Welcoming some 520 delegates, ERA (European Regions Airline Association) director general Mike Ambrose (pictured above) highlighted that scheduled passenger traffic from reporting airlines was up an average 8.2% in the first six months of 2006 compared with 2005. Passenger load factor increased to an average 62.2% (against a record 59.8% last year)”a new high for the period.
Much of the growth is coming from increased turboprop activity, delegates heard. A total of 240 new turboprops have been delivered in the last 20 months, ATR CEO Filippo Bagnato noted the number sold once again exceeded regional jet orders for the second consecutive year.
Five years ago, some industry observers were questioning the long-term sustainability of the turboprop. But as if to reinforce the point, the sole two ”new” deals announced at ERA, came from turboprop manufacturers.
Saab Aircraft Leasing announced the placing of 25 Saab 340Plus models (all ex-American Eagle), with Rex (Regional Express) in Australia to enter service over the next three years. The deal is the largest transaction of 340s since Saab closed the 2000 line. ”We have to get in quick if we want another Saab 2000,” comments Darwin Airline CEO Mose Franco. Darwin has been steadily increasing its frequencies on its scheduled services from Berne and Lugano and will shortly be in the market for a fifth 2000, Franco reveals.
Avion de Transport Regional (ATR) announced a new order for four ATR 72-500s from NAYSA, a new regional operator based in the Canary Islands. Delivery time will be between 2008 and 2009”the order backlog for ATRs is so big. Aer Arann welcomes 10 more ATR72-500s from May next year through to April 2009 and may add another five more in 2010.
Acknowledging that in its recent fleet review it looked ””with great interest at the Fokker 100 jet,” it maintains its niche is to keep under the radar of the big carriers. ”There are plenty more opportunities to develop in the UK-Ireland market,” says newly appointed CEO Gary Cullen, who joins the Aer Arann from Liat in Antigua.
With Bombardier recently securing new customers for the Q400, most recently Frontier Airlines of Denver, USA, a decision on the go-ahead for a new larger model, a 90-seater dubbed the Q400X, looks set to debut next year. (Simultaneously it is looking at the CRJ900X, taking the regional jets to 98-100 seats through the addition of two central barrel sections. Newest customer My Way of Venice, Italy, has identified converting 15 of its 19 orders to the CRJ900X if it is launched.)
Rising fuel prices are the principal driver for the turboprop”s strong showing of late. Fuel costs have risen from $23bn in 2003 to $112bn in 2006 and what used to represent a 14% cost to airlines in 2003, today accounts for 26%.
In a marked contrast BAE Systems Regional Aircraft reminded media of the continued popularity of its ATP (in a freighter role) while the industry”s newest RJ manufacturer, Sukhoi Civil Aircraft, presented the Sukhoi SuperJet 100, talking up its Western partners and orders won so far”30 from Aeroflot.
With a large SuperJet model dominating the exhibition floor, neighbour Embraer had to order in several large house plants to separate its hospitality area. Sukhoi took the opportunity to talk up the role of partner Alenia with the jet they claim will have short runway capability from the outset. ”We want to serve Bromma Airport and London City Airport,” said company spokesperson Olga Kayukova. Russian and European certification is scheduled for 2008, with the first flight planned for September 2007.
ERA also hinted at closer collaboration with Europe”s Low Fare Airline Association (ELFAA) as it presented its new ”Plain Fares” campaign, an initiative which encourages airline members to be transparent with their pricing. When they comply, they can promote their user friendliness with the new logo. ERA wants its 65-strong members to show a price that includes all taxes and charges or display a fully inclusive price with equal prominence. This initiative should not just apply to ERA airlines, it believes.
It was hardly surprising that security, and who takes responsibility for it, should be on the agenda this year. Session chairman and executive chairman of Aer Arann Padraig O”Ceidigh highlighted that high security measures are here to stay, but he questioned the lack of clarity from governments as to what the response to given levels of threat should be. Delegates heard that inefficient and inconsistent security in Europe is a particular threat to regionals because of the extra time required for screening of crews and passengers, which can lengthen crew duty days. It also encourages time restricted business travellers to seek other forms of transport.
The events of last month resulted in ”a major distortion to our operation,” said Iberia chairman Fernando Conte Garcia, a guest speaker, noting the extra security has since been a big inconvenience to Iberia”s ”highest value passengers ” business class connecting passengers.” Many airports simply do not have enough equipment to handle the current security requirements. What passengers need is a ”one stop security in Europe,” he said. Mike Ambrose highlighted, however, that the problems at major airports did present opportunities at regional airports. While their passenger numbers are lower, facilities are not so stretched and the processing is easier and faster.
ERA Award Winners
Eastern Airways picked up ERA”s Gold Airline of the Year award this year, having twice won the Silver accolade in recent years. The above photograph, from left to right, shows Eastern's chairman Bryan Huxford, managing director Richard Lake, and chief operating officer Chris Holliday. Aegean Airlines of Greece took Silver and Blue 1 of Finland took Bronze. Aer Arann took the coveted Palme d””r Award for sustained excellence, while Mauricio Botelho (pictured below), who is stepping down as Embraer”s president and CEO, collected the Director”s General Award ” for ”changing the world”s perception of skills in his country”s industry.” Innsbruck Airport was named Airport of the Year and David Learmount from Flight International won the Hank McGonagle Journalist of the Year Award.
