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GCC needs to step up cooperation to free up business aviation
Monday, February 05, 2007
Civil aviation authorities in the GCC need to co-operate more to free up the region`s growing business aviation sector, according to His Highness Sheikh Ahmed bin Saeed Al Maktoum, President, Department of Civil Aviation, Government of Dubai and Chairman of the Emirates Group.

Sheikh Ahmed made the call as he delivered the keynote address at the (MEBA) conference ran at Airport Expo Dubai.

He told delegates: Middle East business aviation growth has been fuelled by economic success – but as much as being a product of success, business aviation could be a further economic driver. That is, of course, if we give it a helping hand. For the sector to further develop, particularly within the GCC, there needs to be greater co-operation among civil aviation authorities towards open skies policies, which will free up the market, increase competition, generate new opportunities – and deliver greater economic success.

Sheikh Ahmed told the conference that the commercial proposition for business aviation in the Middle East has become more compelling as the region makes it mark on the world stage for tourism, international events and global commerce.

At the last MEBA in 2005, the region`s business aviation fleet numbered 250 – it now stands at over 300. In addition, research carried out by the Middle East Business Aviation Association (MEBAA) states that the region`s charter airline business will double over the next five years and account for 40% of the total aviation market in the region, he added.

Against this background, we have to take into account international trends towards the emergence of heli-taxis and the advent of the very light jet – developments aimed at providing convenient and efficient transportation – aviation on demand. These developments will be enthusiastically taken up in this region.

However Sheikh Ahmed warned that regional business aviation growth also brought with it renewed responsibilities for aviation infrastructure suppliers and civil aviation authorities. The entire region should take up this challenge. We have to ensure that the industry has the infrastructure it needs to go forward.

His Highness said Dubai was leading the way in providing world-class facilities for business aviation with a dedicated Executive Jet Centre at Dubai World Central, the urban community taking shape in Jebel Ali some 30 kilometres from Dubai city centre.

Sheikh Ahmed unveiled a model of the centre, which has a design handling capacity of more than 100,000 aircraft movements a year, at the adjoining MEBA exhibition.

Sheikh Ahmed went on to say that regionwide expansion of business aviation will produce both challenges and opportunities for scheduled carriers.

In meeting the challenge, scheduled carriers will have to excel in premium products, in attractive flight timings, improved flight dispatch, enhanced loyalty programmes and wider route networks. In seizing the opportunities, scheduled carriers will have to view business aviation now as competition, but complementary, with ample scope for product development between the two – as in Europe. Business aviation most links destinations that scheduled carriers cannot serve – it is mostly a short haul business with only nine per cent of flights being 2,000 kilometres or more. There is demand, as the West has shown, for commercial and business operators to work together.

The complementary/competitive scenario will create greater opportunities across the aviation segment. We will see the emergence of more business aviation products. Existing operators will launch new services, merge with business aviation suppliers and joint ventures will be the order of the day, he concluded.
Michael Verikios - Monday, February 05, 2007
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