategic advice to PASO, while also considering and approving its annual budget and work plan. Normally, member states pay a subscription fee but costs of regulatory services are recovered by provision of fees charged on a non-profit basis.
Some advantages of PASO are that it is a non-profit organisation, providing a one-stop-shop for capacity and skills building, training and networking. While maximising economies of scale in the region, PASO provides regional safety and security oversight and technical advice on all aspects of aviation. At the same time, PASO helps meet regional needs – especially those of small, relatively resource-poor states – in areas such as compliance with increasingly complex and numerous international aviation obligations.
The main objective of PASO is to help member states address their fundamental problems of compliance with International Civil Aviation Organization (ICAO) standards, which now number in the tens of thousands. In this regard PASO acts as an enabler, bringing better economies of scale, greater economic integration and a chance for a better future for all through capacity building and PASO Headquaters building in Port Vila, Photo Courtesy: Kim Murray
1 PASO member countries that are currently Parties to the Pacific Islands Civil Aviation Safety and Security Treaty (PICASST) are: Cook Islands, Kiribati, Niue, Nauru, Papua New Guinea, Samoa, Solomon Islands, Tonga, Tuvalu, and Vanuatu. Countries that are also members of PASO but not Parties to PICASST are: Australia, Fiji, and New Zealand. Associate member organisations of PASO are: The Asian Development Bank, the Association of South Pacific Airlines (ASPA), the US Federal Aviation Administration (FAA), and the Pacific Islands Forum Secretariat (PIFS). PASO membership is open to all Pacific Island Forum member countries.
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training. PASO’s vision is better economic growth, and social empowerment through greater regional cooperation and collaborative synergies.
PASO has recently hired a new general manager through a global recruiting effort. Mr Roy Barnett comes to PASO with over 25 years regulatory experience and over ten years working as one of the architects of the ICAO Universal Safety Oversight Audit Program. He will steer PASO through the restructure that PASO needs to undergo in order to become a fully-fledged regional safety/security oversight organisation that must now cover all 19 annexes of the Convention on International Civil Aviation (the Chicago Convention). Currently, PASO utilises a pool of inspectors to perform its Introducing Roy D. Barnett oversight tasks, which enables it to remain lean Prior to being assigned as the General and cost effective. Manager of the Pacific Aviation Safety Office (PASO) in Port Vila, Vanuatu in May 2014, Restructure support comes from a number of Mr Barnett served in a variety of technical donors, such as the World Bank, the Pacific Regional and management positions with the Flight Infrastructure Fund, New Zealand’s Civil Aviation Standards Division of the Federal Aviation Authority, Australia’s Civil Aviation Safety Authority Administration (FAA) International Office of and the Asian Development Bank. The future financial Aviation Safety for approximately 25 years. He viability of PASO remains a challenge, but will be worked in Abu Dhabi, U.A.E as the Senior FAA supported by revenue charges on airline tickets Representative, where he was responsible for and a safety levy to support PASO services in some sixteen countries in the Middle East. He also member states. managed the FAA code share safety programme Furthermore, there is a great deal of excitement for flight standards, which included over 180 air around (a) the idea of an upper airspace management carriers, and he was assigned as the Assistant consortium, which would allow revenue sharing Manager of the New York International Field partly to PASO in the future, and (b) efforts to office in Jamaica, New York. Most notably, expand PICASST to allow more ICAO annexes to be Roy was one of the first FAA employees to be covered by PASO. All of these efforts will support seconded to the International Civil Aviation the future development of PASO. Organization (ICAO) Universal Safety Oversight Audit Program, where he served as a senior Finally, the vision of a regional safety/security auditor and programme manager from 1996 to oversight organisation for the Pacific Islands is 2004, acting as a principal architect/instructor one that has been accepted and endorsed by ICAO, and participating in over 160 ICAO safety the International Air Transport Association and audits around the globe. many other international organisations. The last piece of the puzzle is for Pacific Island states to Roy has a bachelor’s degree in criminology fully embrace this concept, and they must do so if from the University of Tampa, a BA in Asian this region does not want to fall behind the global studies from the University of Maryland and an level with respect to international aviation safety MA in psychological counseling from Ball State and security. University, as well as an MA in international business from Webster University. For more information, please contact: Roy Barnett Manager/Senior Technical Coordinator Pacific Aviation Safety Office (PASO) [email protected]
PACIFIC SKIES MAGAZINE ■ Issue 6 ■ 2014 33 SPC ECONOMIC DEVELOPMENT DIVISION
The wider benefits of aviation in the Pacific
By Jennifer Hyatt
‘…the future of international civil aviation can greatly help to create and preserve friendship and understanding among the nations and peoples of the world…’ Preamble to the 1945 Chicago Convention
t is well known that aviation plays a crucial Air transport also offers a lifeline to communities that role in driving economic development through lack adequate road, rail or regular shipping networks, I enhanced connectivity and easing access to and it is essential for small island communities. national, regional and international markets and Many small island states rely on air transport to do opportunities. However, the many other benefits of business, connect to education and health care and a robust aviation industry are not as well known or provide access to the world beyond the sporadic and understood. Some of these benefits include research infrequent boat services that would otherwise be and development, linking communities to essential their only connection with the world. For example, services, the ability to respond quickly to emergencies, the American Samoan government relies on its developing labour mobility and migration links, and accumulated Hawaiian Airlines frequent flyer miles building national reputations. to assist patients who require medical treatment and special educational programmes overseas. The policy, Worldwide research and development spending implemented in 2013, transfers the accumulated by the aerospace industry is estimated to be USD 100 miles for government-paid travel by employees into million per annum, which generates an additional a corporate account. 2 GDP benefit of USD 70 million year after year.1 There are also flow-on benefits in terms of developing skills The speed and reliability of air transport is and boosting employment, such as by investing in vital to response and recovery efforts in emergency airport construction projects. situations such as natural disasters, famine and
2 Radio New Zealand International, ‘American Samoa to use 1 ATAG, Aviation: Benefits beyond borders, April 2014, page 6 frequent flyer miles for sick patients’, 16 August 2014.
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war. Whilst some of these efforts are undertaken by A ‘well-run national carrier can lift military and specialist air services, a significant part global perceptions of their home country, of the work is often carried out by the commercial but more broadly, aviation is a great air transport system. This can vary from airports facilitator of soft power, closing distance being used as staging centres for supplies; aircraft and airline staff used to facilitate cargo deliveries; and connecting people, cultures, companies, 7 the transfer of refugees; and evacuations. Of course, ideas, innovation and opportunity.’ aviation resources are also utilised in search and National carriers are unofficial ambassadors rescue situations, in tandem with national or regional and play a significant role in contributing to the contingency plans along with maritime assets. This international reputation of their home country.8 is particularly important in many countries in the For example, Singapore Airlines reflects the culture, Pacific, where civil aviation resources are the first to values and ambitions of its country through staff be called on to undertake search and rescue missions, diversity, cuisine, welcoming and efficient service, and especially in the absence of other dedicated search pristine equipment. The airline is, quite purposefully, and rescue assets. a valuable soft power asset for the internationally- A key contributor to the long-term economic minded Asian city-state. Similarly, Emirates and Qatar performance of a country is labour mobility and Airways are part of a comprehensive government migration. The Pacific Islands region has one of strategy to boost awareness, recognition and even 9 the highest rates of migration in the world and admiration for their respective countries. In the continues to grow at a rate of 2.1% annually.3 Air Pacific context, Fiji Airways is reinforcing its role as travel allows migrants to return home more often ‘the proud national airline of Fiji’ and is implementing and friends and family to visit them in their new strategies to create a distinctively Fijian brand. home. In addition, a significant proportion of Pacific Increasing cross-border travel is a reflection of Island populations live overseas, mainly in Australia, the closer relationships developing among countries, 4 New Zealand and the United States of America. both on an individual and national level. Increased According to the United Nations, more than 230 connectivity also facilitates the development of social million people now live outside their country of and economic networks, in the same way that the 5 birth. This diaspora is often an important source easing of restrictions relating to the movement of of trade, capital, technology and knowledge for goods and people across borders does. The expansion 6 both the country of origin and the destination. The of international tourism has also had positive ripple rise in the number of travellers visiting friends and effects on world culture and even international family reflects modern family demographics, with relations – effects that are difficult to measure. families spread over the world and an increasingly globalised workforce. These developments would That said, policies and regulatory frameworks not be possible without air transport. need to be continually reviewed by governments in order to ensure that the aviation sector is able Lastly, and not insignificantly, in addition to the to operate efficiently and continue to deliver wider benefits of improved connectivity, air carriers provide social benefits, as well as substantial economic the countries they serve by making an impact on benefits to countries and to the region. As always, their nation’s soft power. For many tourists, business sufficient investment in essential infrastructure is travellers and dignitaries, the first impression of needed if the social and economic benefits of air a destination are influenced by the service and services are to continue accruing. reliability of that country’s national airline. For more information, please contact: Jennifer Hyatt 3 International Organization for Migration, 2005 4 According to the International Organization for Migration – Aviation Research and Data Officer approximately 400,000 people of Pacific Island ethnicity lived [email protected] abroad in the mid-1990s; in 2001, Pacific Islanders made up 6.5% of the New Zealand population and 0.4% of Australia’s; and in 2010 about 5.1% of Pacific Islanders lived abroad, according to ACP Observatory on Migration, South-South Labour Mobility in the Pacific: An Overview, Pacific Dialogue 7 ATAG, “Aviation: Benefits beyond borders”, April 2014, Ltd, 2013. page 30 5 ATAG, “Aviation: Benefits beyond borders”, April 2014, page 17 8 ATAG, “Aviation: Benefits beyond borders”, April 2014, page 31 6 ATAG, “Aviation: Benefits beyond borders”, April 2014, page 17 9 ATAG, “Aviation: Benefits beyond borders”, April 2014, page 31
PACIFIC SKIES MAGAZINE ■ Issue 6 ■ 2014 35 SPC ECONOMIC DEVELOPMENT DIVISION
Asian jet fuel prices: October 2013 to July 2014
By Pritanshu Singh
The Singapore price for Asian jet/kerosene for the period October 2013 to July 2014 continued to exhibit mixed performance. The fluctuation was mostly influenced by changes in the world market price of crude oil.
bundant supplies in North Asia and weak The situation improved in December due to demand from China and regional buyers robust buying of kerosene for heating during the A resulted in a drop in October prices. Northern Hemisphere winter, coupled with higher November prices experienced a similar fate as a jet fuel consumption by the aviation sector due to result of poor buying interest from the key aviation year-end holidays. Additionally, reduced volumes sector, amid a slow winter heating demand for arrived in Singapore from South Korea, China and kerosene in North Asia. India, thus keeping the inventories low, which further supported the prices.
(Source: Asia Pacific /Arab Gulf Marketscan: Platts Singapore)
Persistently frail demand and poor buying interest season, together with an absence of heating demand from the key aviation sector during the low travel from Japan, weighed down prices in January. During
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February, refinery margins in Asia continued on The market strengthened in June due to an increase their recovery trend on the back of a temporarily in demand from the peak summer travel season and tight environment due to some refinery outages. in response to an increase in crude oil prices. Attractive prices in USA also pulled supplies from In July, the Asian jet/kerosene price decreased Asia, tightening regional supply availability and an again as a result of mounting regional supply, coupled increase in February prices. with lacklustre buying interest. An increase in supply Singapore’s onshore jet fuel stocks were seen at inventories came from fresh start-ups and expansions high levels in March. Prevailing weakness in end- at several refineries in China. user demand continued to plague the well-supplied Reference: market, resulting in jet prices dropping. In April, the Asian jet fuel market recovered slightly on the → Organization of the Petroleum Exporting Countries Monthly reports back of a strong regional demand and tightening → The McGraw-Hill Companies, Inc -Platts Asia supply as regional refineries headed into the turn- Pacific/ Arab Gulf Marketscan publications around season. For more information, please contact: The market lost ground in May, however, due to Pritanshu Singh sluggish end-user demand and an ample supply in the region, as several large exporting refineries such SPC Economic Development Division as Dalian and Jamnagar returned from maintenance. [email protected] Petroleum Officer
REALtonga has added a J32 Jetstream aircraft to its fleet which is used mainly on flights to Ha’apai and some services to Vava’u
PACIFIC SKIES MAGAZINE ■ Issue 6 ■ 2014 37 AIRWAYS NEW ZEALAND
Airways New Zealand leads aviation projects in the Pacific
By Airways New Zealand
Airways New Zealand is strengthening its support and commitment to the Pacific Islands, with a long-term vision to enhance aviation safety and develop strategies and services that make a real difference to the region.
t the recent Private Sector Forum – part ‘We’re also engaging with other funding agencies of the International Conference on Small around the world to lead development and investment A Island Developing States (SIDS) held in in a seamless Pacific air navigation region. Our Samoa – Airways Chief Operating Officer Pauline vision is to create a Functional Airspace Block for Lamb spoke about the New Zealand air navigation the Pacific, that maintains the same standard of service provider’s Pacific strategy and its enduring infrastructure, service, customer value and safety relationship with many island nations. that we provide in the New Zealand Oceanic Flight Information Region,’ says Ms Lamb. ‘Airways has a long history of working in the Pacific, and we care very much about delivering safe, value-for-money services to our Pacific neighbours. We’ve appointed a Pacific-focussed team to deliver on our strategy for the islands – Airways is taking a more proactive role to drive solutions that will benefit everyone, including airlines and airports,’ Ms Lamb says.
Airways is leading a number of aviation projects in the Pacific. In one initiative, Airways is assisting the World Bank to provide ground stations for PASNET, an aviation-specific satellite network for the Pacific that will link airports and air transport organisations in 15 countries. The organisation has committed to build and manage the central satellite hub for PASNET.
Another significant project is the Pacific Aviation Investment Programme (PAIP) – the World Bank’s programme to invest more than USD 72 million to improve Pacific aviation infrastructure and capability. Airways has submitted a proposal to provide navigational aid Airways technical experts Doug Gordon (left) and Geoff Burgess visited Vanuatu recently to assess the status of navigation aids at Bauerfield solutions as part of PAIP. Airport in Port Vila.
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The New Zealand Civil Aviation Authority has Ms Lamb says the SIDS Private Sector Forum was recently released the ‘New Southern Sky’ National a good opportunity for Airways to foster practical Airspace and Air Navigation Plan for New Zealand relationships in support of safe and sustainable aviation airspace, in conjunction with Airways. This twenty-year in the region. As a result of what it learned at the plan considers the application of the International forum, Airways will further develop its strategy for Civil Aviation Organization’s mandated aviation the Pacific, particularly in the provision of sustainable system block upgrades (ASBUs) to the New Zealand services that help to support Pacific communities. environment. Airways plans to support the Pacific ‘We have a fabulous set of people who would like states in the development of a similar plan for the to see the economies of our Pacific Island neighbours Pacific, and facilitate ASBU strategy development grow, through safe, sustainable air connectivity at for Pacific states. the heart of a thriving region,’ Ms Lamb says. One Pacific nation to recently benefit from Airways expertise is Vanuatu. Airways and its subsidiary, For further information please contact: GroupEAD Asia Pacific, have visited the remote Pauline Lamb Lonorore Airport on Pentecost Island to help develop and assess satellite-based approaches there and at Airways New Zealand a number of other Vanuatu aerodromes. Airways Ph:Chief +64 Operating 3 358 1573 Officer has also assessed the status of navigational aids Mobile: +64 27 702 1064 for Airports Vanuatu. [email protected]
New Polynesian Airlines Twin Otter Plane, photo courtesy: Samoa Government Press Secretariat
PACIFIC SKIES MAGAZINE ■ Issue 6 ■ 2014 39 NOT THE SPARE STATUS YOU WANT TO SEE
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By Damian Hickey, Travelport’s Vice President Global Distribution and Sales
Within the past few years, ancillary revenue has become an inevitable focus, as airlines look to improve their bottom line with pressure from rising fuel costs in a highly competitive industry.
he first IdeaWorks ancillary revenue report Whilst this growth has been dramatic, airlines have in 2007 reported a USD 2.45 billion in not been able to fully maximise their ancillary revenue T ancillary revenue from 23 airlines. In 2013, via the travel agency channel due to traditionally the same report revealed ancillary revenue totalling rigid distribution methods, such as via the industry more than ten times that figure (USD 31.5 billion) standard, Airline Tariff Publishing Company (ATPCO). is now being produced by 59 airlines and across A study by SITA, the multinational information all regions1. technology company, shows that 87% of airline
1 Ancillary Revenue Report Series 2014: The CarTrawler Yearbook of Ancillary Revenue by IdeaWorksComany
PACIFIC SKIES MAGAZINE ■ Issue 6 ■ 2014 41 TRAVELPORT
ancillary revenue comes from direct channels, even through ATPCO, and other carriers with though indirect channels account for nearly half of whom Travelport has a more flexible API ticket sales. This presents a significant opportunity (application programming interface) for airlines to capture additional ancillary revenue connection. Travel agents are able to search, compare and shop offers from traditional by making their offering more available through the carriers as well as low-cost carriers within indirect B2B (business-to-business) channel. the same workflow. Travel agents, on the other hand, have had limited → Travelport Ancillary Services enables travel agents to sell airline ancillaries or ‘optional or inadequate access to sell these ancillary services, extras’, such as lounge passes, seats and bags, prohibiting the potential revenue airlines can gain within their existing workflow rather than by by offering ancillary sales through the travel agency booking on an airline website. channel. The lack of access also hinders the travel → Finally, Travelport Rich Content and agent’s ability to offer exceptional customer service to Branding, due to launch later this year, their customers who expect an efficient and complete enables carriers to more effectively control booking experience. However, this is changing, as how their fares and ancillaries are visually innovative technology emerges, providing airlines communicated on travel agency screens, and agents with a much needed bridge. bringing them more into line with the airline’s own website experience. Currently in alpha The Travelport Merchandising Platform was testing and set to launch later this year, Rich launched just over a year ago and signals a major Content and Branding has already secured departure from the traditional supply chain. The sign-ups from over 60 airline partners, including many of the world’s leading airlines. platform offers three distinct solutions: These include Delta, United Airlines, British → Travelport Aggregated Shopping Airways, Ryanair, easyJet, SilkAir, Hong Kong consolidates within the same screen Airlines, Hainan Airlines, Peruvian Airlines, shopping results for traditional carriers Iberia, Avianca and from the Pacific, Solomon who have legacy connectivity, filing fares Airlines.
42 PACIFIC SKIES MAGAZINE ■ Issue 6 ■ 2014 TRAVELPORT
The success of the Travelport Merchandising Platform is its flexible technology, which enables airlines to distribute and differentiate all of their content and products via the agency channel, connecting to Travelport exactly how they choose to – whether it be industry standard, direct API connection, or a hybrid of both.
In a detailed global assessment of a ‘bottom- line-booster’, IdeaWorks found that ancillaries can represent more than 38.4 per cent of an airline’s revenue2, signalling the enormous growth and reliance on maximising returns by airline carriers. Baggage charges are the number one ancillary item – totalling USD 3.5 billion in the Merchandising Platform is one such solution and it US in 2012. Other key ancillary items include extra has received overwhelming support from the industry, legroom and early boarding. including being named the 2014 Best Travel Agency Technology Innovation by the Australian Federation The potential to better distribute and sell of Travel Agents, as well as the Best Technology ancillaries is pivotal to airlines today, and finding Supplier by the Travel Agents Association of New the right technology partner is key. The Travelport Zealand in August.
For more information, please contact: 2 In the Ancillary Revenue Report Series 2014: The CarTrawler Nicole Hague Yearbook of Ancillary Revenue by IdeaWorksComany, Spirit Commercial Manager, Global Distribution Sales & Airlines is listed as the top earner in ancillaries as a percent age of total revenue. [email protected] Services – Pacific
PACIFIC SKIES MAGAZINE ■ Issue 6 ■ 2014 43 AIRCRAFT ACQUISITIONS
NEW AIRCRAFT ACQUISITIONS
Aircalin recently took delivery of its second A320 aircraft in a new livery as part of the airline’s expansion plans
Air Tahiti has taken delivery of its second new ATR 42-600 aircraft. The new aircraft are part of the airline’s plan to replace its 500 series ATRs with the newer models
44 PACIFIC SKIES MAGAZINE ■ Issue 6 ■ 2014 AIRCRAFT ACQUISITIONS
NEW AIRCRAFT ACQUISITIONS
REALtonga has recently taken delivery of a new Y-12E aircraft, replacing a Y-12 previously leased from Air Vanuatu
PACIFIC SKIES MAGAZINE ■ Issue 6 ■ 2014 45 PAPUA NEW GUINEA – NATIONAL AIRPORTS CORPORATION
Completed Port Moresby Domestic Apron Extension. Civil Aviation Development Investment Program
By Joseph Tupiri, A/Managing Director, National Airports Corporation
The Government of Papua New Guinea is investing heavily in the nation’s economic infrastructure to drive economic growth and development, an example of which is the Civil Aviation Development Investment Program (CADIP), coordinated by the National Airports Corporation (NAC).
he purpose of CADIP is to improve airport building in order to improve service delivery and facilities and services to meet the safety and work in close partnership with stakeholders to T security standards set by the Civil Aviation successfully deliver CADIP. Safety Authority of PNG (CASAPNG), the national regulator of civil aviation, and the International Background Civil Aviation Organization (ICAO). In addition, the CADIP is a nine-year programme (2010–2017), which communications, navigation, surveillance and air has been developed and adopted for the redevelopment traffic management systems within Papua New Guinea and revitalisation of the 22 national airports in Papua sovereign airspace will be improved to ensure seamless New Guinea. It is being implemented by the NAC, air navigation services are achieved in accordance which was established under the provisions of the with CASAPNG and ICAO standards. To complement Civil Aviation Act 2000 as owner and operator of these these improvements, CADIP is also assisting the NAC, airports with a mandate to provide and promote safe PNG Air Services Ltd and CASAPNG with capacity and efficient aviation services in compliance with
46 PACIFIC SKIES MAGAZINE ■ Issue 6 ■ 2014 PAPUA NEW GUINEA – NATIONAL AIRPORTS CORPORATION
Aerial view: Port Moresby Domestic Apron Extension project area Aerial view: Port Moresby Domestic Apron Extension project after completion. area highlighted in red. Below: Construction
Above: Construction of the Port Moresby Domestic Apron extension. domestic and international standards. The main implementation. The committee meets quarterly aims of the project are to meet the minimum safety and is chaired by the NAC A/Managing Director and security standards, as well as the operational and includes the secretaries (or their respective requirements of the F100 or similar capacity aircraft nominees) of Treasury, the Department of National type, and to establish a sustainable civil aviation Planning and Monitoring and the Department of network that supports the growth and development Transport and the chief executive officers of PNG of the nation. The programme will enable national Air Services Limited and Air Niugini. airports and airways infrastructure to meet the challenges and demands of the air transport system An outcomes-based performance management system into 2030. is currently being used by the CADIP implementation unit to keep track of and manage project activities CADIP is valued at PGK1.67 billion (PGK1.25 and outcomes. This system reports on indicators, billion in ADB multi-tranche financing facility loans, progress and targeted outcomes for all projects. PGK195 million sourced through an anticipated The quality of work is constantly monitored against public private partnership arrangement for Jacksons the quality-assurance plan of each project and the International Airport, and the balance borne by the performance of each project contractor is also PNG government). A project implementation unit has constantly monitored. On-site project supervisors been established, and is assisted by Beca International and engineers oversee implementation on a daily Consultants as the Design and Supervision Consultant basis and provide periodic reports to the CADIP to provide additional capacity and expertise to help Program Director and the NAC on project progress, the CADIP implementation unit deliver the project as well as other project issues. activities and outcomes in an efficient and timely manner. The Project Steering Committee ensures that all procurement and works comply with relevant Project management legislative and regulatory requirements and that A high level CADIP Project Steering Committee periodic project progress reports are provided to provides guidance and oversight to CADIP project stakeholders.
PACIFIC SKIES MAGAZINE ■ Issue 6 ■ 2014 47 PAPUA NEW GUINEA – NATIONAL AIRPORTS CORPORATION
Project implementation Services Ltd. are ongoing components of CADIP. More specifically this includes: CADIP is being implemented in four stages. The first batch, valued USD 112 million, is nearing → air traffic control and management training; completion. It includes: → safety management systems; → aviation security services; → Port Moresby domestic apron extension → safety and security certification audits; (completed in September 2013); → aviation rescue and fire fighting services; and → Hoskins Airport upgrade (due to be completed → other specialist training requirements of the in the first quarter of 2015); entities. → new Mt. Hagen terminal building project (due to be completed in the first quarter of 2015); Benefits → Kavieng Airport security fencing project (completed in 2012) and combined airport The social benefits of CADIP are varied and far- security fencing project for Wewak, Gurney, reaching. At the outset, the programme provides Goroka and Hoskins (completed in September increased development opportunities for national, 2013); provincial and local communities, flowing from access → procurement of three airport rescue fire- to improved safety and security at their airports. fighting trucks for Port Moresby (completed in This leads to better access to education, healthcare, June 2013); law and justice, and other social services. It also → installation of an instrument landing system creates job opportunities and participation through for Port Moresby (completed in 2011); and the required civil works for locals, creating local → capacity building and institutional participation, involvement and ownership of the strengthening for NAC, CASAPNG and PNG Air Services Ltd.(ongoing). projects, as well as higher household incomes. CADIP is also leading to increased national, provincial and The second batch of projects, valued at USD 170 local community pride and unity in having improved, million and to be implemented over three years safe and secure airports. (2014–2016), is primarily focused on airport safety, security and certification, with specific projects In addition, the upgrading of the national airports including the following: will enable airlines to operate aircraft without payload restrictions, thus maximising their commercial → Goroka Airport pavement rehabilitation, returns from the operation of various aircraft types runway extension, new terminal building across their domestic networks. It will also provide construction; airlines with greater certainty in relation to future → Vanimo pavement rehabilitation and terminal aircraft acquisitions as they seek to modernise their building renovations; fleets in coming years. → Chimbu Airport pavement rehabilitation; → Girua airport pavement rehabilitation and new terminal building construction; Issues and challenges → Buka, Momote, Vanimo, Girua and Chimbu The NAC is managing a number of issues and airports’ security fencing; challenges in relation to the implementation of → Hagen, Tokua, Nadzab airport rescue and fire- CADIP. These include: fighting vehicles; → asset and certification maintenance; → slow start-up of the initial batch of projects; → pavement maintenance (as the concept of → learning ADB/GoPNG processes and asset management involving small, urgent procedures; pavement works that are required to keep → developing documentation/recruitment; the airports operational until major funding → cost escalation/shortfall management; becomes available in subsequent years); → timely release of GoPNG counterpart funding; → airport maintenance equipment; → managing local participation/expectations; → airport management system; and → meeting GoPNG /ADB requirements/ → Communications, navigation, surveillance and expectations; air traffic management system (CNS/ATM). → meeting and managing contractor expectations; Training, capacity building and institutional → tax exemption and related issues; and strengthening for NAC, CASAPNG and PNG Air → potential environmental impacts of projects.
48 PACIFIC SKIES MAGAZINE ■ Issue 6 ■ 2014 PAPUA NEW GUINEA – NATIONAL AIRPORTS CORPORATION
Example of the impact of CADIP on airports infrastructure: pavement strengths CADIP is tasked to strengthen and lengthen the 22 airports to meet the operating requirements of the current operating aircraft. The future upgrade of airports to accommodate aircraft having heavier take-off weights and longer take-off runs will be treated on a case-by-case basis. The table below gives a guide to the timing of the improvement of pavements strengths under CADIP.
Pavement strength for jet and turbo-prop airports
PRIOR TO AFTER BATCH 1 AFTER BATCH 2 AFTER BATCH 3 AFTER BATCH 4 CADIP
2010 2014 2016 2017 2018
1 Aropa
2 Buka 3 Chimbu 4 Daru 5 Girua 6 Goroka 7 Gurney 8 Hoskins 9 Kavieng 10 Kerema 11 Kiunga 12 Madang 13 Mendi 14 Momote 15 Mt. Hagen 16 Nadzab 17 Port Moresby 18 Tar i 19 Tokua 20 Vanimo 21 Wapenamanda 22 Wewak
Red crosses = pavement strength not in place yet Green solid circle = pavement meets strength requirements of the current operating aircraft or other aircraft of similar characteristics Example of the impact of CADIP on airports infrastructure: runway lengths The current Fokker 100 aircraft operated by Air will be followed by Buka, Goroka, Mendi, Momote, Niugini requires 1,900 metres of runway length to Kavieng, Kiunga, Madang and Tokua. Q400 aircraft enable it to fully utilise its carrying capacity (payload). require 1,400 metres for unrestricted take-off with CADIP is now extending the current runways at the maximum payload, while Dash 8 aircraft require country’s jet airports to 1,900 metres. The first project 1,200 metres is the runway extension at Hoskins Airport. This
PACIFIC SKIES MAGAZINE ■ Issue 6 ■ 2014 49 PAPUA NEW GUINEA – NATIONAL AIRPORTS CORPORATION Fly direct to Vanuatu From Australia, New Zealand, Fiji, New Caledonia with Air Vanuatu.
Runway length for jet and turbo-prop airports SOLOMON ISLANDS Torres Motolava PRIOR TO AFTER BATCH 1 AFTER BATCH 2 AFTER BATCH 3 AFTER BATCH 4 Banks Sola CADIP Honiara Gaua 2010 2014 2016 2017 2018 VANUATU VANUATU Santo 1 Aropa FIJI Port Vila Ambae Maewo 2 Buka Nadi
3 Chimbu Tanna Suva Santo Pentecost 4 Daru AUSTRALIA
5 Girua NEW Noumea Ambrym CALEDONIA 6 Goroka Paama Brisbane Malekula Epi 7 Gurney Tongoa Emae 8 Hoskins 9 Kavieng Sydney Efate Port Vila 10 Kerema Melbourne 11 Kiunga Auckland Erromango 12 Madang NEW ZEALAND Aniwa 13 Mendi Futuna Tanna 14 Momote
15 Mt. Hagen Aneityum 16 Nadzab Save time and use our NEW online check-in 17 Port Moresby 18 Tar i Visit www.airvanuatu.com to book 19 Tokua your ight, car, accommodation, insurance 20 Vanimo 21 Wapenamanda or for more information. 22 Wewak
Red crosses = short runway Green circle = runway length meeting unrestricted length requirements for the F100 or aircraft of similar characteristics
For more information, please contact: DRINKS MEALS QFF POINTS ENTERTAINMENT 20 OR 23KGS DUTY FREE Manuai Kametan Program Director Civil Aviation Development Investment Program National Airports Corporation [email protected]
Vanuatu – Port Vila Australia New Caledonia – Noumea Air Vanuatu House, Rue de Paris Toll Free: 1300 780 737 Tel: +687 28 66 77 PO Box 148, Port Vila Email: [email protected] Email: [email protected]
Tel: +678 23848 New Zealand – Auckland Fax: +678 23250 Tel: +64 9 373 3435 Email: Email: [email protected] [email protected]
In other parts of the world Qantas are the general sales agent for Air Vanuatu. 50 PACIFIC SKIES MAGAZINE ■ Issue 6 ■ 2014 Fly direct to Vanuatu From Australia, New Zealand, Fiji, New Caledonia with Air Vanuatu.
SOLOMON ISLANDS Torres Motolava Banks Sola Honiara VANUATU Gaua VANUATU Santo FIJI Port Vila Ambae Maewo Nadi
Tanna Suva Santo Pentecost AUSTRALIA
NEW Noumea Ambrym CALEDONIA Paama Brisbane Malekula Epi Tongoa Emae
Sydney Efate Port Vila
Melbourne Auckland Erromango NEW ZEALAND Aniwa
Futuna Tanna Save time and use our NEW online check-in Aneityum Visit www.airvanuatu.com to book your ight, car, accommodation, insurance or for more information.
DRINKS MEALS QFF POINTS ENTERTAINMENT 20 OR 23KGS DUTY FREE
Vanuatu – Port Vila Australia New Caledonia – Noumea Air Vanuatu House, Rue de Paris Toll Free: 1300 780 737 Tel: +687 28 66 77 PO Box 148, Port Vila Email: [email protected] Email: [email protected]
Tel: +678 23848 New Zealand – Auckland Fax: +678 23250 Tel: +64 9 373 3435 Email: Email: [email protected] [email protected]
In other parts of the world Qantas are the general sales agent for Air Vanuatu. PACIFIC SKIES MAGAZINE ■ Issue 6 ■ 2014 51 Serving the South Pacific Since 1979
Apply to become a member today! ASPA MEMBERS ✳ Aerosure Asia Pacific Pty Ltd✳ Airports Fiji Ltd ✳ Air Terminal Services (Fiji) Ltd ✳ Air Terminal Services (Tonga) Ltd ✳ Airbus ✳ Air Castle Singapore Pte Ltd ✳ AIRCALIN ✳ Air Caledonie ✳ ATR-Avions de Transport Regional ✳ Air Niugini ✳ Airways New Zealand ✳ Auckland International Airport ✳ Airlines PNG ✳ Air Tahiti ✳ Air Vanuatu ✳ AWAS (Singapore) Pte Ltd ✳ Air Kiribati✳ Air Tahiti Nui ✳ AERCAP ✳ Avolon Aerospace ✳ Aviation Capital Group ✳ Air Marshall Islands, Inc ✳ APG Australia & New Zealand ✳ Brisbane Airport Corporation✳ BOC Aviation ✳ Boeing ✳ Bombardier Aerospace ✳ Cit Aerospace ✳ Dubai Aerospace Enterprise ✳ Embraer ✳ Fiji Airways ✳ Fiji Link ✳ Flight GSE Ltd ✳ GE Aviation ✳ GE Capital Aviation Services (GECAS)✳ HAHN Air Interline Services ✳ Hawker Pacific ✳ International Lease Finance Corp ✳ Ikhana Group ✳ Killick Aerospace ✳ Macquarie Air Finance ✳ MEMKO Pty Ltd ✳ Nordic Aviation Capital✳ Nauru Airlines ✳ Polynesian Airlines ✳ Pacific Petroleum Company ✳ Pacific Turbine Brisbane ✳ Pratt & Whitney✳ Rockwell Collins ✳ Solomon Airlines ✳ SITA ✳ SMBC Aviation Capital✳ Airports Tonga ✳ Travelport ✳ Willis Lease Finance Corp ASPA INDUSTRY DEVELOPMENT PARTNERS: ✳ Cascade Engineering ✳ International Air Transport Association (IATA) ✳ Pacific Aviation Safety Office (PASO)✳ Secretariat of the Pacific Community (SPC) ✳ South Pacific Tourism Organisation (SPTO) ✳ Aviation Industry Association of NZ ✳ Pacific Islands Forum Secretariat
For more information contact: Secretary General | Association of South Pacific Airlines | P O Box 9817, Nadi Airport, Fiji | Email: [email protected]