National carriers are usually set up at the teething stage of a country’s civil aviation and are regularly propped up with numerous protectionist policies, such as financial aid, privatization, technical partnership etc. When these policies fail they are sold, liquidated or shredded like Gulf Air.
They are sometimes brought back to life, though at great cost and risk to absorb employees of failed major carriers. It provides employment and assuages nerves of restive unions, LAFSA was a paper airline formed by the Argentine government to absorb staff of two failed private carriers (LAPA and DINAR) in Argentina.
They may act as a means of providing additional fleet, capacity, and frequency in support of other registered carriers or investors. The aim is to operate several routes, compete internationally and keep the flag flying, which was exemplified by Greek government support for the fumbling Olympic Airways/Airlines and the initial backing of Brussels Airline by the Belgian Government at the demise of Sabena.
They may also be set up to fill a vacuum or to avert the monopolistic tendencies of the surviving airlines, which may encourage price fixing. The government through the consumer protection arm ensures and encourages competition. The Australian government encouraged the quick emergence of some airlines at the demise of Ansett Airlines which gave Qantas dominance over the Aussie airspace.
Looking at the three scenarios enumerated above, the first scenario is belated, considering it is almost eight years now after the demise of the flying elephant, Nigeria Airways (WT). The employees have simply moved on with their lives.
The second scenario is the crux of the present agitation for another national carrier, considering the flag carriers are floundering with suffocating debts. Also, the international routes and frequencies that should be money spinners are apparently within the terrain of foreign airlines that are operating into Nigeria. This is evident in the audacious request of Emirates to build a terminal at the international wing of MMIA for its passengers.
The third scenario does not really fit, because the domestic market is swarming with airlines. What we lack are undiluted low cost carriers, adequate regional jets or props, finance and a regulated consolidation regime that will bolster the critical mass.
Government should urgently start a consolidation process. The last consolidation exercise was a ruse as the only beneficiary of that process is the Corporate Affairs Commission (CAC), due to the hefty taxes collected from airlines. It is pertinent to note that barely six months after the paper consolidation process; two domestic airlines that passed the process were grounded over maintenance related issues, four other airlines have beaten the dust thereafter. Let us learn from Mexico and India which both had two national carriers. India is merging Air India and Indian Airlines, while the Mexican government has sold Mexicana and Aero Mexico.
Government can also tow the line of the Chinese and Russian Governments by directing the NCAA to enforce and not just encourage the merging of domestic airlines or the Indonesian option, which has increased the minimum aircraft an airline can own to five from two as presently allowed by the NCAA. The process will separate the boys from the men.
Also, the skewed air service agreements should be reviewed to give breathing space to our carriers, while working assiduously for the CAT 1 attainment, which is a cost and operational advantage to American carriers. Nigerian carriers cannot operate directly to the USA with Nigerian registered aircraft, they are left with the options of leasing aircraft from countries that have attained FAA Category 1 status, or registering aircraft in countries that have attained that status, or as a last option take the Southern Wind (SW) of Argentina option. When Argentina was downgraded to CAT 2, they sold their B767 to Air Atlanta of Iceland and had to wet lease the same aircraft from Air Atlanta in order to operate into the USA. The penalty being an extra $3.6m cost to the airline, can the new Wasting Time (WT) start with such risk?
A national carrier is not a requirement for CAT 1 attainment as erroneously espoused recently, neither is it needed to negotiate bilateral agreements. Also countries like Greece, Argentina, Ghana, Senegal, Cameroun, Gabon and Zambia have liquidated their national carriers and have tried unsuccessfully to have another despite sinking a lot of public funds.
We should not forgot that Nigeria Airways (WT) failed with absolute monopoly of the Bilateral Air Services Agreement (BASA), therefore we can boldly say the new national carrier will fail woefully in the new competitive and concession ridden aviation industry.
If we must have a national carrier, then we should ponder over the cost, risk and lessons from other climes. It is a better option for the government to buy into our flag carriers, namely Aero, Air Nigeria and Arik, which will be held in trust for Nigerians and sold at a future date.
Thereafter, the government can look for a reputable mega-carrier or institutions to manage their interest in them, while Government continue to protect, legislate and provide the coveted public travel (Fly Nigeria Act) to these carriers in the absence of an essential air services programme. In the interim Arik and Aero should re-brand to reflect Nigerian, their identity outside Nigerian airspace is opaque.
Monday, July 26, 2010
Tuesday, July 20, 2010
OWNER MANAGER SYNDROME
BANE OF NIGERIAN AIRLINES
The owner manager syndrome is a structural cankerworm that is hurting the industry, the effects of this syndrome are access to capital will be difficult and expensive, executive discipline lacking in the absence of a functional board, collaborative discussions are primarily trimmed to the owner’s wish list rather than commercial benefits, mergers &consolidations are rare if it is not legislated. It also whittles down public support or legislative backing as they are seen as Mr. A airline and not Nigerian flag carrier.
Because we cannot point to a vibrant owner manager airline today, we can at least learn from the board of jet blue and easy jet airlines, they practically pushed out the founders of these carriers when their programme was different from the collective aspiration of the rest, granted for Aero- contractors, can we point to a functional or effective board in Nigerian airspace? why must it be the owner only that approve and sign cheques? The multiplier effects are delays, cancellation, passenger and staff apathy e.t.c.
Our aspiration for a Fly Nigerian Act will only work when we have carriers that are owned by Nigerians just like the Americans, intuitively all major airlines are owned by people or institutions even Mr. Branson invited Singapore airlines and other individuals to the virgin group so why are different
The owner manager syndrome is a structural cankerworm that is hurting the industry, the effects of this syndrome are access to capital will be difficult and expensive, executive discipline lacking in the absence of a functional board, collaborative discussions are primarily trimmed to the owner’s wish list rather than commercial benefits, mergers &consolidations are rare if it is not legislated. It also whittles down public support or legislative backing as they are seen as Mr. A airline and not Nigerian flag carrier.
Because we cannot point to a vibrant owner manager airline today, we can at least learn from the board of jet blue and easy jet airlines, they practically pushed out the founders of these carriers when their programme was different from the collective aspiration of the rest, granted for Aero- contractors, can we point to a functional or effective board in Nigerian airspace? why must it be the owner only that approve and sign cheques? The multiplier effects are delays, cancellation, passenger and staff apathy e.t.c.
Our aspiration for a Fly Nigerian Act will only work when we have carriers that are owned by Nigerians just like the Americans, intuitively all major airlines are owned by people or institutions even Mr. Branson invited Singapore airlines and other individuals to the virgin group so why are different
Thursday, July 15, 2010
AON: A DISAPPOINTING CARTEL
(article written Mar 2010)
Recently the committee set up by the Federal Government submitted its report on bailout.
The airlines represented by Airline Operators of Nigeria (AON) were given ten days to report back to the government on modalities for the bailout plan. It took them three months, after being lampooned by the authorities for the slow pace of work.
On submission, the body had two different and obviously opposite positions on the bailout issue. One faction supported bailout, the other wanted stoppage of promotional fares and doubling of domestic fares. This is simply absurd!!
Asking Government to legislate or collude in doubling air fares is regimental and retrogressive in a deregulated industry. If any airline wants to triple its current fares, it can please go ahead by filing the new fares with the appropriate authorities and test the will of Nigerian passengers. It should not be legislated neither do we want collusion.
We should be reminded that the industry is frowning at and punishing with hefty fines, airlines caught colluding in fixing fares or tariffs. Western countries started it, and it has gotten to Africa with the current investigation of some airlines in South Africa, who were accused of fixing fares for the upcoming 2010 World Cup.
The promotional fares and on line ticket purchase, introduced last year by some Nigeria carriers are laudable and in tandem with multiple fares regime obtained in other climes. It generally increases en-planeing, booking ahead via the internet and improves load factor. The model is a marketing gimmick with the objective of attracting passengers from other transport modes.
Though, it has a low yield initially with appropriate fare mix it generates brand loyalty, market share and becomes profitable in the long run, if properly managed. Profitable low cost carriers world over have used promotional fares to their advantage at the peril of legacy carriers who are made to slash, burn, run or in the alternative set up competitive low cost carriers. These airlines have gone further in developing their social media marketing network by placing promotional fares, schedules and related information on facebook, twitter, flickr, youtube e.t.c, while using same to respond to passengers’ complaints
AON also requested for some waivers and lower charges. With recent happenings in the industry, it will be difficult to monitor and ensure that only scheduled operators enjoy such waivers and relief, because the process has always been abused by operators, who have assisted the non-scheduled operators, such as charter operators, businessmen, bankers, jet age preachers, serving and ex governors etc to bring in aircraft, spares and other related equipment thereby depriving the same treasury that will be doling out bailout, the juicy luxury tax and charges.
Most of these private and non-schedule operators whose service are for the affluent, later give their aircraft and equipment to registered carriers to manage at a fee and are made to generate revenue for the owners and new managers.
On the issue of outstanding debt to the agencies, it should be negotiated not forgiven and tied to whatever funds that will be released, because the agencies need to meet their responsibilities too. It is also nice to hear AON consenting to Nigerian Civil Aviation Authority (NCAA) as the body to advise government on airlines qualified to get bailout. So where was the economic audit team of the NCAA, when these airlines went into a financial tailspin?
The AON surprisingly did not raise the issue of market bailout; simply put - traveling with public funds on a Nigerian Carrier. The American carriers who are happy and covet the domestic market more than the international market had ‘Fly American Act’ in 1974 and have continuously amended it till date. It protects their carriers and keeps public expenditure within the economy, despite the absence of American carriers on most international routes at that period in time. AON seems contented with the "buy some seats I operate to your state" deals with some state governors, while overlooking publicly funded international charters and travels being carted away by foreign registered carriers and aircraft with accompanying crew.
On fuel, which constitutes a huge chunk of operating cost, it will be appropriate to consider fuel subsidies or the Middle Eastern state method of selling at a rate much lower than the market rate-with the acronym PLATTS. Airlines from this region have quietly enjoyed it while boosting their cash reserve; they have used the cash, to ask for more frequencies and dumping excess capacities on Nigerian routes. Airlines such as Saudia, Etihad, Qatar, Emirates, and Air Arabia are beneficiaries. Also, in the USA scheduled operators pay 21.9 cents per gallon for aviation fuel tax, while non schedule and private operators pay 36 cents.
The operators, in their presentation preferred the fat cheques and have gone ahead to blame external factors such as fuel price, charges, taxes, meltdown, promotional fares, infrastructure while refusing to address fundamental structural problems such as ownership, management and capacity that have become glaring liabilities for our carriers.
It is noteworthy that it was not total doomsday in the industry last year as we are made to believe by operators. Airlines such as American private carriers- Air Tran, Jet blue and Southwest; European carriers Ryan Air, Easy jet and Lufthansa; South American LAN, COPA (Panama); and Ethiopian Airlines in Africa all declared profits. In Nigeria, we have not seen a financial report yet we expect serious investors to partner with them.
In aligning with the Government disappointment at the submission of the Report, we really need to make it clear to AON that scheduled operators should be separated from charter operators. They must guarantee that private aircraft being managed by some of them will not benefit from taxpayers fund or the approved bailout plan and should endeavour to re-engineer their ownership and management processes to attract investors.
Most importantly they must stop the ego tripping, divisive bickering and unite with one voice. Anything short of this indicates that we should rather talk of stimulus for the entire industry than having bailout for airlines without clear cut business objectives and national initiative in outlook.
Recently the committee set up by the Federal Government submitted its report on bailout.
The airlines represented by Airline Operators of Nigeria (AON) were given ten days to report back to the government on modalities for the bailout plan. It took them three months, after being lampooned by the authorities for the slow pace of work.
On submission, the body had two different and obviously opposite positions on the bailout issue. One faction supported bailout, the other wanted stoppage of promotional fares and doubling of domestic fares. This is simply absurd!!
Asking Government to legislate or collude in doubling air fares is regimental and retrogressive in a deregulated industry. If any airline wants to triple its current fares, it can please go ahead by filing the new fares with the appropriate authorities and test the will of Nigerian passengers. It should not be legislated neither do we want collusion.
We should be reminded that the industry is frowning at and punishing with hefty fines, airlines caught colluding in fixing fares or tariffs. Western countries started it, and it has gotten to Africa with the current investigation of some airlines in South Africa, who were accused of fixing fares for the upcoming 2010 World Cup.
The promotional fares and on line ticket purchase, introduced last year by some Nigeria carriers are laudable and in tandem with multiple fares regime obtained in other climes. It generally increases en-planeing, booking ahead via the internet and improves load factor. The model is a marketing gimmick with the objective of attracting passengers from other transport modes.
Though, it has a low yield initially with appropriate fare mix it generates brand loyalty, market share and becomes profitable in the long run, if properly managed. Profitable low cost carriers world over have used promotional fares to their advantage at the peril of legacy carriers who are made to slash, burn, run or in the alternative set up competitive low cost carriers. These airlines have gone further in developing their social media marketing network by placing promotional fares, schedules and related information on facebook, twitter, flickr, youtube e.t.c, while using same to respond to passengers’ complaints
AON also requested for some waivers and lower charges. With recent happenings in the industry, it will be difficult to monitor and ensure that only scheduled operators enjoy such waivers and relief, because the process has always been abused by operators, who have assisted the non-scheduled operators, such as charter operators, businessmen, bankers, jet age preachers, serving and ex governors etc to bring in aircraft, spares and other related equipment thereby depriving the same treasury that will be doling out bailout, the juicy luxury tax and charges.
Most of these private and non-schedule operators whose service are for the affluent, later give their aircraft and equipment to registered carriers to manage at a fee and are made to generate revenue for the owners and new managers.
On the issue of outstanding debt to the agencies, it should be negotiated not forgiven and tied to whatever funds that will be released, because the agencies need to meet their responsibilities too. It is also nice to hear AON consenting to Nigerian Civil Aviation Authority (NCAA) as the body to advise government on airlines qualified to get bailout. So where was the economic audit team of the NCAA, when these airlines went into a financial tailspin?
The AON surprisingly did not raise the issue of market bailout; simply put - traveling with public funds on a Nigerian Carrier. The American carriers who are happy and covet the domestic market more than the international market had ‘Fly American Act’ in 1974 and have continuously amended it till date. It protects their carriers and keeps public expenditure within the economy, despite the absence of American carriers on most international routes at that period in time. AON seems contented with the "buy some seats I operate to your state" deals with some state governors, while overlooking publicly funded international charters and travels being carted away by foreign registered carriers and aircraft with accompanying crew.
On fuel, which constitutes a huge chunk of operating cost, it will be appropriate to consider fuel subsidies or the Middle Eastern state method of selling at a rate much lower than the market rate-with the acronym PLATTS. Airlines from this region have quietly enjoyed it while boosting their cash reserve; they have used the cash, to ask for more frequencies and dumping excess capacities on Nigerian routes. Airlines such as Saudia, Etihad, Qatar, Emirates, and Air Arabia are beneficiaries. Also, in the USA scheduled operators pay 21.9 cents per gallon for aviation fuel tax, while non schedule and private operators pay 36 cents.
The operators, in their presentation preferred the fat cheques and have gone ahead to blame external factors such as fuel price, charges, taxes, meltdown, promotional fares, infrastructure while refusing to address fundamental structural problems such as ownership, management and capacity that have become glaring liabilities for our carriers.
It is noteworthy that it was not total doomsday in the industry last year as we are made to believe by operators. Airlines such as American private carriers- Air Tran, Jet blue and Southwest; European carriers Ryan Air, Easy jet and Lufthansa; South American LAN, COPA (Panama); and Ethiopian Airlines in Africa all declared profits. In Nigeria, we have not seen a financial report yet we expect serious investors to partner with them.
In aligning with the Government disappointment at the submission of the Report, we really need to make it clear to AON that scheduled operators should be separated from charter operators. They must guarantee that private aircraft being managed by some of them will not benefit from taxpayers fund or the approved bailout plan and should endeavour to re-engineer their ownership and management processes to attract investors.
Most importantly they must stop the ego tripping, divisive bickering and unite with one voice. Anything short of this indicates that we should rather talk of stimulus for the entire industry than having bailout for airlines without clear cut business objectives and national initiative in outlook.
FLIGHT 1549: HERO & UNSUNG HEROS; THE LESSONS HEREIN FOR NIGERIA
(Article written Feb 2010)
The media at home and abroad have hailed the text book splash, evacuation and rescue of passengers and crew on Flight 1549, which departed LaGuardia Airport in New York, en route to Charlotte, North Carolina on the 15th of January 2009. The aircraft and crew experienced a bird strike shortly after takeoff, which led to loss of power in the aircraft engines and the subsequent landing in the Hudson River.
The hero and unsung heroes on that cold afternoon were on board that aircraft while others are residents or citizens of the USA.
THE HERO: Capt. Chesley Sullen Berger III the 57 year old, Danville, California born former fighter jet pilot with over twenty years experience with US Airways took control of the aircraft when the First Officer said “your aircraft”. He made efforts to return to land at two different airports, but when he realized he was losing altitude and needed to minimize the risk he then reportedly told Air Traffic Controllers "We can't do it, "We're gonna be in the Hudson."
Just before landing he told the passengers and crew to brace for impact, therafter he smoothly landed the plane in the Hudson River, close to some ferries. He did that so passengers can be rescued quickly and in line with commercial airline ditching procedure. After the plane had been evacuated, the Captain walked the length of the cabin twice to confirm that no one remained inside before exiting the aircraft. On getting to the pier he collected contact information from his crew while still wet on a cold afternoon.
UNSUNG HEROS: Flight Officer Jeff Skiles – He was at the controls of the airplane when it took off from LaGuardia and was the first to notice a formation of birds approaching the aircraft. The windscreen turned dark brown and several loud thuds were heard, thereafter the engines lost power. He made several attempts to restart the engines and began going through a three-page emergency landing procedure checklist.
CABIN CREW: Donna Dent, Sheila Dail and Doreen Welsh were the Cabin Crew on board that flight with an average of 26 years flying experience. They briefed the cockpit crew on hearing a loud bang in the cabin and prepared the cabin for landing by instructing passengers to keep their heads down.
They initiated evacuation in the cabin using the over wing exits, and resisted passengers who attempted to open the rear doors and successfully deployed the slides of the front doors that were used as raft automatically and manually deployed the other slide. Though, not prepared for ditching, they were still able to evacuate the passengers with life jackets and other floatable materials such as aircraft seats.
There was only one major injury on that flight which is a deep leg laceration suffered by cabin veteran with 38 years flying experience, Doreen Welsh while resisting the passengers from opening the rear doors.
The lesson here is that safety conscious airlines look beyond slimness, beauty and mini skirts, which only make them smile with the passenger in the cabin and probably in heaven or hell.
PASSENGERS: These heroes were not briefed about landing in water. The last statement from the cockpit via the PA was “brace for impact” In that mêlée they were able to listen to Cabin Crew who directed them to the over wing exits and also informed them to take floatable materials.
The passengers opened some of the over wing exits themselves which contributed to the expeditious evacuation from the aircraft. A certain passenger “Josh” at one over wing exit, who must have read the safety pamphlet on board had to open one of the exits by twisting and throwing it out of the aircraft. Curiously, the passengers made provision for mothers with babies to get to the exits. We should really learn to be calm, listen to Cabin Crew briefing and instructions in all situations. Also, when Cabin Crew resit passengers close to exit doors, it is in the interest of safety not comfort.
AIR TRAFFIC CONTROL (ATC): They responded quickly to the “May Day” call from cactus 1549 i.e. the call sign for flight 1549 and asked the Captain to proceed to Runway 13 at LaGuardia which was cleared for him to land. His response was that he would not be able to make it and informed the ATC that he had spotted an airport and indicated a desire to attempt an emergency landing there. ATC identified the airport as Teterboro Airport in Bergen County, New Jersey. Again, Flight 1549 could not get there.
AIRBUS: The aircraft that operated the flight was an Airbus 320-214 that was delivered brand new sometime in August 1999. On losing power on the two engines the Auxiliary power unit (APU) and Ram Air Turbine (RAT) provided back up electrical power and hydraulic pressure for the aircraft even at very low speed. This was confirmed by the NTSB report.
Thankfully, these equipments responded at the time they were needed and did not disappoint like the Emergency Locator Transmitters (ELT) that has refused to transmit or locate in recent times. The A320 also has a "ditching" button that closes valves and openings underneath the aircraft. It is meant to slow flooding in water landing. Though, it was not activated by the crew for the Hudson splash. It is also important to note that Airbus quickly dispatched Engineers to New York to assist Investigators.
SECURITY & EMERGENCY AGENCIES: The agencies in and around New York were splendid in their responsibilities and performance. On sighting an aircraft in the river, they immediately mobilized and commandeered ferries and boats to the crashed aircraft. A helicopter from NY Fire Department was at hand hovering over the aircraft with Divers in a matter of minutes. These Divers pulled two passengers who slipped off the aircraft wing out of the water. The Marine Unit of New York Police Department (NYPD) led the rescue effort using their boats which normally patrols the Hudson.
Also, in response to a 911 call, 35 ambulances were waiting to attend to the rescued passengers. 10 of them were general purpose while 25 had full medical equipment to care for severe cases.
FAAN should quickly upgrade their airport emergency plan and procedure to include areas around the cities and water ways.
NATIONAL TRANSPORTATION SAFETY BOARD (NTSB): An organization entrusted with the responsibility of investigating accidents like our own Accident Investigation Bureau (AIB) sent investigators to the crash site immediately. They were quick in picking the maintenance records of the aircraft. They have been briefing the press regularly on updates in investigation without having to obtain clearance from the Ministry or Presidency. A clear case of Autonomy.
They took control of the site and aircraft and quickly ensured the retrieval of the aircraft and the severed engine from the icy Hudson. Organic material found on an engine was sent to the lab for DNA testing, while Engineers from Airbus are being closely monitored. Even retrieved passenger and crew luggage will be held for some time.
AVIATION UNIONS: They rallied round the entire Crew with words of encouragement. The pilot union bestowed on them the Master's Medal of the Guild of Air Pilots and Air Navigators, which is given for rare aviation achievements, with the citation, "This emergency ditching and evacuation, with the loss of no lives, is a heroic and unique aviation achievement” .
The President of Association of Flight Attendants (AFA) flew to New York to assist in debriefing the passengers and colleagues in the cabin of flight 1549 and responded to all enquiries pertaining to the profession. The lesson here is unionism is not just about collecting dues or “I no go gree” slogan. The rejection of the Crew who operated the ill fated Beechcraft 1900 by the pilot union in Nigeria was unexpected, considering that at that point in time no body knew their fate.
MEDIA: The headlines were full of praises for everyone, and the heroic feat was more pronounced. Had this occurred in our country, the headlines would probably have been “155 passengers escape death”, or “plane crashes on the Marina” with “severe injuries to passengers” or “plane sinks in Marina as crew fail to activate ditching button”.
Please we need to get rid of alarming captions that scare passengers away from the industry.
PUBLIC SUPPORT: The US Congress or the State of New York did not play to the gallery by initiating hasty probes and proclamation, but allowed NTSB, the body entrusted with the responsibility to do the talking.
The new President invited the entire Crew to his inauguration, while the former president George W. Bush said he was "inspired by the skill and heroism of the Flight Crew," and also praised the emergency responders and volunteers. The Mayor of New York awarded the Crew the key to the City, while the organizers of the Super bowl XLIII offered them free tickets. They are still being fêted by different groups in America.
US AIRWAYS: The airline involved in the crash, immediately dispatched officials to support and comfort the passengers who were lodged in a hotel by the airline. The Chief Executive Officer flew to New York to see the passengers and handed a letter of apology to individual passengers.
They offered to refund the ticket fare, gave $5,000 to each passenger for missing/withheld luggage and gave some guarantees for further compensation, when insurance issues are settled.
Please note it did not take years to initiate and process these things, like it is done by some Nigerian airlines.
Though, fatalities when ditching has always been a norm, it is not the first time we are witnessing a 100% successful ditching. On the 21st of August 1963, an Aeroflot Tupolev Tu-124 ditched into the Neva River after running out of fuel. The aircraft floated and was towed by a tug, with its passengers near to the shore where the passengers disembarked onto the tug; all 52 on board escaped without injuries.
A review of flight 1549 shows that the birds struck 90 seconds after takeoff, at a point outside the airport jurisdiction and that aircraft engine manufacturers including CFM International the owners of the engine on that aircraft test engines physically and through computer simulation. In the physical tests, the engines are revved to full power inside a test facility and absorb various kinds of birds, to pass the test, engines must keep operating after the collision, maintaining enough power to take off, fly around the airport and land the plane safely, because a jet with two engines has to be able to take off on 50 percent power.
To avoid such occurrence airport managers should extend the anti-bird policies beyond the airport vicinity and the engine manufacturers should improve on the materials used for the blades and the ability of the engine to suck organic materials.
The industry is awoken by flight 1549, as the Federal Aviation Administration (FAA) has already beefed up evacuation training for Cabin Crew. This week, it proposed new regulation calling for annual "hands on" drills on the use of emergency equipment and process for all Cabin Crew. Currently, such training sessions are required every two years, also American Airlines agreed to have the cabin crew join the voluntary safety reporting programme which is meant to enhance safety.
We have noticed an increased interest in the safety pamphlets at the back of seat pockets in the aircraft; the important role of people who sit in the exit rows is reinforced. We really need to question the policy that those exit row seats, with their extra legroom, often go to frequent fliers, as a perk, or are even sold to passengers who are willing to pay a bit more for the extra space. The competence of the passenger is never really considered.
The NCAA should please look at these issues and ensure a quick implementation within Nigerian airspace.
The media at home and abroad have hailed the text book splash, evacuation and rescue of passengers and crew on Flight 1549, which departed LaGuardia Airport in New York, en route to Charlotte, North Carolina on the 15th of January 2009. The aircraft and crew experienced a bird strike shortly after takeoff, which led to loss of power in the aircraft engines and the subsequent landing in the Hudson River.
The hero and unsung heroes on that cold afternoon were on board that aircraft while others are residents or citizens of the USA.
THE HERO: Capt. Chesley Sullen Berger III the 57 year old, Danville, California born former fighter jet pilot with over twenty years experience with US Airways took control of the aircraft when the First Officer said “your aircraft”. He made efforts to return to land at two different airports, but when he realized he was losing altitude and needed to minimize the risk he then reportedly told Air Traffic Controllers "We can't do it, "We're gonna be in the Hudson."
Just before landing he told the passengers and crew to brace for impact, therafter he smoothly landed the plane in the Hudson River, close to some ferries. He did that so passengers can be rescued quickly and in line with commercial airline ditching procedure. After the plane had been evacuated, the Captain walked the length of the cabin twice to confirm that no one remained inside before exiting the aircraft. On getting to the pier he collected contact information from his crew while still wet on a cold afternoon.
UNSUNG HEROS: Flight Officer Jeff Skiles – He was at the controls of the airplane when it took off from LaGuardia and was the first to notice a formation of birds approaching the aircraft. The windscreen turned dark brown and several loud thuds were heard, thereafter the engines lost power. He made several attempts to restart the engines and began going through a three-page emergency landing procedure checklist.
CABIN CREW: Donna Dent, Sheila Dail and Doreen Welsh were the Cabin Crew on board that flight with an average of 26 years flying experience. They briefed the cockpit crew on hearing a loud bang in the cabin and prepared the cabin for landing by instructing passengers to keep their heads down.
They initiated evacuation in the cabin using the over wing exits, and resisted passengers who attempted to open the rear doors and successfully deployed the slides of the front doors that were used as raft automatically and manually deployed the other slide. Though, not prepared for ditching, they were still able to evacuate the passengers with life jackets and other floatable materials such as aircraft seats.
There was only one major injury on that flight which is a deep leg laceration suffered by cabin veteran with 38 years flying experience, Doreen Welsh while resisting the passengers from opening the rear doors.
The lesson here is that safety conscious airlines look beyond slimness, beauty and mini skirts, which only make them smile with the passenger in the cabin and probably in heaven or hell.
PASSENGERS: These heroes were not briefed about landing in water. The last statement from the cockpit via the PA was “brace for impact” In that mêlée they were able to listen to Cabin Crew who directed them to the over wing exits and also informed them to take floatable materials.
The passengers opened some of the over wing exits themselves which contributed to the expeditious evacuation from the aircraft. A certain passenger “Josh” at one over wing exit, who must have read the safety pamphlet on board had to open one of the exits by twisting and throwing it out of the aircraft. Curiously, the passengers made provision for mothers with babies to get to the exits. We should really learn to be calm, listen to Cabin Crew briefing and instructions in all situations. Also, when Cabin Crew resit passengers close to exit doors, it is in the interest of safety not comfort.
AIR TRAFFIC CONTROL (ATC): They responded quickly to the “May Day” call from cactus 1549 i.e. the call sign for flight 1549 and asked the Captain to proceed to Runway 13 at LaGuardia which was cleared for him to land. His response was that he would not be able to make it and informed the ATC that he had spotted an airport and indicated a desire to attempt an emergency landing there. ATC identified the airport as Teterboro Airport in Bergen County, New Jersey. Again, Flight 1549 could not get there.
AIRBUS: The aircraft that operated the flight was an Airbus 320-214 that was delivered brand new sometime in August 1999. On losing power on the two engines the Auxiliary power unit (APU) and Ram Air Turbine (RAT) provided back up electrical power and hydraulic pressure for the aircraft even at very low speed. This was confirmed by the NTSB report.
Thankfully, these equipments responded at the time they were needed and did not disappoint like the Emergency Locator Transmitters (ELT) that has refused to transmit or locate in recent times. The A320 also has a "ditching" button that closes valves and openings underneath the aircraft. It is meant to slow flooding in water landing. Though, it was not activated by the crew for the Hudson splash. It is also important to note that Airbus quickly dispatched Engineers to New York to assist Investigators.
SECURITY & EMERGENCY AGENCIES: The agencies in and around New York were splendid in their responsibilities and performance. On sighting an aircraft in the river, they immediately mobilized and commandeered ferries and boats to the crashed aircraft. A helicopter from NY Fire Department was at hand hovering over the aircraft with Divers in a matter of minutes. These Divers pulled two passengers who slipped off the aircraft wing out of the water. The Marine Unit of New York Police Department (NYPD) led the rescue effort using their boats which normally patrols the Hudson.
Also, in response to a 911 call, 35 ambulances were waiting to attend to the rescued passengers. 10 of them were general purpose while 25 had full medical equipment to care for severe cases.
FAAN should quickly upgrade their airport emergency plan and procedure to include areas around the cities and water ways.
NATIONAL TRANSPORTATION SAFETY BOARD (NTSB): An organization entrusted with the responsibility of investigating accidents like our own Accident Investigation Bureau (AIB) sent investigators to the crash site immediately. They were quick in picking the maintenance records of the aircraft. They have been briefing the press regularly on updates in investigation without having to obtain clearance from the Ministry or Presidency. A clear case of Autonomy.
They took control of the site and aircraft and quickly ensured the retrieval of the aircraft and the severed engine from the icy Hudson. Organic material found on an engine was sent to the lab for DNA testing, while Engineers from Airbus are being closely monitored. Even retrieved passenger and crew luggage will be held for some time.
AVIATION UNIONS: They rallied round the entire Crew with words of encouragement. The pilot union bestowed on them the Master's Medal of the Guild of Air Pilots and Air Navigators, which is given for rare aviation achievements, with the citation, "This emergency ditching and evacuation, with the loss of no lives, is a heroic and unique aviation achievement” .
The President of Association of Flight Attendants (AFA) flew to New York to assist in debriefing the passengers and colleagues in the cabin of flight 1549 and responded to all enquiries pertaining to the profession. The lesson here is unionism is not just about collecting dues or “I no go gree” slogan. The rejection of the Crew who operated the ill fated Beechcraft 1900 by the pilot union in Nigeria was unexpected, considering that at that point in time no body knew their fate.
MEDIA: The headlines were full of praises for everyone, and the heroic feat was more pronounced. Had this occurred in our country, the headlines would probably have been “155 passengers escape death”, or “plane crashes on the Marina” with “severe injuries to passengers” or “plane sinks in Marina as crew fail to activate ditching button”.
Please we need to get rid of alarming captions that scare passengers away from the industry.
PUBLIC SUPPORT: The US Congress or the State of New York did not play to the gallery by initiating hasty probes and proclamation, but allowed NTSB, the body entrusted with the responsibility to do the talking.
The new President invited the entire Crew to his inauguration, while the former president George W. Bush said he was "inspired by the skill and heroism of the Flight Crew," and also praised the emergency responders and volunteers. The Mayor of New York awarded the Crew the key to the City, while the organizers of the Super bowl XLIII offered them free tickets. They are still being fêted by different groups in America.
US AIRWAYS: The airline involved in the crash, immediately dispatched officials to support and comfort the passengers who were lodged in a hotel by the airline. The Chief Executive Officer flew to New York to see the passengers and handed a letter of apology to individual passengers.
They offered to refund the ticket fare, gave $5,000 to each passenger for missing/withheld luggage and gave some guarantees for further compensation, when insurance issues are settled.
Please note it did not take years to initiate and process these things, like it is done by some Nigerian airlines.
Though, fatalities when ditching has always been a norm, it is not the first time we are witnessing a 100% successful ditching. On the 21st of August 1963, an Aeroflot Tupolev Tu-124 ditched into the Neva River after running out of fuel. The aircraft floated and was towed by a tug, with its passengers near to the shore where the passengers disembarked onto the tug; all 52 on board escaped without injuries.
A review of flight 1549 shows that the birds struck 90 seconds after takeoff, at a point outside the airport jurisdiction and that aircraft engine manufacturers including CFM International the owners of the engine on that aircraft test engines physically and through computer simulation. In the physical tests, the engines are revved to full power inside a test facility and absorb various kinds of birds, to pass the test, engines must keep operating after the collision, maintaining enough power to take off, fly around the airport and land the plane safely, because a jet with two engines has to be able to take off on 50 percent power.
To avoid such occurrence airport managers should extend the anti-bird policies beyond the airport vicinity and the engine manufacturers should improve on the materials used for the blades and the ability of the engine to suck organic materials.
The industry is awoken by flight 1549, as the Federal Aviation Administration (FAA) has already beefed up evacuation training for Cabin Crew. This week, it proposed new regulation calling for annual "hands on" drills on the use of emergency equipment and process for all Cabin Crew. Currently, such training sessions are required every two years, also American Airlines agreed to have the cabin crew join the voluntary safety reporting programme which is meant to enhance safety.
We have noticed an increased interest in the safety pamphlets at the back of seat pockets in the aircraft; the important role of people who sit in the exit rows is reinforced. We really need to question the policy that those exit row seats, with their extra legroom, often go to frequent fliers, as a perk, or are even sold to passengers who are willing to pay a bit more for the extra space. The competence of the passenger is never really considered.
The NCAA should please look at these issues and ensure a quick implementation within Nigerian airspace.
Air Marshal: Where Are the Concessions?
(article written Jan 2010)
Having air marshals on Nigerian soil is a new vista to air security. In the past, US and other marshals boarded domestic flights while they seek permission from other countries for the marshals to board on foreign soil. The permission is often times subject to debate, delayed negotiations or utter refusal by most countries and their respective pilot union.
The Russian marshals hardly seek permission from third countries, because they make use of experienced martial art professionals backed with ICAO recognized cabin restraint kits and protective body suits.
Presently, Nigeria does not have an air marshal programme and would require the experience, training, equipments and intelligence sharing, the Americans will offer. I would have preferred, partnering the Israelis who have an unblemished record in preventing terrorism in the air and around Israeli aviation facilities in any part of the world.
The air marshals programme has some challenges, such as the government ability to continually fund it, training them properly with the universal objective to “shoot&stop” with minimal force, quarterly re-certification on firearm usage, procurement of low velocity or cabin sensitive firearms such as Sig-saner P229R & non lethal stun guns.
Others are the ability to differentiate between an unruly or terror minded passenger and the ability to retain the air marshals who have a high turn over rate due to boredom associated with flying for years without an incident to show requisite skills.
Although aviation is universal, the Nigerian factor scares; we may ask, which of the numerous security and aviation agencies in country will house the air marshal unit without raising a cross functional or power tussle problem?
Will the cost of flying, accommodating & other sundry allowances of the air marshals which is borne by government in other climes not be passed on the airlines in future like it is being done with the NCAA inspectors? Presently, the air marshal programme cost the Americans $800million a year.
Will the marshals be recruited from the police, airforce or aviation society? Considering recruitment is determined by the agency housing the programme.
Can we guarantee that the process will not be bungled or unnecessarily delayed due to interference like it happened with the recently advertised consumer protection officers of NCAA?
Will the new marshals submit to the authority of the flight crew while on board as obtained in other climes?
Our generous and expeditious acceptance, of the unilateral decision of US government to have armed marshals boarding aircrafts departing from Nigeria, even in the absence of Mr. President, should be reciprocated, by giving some concessions to Nigeria, the concession should start but not limited to some aspects of the terror watch list, funding of the air marshal programme in Nigeria, e.t.c.
Sometime in 2008 some EU countries that consented to air marshals boarding on home soil got concessions in visa waivers or relaxation. Nigeria deserves some concessions thereafter we can start the process of addressing the Nigerian factor.
Air marshals are regarded as the last line in the aviation security system in combating terrorism, if we are accepting the conditions of getting off the terror list then the legislative arms should start preparing necessary laws in support of the programme, while the NCAA should amend the civil aviation regulations by ensuring the cabin restraints kits, are included in the minimum equipment list (MEL), considering these kits will also be of great assistance when dealing with unruly passengers on board the aircraft.
It was the first equipment used in restraining Mr. Abdulmutallab on the 25th of December, pending the successful arrival of the aircraft in Detroit, before being handed over to the police.
We must ensure the terrorist don’t get on board our aircrafts; it is a better option than waiting for last man to take them on board
Having air marshals on Nigerian soil is a new vista to air security. In the past, US and other marshals boarded domestic flights while they seek permission from other countries for the marshals to board on foreign soil. The permission is often times subject to debate, delayed negotiations or utter refusal by most countries and their respective pilot union.
The Russian marshals hardly seek permission from third countries, because they make use of experienced martial art professionals backed with ICAO recognized cabin restraint kits and protective body suits.
Presently, Nigeria does not have an air marshal programme and would require the experience, training, equipments and intelligence sharing, the Americans will offer. I would have preferred, partnering the Israelis who have an unblemished record in preventing terrorism in the air and around Israeli aviation facilities in any part of the world.
The air marshals programme has some challenges, such as the government ability to continually fund it, training them properly with the universal objective to “shoot&stop” with minimal force, quarterly re-certification on firearm usage, procurement of low velocity or cabin sensitive firearms such as Sig-saner P229R & non lethal stun guns.
Others are the ability to differentiate between an unruly or terror minded passenger and the ability to retain the air marshals who have a high turn over rate due to boredom associated with flying for years without an incident to show requisite skills.
Although aviation is universal, the Nigerian factor scares; we may ask, which of the numerous security and aviation agencies in country will house the air marshal unit without raising a cross functional or power tussle problem?
Will the cost of flying, accommodating & other sundry allowances of the air marshals which is borne by government in other climes not be passed on the airlines in future like it is being done with the NCAA inspectors? Presently, the air marshal programme cost the Americans $800million a year.
Will the marshals be recruited from the police, airforce or aviation society? Considering recruitment is determined by the agency housing the programme.
Can we guarantee that the process will not be bungled or unnecessarily delayed due to interference like it happened with the recently advertised consumer protection officers of NCAA?
Will the new marshals submit to the authority of the flight crew while on board as obtained in other climes?
Our generous and expeditious acceptance, of the unilateral decision of US government to have armed marshals boarding aircrafts departing from Nigeria, even in the absence of Mr. President, should be reciprocated, by giving some concessions to Nigeria, the concession should start but not limited to some aspects of the terror watch list, funding of the air marshal programme in Nigeria, e.t.c.
Sometime in 2008 some EU countries that consented to air marshals boarding on home soil got concessions in visa waivers or relaxation. Nigeria deserves some concessions thereafter we can start the process of addressing the Nigerian factor.
Air marshals are regarded as the last line in the aviation security system in combating terrorism, if we are accepting the conditions of getting off the terror list then the legislative arms should start preparing necessary laws in support of the programme, while the NCAA should amend the civil aviation regulations by ensuring the cabin restraints kits, are included in the minimum equipment list (MEL), considering these kits will also be of great assistance when dealing with unruly passengers on board the aircraft.
It was the first equipment used in restraining Mr. Abdulmutallab on the 25th of December, pending the successful arrival of the aircraft in Detroit, before being handed over to the police.
We must ensure the terrorist don’t get on board our aircrafts; it is a better option than waiting for last man to take them on board
AIRLINE BAILOUT: THE CAVEAT BEFORE GOVERNMENT
(article written Nov 2009)
The cheering but belated news filtered out from the presidency recently that after much resistance the government has decided to support the airline industry, by looking into economic or commercial travails and providing the necessary palliatives to stop the rot that has resulted in the grounding of three scheduled airlines, four having issues with the Economic and Financial Crimes Commission (EFCC) on non- performing loans and taxes while another is battling a judicial liquidation process, with the rest either down sizing or delaying orders.
A committee comprising of members drawn from the executive arm of government and some top airline executives was set up to look at the problems confronting the airlines. Not surprisingly, the Aviation Minister is not part of the committee considering he has always publicly opposed any form of bailout. The committee is to work out modalities for the bailout and submit for perusal, approval and possible implementation.
The airline industry has different types of bailout, which can be generally categorized into financial, market or fuel bailout. In the US, the government has a market bailout enshrined by law, with the FLY AMERICA ACT while big network airlines benefit from huge financial bailout considering the economic implication of allowing such airlines to go down. Others are the Public Service Obligation route (PSO) enjoyed by regional carriers to operate to unviable airports and funding of remote airports to support corporate and private aviation.
In Europe Sweden, England, Spain, Italy and France all have market bailout by executive fiat, because membership of European Union makes it difficult to enact it in their respective constitutions. The patronage of domiciled or European registered carriers is encouraged when public funds are used, even for deportees.
There is also an Essential Air Service programme (EAS) in Europe that stimulates travel to remote or unviable airports and is subsidized by the different governments for scheduled regional operators. Early this year, the French government loaned some French banks 5 billion Euros to stimulate financing of Airbus aircraft claiming they are not directly subsidizing Airbus.
In Asia, China and India they encouraged, supervised and implemented the consolidation process when deregulation produced two or three aircraft airlines. They went further to remove taxes/surcharges on aviation fuel, thereby reducing operation costs. Also, fuel from China’s reserve was given to airlines when the crunch was biting hard. Recently, the government of India and Japan approved huge financial bailout for troubled Air India and JAL respectively considering their size and general economic implications.
The Brazilian government reduced the tax on fuel and ensured Varig did not go into liquidation by supervising its auction bailout, merger and eventual acquisition by Gol Airlines while the Argentine government re-nationalized the floundering flag carrier to save it from going down.
The Ecuadorian government created incentives to modernize the country's private airline fleets by opening a special credit line for new aircraft acquisitions, and eliminating fuel-tax subsidies for older aircraft, while airlines with newer aircraft continued to enjoy fuel subsidy. The government prepared a credit line of $100 million for airlines supported by the Inter-American Development Bank and the Andean Development Corporation.
In Africa, the Egyptians set up a Civil Aviation Fund that supports critical sectors of the industry, the latest being an aircraft leasing company that will offer their local carriers aircraft at highly competitive rates. South Africa has done everything possible to keep SAA afloat using all forms of assistance, while the story is the other way round with the only profitable carrier in Africa, Ethiopian airlines adding value to the government purse.
In the Middle East, almost all the flag carriers are beneficiaries of massive fuel subsidy, which they have gladly accepted, although Emirates continues to deny its status as a beneficiary. Fuel is a big factor in deciding the survivability of major airlines, considering the fact that the unit cost of fuel in most airlines is between 35 to 45%.
In Nigeria, we liquidated our national carrier instead of giving a life-line and wobbled and fumbled in an attempt to start another carrier. Fortunately, private carriers came to our rescue, but they are now being deliberately or naturally orphaned by government actions and policies which are tilted towards multiple designation and entry for foreign carriers. Some state governments are developing airports, while others are funding federal airports in their domain in a bid to save them from near collapse and have promoted flights to some of these airports by buying seats on some domestic carriers. States such as Ondo, Kwara, Cross River and Katsina have cloned the PSO and EAS service which is being practiced in developed countries.
The airlines in Nigeria were caught up in this turmoil due to some reasons such as bad system, process & management; low economies of scale; unfettered confidence in some expatriate managers; flirtatious bilateral agreements to enrich Bilateral Air Services Agreement (BASA) funds; greed of major oil marketers who were recently accused by petroleum industry officials, of selling kerosene as aviation fuel just to make excessive profit, not minding the safety implications of their actions and taking undue advantage of deregulation policy. Others are multiple and across the board rates, charges or taxes; the global economic meltdown; Nigerian Civil Aviation Authority (NCAA) emphasis on safety to the detriment of economic oversight and the recent but well intentioned Central Bank of Nigeria tsunami which resulted from the need to stop name flow lending instead of the universally accepted cash flow lending process.
The crux of the present problems with our carriers is our in ability to support and believe very strongly in our flag carriers which are the de-facto national carriers. Quoting Mr. Nick Fadugba recently “What Nigerian airlines need urgently is a hand-up and not a hand-out like their counterparts world over”. We need to realize that KLM, British Airways, Lufthansa are flag carriers not national carriers, with strong national identity and government backing. Flourishing flag carriers will have and encourage viable domestic operations either as competitors or subsidiaries. We must protect and support them by placing less emphasis on commercial touting otherwise known as generating BASA fund. We need to re-jig our bilateral agreements and provide a bailout package or an industry centered stimulus package, which is not a favour but a norm as earlier highlighted.
Bailouts are directed at troubled organizations while stimulus are used to improve a system or service delivery, they generally save jobs, keep the flag flying and save the economy from any distortion due to absence of competitive flights or service. Other reasons considered for Airlines are those that have valid Air Operating Certificate, operating scheduled flights that are critical to the country’s air network, verifiable business plan and ownership & management composition. Looking at our carriers, only four of them are entitled to financial bailout while every other scheduled operator can benefit from the market and fuel bailout, except for the youngest operator who has the highest load-factor per flight departure with his MD 83 aircraft. The airline however needs to infuse Nigerians into its ownership and management structure, before it can plug into tax payers bailout.
The charter, private and special service operators are not entitled to any form of bailout. It is a luxury service that must pay its way. This category of airline have abused past palliatives going under the tag of Airline Operators of Nigeria or using documents of registered operators to circumvent the system.
There are some constraints we need to address before giving bailout. Our airlines are fragmented and lack the critical mass, in line with the recent decision of the African Civil Aviation Ministers meeting in Yamoussoukro, Cote’d Ivoire. African airlines were advised to commence a process of consolidation and integration to improve operational efficency, combat foreign competitors and stimulate the implementation of the Yamoussoukro Decision.
We also need to look at the management of these airlines and their books, the days of regulatory nonchalance are gone, and we must also watch the mercenaries who come with colorful resumes, only to leave us in red ink. Messrs Kevin Dudley, Jason Holt and John Roijen were the Chief Operating Officer, Director of Flight Operations and Chief Financial Officer of Virgin Nigeria when the airline leased five B737 aircraft at an astronomical rate of $181,000 per aircrafts which was 80% higher than the going market rate and were also owing fuel marketers N30m when they launched a new uniform for N90m. They assisted the Virgin Group to quickly re-coup the $25m initial investment while pushing the airline into a huge debt that haunts it till date. These men have been recruited by another Nigerian carrier to continue the debt ridden policy. Nobody is talking; I will not be surprised to see the last of the quartet Mr. Clifford Conrad returning as Managing Director of another Nigerian carrier as the industry has confirmed it is bereft of competent airline administrators.
It is a big oversight not to have any representative of the legislative arm of government in the Committee as they will approve the necessary funds, draft the necessary protective act, which will probably reduce the time needed to draft and complete a rigorous legislative process.
Nigeria’s risk and credit rating should be addressed. At the recently concluded African Finance Conference in Abuja, the aircraft lessors that were in attendance did not hide their hesitation to do business with Nigeria airlines. They easily referred to the ugly Banex Airline saga that earned us the unenviable status of a defaulting nation. Other issues are the nation’s prolonged legal process, cap on fares, unfavorable bilateral agreements, non availability of insurance cover by government owned service providers, taxes, airspace and airport infrastructure and the ability to deregister the aircraft quickly. Surprisingly, they were not swayed by the domestication of the Cape Town Convention and the democratic governance in place.
Also at the conference, we were reminded that our dear country with the second biggest economy in sub-Saharan Africa does not have an airline rated among Africa’s top 10. We can be hopeful as projections indicate that Nigeria will produce two mega carriers whose revenue will be in billions of dollars. We have to our advantage a vibrant aviation press which is unmatched in the continent, a population that is upwardly mobile, that the foremost aviation conferences in the region are managed by distinguished Nigerians, Captain Ed Boyo and Mr. Nick Fadugba. They also acknowledge the autonomy and separation of government owned service providers with an equally vibrant regulatory body.
The future is bright for our troubled airlines if they unite and cooperate with sound leadership. They must collaborate to succeed. They should start looking Eastward, China to be precise, for cheaper funds, spew their commercial brain box by tapping the abundant leisure passengers which is a rare blessing considering that in other countries the aircraft cabin gets filled from the back, while the class conscious ‘Niger’ aircraft get filled from the front. Also the airlines should capitalize on the civil service reforms that intends to centralize all foreign travel in an office reporting directly to Head of Service
On the aero-political front member airlines of African Airlines Association (AFRAA) should reach out to other carriers by presenting an internationally recognized Nigerian to take over from the out-going Secretary, Mr. C. Folly-Kossi. The Ethiopians are all over, placing their egg heads in regional and global baskets. You may ask, “Where are Nigerians?”
The call for bailout makes me remember those who stood up and said no to the liquidation of Nigeria Airways and tried to promote government intervention or bailout.
Ironically, the private operators who kept agitating for the liquidation of Nigeria Airways and clicked glasses at the liquidation have eaten humble pie by asking for handout to save them from extinction. C’est la vie.
The cheering but belated news filtered out from the presidency recently that after much resistance the government has decided to support the airline industry, by looking into economic or commercial travails and providing the necessary palliatives to stop the rot that has resulted in the grounding of three scheduled airlines, four having issues with the Economic and Financial Crimes Commission (EFCC) on non- performing loans and taxes while another is battling a judicial liquidation process, with the rest either down sizing or delaying orders.
A committee comprising of members drawn from the executive arm of government and some top airline executives was set up to look at the problems confronting the airlines. Not surprisingly, the Aviation Minister is not part of the committee considering he has always publicly opposed any form of bailout. The committee is to work out modalities for the bailout and submit for perusal, approval and possible implementation.
The airline industry has different types of bailout, which can be generally categorized into financial, market or fuel bailout. In the US, the government has a market bailout enshrined by law, with the FLY AMERICA ACT while big network airlines benefit from huge financial bailout considering the economic implication of allowing such airlines to go down. Others are the Public Service Obligation route (PSO) enjoyed by regional carriers to operate to unviable airports and funding of remote airports to support corporate and private aviation.
In Europe Sweden, England, Spain, Italy and France all have market bailout by executive fiat, because membership of European Union makes it difficult to enact it in their respective constitutions. The patronage of domiciled or European registered carriers is encouraged when public funds are used, even for deportees.
There is also an Essential Air Service programme (EAS) in Europe that stimulates travel to remote or unviable airports and is subsidized by the different governments for scheduled regional operators. Early this year, the French government loaned some French banks 5 billion Euros to stimulate financing of Airbus aircraft claiming they are not directly subsidizing Airbus.
In Asia, China and India they encouraged, supervised and implemented the consolidation process when deregulation produced two or three aircraft airlines. They went further to remove taxes/surcharges on aviation fuel, thereby reducing operation costs. Also, fuel from China’s reserve was given to airlines when the crunch was biting hard. Recently, the government of India and Japan approved huge financial bailout for troubled Air India and JAL respectively considering their size and general economic implications.
The Brazilian government reduced the tax on fuel and ensured Varig did not go into liquidation by supervising its auction bailout, merger and eventual acquisition by Gol Airlines while the Argentine government re-nationalized the floundering flag carrier to save it from going down.
The Ecuadorian government created incentives to modernize the country's private airline fleets by opening a special credit line for new aircraft acquisitions, and eliminating fuel-tax subsidies for older aircraft, while airlines with newer aircraft continued to enjoy fuel subsidy. The government prepared a credit line of $100 million for airlines supported by the Inter-American Development Bank and the Andean Development Corporation.
In Africa, the Egyptians set up a Civil Aviation Fund that supports critical sectors of the industry, the latest being an aircraft leasing company that will offer their local carriers aircraft at highly competitive rates. South Africa has done everything possible to keep SAA afloat using all forms of assistance, while the story is the other way round with the only profitable carrier in Africa, Ethiopian airlines adding value to the government purse.
In the Middle East, almost all the flag carriers are beneficiaries of massive fuel subsidy, which they have gladly accepted, although Emirates continues to deny its status as a beneficiary. Fuel is a big factor in deciding the survivability of major airlines, considering the fact that the unit cost of fuel in most airlines is between 35 to 45%.
In Nigeria, we liquidated our national carrier instead of giving a life-line and wobbled and fumbled in an attempt to start another carrier. Fortunately, private carriers came to our rescue, but they are now being deliberately or naturally orphaned by government actions and policies which are tilted towards multiple designation and entry for foreign carriers. Some state governments are developing airports, while others are funding federal airports in their domain in a bid to save them from near collapse and have promoted flights to some of these airports by buying seats on some domestic carriers. States such as Ondo, Kwara, Cross River and Katsina have cloned the PSO and EAS service which is being practiced in developed countries.
The airlines in Nigeria were caught up in this turmoil due to some reasons such as bad system, process & management; low economies of scale; unfettered confidence in some expatriate managers; flirtatious bilateral agreements to enrich Bilateral Air Services Agreement (BASA) funds; greed of major oil marketers who were recently accused by petroleum industry officials, of selling kerosene as aviation fuel just to make excessive profit, not minding the safety implications of their actions and taking undue advantage of deregulation policy. Others are multiple and across the board rates, charges or taxes; the global economic meltdown; Nigerian Civil Aviation Authority (NCAA) emphasis on safety to the detriment of economic oversight and the recent but well intentioned Central Bank of Nigeria tsunami which resulted from the need to stop name flow lending instead of the universally accepted cash flow lending process.
The crux of the present problems with our carriers is our in ability to support and believe very strongly in our flag carriers which are the de-facto national carriers. Quoting Mr. Nick Fadugba recently “What Nigerian airlines need urgently is a hand-up and not a hand-out like their counterparts world over”. We need to realize that KLM, British Airways, Lufthansa are flag carriers not national carriers, with strong national identity and government backing. Flourishing flag carriers will have and encourage viable domestic operations either as competitors or subsidiaries. We must protect and support them by placing less emphasis on commercial touting otherwise known as generating BASA fund. We need to re-jig our bilateral agreements and provide a bailout package or an industry centered stimulus package, which is not a favour but a norm as earlier highlighted.
Bailouts are directed at troubled organizations while stimulus are used to improve a system or service delivery, they generally save jobs, keep the flag flying and save the economy from any distortion due to absence of competitive flights or service. Other reasons considered for Airlines are those that have valid Air Operating Certificate, operating scheduled flights that are critical to the country’s air network, verifiable business plan and ownership & management composition. Looking at our carriers, only four of them are entitled to financial bailout while every other scheduled operator can benefit from the market and fuel bailout, except for the youngest operator who has the highest load-factor per flight departure with his MD 83 aircraft. The airline however needs to infuse Nigerians into its ownership and management structure, before it can plug into tax payers bailout.
The charter, private and special service operators are not entitled to any form of bailout. It is a luxury service that must pay its way. This category of airline have abused past palliatives going under the tag of Airline Operators of Nigeria or using documents of registered operators to circumvent the system.
There are some constraints we need to address before giving bailout. Our airlines are fragmented and lack the critical mass, in line with the recent decision of the African Civil Aviation Ministers meeting in Yamoussoukro, Cote’d Ivoire. African airlines were advised to commence a process of consolidation and integration to improve operational efficency, combat foreign competitors and stimulate the implementation of the Yamoussoukro Decision.
We also need to look at the management of these airlines and their books, the days of regulatory nonchalance are gone, and we must also watch the mercenaries who come with colorful resumes, only to leave us in red ink. Messrs Kevin Dudley, Jason Holt and John Roijen were the Chief Operating Officer, Director of Flight Operations and Chief Financial Officer of Virgin Nigeria when the airline leased five B737 aircraft at an astronomical rate of $181,000 per aircrafts which was 80% higher than the going market rate and were also owing fuel marketers N30m when they launched a new uniform for N90m. They assisted the Virgin Group to quickly re-coup the $25m initial investment while pushing the airline into a huge debt that haunts it till date. These men have been recruited by another Nigerian carrier to continue the debt ridden policy. Nobody is talking; I will not be surprised to see the last of the quartet Mr. Clifford Conrad returning as Managing Director of another Nigerian carrier as the industry has confirmed it is bereft of competent airline administrators.
It is a big oversight not to have any representative of the legislative arm of government in the Committee as they will approve the necessary funds, draft the necessary protective act, which will probably reduce the time needed to draft and complete a rigorous legislative process.
Nigeria’s risk and credit rating should be addressed. At the recently concluded African Finance Conference in Abuja, the aircraft lessors that were in attendance did not hide their hesitation to do business with Nigeria airlines. They easily referred to the ugly Banex Airline saga that earned us the unenviable status of a defaulting nation. Other issues are the nation’s prolonged legal process, cap on fares, unfavorable bilateral agreements, non availability of insurance cover by government owned service providers, taxes, airspace and airport infrastructure and the ability to deregister the aircraft quickly. Surprisingly, they were not swayed by the domestication of the Cape Town Convention and the democratic governance in place.
Also at the conference, we were reminded that our dear country with the second biggest economy in sub-Saharan Africa does not have an airline rated among Africa’s top 10. We can be hopeful as projections indicate that Nigeria will produce two mega carriers whose revenue will be in billions of dollars. We have to our advantage a vibrant aviation press which is unmatched in the continent, a population that is upwardly mobile, that the foremost aviation conferences in the region are managed by distinguished Nigerians, Captain Ed Boyo and Mr. Nick Fadugba. They also acknowledge the autonomy and separation of government owned service providers with an equally vibrant regulatory body.
The future is bright for our troubled airlines if they unite and cooperate with sound leadership. They must collaborate to succeed. They should start looking Eastward, China to be precise, for cheaper funds, spew their commercial brain box by tapping the abundant leisure passengers which is a rare blessing considering that in other countries the aircraft cabin gets filled from the back, while the class conscious ‘Niger’ aircraft get filled from the front. Also the airlines should capitalize on the civil service reforms that intends to centralize all foreign travel in an office reporting directly to Head of Service
On the aero-political front member airlines of African Airlines Association (AFRAA) should reach out to other carriers by presenting an internationally recognized Nigerian to take over from the out-going Secretary, Mr. C. Folly-Kossi. The Ethiopians are all over, placing their egg heads in regional and global baskets. You may ask, “Where are Nigerians?”
The call for bailout makes me remember those who stood up and said no to the liquidation of Nigeria Airways and tried to promote government intervention or bailout.
Ironically, the private operators who kept agitating for the liquidation of Nigeria Airways and clicked glasses at the liquidation have eaten humble pie by asking for handout to save them from extinction. C’est la vie.
UNRULY PASSENGERS : HANDLING & SAFETY IMPLICATIONS
(Being a paper presentation at Capt Jerry Agebeyegbe,memorial lecture- Oct 2009)
Definition
• An unruly passenger in general terms refers to an airline passenger or operating crew member who exhibits disruptive and/or violent behaviour during flight. It is sometimes referred to as “Air Rage.” It can also be defined as any behavior on board an aircraft which interferes with the crew in the conduct of their duties and disrupts the safe operation of an aircraft.
Examples of behavior that can be called unruly
• Failure to follow safety regulations such as refusing to buckle seatbelt.
• Behaving in a way that gives suspicion of a threat to flight safety such as disabling a toilet smoke alarm.
• Behavior that may interfere with the comfort of cabin crew or passengers which include viewing pornographic material, performing sex acts in the lavatory, loud or drunken behavior.
• Use of any threatening, abusive or insulting words.
• Intentionally interfere with the performance or duties of a crew member.
• Wearing clothing that is inappropriate or offensive
Disruptive behaviour can be classified into three levels:
• Level 1 - Aggressive, but possible to influence –the crew can talk with the passenger
• Level 2 - Aggressive and not easily influenced (may be due to drugs, alcohol etc) –the crew might need the support of other passengers.
• Level 3 - Physical violence and any other punishable behaviour like violence against people and equipment.
• Stopping and ejecting the offenders is not a practical option as landing is a process that would seriously inconvenience the flight schedule of the aircraft and the passengers more than the misbehaving person themselves. In addition, unlike large ships, there is insufficient room on board to hold the offender in an isolated area until arrival. However, it can have serious implications, especially if the offender decides to interfere with the aircraft's navigation which could cause it to crash.
• In the past, air travel was a privilege for the well-off and often better educated. The introduction of cheap mass air travel has opened up the market to many people who would otherwise have traveled by train, coach or by ship. These factors, combined with the stress associated with airports, airlines and flying push some individuals over the top. The customer often feels that anything goes once the ticket is paid for and the holiday begins in the bar as soon as check-in is completed. It is a sad but irrefutable fact that, nowadays, many passengers believe that the customer is always right!
Causes of Unruly Behavior
• Pre flight factors:
• The stress of getting to the airport and the fear of flying are often exacerbated by contentious seat allocation and inevitably, flight delays.
• Often, the stress factor is increased by lack of information; certainly, an information vacuum keeps a passenger on edge.
• Inadequate parking facilities, confusing check-in procedures, long lines at the check-in counter, more lines at security checkpoints, and maddening delays caused by ATC system such as presidential movement, power failure or change over procedure, excessive alcohol, drugs, natural causes etc.
In-flight Factors
• First impression on boarding an aircraft is important. The crew set the standard for the entire flight by the way they greet and treat passengers.
• To find the overhead racks full of the entire worldly possessions of the passenger in the next seat is not the best start to a journey.
• Safety briefing during which the cabin crew set the ground rules for smoking, mobile phones, laptop computers and other electronic devices that can interfere with aircraft operation. The crew needs a clear understanding of company policy and must be firm in the delivery of message. Any deviation will be unruly.
• Recycled cabin air -a school of thought observed that airlines in cutting cost have introduced a process of reducing the oxygen in the cabin or the oxygen level is not commensurate with the number of passengers in the cabin, which makes us less energetic and some people less happy, when compared to the cockpit air that is rich in oxygen (some airlines even switch off air conditioning packs to save fuel).
• Unlike ground vehicles, airplanes enter altitudes where changes in air pressure can help trigger temporary psychological changes, such as enhancing the psychoactive effects of chemicals like alcohol, which is typically served on board.
• Others are shrinking airplane seats and pitch, insufficient overhead bin space and small in-flight meals if provided.
How do we combat air rage menace?
Pre flight:
• Airlines and airports can reduce the risk to aircraft and crew by acknowledging the problem and providing training and support to back up those dealing with the problems and identifying a specific person or section to coordinate disruptive passenger policy.
• They should publicize a zero tolerance policy at check-in counters, on in-flight screens and in magazines with brief summaries on legal sanctions/responsibilities.
• Improve service quality by reducing long queues, delays, overbooking, confusing seat allocation, cabin air quality, seat pitch & width etc that tend to infuriate passengers.
• Airlines should avoid stimulating unrealistic expectations: flying is often marketed as luxury or premium service, while majority of the passengers who do not travel in premium class are turned off, this essentially puts the crew on the front burner. It is essential to have a close correlation between the service an airline claims to offer and what it can really deliver.
• New laws are being introduced by various aviation regulatory authorities to increase the penalties for offenders and empowering the Police to prosecute quickly and effectively.
• “No Smoking” flights: Stress induced by nicotine craving is a major factor in many disruptive incidents. Airports could help by designating pre-flight smoking areas.
• Observation of behaviour at check-in counters and boarding gates is important if the potential troublemakers are to be prevented from boarding the aircraft. It is all too easy to turn a blind eye to a difficult passenger at the gate and pass the problem on to the aircrew that are faced with dealing with it at 30,000 feet in a dangerous environment. Airports, airlines and their handling agents should increase awareness of the consequences of dodging the issue and passing the problem on.
• Disruptive passenger handling procedures must be developed or updated in the context of current security needs, areas such as secure cockpit door policy must be re-emphasized by reinforcing the door and bulkhead to the flight deck against small arms fire and blast.
• Cabin crew should uphold policies more consistently. They should start with a non-confrontational approach and thereafter make prudent use of training in self defense and means of restraining passengers. Also, all commercial aircraft must be equipped with restraint kits, which should be included in the Minimum Equipment List.
• Airlines should refrain from carrying deportees and criminals on commercial flights even when accompanied by security personnel. Special flights should be reserved for such operations.
• Some airlines have “Yellow” and “Red” card system. Most passengers are familiar with the soccer system and respond favourably to a “yellow” card warning which cuts off all further alcohol, stresses the penalties and legal implications for further misbehaviour and the liability for the cost of a diversion to off load the offender. Obviously the card system will not be effective if the recipient cannot or is incapable of reading or if he does not understand the language written on the card!
• Also, some airlines such as El Al, Swiss Air and Austrian have Sky Marshals that come on board with a mandate to use force, but this may be inimical to innocent passengers and/or crew. There is the problem of retaining Sky Marshals due to the boredom of flying as an entire career and never having the opportunity to respond to any incident.
• Consumers/customers/passengers must conform to a restrictive set of behavioral norms when moving in, through and out of the aviation system. For a start, passengers should have a common view and acceptance of airline staff authority. In addition passengers are expected to be:
* Knowledgeable about all passenger processing procedures.
* Able to orient themselves efficiently at airports.
* Able to communicate effectively with staff and be cooperative.
In- flight:
• Passengers are expected to comply with airline safety rules.
• Pay attention during safety briefing.
• Be non-confrontational.
• Control their fear of flying.
• Be unaffected by the effects of nicotine and drug denial.
• Remain unaffected by stress, fatigue and any physical discomfort.
• Be willing to communicate politely with crew members.
• Alert crew of suspicious or disruptive passengers and refrain from being Superman and should only assist if requested to by crew.
Post- flight:
• Airlines and airports must work in co-ordination with law enforcement agencies.
• Crew members concerned and passengers must be willing to provide statements, names, contact numbers and permanent addresses.
• If the case goes to court, the airline should support members of staff called to give evidence and in more serious cases post trauma counseling may be necessary.
• Government action is needed to ensure effective legal jurisdiction.
What does the law say?
There are a number of existing treaties or agreements cited when dealing with disruptive passengers. These include Tokyo Convention (1963), Hague Convention (1970) and Montréal Protocol (1971). The major drawback of these is their lack of suitability for prosecuting unruly passengers. Therefore, different states have developed laws to curb this menace.
United Kingdom (UK):
The law of the land governs the actions of the Police and the Courts. In the UK the Civil Aviation Act 1982 derives from the Tokyo Convention. Section 92 of the Act provides UK courts with the jurisdiction to deal with offences committed on board UK registered aircraft wherever in the world an offence takes place.
Section 94 of the Civil Aviation Act deals with the power invested in the aircraft Commander to ensure the safety of his aircraft. The powers of the Commander are designed to maintain good order and discipline on board the aircraft and include the physical restraint of troublemakers.
The powers of the Commander may only be exercised from the time doors are closed after passengers have boarded until the doors are opened for disembarkation at destination – or diversion! When the doors are open the law is enforced by the local Police rather than by the Commander.
The Air Navigation (No 2) Order 1995 provides specific laws to protect the crew and fellow passengers from disruptive behaviour and prohibit passengers from:
Acting in a manner likely to endanger an aircraft or any person on board - Article 55.
Causing or permitting an aircraft to endanger persons or property - Article 56.
Boarding an aircraft while drunk or getting drunk on board - Article 57.
Every person on board an aircraft must obey the lawful commands of the Commander - Article 59.
The UK government and the Civil Aviation Authority in September 1999, further amended the Air Navigation Order with Article 59A cited below.
No person shall while on an aircraft:
A, use any threatening, abusive or insulting words towards a member of the crew
B, behave in a threatening, abusive, insulting or disorderly manner towards the crew of the aircraft; or,
C, intentionally interfere with the performance by a crew member of his duties
PENALTIES -59A-(a) & (b) - £2,500 Fine and (c) £5,000 Fine by a Magistrate Or - an unlimited Fine by a Crown Court and /or 2 years in prison.
Offences committed on non-UK aircraft can be dealt with in the UK if the next landing of the aircraft is in the UK and if the crime would be a crime in the state of registration of that aircraft.
This second part of the Act, which deals with foreign aircraft landing in UK, was omitted from the original Act and was introduced as an amendment in 1996 after Qantas pointed out the omission.
United States of America (USA):
Criminal penalties of a fine of up to US$11,000 or 20 years imprisonment apply to cases where passengers assault, intimidate or interfere with or lessen a crew member’s ability to perform his or her duty. Civil penalties for similar offences carry a maximum fine of US$1,100 per violation.
Some other countries such as Canada, Malaysia, South Africa etc have also introduced laws to deal with unruly passengers.
Nigeria:
Part 14 Annex 58 of the NCAA Act, states that "the authority may by regulations prohibit certain acts which constitute unruly or indecent behaviour on board aircraft in or over Nigeria and such regulations may include appropriate criminal sanctions”. This in my opinion is not explicit enough and might be very difficult for the Police to go ahead and prosecute successfully.
We really need to act down here and the first point is to amend the Civil Aviation Act, which is long overdue. Then, airlines.
Definition
• An unruly passenger in general terms refers to an airline passenger or operating crew member who exhibits disruptive and/or violent behaviour during flight. It is sometimes referred to as “Air Rage.” It can also be defined as any behavior on board an aircraft which interferes with the crew in the conduct of their duties and disrupts the safe operation of an aircraft.
Examples of behavior that can be called unruly
• Failure to follow safety regulations such as refusing to buckle seatbelt.
• Behaving in a way that gives suspicion of a threat to flight safety such as disabling a toilet smoke alarm.
• Behavior that may interfere with the comfort of cabin crew or passengers which include viewing pornographic material, performing sex acts in the lavatory, loud or drunken behavior.
• Use of any threatening, abusive or insulting words.
• Intentionally interfere with the performance or duties of a crew member.
• Wearing clothing that is inappropriate or offensive
Disruptive behaviour can be classified into three levels:
• Level 1 - Aggressive, but possible to influence –the crew can talk with the passenger
• Level 2 - Aggressive and not easily influenced (may be due to drugs, alcohol etc) –the crew might need the support of other passengers.
• Level 3 - Physical violence and any other punishable behaviour like violence against people and equipment.
• Stopping and ejecting the offenders is not a practical option as landing is a process that would seriously inconvenience the flight schedule of the aircraft and the passengers more than the misbehaving person themselves. In addition, unlike large ships, there is insufficient room on board to hold the offender in an isolated area until arrival. However, it can have serious implications, especially if the offender decides to interfere with the aircraft's navigation which could cause it to crash.
• In the past, air travel was a privilege for the well-off and often better educated. The introduction of cheap mass air travel has opened up the market to many people who would otherwise have traveled by train, coach or by ship. These factors, combined with the stress associated with airports, airlines and flying push some individuals over the top. The customer often feels that anything goes once the ticket is paid for and the holiday begins in the bar as soon as check-in is completed. It is a sad but irrefutable fact that, nowadays, many passengers believe that the customer is always right!
Causes of Unruly Behavior
• Pre flight factors:
• The stress of getting to the airport and the fear of flying are often exacerbated by contentious seat allocation and inevitably, flight delays.
• Often, the stress factor is increased by lack of information; certainly, an information vacuum keeps a passenger on edge.
• Inadequate parking facilities, confusing check-in procedures, long lines at the check-in counter, more lines at security checkpoints, and maddening delays caused by ATC system such as presidential movement, power failure or change over procedure, excessive alcohol, drugs, natural causes etc.
In-flight Factors
• First impression on boarding an aircraft is important. The crew set the standard for the entire flight by the way they greet and treat passengers.
• To find the overhead racks full of the entire worldly possessions of the passenger in the next seat is not the best start to a journey.
• Safety briefing during which the cabin crew set the ground rules for smoking, mobile phones, laptop computers and other electronic devices that can interfere with aircraft operation. The crew needs a clear understanding of company policy and must be firm in the delivery of message. Any deviation will be unruly.
• Recycled cabin air -a school of thought observed that airlines in cutting cost have introduced a process of reducing the oxygen in the cabin or the oxygen level is not commensurate with the number of passengers in the cabin, which makes us less energetic and some people less happy, when compared to the cockpit air that is rich in oxygen (some airlines even switch off air conditioning packs to save fuel).
• Unlike ground vehicles, airplanes enter altitudes where changes in air pressure can help trigger temporary psychological changes, such as enhancing the psychoactive effects of chemicals like alcohol, which is typically served on board.
• Others are shrinking airplane seats and pitch, insufficient overhead bin space and small in-flight meals if provided.
How do we combat air rage menace?
Pre flight:
• Airlines and airports can reduce the risk to aircraft and crew by acknowledging the problem and providing training and support to back up those dealing with the problems and identifying a specific person or section to coordinate disruptive passenger policy.
• They should publicize a zero tolerance policy at check-in counters, on in-flight screens and in magazines with brief summaries on legal sanctions/responsibilities.
• Improve service quality by reducing long queues, delays, overbooking, confusing seat allocation, cabin air quality, seat pitch & width etc that tend to infuriate passengers.
• Airlines should avoid stimulating unrealistic expectations: flying is often marketed as luxury or premium service, while majority of the passengers who do not travel in premium class are turned off, this essentially puts the crew on the front burner. It is essential to have a close correlation between the service an airline claims to offer and what it can really deliver.
• New laws are being introduced by various aviation regulatory authorities to increase the penalties for offenders and empowering the Police to prosecute quickly and effectively.
• “No Smoking” flights: Stress induced by nicotine craving is a major factor in many disruptive incidents. Airports could help by designating pre-flight smoking areas.
• Observation of behaviour at check-in counters and boarding gates is important if the potential troublemakers are to be prevented from boarding the aircraft. It is all too easy to turn a blind eye to a difficult passenger at the gate and pass the problem on to the aircrew that are faced with dealing with it at 30,000 feet in a dangerous environment. Airports, airlines and their handling agents should increase awareness of the consequences of dodging the issue and passing the problem on.
• Disruptive passenger handling procedures must be developed or updated in the context of current security needs, areas such as secure cockpit door policy must be re-emphasized by reinforcing the door and bulkhead to the flight deck against small arms fire and blast.
• Cabin crew should uphold policies more consistently. They should start with a non-confrontational approach and thereafter make prudent use of training in self defense and means of restraining passengers. Also, all commercial aircraft must be equipped with restraint kits, which should be included in the Minimum Equipment List.
• Airlines should refrain from carrying deportees and criminals on commercial flights even when accompanied by security personnel. Special flights should be reserved for such operations.
• Some airlines have “Yellow” and “Red” card system. Most passengers are familiar with the soccer system and respond favourably to a “yellow” card warning which cuts off all further alcohol, stresses the penalties and legal implications for further misbehaviour and the liability for the cost of a diversion to off load the offender. Obviously the card system will not be effective if the recipient cannot or is incapable of reading or if he does not understand the language written on the card!
• Also, some airlines such as El Al, Swiss Air and Austrian have Sky Marshals that come on board with a mandate to use force, but this may be inimical to innocent passengers and/or crew. There is the problem of retaining Sky Marshals due to the boredom of flying as an entire career and never having the opportunity to respond to any incident.
• Consumers/customers/passengers must conform to a restrictive set of behavioral norms when moving in, through and out of the aviation system. For a start, passengers should have a common view and acceptance of airline staff authority. In addition passengers are expected to be:
* Knowledgeable about all passenger processing procedures.
* Able to orient themselves efficiently at airports.
* Able to communicate effectively with staff and be cooperative.
In- flight:
• Passengers are expected to comply with airline safety rules.
• Pay attention during safety briefing.
• Be non-confrontational.
• Control their fear of flying.
• Be unaffected by the effects of nicotine and drug denial.
• Remain unaffected by stress, fatigue and any physical discomfort.
• Be willing to communicate politely with crew members.
• Alert crew of suspicious or disruptive passengers and refrain from being Superman and should only assist if requested to by crew.
Post- flight:
• Airlines and airports must work in co-ordination with law enforcement agencies.
• Crew members concerned and passengers must be willing to provide statements, names, contact numbers and permanent addresses.
• If the case goes to court, the airline should support members of staff called to give evidence and in more serious cases post trauma counseling may be necessary.
• Government action is needed to ensure effective legal jurisdiction.
What does the law say?
There are a number of existing treaties or agreements cited when dealing with disruptive passengers. These include Tokyo Convention (1963), Hague Convention (1970) and Montréal Protocol (1971). The major drawback of these is their lack of suitability for prosecuting unruly passengers. Therefore, different states have developed laws to curb this menace.
United Kingdom (UK):
The law of the land governs the actions of the Police and the Courts. In the UK the Civil Aviation Act 1982 derives from the Tokyo Convention. Section 92 of the Act provides UK courts with the jurisdiction to deal with offences committed on board UK registered aircraft wherever in the world an offence takes place.
Section 94 of the Civil Aviation Act deals with the power invested in the aircraft Commander to ensure the safety of his aircraft. The powers of the Commander are designed to maintain good order and discipline on board the aircraft and include the physical restraint of troublemakers.
The powers of the Commander may only be exercised from the time doors are closed after passengers have boarded until the doors are opened for disembarkation at destination – or diversion! When the doors are open the law is enforced by the local Police rather than by the Commander.
The Air Navigation (No 2) Order 1995 provides specific laws to protect the crew and fellow passengers from disruptive behaviour and prohibit passengers from:
Acting in a manner likely to endanger an aircraft or any person on board - Article 55.
Causing or permitting an aircraft to endanger persons or property - Article 56.
Boarding an aircraft while drunk or getting drunk on board - Article 57.
Every person on board an aircraft must obey the lawful commands of the Commander - Article 59.
The UK government and the Civil Aviation Authority in September 1999, further amended the Air Navigation Order with Article 59A cited below.
No person shall while on an aircraft:
A, use any threatening, abusive or insulting words towards a member of the crew
B, behave in a threatening, abusive, insulting or disorderly manner towards the crew of the aircraft; or,
C, intentionally interfere with the performance by a crew member of his duties
PENALTIES -59A-(a) & (b) - £2,500 Fine and (c) £5,000 Fine by a Magistrate Or - an unlimited Fine by a Crown Court and /or 2 years in prison.
Offences committed on non-UK aircraft can be dealt with in the UK if the next landing of the aircraft is in the UK and if the crime would be a crime in the state of registration of that aircraft.
This second part of the Act, which deals with foreign aircraft landing in UK, was omitted from the original Act and was introduced as an amendment in 1996 after Qantas pointed out the omission.
United States of America (USA):
Criminal penalties of a fine of up to US$11,000 or 20 years imprisonment apply to cases where passengers assault, intimidate or interfere with or lessen a crew member’s ability to perform his or her duty. Civil penalties for similar offences carry a maximum fine of US$1,100 per violation.
Some other countries such as Canada, Malaysia, South Africa etc have also introduced laws to deal with unruly passengers.
Nigeria:
Part 14 Annex 58 of the NCAA Act, states that "the authority may by regulations prohibit certain acts which constitute unruly or indecent behaviour on board aircraft in or over Nigeria and such regulations may include appropriate criminal sanctions”. This in my opinion is not explicit enough and might be very difficult for the Police to go ahead and prosecute successfully.
We really need to act down here and the first point is to amend the Civil Aviation Act, which is long overdue. Then, airlines.
GLOBAL AVIATION FUEL COST REDUCTION STRATEGIES: RELEVANCE FOR NIGERIAN AIRLINES
(article written April 2007,edited 2009)
Aviation fuel constitutes about 30 to 45% of an airline’s total cost of operation and is principally a function of aircraft type, age, engine efficiency and the overall management of operations in any particular airline. If it’s not properly managed, the airline’s accounts and finances will tilt towards the red line, therefore what are the global strategies being employed by airlines and other aviation bodies to reduce cost and fuel consumption?
They cut weight carried on board aircraft - documents, papers, equipment for customer usage, complaint cards, immigration cards, catering packs, in-flight entertainment (IFE) packages etc are either reduced to the barest or much lighter models are used in place of heavier versions. Also, some airlines like Jet Blue have yanked off a row of seats while others have limited weight and height for cabin crew. On routes with light passenger load, some oxygen bottles underneath cabin seats are removed. For instance, BA simply took out some excess bottles from a B747 aircraft which seats between 400 to 500 passengers, but usually has a load range of between 250 to 300 passengers on a specific route. It is important however to state here that for flights over the Himalayas, airlines are advised to retain excess oxygen bottles. Also potable water and excess water in aircraft tanks is reduced, American Airline technicians devised a gadget that lets ground crews know when tanks are three quarters full, and quoting one of the technicians “we took 25% of water off the flights which saved the airline $2million a year”.
Reduction in quantity of fuel in aircraft tanks- but adhering to regulations regarding fuel for taxiing, trip diversion, holding, reserve and contingency (for long haul flights 5% percent contingency fuel, while for short sector flights between 5% to 10% fuel burn off is used to reduce weight and achieve more payload). Unfortunately majority of the airports in Nigeria do not have fuel so airlines are forced to tanker up from base, which reduces payload, increases drag and fuel burn. Also, it is important to note, when operating into any of the French speaking countries in the sub-region it is advisable to ferry fuel because it is so expensive that the cost of excess weight is offset by cash savings.
Increased usage of ground based power unit (GPU)-This is about the oldest and simplest method of conserving fuel. The GPU is used to supply onboard power and air conditioning instead of the aircraft auxiliary power unit (APU). Nigerian Airlines without GPU can obtain the service from NAHCO & SAHCOL at a fee. American Airlines were able to save $14million last year due to reduced usage of APU.
Purchase of newer aircraft- Airlines are ordering newer, fuel-efficient aircraft and discarding older airplanes from their fleet. New aircraft are made of composite and other lighter material (B777, 737NG, A320), easy to maintain and have much lighter Carbon Fiber Reinforced Plastic (CFRP) paneled fuselage skins.
Winglets or Shark lets- Boeing blended winglets was founded in 1991 by Joe Clark and Dennis Washington. It was introduced to the airline industry through the Gulf Stream II Business Jet so that aircraft so equipped enjoy a significant reduction in fuel burn, improved operational performance. They also look great, adding "curb appeal" to any jet. The story doesn't end there. The winglets also have been retrofitted on 737-300s and 757s. According to launch customer Continental Airlines, the 757 installation is the most significant Blended Winglet program ever: "With this technology, Boeing 757-200 operators will experience block fuel improvement of up to 5%, saving as much as 300,000 gallons per aircraft per year. Clark says the 757 program "will translate into about 180 million gallons in annual fuel savings when the entire fleet of 757-200s is upgraded."
The winglet reduces lift-induced drag and provides extra lift, with the design credited to Louis Gratzer, formerly chief of aerodynamics at Boeing. As the company explains, the aerodynamic advantage of a blended winglet is in the transition from the existing wingtip to the vertical winglet, allowing "for the chord distribution to change smoothly from the wingtip to the winglet, which optimizes the distribution of the span load lift and minimizes any aerodynamic interference or airflow separation." The Airbus just introduced a similar upgrade on the A320 called “sharklets”, to serve the same purpose with Air New Zealand being the launch customer.
Carbon Fiber Recro Seats- they are lighter aircraft cabin seats ordered as replacement to the conventional aluminum seats. Approximately about 9 kilograms of weight are shaved off each row when replaced with the recro seats. Air Tran recently ordered it, for its fleet of B737, quoting the CFO Stan Gadek “we spent extra money but we’re going to make up for it in fuel saving, which will be $2000usd per aircraft per year”.
Alternate Fuel- airlines such as AZL, Virgin, and Continental are working with aircraft manufacturers and other organizations to have sustainable alternate fuel, using variety of feed-stock. The bio-fuel programme which is the conversion of biomass to liquid is meant to reduce C02 emission and generally drive down the cost of jet fuel. The challenge is having sustainable feedstock needed to produce fuel in industrial quantities that will work with existing aircrafts, engines and infrastructure.
Taxing with One Engine- it is a situation whereby one of the aircraft engines is used in moving the aircraft to the threshold or ramp in preparation for take off or parking. Here the consumption of fuel is limited, as other engines are idling. The operational policy of the airline and experience of operating crew are needed to achieve this objective safely, British Airways use this procedure about 80% of the time and estimates $8million savings annually, while, American Airlines saves between $10-12million.in Nigeria the nauseous presidential movement that keeps airlines and passengers on the tarmac for hours, makes this option looks really good.
Towing of Aircraft- this is a new initiative being spear headed by Virgin Atlantic whereby the aircraft will be towed to the end of the runway before starting its engine this will reduce pre-take off fuel consumption and CO2 by 50%.the technique might work for low frequency long haul operators but might be logistically impossible for a high frequency hub-spoke carrier. Further more, Delta Airlines is to develop a system with Wheeling Plc which will enable pilots to taxi from take-off and landing points without using jet engines. Presently, bell view is about the only domestic carrier with an ICAO certified tow vehicle, other airline might have to contact SAHCOL and NAHCO (recognized handlers) for such services if they are considering this option.
Engine Wash- engines pick up a lot of effluent en route and atmospheric gunk gathers on compressor blades. This has made airlines turn to engine water-washing. Engine manufacturer Pratt&Whitney contends it works best when you get to the core of the matter. Its ecopower system delivers atomized water droplets “that pass all the way through the core and better penetrate the engines. The system is a closed loop process that collects engine wash effluent, purifies it and reinvests it into the power plant without the use of detergents or chemicals. It’s just water. Hawaiian Airline just expanded its engine wash contract with Pratt&Whitney to cover all aircrafts. On the benefits, Charlie Nardello, vice president for maintenance at Hawaiian Airlines, said “washing service produced greater fuel savings and reduced emissions. The fuel savings from power washing 31 Boeing 767 engines is2.8 million lbs. of fuel a year, or $1 million annually in fuel costs”.
Silver Bullet Aircrafts- this is a situation whereby paints are stripped off the fuselage of an aircraft, which makes it lighter. Cathay Pacific Airways (CX) placed into service its first "silver bullet" freighter, a 747 stripped of almost all of its paint that made the aircraft approximately 200 kg lighter, saving more than HK$1.5 million ($193,450) in annual fuel costs. All 14 of its freighters will be stripped of paintings over the next couple of years but, Passenger aircraft will maintain their full livery. Again, Nigeria cargo and non schedule operators can take a clue from Cathay pacific airways.
Flight Management Systems (FMS) - these are systems provided to aid airlines in flight management, with optional varieties depending on an airlines specific need. The system works through a dynamic cost indexing of each route by massaging speed, flight-path and altitude to maximize efficiency. The FMS calculates the cost-of-time profile and keeps the Mach number. For interested Nigerian airlines they can simply look at the varieties presently offered by smiths, lido, universal, Lufthansa Systems e.t.c.
Fuel Hedging- The practice, is often employed by airlines, it requires making advance purchases of fuel at a fixed price for future delivery to protect against the shock of anticipated rises in price. The most successful airline in fuel hedging is Southwest Airline. It is a very sensitive practice with high risk which can be attested to by the failure of Delta and Austrian airlines to hedge successfully. Also you must have spare cash to participate in hedging.
Linear Holding- this is a system being developed by the United Kingdom national air traffic services, in conjunction with British Airways to bring aircraft down without having to engage in fuel guzzling holding patterns. This concept is known as linear holding. Rather than holding by going round in circles, it can hold farther from the airfield by slowing down earlier. It is a controlled decrease in speed such that the arrival sequence of aircraft is determined 100 miles from the airfield. According to BA the process can shave off $2.5million per year on fuel bill. Also, Airways New Zealand, the country's navigation services provider, is experimenting a glide descent approach procedure, otherwise called tailored approach, for Air New Zealand and Qantas 747s when landing at Auckland International. Engines will be set at idle from the top of the descent point in order to "significantly" reduce fuel burn and emissions. Similar trials have been run at Melbourne and Amsterdam, with a third currently operating in San Francisco. These organizations are the equivalent of our own Nigeria Airspace Management Agency (NAMA).
Advanced Technologies and Oceanic Procedures (ATOP)- The Advanced Technologies and Oceanic Procedures (ATOP) system replaces the FAA’s existing systems and procedures responsible for separating aircraft over the oceans, enabling controllers to reduce spacing between aircraft flying while preserving passenger safety and improving efficiency. When fully deployed, it will manage approximately 80 percent of the world's controlled oceanic airspace, including approximately 24 million square miles over the Atlantic, Pacific and Arctic oceans. New capabilities offered by the initial phase of the ATOP system will increase capacity for international air travel and automate the manual processes now in use. The system will allow aircrafts fly more direct routes, save fuel and better on-time performance.
Reduced Vertical Separation Minima (RVSM) - RVSM reduces the vertical separation between flight levels (FL) 290–410 from 2000 ft to 1000 ft and makes six additional FL’s available for operation. The additional FL’s enable more aircraft to fly more time/fuel efficient profiles and provides the potential for enhanced airspace capacity. RVSM operators must receive authorization from the appropriate civil aviation authority. RVSM aircraft must meet required equipage and altitude-keeping performance standards. Operators must operate in accordance with RVSM policies/procedures applicable to the airspace where they are flying. Countries that are not RVSM compliant should hasten with the process of compliance.
It is evident that gone are the days when fuel management is seen as an operational thing alone. The management of airlines, regulatory authorities and service providers in Nigeria need to put their acts together to tackle this monster and its effect on the bottom line, which is grossly underestimated. If airlines are not operating all other institutions in the industry will be mere public or private shacks, depending on the ownership.
Aviation fuel constitutes about 30 to 45% of an airline’s total cost of operation and is principally a function of aircraft type, age, engine efficiency and the overall management of operations in any particular airline. If it’s not properly managed, the airline’s accounts and finances will tilt towards the red line, therefore what are the global strategies being employed by airlines and other aviation bodies to reduce cost and fuel consumption?
They cut weight carried on board aircraft - documents, papers, equipment for customer usage, complaint cards, immigration cards, catering packs, in-flight entertainment (IFE) packages etc are either reduced to the barest or much lighter models are used in place of heavier versions. Also, some airlines like Jet Blue have yanked off a row of seats while others have limited weight and height for cabin crew. On routes with light passenger load, some oxygen bottles underneath cabin seats are removed. For instance, BA simply took out some excess bottles from a B747 aircraft which seats between 400 to 500 passengers, but usually has a load range of between 250 to 300 passengers on a specific route. It is important however to state here that for flights over the Himalayas, airlines are advised to retain excess oxygen bottles. Also potable water and excess water in aircraft tanks is reduced, American Airline technicians devised a gadget that lets ground crews know when tanks are three quarters full, and quoting one of the technicians “we took 25% of water off the flights which saved the airline $2million a year”.
Reduction in quantity of fuel in aircraft tanks- but adhering to regulations regarding fuel for taxiing, trip diversion, holding, reserve and contingency (for long haul flights 5% percent contingency fuel, while for short sector flights between 5% to 10% fuel burn off is used to reduce weight and achieve more payload). Unfortunately majority of the airports in Nigeria do not have fuel so airlines are forced to tanker up from base, which reduces payload, increases drag and fuel burn. Also, it is important to note, when operating into any of the French speaking countries in the sub-region it is advisable to ferry fuel because it is so expensive that the cost of excess weight is offset by cash savings.
Increased usage of ground based power unit (GPU)-This is about the oldest and simplest method of conserving fuel. The GPU is used to supply onboard power and air conditioning instead of the aircraft auxiliary power unit (APU). Nigerian Airlines without GPU can obtain the service from NAHCO & SAHCOL at a fee. American Airlines were able to save $14million last year due to reduced usage of APU.
Purchase of newer aircraft- Airlines are ordering newer, fuel-efficient aircraft and discarding older airplanes from their fleet. New aircraft are made of composite and other lighter material (B777, 737NG, A320), easy to maintain and have much lighter Carbon Fiber Reinforced Plastic (CFRP) paneled fuselage skins.
Winglets or Shark lets- Boeing blended winglets was founded in 1991 by Joe Clark and Dennis Washington. It was introduced to the airline industry through the Gulf Stream II Business Jet so that aircraft so equipped enjoy a significant reduction in fuel burn, improved operational performance. They also look great, adding "curb appeal" to any jet. The story doesn't end there. The winglets also have been retrofitted on 737-300s and 757s. According to launch customer Continental Airlines, the 757 installation is the most significant Blended Winglet program ever: "With this technology, Boeing 757-200 operators will experience block fuel improvement of up to 5%, saving as much as 300,000 gallons per aircraft per year. Clark says the 757 program "will translate into about 180 million gallons in annual fuel savings when the entire fleet of 757-200s is upgraded."
The winglet reduces lift-induced drag and provides extra lift, with the design credited to Louis Gratzer, formerly chief of aerodynamics at Boeing. As the company explains, the aerodynamic advantage of a blended winglet is in the transition from the existing wingtip to the vertical winglet, allowing "for the chord distribution to change smoothly from the wingtip to the winglet, which optimizes the distribution of the span load lift and minimizes any aerodynamic interference or airflow separation." The Airbus just introduced a similar upgrade on the A320 called “sharklets”, to serve the same purpose with Air New Zealand being the launch customer.
Carbon Fiber Recro Seats- they are lighter aircraft cabin seats ordered as replacement to the conventional aluminum seats. Approximately about 9 kilograms of weight are shaved off each row when replaced with the recro seats. Air Tran recently ordered it, for its fleet of B737, quoting the CFO Stan Gadek “we spent extra money but we’re going to make up for it in fuel saving, which will be $2000usd per aircraft per year”.
Alternate Fuel- airlines such as AZL, Virgin, and Continental are working with aircraft manufacturers and other organizations to have sustainable alternate fuel, using variety of feed-stock. The bio-fuel programme which is the conversion of biomass to liquid is meant to reduce C02 emission and generally drive down the cost of jet fuel. The challenge is having sustainable feedstock needed to produce fuel in industrial quantities that will work with existing aircrafts, engines and infrastructure.
Taxing with One Engine- it is a situation whereby one of the aircraft engines is used in moving the aircraft to the threshold or ramp in preparation for take off or parking. Here the consumption of fuel is limited, as other engines are idling. The operational policy of the airline and experience of operating crew are needed to achieve this objective safely, British Airways use this procedure about 80% of the time and estimates $8million savings annually, while, American Airlines saves between $10-12million.in Nigeria the nauseous presidential movement that keeps airlines and passengers on the tarmac for hours, makes this option looks really good.
Towing of Aircraft- this is a new initiative being spear headed by Virgin Atlantic whereby the aircraft will be towed to the end of the runway before starting its engine this will reduce pre-take off fuel consumption and CO2 by 50%.the technique might work for low frequency long haul operators but might be logistically impossible for a high frequency hub-spoke carrier. Further more, Delta Airlines is to develop a system with Wheeling Plc which will enable pilots to taxi from take-off and landing points without using jet engines. Presently, bell view is about the only domestic carrier with an ICAO certified tow vehicle, other airline might have to contact SAHCOL and NAHCO (recognized handlers) for such services if they are considering this option.
Engine Wash- engines pick up a lot of effluent en route and atmospheric gunk gathers on compressor blades. This has made airlines turn to engine water-washing. Engine manufacturer Pratt&Whitney contends it works best when you get to the core of the matter. Its ecopower system delivers atomized water droplets “that pass all the way through the core and better penetrate the engines. The system is a closed loop process that collects engine wash effluent, purifies it and reinvests it into the power plant without the use of detergents or chemicals. It’s just water. Hawaiian Airline just expanded its engine wash contract with Pratt&Whitney to cover all aircrafts. On the benefits, Charlie Nardello, vice president for maintenance at Hawaiian Airlines, said “washing service produced greater fuel savings and reduced emissions. The fuel savings from power washing 31 Boeing 767 engines is2.8 million lbs. of fuel a year, or $1 million annually in fuel costs”.
Silver Bullet Aircrafts- this is a situation whereby paints are stripped off the fuselage of an aircraft, which makes it lighter. Cathay Pacific Airways (CX) placed into service its first "silver bullet" freighter, a 747 stripped of almost all of its paint that made the aircraft approximately 200 kg lighter, saving more than HK$1.5 million ($193,450) in annual fuel costs. All 14 of its freighters will be stripped of paintings over the next couple of years but, Passenger aircraft will maintain their full livery. Again, Nigeria cargo and non schedule operators can take a clue from Cathay pacific airways.
Flight Management Systems (FMS) - these are systems provided to aid airlines in flight management, with optional varieties depending on an airlines specific need. The system works through a dynamic cost indexing of each route by massaging speed, flight-path and altitude to maximize efficiency. The FMS calculates the cost-of-time profile and keeps the Mach number. For interested Nigerian airlines they can simply look at the varieties presently offered by smiths, lido, universal, Lufthansa Systems e.t.c.
Fuel Hedging- The practice, is often employed by airlines, it requires making advance purchases of fuel at a fixed price for future delivery to protect against the shock of anticipated rises in price. The most successful airline in fuel hedging is Southwest Airline. It is a very sensitive practice with high risk which can be attested to by the failure of Delta and Austrian airlines to hedge successfully. Also you must have spare cash to participate in hedging.
Linear Holding- this is a system being developed by the United Kingdom national air traffic services, in conjunction with British Airways to bring aircraft down without having to engage in fuel guzzling holding patterns. This concept is known as linear holding. Rather than holding by going round in circles, it can hold farther from the airfield by slowing down earlier. It is a controlled decrease in speed such that the arrival sequence of aircraft is determined 100 miles from the airfield. According to BA the process can shave off $2.5million per year on fuel bill. Also, Airways New Zealand, the country's navigation services provider, is experimenting a glide descent approach procedure, otherwise called tailored approach, for Air New Zealand and Qantas 747s when landing at Auckland International. Engines will be set at idle from the top of the descent point in order to "significantly" reduce fuel burn and emissions. Similar trials have been run at Melbourne and Amsterdam, with a third currently operating in San Francisco. These organizations are the equivalent of our own Nigeria Airspace Management Agency (NAMA).
Advanced Technologies and Oceanic Procedures (ATOP)- The Advanced Technologies and Oceanic Procedures (ATOP) system replaces the FAA’s existing systems and procedures responsible for separating aircraft over the oceans, enabling controllers to reduce spacing between aircraft flying while preserving passenger safety and improving efficiency. When fully deployed, it will manage approximately 80 percent of the world's controlled oceanic airspace, including approximately 24 million square miles over the Atlantic, Pacific and Arctic oceans. New capabilities offered by the initial phase of the ATOP system will increase capacity for international air travel and automate the manual processes now in use. The system will allow aircrafts fly more direct routes, save fuel and better on-time performance.
Reduced Vertical Separation Minima (RVSM) - RVSM reduces the vertical separation between flight levels (FL) 290–410 from 2000 ft to 1000 ft and makes six additional FL’s available for operation. The additional FL’s enable more aircraft to fly more time/fuel efficient profiles and provides the potential for enhanced airspace capacity. RVSM operators must receive authorization from the appropriate civil aviation authority. RVSM aircraft must meet required equipage and altitude-keeping performance standards. Operators must operate in accordance with RVSM policies/procedures applicable to the airspace where they are flying. Countries that are not RVSM compliant should hasten with the process of compliance.
It is evident that gone are the days when fuel management is seen as an operational thing alone. The management of airlines, regulatory authorities and service providers in Nigeria need to put their acts together to tackle this monster and its effect on the bottom line, which is grossly underestimated. If airlines are not operating all other institutions in the industry will be mere public or private shacks, depending on the ownership.
CAPE TOWN CONVENTION AND AVIATION PROTOCOL
(article written march 2007)
COUNTDOWN TO MARCH 27TH, 2007 DEADLINE FOR SUBMISSION OF DECLARATION MY COUNTRIES WHO HAVE RATIFIED THE DOCUMENT
Before the diplomatic conference that was midwife by the United Nations agency that deals with private laws and convention (UNIDROIT) work had advanced on the basis of two separate instruments; that is a convention that would not be equipment specific and a separate protocol for each category covered by the convention.
These equipments are helicopters, airframes & aircraft engines, railway rolling stock and space spares. At some point, majority of the participants favored a stand alone convention for aircraft objects, railway rolling stock and space spares, which must have influenced the gathering of Friday 16 November,2001, at a diplomatic conference in Cape Town, South Africa, with no fewer than twenty countries participating, which is about a third of the countries in attendance, followed subsequently by two other countries who signed the convention on international interest in mobile equipment(the convention) and the protocol on matter specific to aircraft equipment(aircraft protocol).
At that conference there was a proposal to include UNIDROIT in the title as it was done with the convention on international factoring but for, the hesitation of the secretary general of UNIDROIT, who felt appreciation, should be shown for the superb organization of the South African Government. The convention formally, became known as CAPETOWN CONVENTION.
The Cape Town convention and aircraft protocol was negotiated over a five year period which has been signed by twenty six countries including Nigeria.
The convention and supporting protocol has six main objectives
• To ensure through relevant protocols the particular needs of the industry and sector concerned are met
• To have an electronic international register
• To give intending creditors greater confidence in the decision to grant credit
• To enhance credit rating of equipment receivables and reduce borrowing cost
• To provide for the creation of an international interest that will be recognized by contracting states
• Provide creditors with a range of basic default remedies and speedy interim relief provided there is an evidence of default
International interest in this instance; is a security interest in a uniquely identifiable object, for the aircraft, this identifier is a manufacturer’s name, serial number and the model. Once an international interest is filed by a creditor and searchable at the international registry, that creditor’s interest will have priority over all registered and unregistered interest.
The provisions reflect a balance between enhanced creditor rights that will help to reduce aircraft financing cost while improving debtors’ protections.
The Cape Town convention is also designed as a “multi-equipment” treaty. Different protocols will be added to the convention to facilitate specialized treatment for different forms of equipment financing, which is embedded in article 51 which prescribe a procedure for future protocols covering other types of equipment.
UNIDROIT as depository may create working groups to consider the feasibility of such protocols, prepare text for states, inter-governmental and other organizations and when a text is ripe for adoption it will go to the diplomatic conference.
Advantages of the convention to contracting states
• It is designed to overcome the problem of obtaining secure and readily enforceable rights in items of high value mobile equipment, which by their nature do not have a fixed location
• It reduce inhibitions to extension of finance, in respect of such categories of high value mobile equipment, particularly in developing countries
• It reduces the inconsistencies in legal and commercial recovery rules of different countries by setting clear and easily enforceable rights to financier
• Creates uniform international regime governing, taking security in high value mobile equipment based on creation of international interest. And establishing an electronic international registration system for the registration of such interest.
• Improves predictability as to the enforceability of security, title reservation and leasing rights of various aircrafts and aircraft parts.
• Provides confidences to lenders and institutional investors.
• It aids the conversion of illiquid loans to liquid securities.
• Improves safety and reduces environmental pollution and noise as airlines can upgrade their fleet to relatively new ones.
• To the manufacturers of aircrafts and spares it will increase sales.
The convention gives financiers rights, in a country that has ratified the convention and protocol. The rights includes, if there is a default-to deregister the aircraft, take possession, sell or grant a lease in the aircraft.
The extent and speed of these rights being exercised is a function of the declaration a country files in his instrument of ratification. This declaration has the remedies the state will recognize and implement. Note the greater the remedies a state chooses to recognize in its declaration the greater the benefits that will accrue to airlines in that state.
It is important to state here, that by the end of march,2007 the 1/3 reduction in exposure fee offered by the US EXIM BANK to airlines in countries where the convention and protocol has come into force will expire, with a proviso that benefiting countries must have appropriate declarations.
Nigeria being a signatory, has also ratified the convention, and domesticated it, as part of Nigeria laws which was passed into law by the national assembly in compliance with section 12 of the 1999 constitution.
It is also part of civil aviation act of 2006, the relevant authorities in Nigeria should look into the declarations filed in the ratification instrument which is to be deposited with UNIDROIT in Rome on Monday 26th,20007, which is barely 24hours to the deadline, so that Nigerian airlines can benefit from such facilities as exemplified by US EXIM BANK
COUNTDOWN TO MARCH 27TH, 2007 DEADLINE FOR SUBMISSION OF DECLARATION MY COUNTRIES WHO HAVE RATIFIED THE DOCUMENT
Before the diplomatic conference that was midwife by the United Nations agency that deals with private laws and convention (UNIDROIT) work had advanced on the basis of two separate instruments; that is a convention that would not be equipment specific and a separate protocol for each category covered by the convention.
These equipments are helicopters, airframes & aircraft engines, railway rolling stock and space spares. At some point, majority of the participants favored a stand alone convention for aircraft objects, railway rolling stock and space spares, which must have influenced the gathering of Friday 16 November,2001, at a diplomatic conference in Cape Town, South Africa, with no fewer than twenty countries participating, which is about a third of the countries in attendance, followed subsequently by two other countries who signed the convention on international interest in mobile equipment(the convention) and the protocol on matter specific to aircraft equipment(aircraft protocol).
At that conference there was a proposal to include UNIDROIT in the title as it was done with the convention on international factoring but for, the hesitation of the secretary general of UNIDROIT, who felt appreciation, should be shown for the superb organization of the South African Government. The convention formally, became known as CAPETOWN CONVENTION.
The Cape Town convention and aircraft protocol was negotiated over a five year period which has been signed by twenty six countries including Nigeria.
The convention and supporting protocol has six main objectives
• To ensure through relevant protocols the particular needs of the industry and sector concerned are met
• To have an electronic international register
• To give intending creditors greater confidence in the decision to grant credit
• To enhance credit rating of equipment receivables and reduce borrowing cost
• To provide for the creation of an international interest that will be recognized by contracting states
• Provide creditors with a range of basic default remedies and speedy interim relief provided there is an evidence of default
International interest in this instance; is a security interest in a uniquely identifiable object, for the aircraft, this identifier is a manufacturer’s name, serial number and the model. Once an international interest is filed by a creditor and searchable at the international registry, that creditor’s interest will have priority over all registered and unregistered interest.
The provisions reflect a balance between enhanced creditor rights that will help to reduce aircraft financing cost while improving debtors’ protections.
The Cape Town convention is also designed as a “multi-equipment” treaty. Different protocols will be added to the convention to facilitate specialized treatment for different forms of equipment financing, which is embedded in article 51 which prescribe a procedure for future protocols covering other types of equipment.
UNIDROIT as depository may create working groups to consider the feasibility of such protocols, prepare text for states, inter-governmental and other organizations and when a text is ripe for adoption it will go to the diplomatic conference.
Advantages of the convention to contracting states
• It is designed to overcome the problem of obtaining secure and readily enforceable rights in items of high value mobile equipment, which by their nature do not have a fixed location
• It reduce inhibitions to extension of finance, in respect of such categories of high value mobile equipment, particularly in developing countries
• It reduces the inconsistencies in legal and commercial recovery rules of different countries by setting clear and easily enforceable rights to financier
• Creates uniform international regime governing, taking security in high value mobile equipment based on creation of international interest. And establishing an electronic international registration system for the registration of such interest.
• Improves predictability as to the enforceability of security, title reservation and leasing rights of various aircrafts and aircraft parts.
• Provides confidences to lenders and institutional investors.
• It aids the conversion of illiquid loans to liquid securities.
• Improves safety and reduces environmental pollution and noise as airlines can upgrade their fleet to relatively new ones.
• To the manufacturers of aircrafts and spares it will increase sales.
The convention gives financiers rights, in a country that has ratified the convention and protocol. The rights includes, if there is a default-to deregister the aircraft, take possession, sell or grant a lease in the aircraft.
The extent and speed of these rights being exercised is a function of the declaration a country files in his instrument of ratification. This declaration has the remedies the state will recognize and implement. Note the greater the remedies a state chooses to recognize in its declaration the greater the benefits that will accrue to airlines in that state.
It is important to state here, that by the end of march,2007 the 1/3 reduction in exposure fee offered by the US EXIM BANK to airlines in countries where the convention and protocol has come into force will expire, with a proviso that benefiting countries must have appropriate declarations.
Nigeria being a signatory, has also ratified the convention, and domesticated it, as part of Nigeria laws which was passed into law by the national assembly in compliance with section 12 of the 1999 constitution.
It is also part of civil aviation act of 2006, the relevant authorities in Nigeria should look into the declarations filed in the ratification instrument which is to be deposited with UNIDROIT in Rome on Monday 26th,20007, which is barely 24hours to the deadline, so that Nigerian airlines can benefit from such facilities as exemplified by US EXIM BANK
Monday, July 12, 2010
BASA/WORLD BANK FUNDS: NOT FOR PILOT/ENGINEERS TRAINING
BASA/WORLD BANK FUNDS: NOT FOR PILOT/ENGINEERS TRAINING
(Article written September 2009)
It was widely reported by the media that the government is planning to use part of the World Bank loan and BASA fund for the training of pilots and engineers for the aviation industry.
The idea is a good one for a country that is in acute need of pilots and engineers, at the teething stage of civil aviation with a verifiable national carrier or carriers owned and managed by the public, which is not the case in Nigeria.
What we are witnessing is a certain generation of pilots and engineers who were trained with government funds and patriotically chose to remain in the country are approaching retirement; while the younger ones are flying for the general and private aviation companies within and outside Nigeria. The generational gap can be traced to the comatose state of the foremost civil aviation training centre in Nigeria, Nigerian Civil Aviation Technology (NCAT), some years back. The situation forced many young Nigerians to go abroad, notably South Africa, United States of America and United Kingdom to fulfil their dream, while some returned home, others stayed back to build their career. NCAT is changing for the better with the injection of funds and equipment which culminated in the recent graduation of pilots and engineers. This was hitherto a mirage.
A pre-requisite for an Air Operating Certificate (AOC) for airlines is the ability to demonstrate, in your documentation that you have certified, proficient professionals manning the Operations and Maintenance departments, which will be verified before issuance. Also, it will be sour news to hear that Nigerian airlines are cancelling flights or scaling down schedules like their counterpart in Australia (Rex Aviation) due to pilot shortage. Happily it has not happened except in cases of improper planning by the operations department or other socio-political reasons such as riots, strike e.t.c.
The airlines are not complaining of inadequate pilots or engineers when they regularly advertise, poach or train Nigerians within and outside the country. This is a corporate responsibility they must and have willingly undertaken like their counterparts world over.
Presently, governments of different countries fund training of pilots and engineers in their military and para-military organizations, while in the past, some developing countries trained pilots and engineers for budding national carriers.
The Indian government did for Air India and Indian Airlines, Ethiopia for Ethiopian Airlines. It is also a norm for Middle Eastern public owned carriers. The Chinese did it for its numerous governments regulated and managed airlines. All these airlines were publicly owned at that period. The best of those pilots and engineers were lost to poachers from the richer Middle East and Asian airlines.
The Nigerian government was no exception when the industry was regulated, managed and operated with public funds, using the liquidated Nigeria Airways as a platform to train pilots and engineers.
Replicating what happened in other countries, we lost some of them to poachers, and others remained in Nigeria flying for different local carriers. Today, some of those pilots and engineers are dominant in the industry. To verify, check the instructors in NCAT, the Licensing, Training and Airworthiness departments of Nigerian Civil Aviation Authority (NCAA) and other sensitive positions in general and private aviation.
Although, there was a lull during the comatose days of NCAT, airlines such as Arik, Aero, Bristow, Virgin Nigeria have been training and re-training pilots, engineers and other professionals within and outside Nigeria, as a statutory responsibility.
The airlines should be left with this responsibility as enshrined in their corporate responsibility, with an embedded mechanism called bonding, which keeps itinerant pilots and engineers at bay.
The countries referred to above and hopefully our dear fatherland, Nigeria has moved beyond herding students for ab-initio pilot and engineer training. Rather they are improving infrastructure, upgrading equipment, training the trainers and working assiduously to improve safety by updating rules and regulations using words like rules of proposed lawmaking or airworthiness directive.
The United States House Committee on Transport, an equivalent of our House Committee on Aviation has just submitted a Legislation that will dramatically increase the amount of flying experience required to obtain an airline pilot’s license. The bipartisan bill will also bolster pilot training, screening and professional development requirements. It was prompted by February’s regional airline crash in Buffalo, NY, that killed all 50 passengers and crew members.
The measure, approved through voice vote by the Transportation and Infrastructure Committee, would boost minimum flight hours needed for a commercial pilot’s license to 1,500 flight hours from 250. Quoting, the Aviation Sub Committee Chairman Jerry F. Costello, D-Ill, “Two hundred-fifty hours is simply not enough experience to be an airline pilot.”
Under the bill, the Federal Aviation Administration would be required to ensure that pilots are properly trained on how to recover from stalls and airlines will have to establish mentoring and leadership training programs for pilots. Comprehensive pre-employment screening will be required, as would creation of a database to give airlines access to a pilot’s comprehensive record.
It is noteworthy that some countries are overhauling airline training programs for aircraft crew members, engineers and flight dispatchers, while also proposing that the Air Traffic Control (ATC) system, which is a 24-hour, high-tech service business, trapped inside government bureaucracy in most countries, be modernized to improve safety and efficiency in the airspace. It has an acronym, NEXTGEN, (replacing radar surveillance with ADS-B)
To further buttress the appalling safety level noticed globally this year, Flight International, a publisher of aviation related information, is of the opinion that global airline safety has stopped improving for the first time in aviation's history, going by the accident figures for the first half of 2009.
It feels that without a dramatic improvement in performance during the remainder of this year and the whole of 2010, the world will have witnessed the first decade since the Wright Brothers when safety standards remained static.
The ‘Flight Safety Foundation’, said if safety is to improve beyond what we see now, airlines have to go "beyond compliance" - to do more than just meet regulatory minimum standards. The first point at which that message needs to be applied is in pilot training.
From the above, the emphasis now is not ab-initio training of pilots, but further training and increasing the stakes for certification, proficiency and conversion in the interest of safety and the flying public.
Why should a government that has no national carrier, is ceding critical services in the industry to the private sector while gradually pulling out of the industry except in the areas of regulation and oversight be investing loans or BASA fund on training pilots and engineers for the airlines privately owned business moguls, bank chief executives and jet age preachers, who have acquired private jets and are poaching from the industry rather than training. Is this not robbing the public to pay the rich?
Our airlines are embattled commercially, considering two are technically grounded, three are committed to EFCC as a result of nonperforming loans, one is being hounded by international passengers and others are downsizing, withdrawing from international route, reducing schedules and delaying deliveries of aircraft.
You may then ask, when these awardees pilots and engineers will be graduating there may not be an airline to absorb them and most importantly give the necessary flying hours needed for exposure, certification and progression in the profession. So they will have to look offshore or fly private jets of the proponents of this idea.
The government should rather use the money as a soft loan to airlines that have an AOC, a pedigree and can show a verifiable business plan with repayment options, while initiating a process of regulated consolidation to stem the ugly tide. The loans must be from BASA not World Bank, considering our local airlines were the commercial lambs slain to accrue the funds anyway.
The government should be seen to be providing an enabling environment by putting the necessary infrastructure in place to attract Nigerian pilots, engineers and other professionals to return home and as such strengthen domestic carriers, improve power supply, security and facilitate reduction in corruption and poverty.
NCAT should be upgraded by providing additional training equipment, initiating a process of having simulator machines (cockpit and cabin), which will bolster the status of the institution, generate revenue and attract domestic and international students, who will vie for admission.
There is also a need to have more training schools in the country or invite reputable institutions to set it up, this will bring down the cost of training and stimulate interest from Nigerians. South Africa has over fifteen institutions with a lot of Nigerians students studying there.
The Accident Investigation Bureau (AIB) will be able speed up the process of their unending accident reports, if they can have flight/cockpit voice recorder laboratory, refresher courses for Bureau Investigators and an effective support from the search and rescue organisations.
The country has been clamouring for a hangar that will be equipped and certified to maintain aircraft to a level of a ‘C’ check. It can be called any name - national, state, local or private hangar. Our airlines can save costs on flying of aircraft for maintenance outside the country.
Our government should urgently initiate a process of updating our Civil Aviation Act, get our airlines out of the Intensive Care Unit, encourage enplaning, in line with one item on the seven point agenda, mass transportation and most importantly improve safety. Therefore herding students for ab-initio training is not in our best interest.
If the government insists on going ahead with the training, then they should address deficient technical areas and include the clearly deficient managerial hierarchy, because five of our major airlines are headed by expatriates even the most glamorous among them is top heavy with expatriates from failed European airlines.
It should also address the discriminatory pay between Nigeria pilots&engineers and their foreign counterpart which is a threat to industrial harmony.
(Article written September 2009)
It was widely reported by the media that the government is planning to use part of the World Bank loan and BASA fund for the training of pilots and engineers for the aviation industry.
The idea is a good one for a country that is in acute need of pilots and engineers, at the teething stage of civil aviation with a verifiable national carrier or carriers owned and managed by the public, which is not the case in Nigeria.
What we are witnessing is a certain generation of pilots and engineers who were trained with government funds and patriotically chose to remain in the country are approaching retirement; while the younger ones are flying for the general and private aviation companies within and outside Nigeria. The generational gap can be traced to the comatose state of the foremost civil aviation training centre in Nigeria, Nigerian Civil Aviation Technology (NCAT), some years back. The situation forced many young Nigerians to go abroad, notably South Africa, United States of America and United Kingdom to fulfil their dream, while some returned home, others stayed back to build their career. NCAT is changing for the better with the injection of funds and equipment which culminated in the recent graduation of pilots and engineers. This was hitherto a mirage.
A pre-requisite for an Air Operating Certificate (AOC) for airlines is the ability to demonstrate, in your documentation that you have certified, proficient professionals manning the Operations and Maintenance departments, which will be verified before issuance. Also, it will be sour news to hear that Nigerian airlines are cancelling flights or scaling down schedules like their counterpart in Australia (Rex Aviation) due to pilot shortage. Happily it has not happened except in cases of improper planning by the operations department or other socio-political reasons such as riots, strike e.t.c.
The airlines are not complaining of inadequate pilots or engineers when they regularly advertise, poach or train Nigerians within and outside the country. This is a corporate responsibility they must and have willingly undertaken like their counterparts world over.
Presently, governments of different countries fund training of pilots and engineers in their military and para-military organizations, while in the past, some developing countries trained pilots and engineers for budding national carriers.
The Indian government did for Air India and Indian Airlines, Ethiopia for Ethiopian Airlines. It is also a norm for Middle Eastern public owned carriers. The Chinese did it for its numerous governments regulated and managed airlines. All these airlines were publicly owned at that period. The best of those pilots and engineers were lost to poachers from the richer Middle East and Asian airlines.
The Nigerian government was no exception when the industry was regulated, managed and operated with public funds, using the liquidated Nigeria Airways as a platform to train pilots and engineers.
Replicating what happened in other countries, we lost some of them to poachers, and others remained in Nigeria flying for different local carriers. Today, some of those pilots and engineers are dominant in the industry. To verify, check the instructors in NCAT, the Licensing, Training and Airworthiness departments of Nigerian Civil Aviation Authority (NCAA) and other sensitive positions in general and private aviation.
Although, there was a lull during the comatose days of NCAT, airlines such as Arik, Aero, Bristow, Virgin Nigeria have been training and re-training pilots, engineers and other professionals within and outside Nigeria, as a statutory responsibility.
The airlines should be left with this responsibility as enshrined in their corporate responsibility, with an embedded mechanism called bonding, which keeps itinerant pilots and engineers at bay.
The countries referred to above and hopefully our dear fatherland, Nigeria has moved beyond herding students for ab-initio pilot and engineer training. Rather they are improving infrastructure, upgrading equipment, training the trainers and working assiduously to improve safety by updating rules and regulations using words like rules of proposed lawmaking or airworthiness directive.
The United States House Committee on Transport, an equivalent of our House Committee on Aviation has just submitted a Legislation that will dramatically increase the amount of flying experience required to obtain an airline pilot’s license. The bipartisan bill will also bolster pilot training, screening and professional development requirements. It was prompted by February’s regional airline crash in Buffalo, NY, that killed all 50 passengers and crew members.
The measure, approved through voice vote by the Transportation and Infrastructure Committee, would boost minimum flight hours needed for a commercial pilot’s license to 1,500 flight hours from 250. Quoting, the Aviation Sub Committee Chairman Jerry F. Costello, D-Ill, “Two hundred-fifty hours is simply not enough experience to be an airline pilot.”
Under the bill, the Federal Aviation Administration would be required to ensure that pilots are properly trained on how to recover from stalls and airlines will have to establish mentoring and leadership training programs for pilots. Comprehensive pre-employment screening will be required, as would creation of a database to give airlines access to a pilot’s comprehensive record.
It is noteworthy that some countries are overhauling airline training programs for aircraft crew members, engineers and flight dispatchers, while also proposing that the Air Traffic Control (ATC) system, which is a 24-hour, high-tech service business, trapped inside government bureaucracy in most countries, be modernized to improve safety and efficiency in the airspace. It has an acronym, NEXTGEN, (replacing radar surveillance with ADS-B)
To further buttress the appalling safety level noticed globally this year, Flight International, a publisher of aviation related information, is of the opinion that global airline safety has stopped improving for the first time in aviation's history, going by the accident figures for the first half of 2009.
It feels that without a dramatic improvement in performance during the remainder of this year and the whole of 2010, the world will have witnessed the first decade since the Wright Brothers when safety standards remained static.
The ‘Flight Safety Foundation’, said if safety is to improve beyond what we see now, airlines have to go "beyond compliance" - to do more than just meet regulatory minimum standards. The first point at which that message needs to be applied is in pilot training.
From the above, the emphasis now is not ab-initio training of pilots, but further training and increasing the stakes for certification, proficiency and conversion in the interest of safety and the flying public.
Why should a government that has no national carrier, is ceding critical services in the industry to the private sector while gradually pulling out of the industry except in the areas of regulation and oversight be investing loans or BASA fund on training pilots and engineers for the airlines privately owned business moguls, bank chief executives and jet age preachers, who have acquired private jets and are poaching from the industry rather than training. Is this not robbing the public to pay the rich?
Our airlines are embattled commercially, considering two are technically grounded, three are committed to EFCC as a result of nonperforming loans, one is being hounded by international passengers and others are downsizing, withdrawing from international route, reducing schedules and delaying deliveries of aircraft.
You may then ask, when these awardees pilots and engineers will be graduating there may not be an airline to absorb them and most importantly give the necessary flying hours needed for exposure, certification and progression in the profession. So they will have to look offshore or fly private jets of the proponents of this idea.
The government should rather use the money as a soft loan to airlines that have an AOC, a pedigree and can show a verifiable business plan with repayment options, while initiating a process of regulated consolidation to stem the ugly tide. The loans must be from BASA not World Bank, considering our local airlines were the commercial lambs slain to accrue the funds anyway.
The government should be seen to be providing an enabling environment by putting the necessary infrastructure in place to attract Nigerian pilots, engineers and other professionals to return home and as such strengthen domestic carriers, improve power supply, security and facilitate reduction in corruption and poverty.
NCAT should be upgraded by providing additional training equipment, initiating a process of having simulator machines (cockpit and cabin), which will bolster the status of the institution, generate revenue and attract domestic and international students, who will vie for admission.
There is also a need to have more training schools in the country or invite reputable institutions to set it up, this will bring down the cost of training and stimulate interest from Nigerians. South Africa has over fifteen institutions with a lot of Nigerians students studying there.
The Accident Investigation Bureau (AIB) will be able speed up the process of their unending accident reports, if they can have flight/cockpit voice recorder laboratory, refresher courses for Bureau Investigators and an effective support from the search and rescue organisations.
The country has been clamouring for a hangar that will be equipped and certified to maintain aircraft to a level of a ‘C’ check. It can be called any name - national, state, local or private hangar. Our airlines can save costs on flying of aircraft for maintenance outside the country.
Our government should urgently initiate a process of updating our Civil Aviation Act, get our airlines out of the Intensive Care Unit, encourage enplaning, in line with one item on the seven point agenda, mass transportation and most importantly improve safety. Therefore herding students for ab-initio training is not in our best interest.
If the government insists on going ahead with the training, then they should address deficient technical areas and include the clearly deficient managerial hierarchy, because five of our major airlines are headed by expatriates even the most glamorous among them is top heavy with expatriates from failed European airlines.
It should also address the discriminatory pay between Nigeria pilots&engineers and their foreign counterpart which is a threat to industrial harmony.
ESSENTIAL AIR SERVICES A CHALLENGE TO NIGERIAN STATE
(article written May 2007)
Direct financial support of the airline industry has existed since the beginning of commercial aviation. Most States have at some point granted subsidies or State aid to their airline industry, at least during its establishment phase. However the continuation of such generic support is not compatible with a liberalized environment and the air transport sector today is operating in an increasingly open and competitive marketplace. Yet that liberalizing marketplace may not deliver all the services considered necessary by governments for achievement of their economic or social development goals, nor may it provide that assurance of service which is considered indispensable by some States in a globalized economy.
It is in the light of the above, countries or states within countries have supported the provision of air transport to areas hitherto underserved or practically non exitent, with the objective of speeding socio economic development of such areas. These services are referred to as essential air services (EAS) or public service obligation (PSO).
EAS or PSO can be referred to, as the offer for tender of particular public transport routes which in a free market would not attract sufficient revenue to be viable, but would provide a socially desirable advantage.
It can also be defined, as a passenger air service of a public or social service nature, which a State may consider needs to be provided and where the market may not have sufficient incentive to do so.
The assurance of “essential services” has generally been considered to be a major responsibility of States. Although there is no uniform definition of essential services, such services may be described as basic economic services of general interest, which are necessary for the functioning of the society. They consist of those which are indispensable to life, health and those which are vital for the assurance of social participation (postal, telecommunication and transport services).
EAS or PSO route scheme exists in several jurisdictions where domestic or regional liberalization/deregulation has already taken place. It is a mechanism whereby support, in the form of a financial subsidy and/or an exclusive concession, can be provided to airlines for the provision of certain services of a public service nature, and/or for reasons such as social and economic development of remote regions or communities in the
Liberalized market environments. The mechanism enables support to be established on the basis of legislatively defined criteria as to eligibility for such support, and in accordance with a defined administrative process. A disadvantaged, lightly populated area might have a route subsidized to a regional or national capital to facilitate industrial development
TYPES OF SUBSIDY: airlines have traditionally received three types of subsidies, which may affect market structure, conduct and performance differently.
Direct subsidy: The most widely-used State assistance has been an across-the-board subsidy for airlines per se in a monetary form to fill the gap between individual airlines’ commercial revenues and their expenditures, including a fair rate-of-return on their invested capital, or actual operating losses incurred. (This was offered to the defunct Nigeria airways)
Indirect subsidy: There is also an indirect way of subsidization, which has been often used by States and local governments either as a part of a comprehensive aid package or as a measure supplementary to a direct subsidy for the opening of new routes or new frequencies.
This usually takes a form of the provision of service inputs for specific local operations of airlines at no cost or at preferential rates. Discounts or exemptions on charges for airport services, navigation aids, weather information, and airport facilities. Another indirect way is to provide subsidy to the tourism sector. This includes a wide range of export incentives and concessions to attract foreign tourists and inward investors (for example, duty-free exemptions). (This was also offered by the government of Cross River State)
Implicit subsidy. In addition to providing direct and indirect subsidies, States
have often required their national airlines to exercise cross-subsidization across the route network, to sustain loss-making domestic routes.(The liquidated Nigeria Airways was doing this can Virgin Nigeria and Arik who are the nations flag carrier do this now) In situations where there is strict regulation of market entry/exit and of tariffs, some States require airlines that wish to serve the major airports (trunk routes) to provide a pegged level of services between the major airports and the smaller airports, and sometimes also to provide a certain level of services between the smaller airports themselves.
Guidelines and rules as obtained in other countries: The Australian Federal Government has been subsidizing remote air services since 1957, most recently through the Remote Air Service Subsidy (RASS) scheme established in 1983. The objective of the RASS scheme is to ensure communities in remote and isolated areas have access to scheduled air services for the carriage of passengers and goods. Communities willing to receive RASS services must meet two fundamental requirements: a demonstrated need for a weekly air service, and being sufficiently remote in terms of surface travel time. An airline providing RASS services is selected through a competitive open tender process based, on the operator’s safety qualification, operation policy, business plan, budget, financial viability and operation ability. The contract term does not normally exceed two years with an option to extend for up to two more years. The RASS scheme currently provides a total of $3.3 million subsidies for eight airlines serving about 250 communities annually. In addition, the State Governments of Queensland and South Australia each subsidizes regional airlines serving specific remote routes. Australia Post also has its own subsidy program (total about a$0.35million).Queensland GOVERNMENT believes that every community should be within 200km of an air service. It currently provides $7m per annum to subsidies essential air services to these communities; the New South Wales Government: Regulates lower volume routes of up to 50 000 passengers per annum to ensure their long-term sustainability by issuing an exclusive license to the operator for five years up to 2008.License fees do not apply to these routes. It does not use competitive tenders to select the exclusive operator. Allows open competition on higher volume routes of over 50 000 passengers per annum and levies a license fee of 0.2 percent of gross revenue.
In Europe: The Public Service Obligation (PSO) scheme was introduced at the EU level by the Second Liberalization Package in 1990 and enhanced by the Third Liberalization Package in 1993. Under this scheme, which covers both domestic and intra-EU international routes a member State can impose a PSO to ensure the adequate provision of scheduled air services to a peripheral or development region or on a thin route to any regional airport that is considered vital for the economic development but is not commercially viable. Once a PSO has been imposed, airlines can operate the route only if they meet the service requirements. If no airline is interested in operating the route, then the route can be restricted to one airline for up to three years. The operator shall be selected from Community air carriers (airlines with a valid operating license granted by an EU member State) by public tender, taking into account the adequacy of the service including air fares and, if any, the cost of the compensation required. There are now over 130 PSO routes, but not all of them with subsidies, some having market protection only.
In the UNITED STATES: The Essential Air Service (EAS) program was established in 1978 to ensure that no communities would lose air service as a result of the Airline Deregulation Act. The Department of Transportation (DOT) determines both eligible communities (such as over 70 driving miles from a large or medium hub airport) and required service levels (a connecting hub airport, frequency, capacity etc.) for each community. If the last airline serving a community, either with or without a subsidy, wishes to terminate, suspend, or reduce that service below the required level, it must file a 90-day advance notice. Any airline may propose to replace the incumbent on a subsidy-free basis during the notice period. If no airline is willing to serve on a subsidy-free basis, the DOT solicits proposals for subsidized service. The selection criteria include the preference of the community, the applicant’s marketing relationship with major airlines, experience in providing scheduled air service, financial stability, and requested subsidy amounts. The contract normally has a two-year period. At present, subsidies of over $100 million are provided annually to airlines serving about 140 communities (35 of which are in Alaska).Frontier has just invited about 50 regional cities to say how they'd support either turboprop or jet service to their markets.
Also airports do offer some sort of support, e.g United Airlines' new Denver flight is getting a financial lift rarely provided to other carriers, an expensive advertising campaign by the Raleigh-Durham Airport Authority. Though most airlines' flights get little overt promotion from the airport, the authority is spending $166,000 for television and radio commercials that showcase the united service.
KINSTON AIRPORT In 2005, Kinston chipped in about $300,000 in government and private contributions to market Delta Express flights, and Jacksonville last year offered up to $700,000 in inducements to Delta.
In Canada, a Federal Government’s direct subsidy programme based on competitive bids had been established in accordance with the National Transportation Law of 1988 to support the existing services to isolated and remote communities in Northern Canada (the “designated area”). After abolishment of the “designated area” in 1996, a different program was instituted on a provincial basis in Quebec, and is still in existence with some changes.
In the Western African region, member States of the West African Economic and Monetary Union (WAEMU) adopted in 2002 a liberalization package of the common air transport program within the region; including a PSO scheme similar to the EU’s scheme (it has not been implemented).
Also, several small island States and dependencies in the Caribbean and Pacific whose economies are heavily dependent on tourism have provided financial assistance (such as direct subsidies for the operation on the route and the purchase of a specified number of seats) to airlines including
Foreign airlines to keep their traffic links to tourism-generating developed economies. In addition, several other schemes are in the pipeline.
In 2003, an Indian governmental committee proposed the establishment of an essential air services fund (EASF) to preserve essential but uneconomical domestic air services, which are currently supported by cross-subsidization in accordance with route dispersal guidelines.
There are also several other regional schemes outside the PSO in the form of a public-private partnership (PPP) between local governments and private businesses. For example, Route Development Funds (RDFs) were established in Scotland in 2002 and Northern Ireland in 2003 with the budgets of GBP 6.8 million and GBP 4 million, respectively, spread over three years. In 2004, the Northwest region of England also established an RDF, while Wales and other regions in the United Kingdom have shown an interest. The aim of RDFs is to promote the development of new routes through the provision of investment support for local airports to reduce landing charges for airlines selected. The targeted routes are primarily to Continental Europe, but in some cases also to intercontinental destinations such as the United States and the United Arab Emirates.
In Nigeria, the defunct national carrier Nigeria Airways (WT) was provided with the direct, indirect and implicit subsidies to operate and develop new and thin routes. The country and industry later became too robust for WT at a stage, which necessitated deregulation and introduction of private airlines.
Some airlines were approached by state government to provide services to their respective states.reciprocrately; the government bought some seats on these flights to cushion the financial effects of operating these routes. here are some examples: Capital Airlines/Edo state on Benin-Abuja route;Overland /Oyo&Ondo State governments on the Abuja-Ibadan-Akure route; Aero/Cross river on the Obudu-calabar route;Overland/kwara state government on Abuja-Ilorin route.
Also Sokoto state government introduced a new flair by buying shares of ADC airlines, this compelled the airline to operate and increase frequencies to Sokoto from Lagos and Abuja respectively, Aerocontractors started scheduled operation to Warri and Benin based on commitments from oil & gas companies operating within the area.
The beauty of this partnership is that the operating airlines now view those flights as A MUST GO, because of the financial and moral commitments and ensure it remains so, provided it does not impinge on safety. The states involved have been able to provide alternative source of transportation to visitors, tourist and investors alike, generate income and ancillary service for citizens who work within and around the airport. Unfortunately all airports are government owned and are bogged down by protocols and debts which have made it difficult for them to launch tantalizing offers and discount that will attract airlines.
Sadly some states are lagging behind despite the huge potentials of developing tourism and their economy, the governments of Benue,Bauchi/gombe,Kebbi,Adamawa,Taraba,Niger,Katsina need to sit up begin a process of encouraging local airlines and to operate into their respective airports and also upgrade facilities at this airports to be passenger friendly and ensure safety.
I also commend states that now own airport by virtue of self help after waiting endlessly for the federal government to provide them with an airport; these are Imo& Kebbi states, for those who are still planning to own an airport such as Delta, Anambra and Akwa-Ibom e.t.c. the plan should inculcate airlines that will operate into these airports.
The essence of having an airport is having flights operating into it and enticing visitors/investors alike, it is in regard of this I will advise Imo State government not to hallucinate as the present flight and activities in and around Owerri airport is due to the closure of the Porthacout Airport, as the government must start working with an airline that will keep the airport alive when the airlines eventually return to porthacout.
The present posture of the federal government is to concession airports and airlines, so the State governments should take the lead and at the same time gourd corporate organizations in their vicinity to participate by buying or blocking seats on flights to cushion the financial effect of starting lean routes and encourage the continuous operation of scheduled flights to their respective states.
From the above it is glaring that world over the airports, citizens, corporate bodies, local, state and federal government are all involved in efforts to encourage and develop socio economic variables in their respective localities, and Nigeria can not be left behind. The giant of Africa must wake up to its responsibilities.
Direct financial support of the airline industry has existed since the beginning of commercial aviation. Most States have at some point granted subsidies or State aid to their airline industry, at least during its establishment phase. However the continuation of such generic support is not compatible with a liberalized environment and the air transport sector today is operating in an increasingly open and competitive marketplace. Yet that liberalizing marketplace may not deliver all the services considered necessary by governments for achievement of their economic or social development goals, nor may it provide that assurance of service which is considered indispensable by some States in a globalized economy.
It is in the light of the above, countries or states within countries have supported the provision of air transport to areas hitherto underserved or practically non exitent, with the objective of speeding socio economic development of such areas. These services are referred to as essential air services (EAS) or public service obligation (PSO).
EAS or PSO can be referred to, as the offer for tender of particular public transport routes which in a free market would not attract sufficient revenue to be viable, but would provide a socially desirable advantage.
It can also be defined, as a passenger air service of a public or social service nature, which a State may consider needs to be provided and where the market may not have sufficient incentive to do so.
The assurance of “essential services” has generally been considered to be a major responsibility of States. Although there is no uniform definition of essential services, such services may be described as basic economic services of general interest, which are necessary for the functioning of the society. They consist of those which are indispensable to life, health and those which are vital for the assurance of social participation (postal, telecommunication and transport services).
EAS or PSO route scheme exists in several jurisdictions where domestic or regional liberalization/deregulation has already taken place. It is a mechanism whereby support, in the form of a financial subsidy and/or an exclusive concession, can be provided to airlines for the provision of certain services of a public service nature, and/or for reasons such as social and economic development of remote regions or communities in the
Liberalized market environments. The mechanism enables support to be established on the basis of legislatively defined criteria as to eligibility for such support, and in accordance with a defined administrative process. A disadvantaged, lightly populated area might have a route subsidized to a regional or national capital to facilitate industrial development
TYPES OF SUBSIDY: airlines have traditionally received three types of subsidies, which may affect market structure, conduct and performance differently.
Direct subsidy: The most widely-used State assistance has been an across-the-board subsidy for airlines per se in a monetary form to fill the gap between individual airlines’ commercial revenues and their expenditures, including a fair rate-of-return on their invested capital, or actual operating losses incurred. (This was offered to the defunct Nigeria airways)
Indirect subsidy: There is also an indirect way of subsidization, which has been often used by States and local governments either as a part of a comprehensive aid package or as a measure supplementary to a direct subsidy for the opening of new routes or new frequencies.
This usually takes a form of the provision of service inputs for specific local operations of airlines at no cost or at preferential rates. Discounts or exemptions on charges for airport services, navigation aids, weather information, and airport facilities. Another indirect way is to provide subsidy to the tourism sector. This includes a wide range of export incentives and concessions to attract foreign tourists and inward investors (for example, duty-free exemptions). (This was also offered by the government of Cross River State)
Implicit subsidy. In addition to providing direct and indirect subsidies, States
have often required their national airlines to exercise cross-subsidization across the route network, to sustain loss-making domestic routes.(The liquidated Nigeria Airways was doing this can Virgin Nigeria and Arik who are the nations flag carrier do this now) In situations where there is strict regulation of market entry/exit and of tariffs, some States require airlines that wish to serve the major airports (trunk routes) to provide a pegged level of services between the major airports and the smaller airports, and sometimes also to provide a certain level of services between the smaller airports themselves.
Guidelines and rules as obtained in other countries: The Australian Federal Government has been subsidizing remote air services since 1957, most recently through the Remote Air Service Subsidy (RASS) scheme established in 1983. The objective of the RASS scheme is to ensure communities in remote and isolated areas have access to scheduled air services for the carriage of passengers and goods. Communities willing to receive RASS services must meet two fundamental requirements: a demonstrated need for a weekly air service, and being sufficiently remote in terms of surface travel time. An airline providing RASS services is selected through a competitive open tender process based, on the operator’s safety qualification, operation policy, business plan, budget, financial viability and operation ability. The contract term does not normally exceed two years with an option to extend for up to two more years. The RASS scheme currently provides a total of $3.3 million subsidies for eight airlines serving about 250 communities annually. In addition, the State Governments of Queensland and South Australia each subsidizes regional airlines serving specific remote routes. Australia Post also has its own subsidy program (total about a$0.35million).Queensland GOVERNMENT believes that every community should be within 200km of an air service. It currently provides $7m per annum to subsidies essential air services to these communities; the New South Wales Government: Regulates lower volume routes of up to 50 000 passengers per annum to ensure their long-term sustainability by issuing an exclusive license to the operator for five years up to 2008.License fees do not apply to these routes. It does not use competitive tenders to select the exclusive operator. Allows open competition on higher volume routes of over 50 000 passengers per annum and levies a license fee of 0.2 percent of gross revenue.
In Europe: The Public Service Obligation (PSO) scheme was introduced at the EU level by the Second Liberalization Package in 1990 and enhanced by the Third Liberalization Package in 1993. Under this scheme, which covers both domestic and intra-EU international routes a member State can impose a PSO to ensure the adequate provision of scheduled air services to a peripheral or development region or on a thin route to any regional airport that is considered vital for the economic development but is not commercially viable. Once a PSO has been imposed, airlines can operate the route only if they meet the service requirements. If no airline is interested in operating the route, then the route can be restricted to one airline for up to three years. The operator shall be selected from Community air carriers (airlines with a valid operating license granted by an EU member State) by public tender, taking into account the adequacy of the service including air fares and, if any, the cost of the compensation required. There are now over 130 PSO routes, but not all of them with subsidies, some having market protection only.
In the UNITED STATES: The Essential Air Service (EAS) program was established in 1978 to ensure that no communities would lose air service as a result of the Airline Deregulation Act. The Department of Transportation (DOT) determines both eligible communities (such as over 70 driving miles from a large or medium hub airport) and required service levels (a connecting hub airport, frequency, capacity etc.) for each community. If the last airline serving a community, either with or without a subsidy, wishes to terminate, suspend, or reduce that service below the required level, it must file a 90-day advance notice. Any airline may propose to replace the incumbent on a subsidy-free basis during the notice period. If no airline is willing to serve on a subsidy-free basis, the DOT solicits proposals for subsidized service. The selection criteria include the preference of the community, the applicant’s marketing relationship with major airlines, experience in providing scheduled air service, financial stability, and requested subsidy amounts. The contract normally has a two-year period. At present, subsidies of over $100 million are provided annually to airlines serving about 140 communities (35 of which are in Alaska).Frontier has just invited about 50 regional cities to say how they'd support either turboprop or jet service to their markets.
Also airports do offer some sort of support, e.g United Airlines' new Denver flight is getting a financial lift rarely provided to other carriers, an expensive advertising campaign by the Raleigh-Durham Airport Authority. Though most airlines' flights get little overt promotion from the airport, the authority is spending $166,000 for television and radio commercials that showcase the united service.
KINSTON AIRPORT In 2005, Kinston chipped in about $300,000 in government and private contributions to market Delta Express flights, and Jacksonville last year offered up to $700,000 in inducements to Delta.
In Canada, a Federal Government’s direct subsidy programme based on competitive bids had been established in accordance with the National Transportation Law of 1988 to support the existing services to isolated and remote communities in Northern Canada (the “designated area”). After abolishment of the “designated area” in 1996, a different program was instituted on a provincial basis in Quebec, and is still in existence with some changes.
In the Western African region, member States of the West African Economic and Monetary Union (WAEMU) adopted in 2002 a liberalization package of the common air transport program within the region; including a PSO scheme similar to the EU’s scheme (it has not been implemented).
Also, several small island States and dependencies in the Caribbean and Pacific whose economies are heavily dependent on tourism have provided financial assistance (such as direct subsidies for the operation on the route and the purchase of a specified number of seats) to airlines including
Foreign airlines to keep their traffic links to tourism-generating developed economies. In addition, several other schemes are in the pipeline.
In 2003, an Indian governmental committee proposed the establishment of an essential air services fund (EASF) to preserve essential but uneconomical domestic air services, which are currently supported by cross-subsidization in accordance with route dispersal guidelines.
There are also several other regional schemes outside the PSO in the form of a public-private partnership (PPP) between local governments and private businesses. For example, Route Development Funds (RDFs) were established in Scotland in 2002 and Northern Ireland in 2003 with the budgets of GBP 6.8 million and GBP 4 million, respectively, spread over three years. In 2004, the Northwest region of England also established an RDF, while Wales and other regions in the United Kingdom have shown an interest. The aim of RDFs is to promote the development of new routes through the provision of investment support for local airports to reduce landing charges for airlines selected. The targeted routes are primarily to Continental Europe, but in some cases also to intercontinental destinations such as the United States and the United Arab Emirates.
In Nigeria, the defunct national carrier Nigeria Airways (WT) was provided with the direct, indirect and implicit subsidies to operate and develop new and thin routes. The country and industry later became too robust for WT at a stage, which necessitated deregulation and introduction of private airlines.
Some airlines were approached by state government to provide services to their respective states.reciprocrately; the government bought some seats on these flights to cushion the financial effects of operating these routes. here are some examples: Capital Airlines/Edo state on Benin-Abuja route;Overland /Oyo&Ondo State governments on the Abuja-Ibadan-Akure route; Aero/Cross river on the Obudu-calabar route;Overland/kwara state government on Abuja-Ilorin route.
Also Sokoto state government introduced a new flair by buying shares of ADC airlines, this compelled the airline to operate and increase frequencies to Sokoto from Lagos and Abuja respectively, Aerocontractors started scheduled operation to Warri and Benin based on commitments from oil & gas companies operating within the area.
The beauty of this partnership is that the operating airlines now view those flights as A MUST GO, because of the financial and moral commitments and ensure it remains so, provided it does not impinge on safety. The states involved have been able to provide alternative source of transportation to visitors, tourist and investors alike, generate income and ancillary service for citizens who work within and around the airport. Unfortunately all airports are government owned and are bogged down by protocols and debts which have made it difficult for them to launch tantalizing offers and discount that will attract airlines.
Sadly some states are lagging behind despite the huge potentials of developing tourism and their economy, the governments of Benue,Bauchi/gombe,Kebbi,Adamawa,Taraba,Niger,Katsina need to sit up begin a process of encouraging local airlines and to operate into their respective airports and also upgrade facilities at this airports to be passenger friendly and ensure safety.
I also commend states that now own airport by virtue of self help after waiting endlessly for the federal government to provide them with an airport; these are Imo& Kebbi states, for those who are still planning to own an airport such as Delta, Anambra and Akwa-Ibom e.t.c. the plan should inculcate airlines that will operate into these airports.
The essence of having an airport is having flights operating into it and enticing visitors/investors alike, it is in regard of this I will advise Imo State government not to hallucinate as the present flight and activities in and around Owerri airport is due to the closure of the Porthacout Airport, as the government must start working with an airline that will keep the airport alive when the airlines eventually return to porthacout.
The present posture of the federal government is to concession airports and airlines, so the State governments should take the lead and at the same time gourd corporate organizations in their vicinity to participate by buying or blocking seats on flights to cushion the financial effect of starting lean routes and encourage the continuous operation of scheduled flights to their respective states.
From the above it is glaring that world over the airports, citizens, corporate bodies, local, state and federal government are all involved in efforts to encourage and develop socio economic variables in their respective localities, and Nigeria can not be left behind. The giant of Africa must wake up to its responsibilities.
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