31 December 2007
As well of being of relevance to negotiators, this latest study should also be of considerable interests to academics and students working in the international air transport field.
I was able to help the Secretariat track down the full texts of some of the plurilateral agreements, including the MALIAT and the PIASA.
European Parliament and separately Environment Ministers propose rules to include international aviation in EU emissions trading scheme
How to deal with greenhouse gas emissions from international aviation is the subject of separate, ongoing consideration by ICAO.
30 December 2007
I have seen an unofficial report with further details but nothing official or in the news media in English.
An official press release was issued by the Hong Kong Government's Transport and Housing Bureau.
A paper presented at the Assembly details the outcome of the deliberations on this issue. The European Union member states made a formal statement of reservation and issued a media statement. On 28 September 2007 ICAO released a media statement on the outcome.
Interestingly Jeffrey N. Shane from the United States was in the chair for the Assembly. Aviation Week reported on 4 December 2007 that he will be leaving the Department of Transportation where he is Under Secretary for Policy in 2008.
Specific mention is made in the statement of the possibility of Indian carriers code sharing with Air New Zealand via Hong Kong.
An official press release NEW was also issued by the Hong Kong Government's Transport and Housing Bureau NEW.
The Hong Kong SAR is independent from Beijing with respect to exchanging air services opportunities.
Twelve months prior to this announcement a 6 November 2006 story in The Vancouver Sun gave the Vancouver Airport perspective.
Singapore already has the necessary rights from the US, both being signatories of the "open skies" MALIAT.
23 December 2007
Fuel burn by aircraft type information comes from the 2006 version of the EMEP/CORINAIR Emission Inventory Guidebook (see Group 8). This data includes both LTO and cruise fuel burn rates.
The calculations are not perfect - for example, I suspect that it does not take into account indirect routings caused by airspace restrictions or typical wind patterns that can lead to significant directional flight time differences - but it is a significant improvement over some of the simplistic calculators that are available.
The results need to be read with a note of caution - not all relevant air services arrangements were available to the authors for analysis.
I attended the welcoming ceremony for the first two flights at Wellington Airport (WLG).
23 November 2007
News media coverage of the new arrangements has appeared in the Manila Times and Sun Star Manila.
We negotiated the text over two rounds in Wellington and Manila. Just prior to the second round the New Zealand delegation visited Clark, the former USAF base 80km north of Manila.
02 November 2007
One implication of the new arrangements is that the JAL and ANA subsidiaries that operated services from Japan to Taiwan will be absorbed back into their parent airlines.
30 October 2007
29 October 2007
On 27 October 2007, however, the Bahama Journal reported that in the Bahamas at least the Accord does not have total support.
The initial parties to the PIASA are the Cook Islands, Nauru, Niue, Samoa, Tonga and Vanuatu (see also previous posting on 16 May 2007).
27 October 2007
On 27 October 2007 the Telegraph reported on an aspect of the A380's environmental impact, its emissions.
Notable in the public comments about the aircraft, however, are how relatively quiet it is.
Earlier in the month while about to leave Manila I saw an A380 prototype landing there.
05 October 2007
A 1 October 2007 Sydney Morning Herald article by Scott Rochfort looks at some of the implications.
In practical terms, constraints on slots at London Heathrow will be a factor in the extent to which Singapore Airlines will be able to take advantage of the opportunities that will be available.
24 September 2007
The key message is that just because produce may have travelled further one should not assume that the environmental impact of its production and distribution is higher.
08 September 2007
We negotiated the new agreement in Vancouver, British Columbia.
Air New Zealand is to commence non-stop flights between Auckland and Vancouver in November 2007.
02 September 2007
The day the proposed deal was announced the Leader of the New Zealand First Party, Rt Hon Winston Peters (who is also the Minister of Foreign Affairs) made a media release reacting to the proposal. On 8 August 2007 the NZ Herald reported on comments made by the Trade Minister, Phil Goff.
The 22 July 2007 Merger Implementation Agreement between DAE and AIAL has some interesting provisions relating to Tourism Growth and air services, in particular by Emirates, in an attached Co-operation Agreement (see section 4).
A 19 July 2007 report in the International Herald Tribune provides background.
26 August 2007
With the airline being Australian-owned, this is a rare example of a cabotage service.
Air New Zealand responded almost immediately by dropping some of its fare levels. Pacific Blue will also be competing against Qantas subsidiary, JetConnect, which trades under the Qantas brand name.I attended the launch in Wellington.
05 August 2007
The 36th session of the Assembly is to be held in Montreal from 18 to 28 September 2007.
These are the first such more open arrangements negotiated by Japan and clearly represent the implementation of a major change in policy (see previous post).
16 July 2007
11 July 2007
Six B777-300ER aircraft have been ordered for use by the airline. The trading name of the airline has yet to be finalised with a short list having been publicised.
10 July 2007
09 July 2007
Notable details include that the company is currently investigating 20 to 25 new routes and envisages launching around two new routes each year with more possible when the B787 is introduced.
08 July 2007
There will be massive media coverage of the rollout. I recommend having a look at a couple of blogs - those of Seattle Post-Intelligencer aerospace reporter James Wallace and of Boeing Commercial Airlines Vice President, Marketing, Randy Tinseth.
It is already clear that this aircraft and its engines have the potential to represent one of the major advances in the history of civil aviation technology. What I find stunning is that so many airlines have ordered the B787 even before its has flown - Air New Zealand was the second airline to do so back in 2004 and now has eight on order. The aircraft's combination of size and long range will make it particularly significant for remote countries like New Zealand and Australia.
02 July 2007
01 July 2007
30 June 2007
A 21 June 2007 column in the Manila Standard Today outlines the Korean negotiating tactics. A opinion column dated 15 June 2007 in the Inquirer, highly critical of the Philippines delegation leader, Undersecretary Edward Pagunsan, suggests that there may have been considerable tensions within the Philippines delegation. A 7 June 2007 article in the Manila Times expands on this.
26 June 2007
One of the speakers will be Andrew Steinberg, Assistant Secretary for Aviation & International Affairs from the US Department of Transportation.
23 June 2007
Notice of the most recent international airline to be licensed, Star Alliance member Scandinavian Airlines System (SK), appeared on page 1507 of the 31 May 2007 issue of the Gazette. This follows its separate designation by Denmark, Norway and Sweden under their virtually identical bilateral air services agreements with New Zealand. SAS had announced last year its intention to code share on Thai (TG) operations to Auckland (AKL).
On the same page of the Gazette there is also notice that the licence held by Air China (CA) has been amended to permit the airline greater route and capacity flexibility when code sharing on a New Zealand airline.
21 June 2007
In any case, with respect to international aviation almost all international air services treaties prohibit the taxation of fuel.
On 8 May 2007 the New Zealand Minister Minister Responsible for Climate Change Issues, David Parker, announced that the New Zealand Government, having previously explored the option of a carbon tax, is now looking to introduce a "cap and trade" emissions trading scheme.
17 June 2007
Etihad started operating to Toronto via Brussels in October 2005 and from 2 June 2007 commenced non-stop services between Abu Dhabi and Toronto.
In alternate years the focus of the aviation world is on the Farnborough International Airshow, held near London. I attended on a couple of days of the 1986 event.
More recently air shows in Dubai and Singapore have become more important events in the global aviation industry calendar.
I have personally subscribed to The Economist for many years and keep all the back issues. For clear and concise writing on many of the subjects that interest me it has few if any equals.
16 June 2007
As noted in a 9 June 2007 post, such action has already been taken in New Zealand by the Commerce Commission.
09 June 2007
Concern about the environmental impact of international air transport on the rise, but the only alternative means of international passenger transport for remote countries like New Zealand, Australia and those in the South Pacific would be by sea. It is still possible, but not cheap, to travel between the UK and New Zealand by sea with container ships offering a limited number of berths to paying passengers (see, for example, UK firm The Cruise People), as well as a few cruise ships like the QE2 operating annual round-the-world cruises. Of course, modern ships also have an environmental impact.
It was during the 1960s that air travel effectively replaced travel by ocean passenger liner as the main means of long-distance international travel and with good reason. Few people can now afford the time (what economists would call an opportunity cost) to spend weeks at sea getting to somewhere that would only take hours by aircraft.
In the 1960s, in the pre-containerisation days, I recall in Dunedin with my step-grandfather, Haxton Matthews, going on board a Union Steam Ship Company freighter that took a few passengers and was still serving the New Zealand-India route. He had served in the Royal New Zealand Navy during the Second World War and was taking a short trip by sea up the New Zealand coast. More recently I flew with my late father in a light aircraft over the QE2 as she passed down the East Coast of Northland, New Zealand - she was a truely magnificent sight.
"Airline drives up price of holidays" 9 June 2007
"BA chiefs face extradition over 'price fixing'" 27 May 2007
"Walsh says sorry for BA’s breach of price-fix standards" 19 May 2007
"BA admits it breached price fixing rules" 18 May 2007
According to a BBC story on 14 February 2006, an Associated Press story on 15 February 2006 and an Asia Times story on 22 February 2006, competition authorities from the European Commission, United Kingdom, the United States and Korea were investigating this issue in relation to cargo rates and searching airline offices.
A large number of class-action law suits targeting airlines followed in the United States, Canada and Australia. The Australian case taken by law firm Maurice Blackburn Cashman was reported in International Herald Tribune on 1 February 2007.
In New Zealand the Commerce Commission took court action on the airline practice of having separate fuel surcharges on top of advertised passenger fares and won its cases. In June 2006 Air New Zealand UPDATED was fined NZ$600,000 and in October 2006 Qantas UPDATED was fined NZ$380,000 over misleading advertising.
The key message is don't assume that because food has been transported half way around the world the environmental impact is much worse than buying local European produce.
Scott is a transport expert and former colleague now based in London. Even if you don't agree with everything he writes, his weblog is well worth reading.
In a statement announcing the decisions the German Transport Minister, Wolfgang Tiefensee, who chaired the meeting noted that "aim of the conclusions was to convince the other ICAO countries of the need to include aviation in emissions trading ... there was likely to be a heated debate at the next ICAO Assembly in the autumn on the issue of including third countries with or without their consent."
07 June 2007
A key theme of the AGM was responding to concerns about the impact of aviation on climate change. Bisignani made a statement that included setting a very challenging goal - "Air transport must aim to become an industry that does not pollute—zero emissions."
I previously posted about the trial on 20 and 24 January and 10 March 2007.
I previously covered the European Commission's proposal in a post on 11 January 2007.
04 June 2007
The editorial noted recent consideration of the issue by the Council for the Promotion of Regulatory Reform, the Council on Economic and Fiscal Policy (see the provisional translation of the Expert Members' Paper Toward the Promotion of Aviation Liberalization (Open Sky) NEW), and the Council for the Asian Gateway Initiative.
On 17 May 2007 Japan Today carried a report on one of the proposals covering Kansai and Nagoya airports.
On 30 May 2007 Qantas issued a media statement advising that it "believed the level of foreign shareholding in the company was below the regulatory requirement of 49 per cent." It went on to say that Qantas was "working with lawyers and other advisers to investigate alternative methods of monitoring foreign shareholding in line with the requirements of the Qantas Sale Act."
30 May 2007
Air New Zealand has just published a booklet (1.86mb .pdf) on it commitment to the environment.
A 25 May 2007 article by Steve Creedy in the Australian reported on the views of Rob Fyfe, the airline's Chief Executive, on this issue.
A Listener article published in 2003 provides some more information about Dick Georgeson that was not included in the book.
Personally I have been up in a glider twice on trial flights but while I was flying powered light aircraft wasn't tempted to take up gliding as a hobby. My wife was involved in a gliding club in England when she was younger.
What struck me were the parallels between some of the issues facing international shipping in the late nineteenth century and international aviation in the late twentieth century. New technology, alliance arrangements, competition regulation and management performance all loomed large albeit with the shipping fleet moving at about one thirtieth of the speed of modern jet aircraft.
The book is also a good reminder that Dunedin was once the commercial capital of New Zealand.
I studied history at the University of Otago a year behind Gavin and very much respected his thesis supervisor, Associate Professor Gordon Parsonson. Gavin has gone on to be a prolific author of New Zealand history.
A graphic on page 17 of the full report illustrates the separation distances that other aircraft must maintain from a landing A380. In a 1 April 2007 post I noted the A380 capacity issue of slots at congested airports such as London Heathrow. At this stage at least, it seems clear that airlines operating the A380 to congested, slot-controlled airports will not be able to do a simple one-for-one swap with existing take-off and landing slots that they hold.
Having flown light aircraft at Wellington Airport, I am very conscious of the dangers of wake turbulence for smaller aircraft. Of course just about every other aircraft is smaller than an A380!
24 May 2007
19 May 2007
South Africa is pursuing a new "Airlift Strategy" that was given Cabinet approval on 26 July 2006 (see posting on 18 March 2007).
16 May 2007
12 May 2007
"747 - Creating the World's First Jumbo Jet and Other Adventures from a Life in Aviation" by Joe Sutter
It tells a superb story about the development of the Boeing 747 placed in the context of other aviation developments from around that time - the original B747 first flew on 9 February 1969. In addition, the book offers concise technical insights into airliner design.
Another fascination in the book are the "warts and all" stories of the office "politics" at Boeing. I had wondered why this book had not been written some years ago. This latter content may not have been included if it had been!
Randy Baseler from Boeing, after reading the book, published on his weblog two interviews with Joe Sutter last year, posted on 22 August 2006 and 16 August 2006.
I enjoyed this book. My one disappointment was that there were some areas of the subject, such as economic geography and international trade theory, that were barely covered, something that the author freely acknowledges. I was left thirsting for more.
10 May 2007
08 May 2007
It is important to understand that this issue is not primarily about some xenophobic dislike of foreign investment in a national icon. International airlines generally operate under bilateral air services agreements - treaties between governments - that in this case would allow Qantas to be denied operating authorisation by many other countries if it was found that the company was not "substantially owned and effectively controlled" by Australian nationals. This is designed to safeguard against the circumvention of these bilateral arrangements.
This was a live issue in 2001 when the New Zealand Government was considering proposals from Singapore Airlines and Qantas to invest in Air New Zealand at a time when major shareholder Brierley Investments had moved its head office to Singapore (see papers available on the NZ Treasury web site, in particular a report dated 16 July 2001 from the NZ Ministry of Transport). Unlike in the case of Australia, New Zealand has made considerable progress in getting the "substantial ownership" criterion removed from many but not all of its air services agreements. Prior to partial renationalisation, Air New Zealand had a share structure with 'A' and 'B' shares, with 'A' share only able to be purchased by qualifying New Zealand nationals.
06 May 2007
I can't recall exactly the first time that I heard New Zealand described as being on the "Antarctic Rim" but think it was while I was still working at the Treasury in the mid 1990s. It is a description with some telling implications and points to the importance for New Zealand of having excellent international transport links.
As a history graduate and someone who was very impressed with Professor Geoffrey Blainey's book "The Tyranny of Distance: How Distance Shaped Australia's History", the phrase Antarctic Rim is one that has stayed with me and it is encouraging to read that economists are increasingly taking account of geography in their theoretical research.
The phrase was used by Professor Wolfgang Kasper in an address to the New Zealand Economic Association on 27 June 2002 in which he discussed New Zealand's economic growth record in the context of advances in growth theory. He does not think that New Zealand's remoteness has been holding New Zealand back.
A measure of the remoteness of fellow Antarctic Rim country Australia from an economic perspective is contained in a number of papers published by the Australian Treasury including:
"Measuring recent trends in Australia’s economic remoteness" UPDATED by Robert Ewing and Bryn Battersby (March 2005)
"International Trade Performance: The Gravity of Australia’s Remoteness" UPDATED by Bryn Battersby and Robert Ewing (June 2005)
The New Zealand Treasury has also touched on the issue in its series of working papers including:
"Economic Geography - Key Concepts" UPDATED by Sarah Box (2000)
"Geography, Trade and Growth: Problems and Possibilities for the New Zealand Economy" UPDATED by Philip McCann (2003)
"Global Connectedness and Bilateral Economic Linkages - Which Countries?" UPDATED by Jim Rose and Wayne Stevens (2004)
The gravity model of international trade - taking into account distance and market size - would seem to have applicability when it comes to examining international air passenger transport but I have yet to track down any academic studies using the model for this purpose. One such paper that focuses on air cargo is:
"Infrastructure, Competition Regimes and Air Transport Costs: Cross Country Evidence" by Alejandro Micco and Tomás Serebrisk (2004)
I suspect that it would make for some interesting further econometric research provided that care is taken with the data sets used.
05 May 2007
The Qantas share-price reaction on Monday will no doubt be the subject of considerable interest.
04 May 2007
01 May 2007
Sadly one of the visionary architects of the new EU-US agreement, former EC Commissioner for Energy and Transport, Loyola de Palacio, did not live to see the agreement signed. She died of lung cancer at the age of only 56 on 13 December 2006.
28 April 2007
25 April 2007
These amendments were negotiated in 2004. The main features were announced by the then Minister of Transport, Hon. Pete Hodgson, on 18 May 2004.
18 April 2007
New Zealand signed an Air Services Agreement with Spain in 2002. I led the New Zealand delegation at the negotiations.
16 April 2007
The authors, who are members of New Zealand Airline Research, have had the good sense not to try to repeat material in Dr Peter Aimer's book "Wings of the Nation - A History of the National Airways Corporation, 1947-78" about New Zealand's State-owned domestic carrier that was merged with Air New Zealand in 1978. Rather the two books are very much complimentary.
I remember flying in NAC Vickers Viscount aircraft between Dunedin and Christchurch as a child. I still think that the type is particularly beautiful but it was very noisy.
Rev Richard Waugh, in particular, has been involved in writing a number of books printed by Craigs about early airlines in New Zealand, reenactment flights and commemorating many of the airline tragedies that marked that history.
15 April 2007
13 April 2007
Morocco recently concluded a similar agreement with the European Union.
11 April 2007
Japan has long been concerned that US airlines hold a disproportionate share of slots at Narita International Airport (NRT) near Tokyo.
10 April 2007
Other freely available global and regional forecasts are published annually by the two major airliner manufacturers, Airbus with its Global Market Forecast and Boeing with its Current Market Outlook. Inevitably they place emphasis on their aircraft sales expectations and of late the forecasts have also been used to further the debate about whether the future lies in operations to and from major hubs with aircraft like the A380 (and B747-8) or point-to-point flying with aircraft like the B787 (and A350).
Here in New Zealand, where almost all visitors arrive by air, official tourism forecasts are produced annually for the Ministry of Tourism by Covec. For better or worse I am a contributor to this annual exercise.
We humans all too often fail to give our feline and canine companions sufficient credit for their intelligence.
09 April 2007
I have been out to the visitor centre, Microcosm, at CERN. It is well worth a look. Ever since studying physics at high school I have retained a fascination for the subject reading popular accounts but thought that my maths skills were not up to taking the subject any further. Maybe they were!
In addition, understanding basic physics is very important for anyone involved in flying.
07 April 2007
On 29 March 2007 Star Alliance member South African Airways announced that it is entering into a code-share arrangement with non-Star Malaysia Airlines.
06 April 2007
I have personally had a few bags go missing but the airlines concerned have always managed to get them back to me at my hotel within a day.
Australia and the United Kingdom already follow similar policy approaches with respect to access by foreign international airlines to their regional airports. On 17 October 2005 the United Kingdom went as far as inviting fifth freedom services through its regional airports.
A BBC report on this announcement notes the lack of a definition of "delay" in the EU regulation. No definition of "delay" is included in the 1929 Warsaw Convention on international air carrier liability (Article 19 refers) either and when this and subsequent amendments were consolidated in the 1999 Montreal Convention (again Article 19 refers) again no definition of "delay" was included. The same situation exists in Part 9B of the New Zealand Civil Aviation Act 1990 with respect to domestic delay. Back in 2004 the China Daily carried an interesting article on this subject noting the whether or not delay has occurred is generally considered on a case-by-case basis.
A number of countries collect and publish airline delay statistics. In the United States (where the Department of Transportation Bureau of Transportation Statistics issues a monthly Air Travel Consumer Report) "on time" is defined as within 15 minutes of scheduled time. The Australian Bureau of Transport and Regional Economics uses the same 15 minute definition of "on time" in its reporting. UK punctuality statistics are published by the UK Civil Aviation Authority and this information is also available in a more user-friendly form on the Flightontime.info web site.
On 10 January 2007, following airline industry complaints, the European Ombudsman had criticised certain public information produced by the EC on air passenger rights as being inaccurate and misleading.
01 April 2007
Note, in particular, the significance - "centrality" - of airports in Anchorage in Alaska and Port Moresby in Papua New Guinea. Both areas of the world are very much dependent on air transport.
For someone who often takes journeys that involve flying four sectors (the research shows that a traveller can get from any city to any other with an average of 4.4 sectors) it was fascinating to read of the most disconnected places in the world - Mount Pleasant (MPN) in the Falkland Islands and Wasu (WSU) in Papua New Guinea - flying between them required a 15-sector journey!
Airport Coordination Ltd, who control slots at LHR, has issued a three-page brief dated 26 March 2007 on the situation. Logically LHR slots may be about to get a whole lot more expensive.
A further dimension to the issue of slot constraints is that the A380 aircraft some major carriers will be seeking to operate into LHR may require greater wake turbulence separation from other aircraft during landing and takeoff thereby reducing hourly runway capacity. In June 2006 ICAO was issuing guidance on this subject. British Airways (BA) Chief Executive Willie Walsh touched on some of the implications of this in a lecture to the Royal Aeronautical Society on 13 November 2006 (Flight International carried a report on this in a short article).
Further details are available on the New Zealand Ministry of Transport web site. An Arrangement (3.34Mb .pdf) between the two governments was signed on 13 February 2007 and an Operational Arrangement between CASA and the New Zealand CAA was signed on 16 March 2007.
A previous statement by Annette King welcoming the passage of the Australian legislation was made on 12 September 2006.
At the end of the meeting a Joint Ministerial Statement was issued.
One of the issues discussed was how to take practical steps to reduce aviation emissions. This featured in a media statement issued by meeting chairman, Mark Vaile, and can in part be seen as a response to European Commission proposal released late last year as to how to address this issue.
One interesting speech delivered at the conference on 30 March 2007 was that by Singapore's Transport Minister, Raymond Lim, covering progress being made within APEC on air services liberalisation.
27 March 2007
26 March 2007
The International Maritime Organization (IMO) based in London plays a similar role in setting environmental standards to that played by the International Civil Aviation Organization (ICAO) with respect to aviation and emissions. The European Commission's DG Environment also takes close interest in ship emissions.
Again like aviation, the environmental impact of shipping is being ameliorated as new technology is introduced but it would seem that the growth in cargo volumes is more than offsetting this progress.
24 March 2007
EU position on EC proposal to include international aviation in its emissions trading scheme not yet established
- European Transport Commissioner, Jacques Barrot
- German EU Transport Council President, Wolfgang Tiefensee
- UK Secretary of State for Transport, Rt Hon Douglas Alexander
- US House of Representatives' Congressmen Oberstar, Costello and LoBiondo