general

Plane orders from Auckland to India show travel boom’s longevity

Qantas Airways and Air New Zealand have both snapped up new planes to boost previous multibillion dollar aircraft orders, suggesting aviation’s lucrative post-Covid travel boom is far from over despite concerns about sky-high fares. Australian national carrier Qantas on Thursday purchased 12 Boeing 787s and 12 Airbus A350s jets to replace its fleet of aging Airbus A330s that shuttle to Asia and the US. The airline has options to buy even more of the aircraft over the next decade. In Auckland, Air New Zealand said it was buying two 68-seat propeller-driven ATR72s to ply short domestic routes, along with two more Airbus A321s — capable of flying more than 200 people to Australia and the Pacific Islands. The rival airlines, whose bases are separated by a three-hour flight across the Tasman Sea, announced their race to get more planes in the skies as each returned to profit following the pandemic. Underpinning the earnings — and soaring ticket prices — is an enduring mismatch between travel demand and available seats. It’s a similar picture in many parts of the world. From India’s IndiGo to Ryanair Holdings Plc in Europe, airlines are lining up jet deliveries stretching into the next decade as an insatiable appetite for international flights collides with a shortage of new planes. “Fundamentally, travel demand is extremely robust,” outgoing Qantas CEO Alan Joyce said, announcing his last set of results before handing over in November to current finance chief Vanessa Hudson. “We can afford to invest and grow — especially in new aircraft.” Airlines are wary of holding back on plane orders because the waiting times for the most popular jets made by Boeing and Airbus are already years-long. “It’s very hard to get new aircraft now,” Joyce said. Qantas’s order marks its third major plane purchase in less than two years. In late 2021, it unveiled a multibillion dollar deal with Airbus to replace its short-range Boeing domestic workhorses. Months later, Qantas ordered a dozen ultra-long-range Airbus A350-1000s for direct flights connecting Australia’s east coast with New York and London — some of the world’s longest hauls — due to start in late 2025. Story has more. <br/>

The FAA will consider tighter regulation of charter flights that look more like airline service

US officials said Thursday they will consider tightening the rules on some air charter operators to bring them in line with regulation of passenger airlines. Airline unions applauded the move. They claim that charter operations can be used to sidestep federal safety regulations. The FAA said it will begin rulemaking to cover “high-volume” charters that sell seats to the public and are “essentially indistinguishable” from airlines that offer scheduled service. The FAA said it has “adjusted its oversight” of charter flights as they have grown in size and frequency over the past 10 years. The agency said it will consider whether regulatory changes are needed “to ensure the management of the level of safety necessary for those operations.” Some charters, like those operated by JSX, use private terminals and passengers don’t go through the normal security screening. The operators tout the time savings compared with regular airline flights. Standards for pilot experience and crew rest are less restrictive than for airlines. Airline unions are fighting an attempt by SkyWest Airlines to start a subsidiary that would operate under less-restrictive charter-airline rules if it limits those flights to 30 seats. Sara Nelson, president of the Association of Flight Attendants, said the new charters are “skirting safety and security requirements.”<br/>

US FAA hires 1,500 air traffic controllers but staffing challenges remain

The US FAA said Thursday it had met its goal of hiring 1,500 ATC for the year even as staffing challenges continue to impact travel and aviation near misses prompt safety concerns. The FAA has about 2,600 controllers at various levels of training. The Transportation Department said in March it is seeking $117m to hire another 1,800 next year, in addition to the 1,500 it planned to hire through Sept 30. More than 12,000 people applied earlier this year for the roles. The FAA is also holding runway safety meetings at 90 airports after troubling close-call incidents and said on Wednesday it awarded $121m to airports to reduce runway incursion risks including reconfiguring taxiways and installing new lighting systems. The National Transportation Safety Board (NTSB) and FAA are investigating an Aug. 11 near collision between a Southwest Boeing 737 and a Cessna business jet in San Diego. The NTSB is investigating seven runway incursion events since January, including the San Diego incident. Citing ATC staffing issues, the FAA this month agreed to extend temporary cuts to minimum flight requirements at congested New York City-area airports and Washington National Airport through Oct. 28. The Transportation Department Office of Inspector General (OIG) said in June critical ATC facilities face significant staffing challenges, warning of the risks posed to the continuity of air traffic operations.<br/>

Lower airfares? Increased competition could mean cheap seats in Canada this fall: expert

After the pandemic there was a huge demand for air travel which led to big increases in ticket prices. But as summer comes to an end, at least one airline analyst believes there will be some great airfare deals to be had. “It will be a buyers delight this fall,” said John Gradek, who teaches aviation management at McGill University. Lynx Air announced Thursday it will begin flying from Toronto to Los Angeles and cut the ribbon on its inaugural flight today by offering a 25% off seat sale. CEO of Lynx Air Merren McArthur said that gave passengers the chance to fly to Los Angeles from Toronto for just $129, taxes included. “Fares have been too high for too long and Lynx hopes to change that by bringing affordable airfares to Toronto,” said McArthur. Lynx Air took to the Canadian skies last year and has experienced growth of 260% since then. McArthur said the airline is putting an emphasis on low fares and customer service and said it was one of the top airlines when it came to having the fewest cancelled flights. “We think there is a lot of pent up demand for a good value airlines and we are an airline that provides good customer service as well," said McArthur. Canadians now have their choice of several ultra low cost carriers including Lynx, Flair, Swoop and Porter. <br/>

Pentagon: No info to support missile strike theory for Prigozhin crash

The US Department of Defense on Thursday said there was currently no information to suggest that a surface-to-air missile took down the plane presumed to be carrying Russian mercenary leader Yevgeny Prigozhin. Air Force Brigadier General Patrick Ryder, a Pentagon spokesperson, offered no evidence or further details on what U.S. officials believe caused the crash as he made his remarks at a Pentagon news conference. Reuters had reported earlier on Thursday that the United States was looking at a number of theories over what caused Prigozhin's plane to crash, and cited two US officials saying a surface-to-air missile likely hit it. The officials, who spoke on condition of anonymity, stressed that the information was still preliminary and under review, and did not rule out a change to the assessment. "We don't have any information to indicate right now the press reporting stating that there was some type of surface-to-air missile that took down the plane," Ryder told reporters. Russian air authorities have said Prigozhin, his right-hand man Dmitry Utkin, and eight other people were on the private plane that crashed with no survivors northwest of Moscow on Wednesday.<br/>

Two Moscow airports suspend flights: TASS

Moscow’s Vnukovo and Domodedovo airports suspended flights early on Friday, Russia’s TASS news agency reported. Residents of the Russian regions of Tula and Kaluga earlier posted on social media about explosions they heard in the night, Russian online media outlet Baza reported. Flights were also briefly disrupted on Tuesday and Wednesday during Ukrainian drone attacks.<br/>

Workers at Gatwick Airport scrap planned strike after improved pay offer

Planned strikes at Britain's Gatwick Airport this weekend have been suspended after workers accepted improved pay offers, the Unite trade union said on Thursday. "Unite has co-ordinated industrial disputes across Gatwick to secure well deserved pay increases for its members," Unite General Secretary Sharon Graham said. The union said its members employed by one of the companies doing ground handling at Gatwick had accepted a 14% pay increase. "There is currently no further industrial action scheduled at the airport," it said.<br/>

Thailand: Pheu Thai touts new airports for Chiang Mai, Phuket

The Pheu Thai Party is looking to refurbish airports all over the country and also build two new airports — one in Chiang Mai and the other in Phuket — as part of its aim to boost tourism, Prime Minister Srettha Thavisin said on Thursday. He said the government led by his party would go on the offensive to spur tourism, which accounts directly and indirectly for about one-fifth of the country’s economy. All airports throughout the country will be refurbished to welcome tourists from all over the world, he added. Srettha said the party had also set a target to build new airports in Chiang Mai and Phuket, two major destinations for local and international travellers. In Chiang Mai, the new airport should make the arrival and departure of tourists during the night more comfortable. The existing airport has some limitations, he said. Srettha said the new Phuket airport should be exclusively for international flights. The existing airport handles both international and domestic flights and has reached its full capacity of 14m passengers a year. Phuket International Airport has only one runway and the surrounding terrain does not allow for a second runway to be built. Airports of Thailand earlier proposed building a “Phuket Airport No 2”, which would actually be located in nearby Phangnga province, but that plan is currently on hold. The Chiang Mai airport is currently undergoing the first phase of an expansion project to increase its capacity to 16.5m people.<br/>

Malaysia: MAHB 2Q net profit rises to RM102.53mil

Malaysia Airports Holdings Bhd’s net profit for Q2 ended June 30, 2023 rose to RM102.53m versus a net loss of RM58.15m in the same quarter last year. Revenue grew 78.6% to RM1.23b from RM689.76m previously, in tandem with increased passenger volumes, resumption of airline services and connectivity, reopening of China borders and increased Haj pilgrim’s quota. "Revenue from airport operations increased by 84.3% from RM626.8m to RM1,155.4m. Aeronautical segment revenue increased from RM368.2m to RM696.7m as compared to the corresponding quarter in the prior year,” it said in a filing with Bursa Malaysia. MAHB said revenue from non-airport operations increased by 21.6% or RM13.6m from RM63.0m to RM76.6m due to higher revenue from the project and repair maintenance and hotel businesses. Overall, Malaysia operations had recorded a significant increase in revenue by 118.3% from RM357.5m to RM780.6m, whereas Türkiye and Qatar operations recorded an increase in revenue by 37.9% from RM309.2m to RM426.4m and 8.2% from RM23.1m to RM25.0m, respectively,” it said. Meanwhile, for the first half of 2023 (1H 2023), MAHB recorded RM160.72m net profit compared to a net loss of RM162.91m in the previous period, while revenue jumped to RM2.27b from RM1.26b previously.<br/>