Industry Columns

Significant investment and growth has delivered better outcomes for passengers over that time.

In fact, airports have invested $15 billion since in improvements since 2002, and plan to invest a further $20.6 billion in the next decade.

The AAA submission outlined the fact that not only is that investment delivering increased capacity and efficiency, it’s being directed in a more targeted way that ultimately benefits the passenger.

Departing passengers have reported higher quality of service scores as a result, as they enjoy an easier and more comfortable airport experience.

‘And it’s created greater competition within the international market.’

This has occurred in part because the current regulatory approach allows airports and airlines to engage in direct, commercial negotiations focused on customer needs.

Airports must – and do – clearly articulate the benefits investment will deliver to ensure it meets the needs of airlines and their customers. That process has yielded some significant developments across our airports in recent years.

It has also led to higher levels of discounting of airport charges – and in fact what is believed to be higher discounting than many other parts of the world.

And it’s created greater competition within the international market as airports work hard to drive growth and attract new services from overseas.

However, the AAA’s submission also highlighted the challenges airports face. Domestically, the high concentration of the market means the domestic airline duopoly has significant power.

Our members have reported attempts to frustrate airport investment plans or resist increases in airport charges to restrict capacity or constrain competition.

At the regional level, we’ve seen this in cases where airlines have requested a reduction in airport charges off the back of a threat to reduce airline services.

This highlights the complexity of our industry as many regional members must delicately balance the need to maintain often limited air services with growing cost pressures and compliance requirements.

These challenges show that, for all our successes, our industry remains a complex and multi-faceted one that only succeeds when the passenger is put first.

That’s something that can only be achieved when airports and airlines work together in the interests of their customers.

Reclassification Of Civil Aviation Activities – Update

The Department of Infrastructure hosted a meeting of senior departmental managers including the ATSB, Airservices, CASA and a host of key industry representatives and associations including the General Aviation Action Group. The meeting heard a presentation from the RAAA and discussed proposed changes to the Classification of Civil Aviation Activities.

Government has been struggling with this concept since 1986 and the time has come to grasp the nettle and resolve the legacy issues embedded in the traditional approach to regulation of General Aviation.

Rather than being bound by the ‘commercial’ or ‘hire or reward’ imperatives, a fresh look at a genuine risk-based approach is required. This fresh perspective will give traction to the various CASA publications which espouse a risk-based and outcomesfocused philosophy. This will also free up both industry and CASA resources from the burden of less than effective administration and cost which has been the bane of the smaller end of the industry for decades.

Nine Passengers Or More?

CASR Part 135 is proposing a number of ‘incremental improvements to safety’ (CASAs term) for potential Part 135 operators (current charter operators) would more likely be supported and be made possible if the operation of the aircraft were to be allowed to be more sustainable. That is, to allow more than nine passengers on the Cessna C208 and King Air B200 with a single pilot and under the IFR.

The decision to limit passenger numbers to nine was taken by a previous DAS some 10 years ago, in the absence of any consideration of operational risk or ATSB data. Many charter operators have now invested millions of dollars by upgrading their ageing fleet of piston powered twins and replaced them with these modern turbine powered machines.

Industry would welcome the opportunity to formally review that decision in the light of 10 years of very successful and safe operations (supported by ATSB data) in these aircraft types. In particular the eyewateringly safe ASETPA operations in the C208. We would encourage a review of this issue the light of the DAS directive 01/2015 and other contemporary CASA regulatory development guidance material and philosophy.

Experienced Captain Shortages

Several high profile airlines have begun cancelling flights and in some instances aircraft are sitting on the ground. The unusually deep and unforeseen sustained recruitment activities by overseas airlines have proven to be the main driver of the shortages.

The traditional method of a short to medium term solution when our usual training source of pilots ran dry was to temporarily import pilots on the 457 VISA mechanism. This avenue was halted at the most vulnerable time as a result of ill-informed pressure, from unknown sources, on the government. We are now seeing a reversal of that decision which will provide breathing space to enable our Australian based co-pilots to attain the necessary experience and qualifications to become Captains. In spite of some quarters still saying there is no shortage, the AFAP website has six pages of jobs currently being advertised for experienced captains. Now has never been a better time for aspiring aviators to join the industry.

‘Several high profile airlines have begun cancelling flights.’

Resilience is what counts

Drought and aviation

It appears the national media haw just found the drought that has been going on the for the last six years in western Queensland and now NSW. For the people living with it, this is really a story about the power of preparation and the willingness to adapt. The parallels with aviation business are strong.

Drought is never easy. Its onset is hard to identify and you are already in it by the time the ‘dry’ has turned to drought.

Financial planning is a big part of preparedness. It is always a financial balancing act to make sure your money (or the banks) is working hard enough, without creating unmanageable risk in a bad scenario. Planning only for good times is not planning at all.

Drought is a normal if unpredictable feature of the Australian climate. Farmers always use good times to make a deposit for bad times but it has taken a Royal Commission and public shaming by Ag Minister David Littleproud to get the banks to offer farm income deposits and offset accounts only recently. Unfortunately, these are not available to ag contractors like aerial applicators.

Drought deposits can also take the form of hay, grain and silage stored for bad years, but it is difficult to store enough to drought-proof a property for years of drought. In aviation, we need to manage assets to service our clients and grow, but not hang on too long to weigh us down if the seasons turn.

When a drought lasts years, the human toll is dire. Preparation alone is not enough. Resilience is what counts.

Ag operators in a drought face the same difficulties. No work, no income – regardless of the debt you might be carrying or the lease payments you need to make.

Preparation, debt control, willingness to adapt, decisive management, diversification – these are all critical in aviation as well as agriculture. They also need to be done before the crisis as well as in it – an excellent lesson for aviation business.

‘Planning only for good times is not planning at all.’

Not all of rural Australia is in drought. WA is having a bumper year so far – but the harvest is not in the shed yet! Some parts of eastern Australia may even get water allocations to allow crops to be grown, so as always, generalisations are dangerous.

However, a constant is the enthusiasm for our industry and what we do for Australia in both ag and aviation.

With skill and enthusiasm

Another fire season approaches

The recent loss of the first helicopter pilot to perish on firefighting operations in NSW is a salutary reminder of the seriousness of aerial firefighting. Every effort is made is mitigate risk and crew training is world-leading. Fire seasons now appear to be elongated, at least in recent years, and down time is shrinking. The industry, along with our ground-based colleagues, is analysing these trends and developing national responses to new seasonal patterns.

Night firefighting from helicopters is an important and vital new tool for the rapidly-arriving fire season. It is important that CASA works closely with the night firefighters to ensure that regulations keep pace with a capability that will save lives and property. There urgent issue needs coordinated attention and the AHIA will be working closely with senior CASA executives to ensure that there are no regulatory impediments to the vital night operations.

Day and now night operations increase the maintenance challenges and engineering teams are gearing up for what could be continuous operations at the height of the fire season. These highly-skilled engineers are often unseen and unheralded but nothing happens without them.

The operations teams are facing new facing challenges with seemingly longer fire seasons and the potential of night operations. Not only are they coordinating their own crews but must always liaise closely with the state fire authorities to ensure that the most appropriate assets are brought to bear in a timely fashion. The hours can be brutal but they face it willingly.

Australian aerial fire fighters are acknowledged internationally as being in the top rank. Many remain operational in the northern hemisphere summer and then return to our shores to continue their life and property-saving work. Their working environment is dynamic and challenging. We are very fortunate to have their skills available to most communities.

It must not be forgotten how important the helicopter training sector is to firefighting operations. The rigorous training and checking standards ensure that all pilots and engineers can meet the risks and challenges with confidence. Again this work is often unseen and unsung but is critical to high quality and effective aerial fire fighting operations.

As the temperatures rise and the winds increase the aerial firefighters, rotary and fixed-wing, begin their preparations. When fires emerge and spread the coordinated fire attack begins. It does not halt until the fire threat is over.

These men and women are some of our finest and rarely seek praise or acknowledgement. They do their jobs with skill and enthusiasm, accepting the risks. They do not seek it but we are in their debt”.

‘The hours can be brutal but they face it willingly.’