Aviation -it's in our DNA -Safety and growth the double helix.
This week we have hosted divisional meetings for NZAAA, NZHA and flight training as well as attended the Governance Board meeting. The Governance Board click here
are the governors and managers of AIA. They set the strategic policy and direction and provide assurance that the organisation i.e. the office is operating correctly. Members have an additional conduit to ensure the "office" is performing appropriately and this is via the Advisory Council chaired by Dale Webb, your President. This is the way we have operated since August 2011 when members voted in support of this constitutional arrangement. As with all changes there is a time to review and this has been a part of the focus of work for the President and members of the Council and Board. At this year's AGM, there will be some minor adjustments to consider. The objective being to strengthen our capacity to deliver "One Industry One Voice". The AGM is a time to have your say so mark 11.30am Friday 21 June, Dunedin in the diary.
Divisional AGM's will be held earlier in the week with a number of roles up for re-election (click here
) for ballot papers.
- everyone agrees that CAA charges must be reduced. The question is to what level? The "boots" has always had a vision that the cost should be no more than the equivalent cost in Australia i.e. around $100 Kiwi. The question is whether this is obtainable under the present system? The answer is quite clearly no. It currently costs $2m plus to issue 7000 medical certificates annually so we have a major problem with the underlying overhead costs for that volume. Increasing the volume is not really an option as this is not inherently what most of you want. The problem has to looked at from an overheads basis. Computerising the present system delivers around a 20% cost reduction but we must look at the next 80% to get to our target of $100. Now the boots doesn't have all the answers but we are fairly confident that it’s a bit more than a tweak. One option is to make those pilots who cost the system more, to pay more i.e. user pays. Another is to reduce the amount of work done in CAA and a third, is to devolve the system completely. We'd be interested in your views because we want a solution sooner rather than in three or four years time when the next review of price occurs.
- the sector review of Ag aviation is progressing well. We've had some intensive briefings this week, with the key themes to be discussed in detail at conference. What is interesting about the approach is that it’s very data driven and highly engaged with industry. It gives Industry a much higher level of participation and engagement identifying the real risks and sustainable solution. While the exercise is some way off identifying accountabilities the point is that these will be assigned and there will be regular review and monitoring. Risk profiling is another tool in the safety tool kit but it does appear to add materially to the idea that rule making is not the primary or only solution.
Strategic supply of pilots
- we have the latest CAA data which is indicating an upswing in completions of basic training. However, our leading edge data from ASPEQ in terms of how many are entering i.e. sitting exams, shows a reduction of around 25%. Our last meeting with MoE indicated they wanted an industry wide demographic study be conducted prior to any possible reconsideration of policy settings. We will be discussing this point further with officials in just over a weeks time, as it’s particularly difficult extracting this data. What we do know is the demand globally (and we see no reason why New Zealand should be exempt) is increasing and supply reducing. Under this scenario shortages are inevitable.
Building Sustainable businesses - this week we had a meeting with the Green Party and briefed them on strategies to build future sustainable businesses. It was particularly interesting to hear their views about helicopters and it’s not all about noise. They very clearly understand the role helicopters play in conservation, saving lives and non intrusive tourism, however what is objectionable and impossible to defend is heli-hunting involving destruction of native resources or aircraft operating over protected wilderness areas. It’s very hard for anyone to sanction such behaviour. So the message is it’s not the equipment it is the behaviour that is objectionable.
Parts 141 and 147 back on the agenda. The Flight Training Division at its meeting during the week, with Ministry of Transport present, reaffirmed the importance of a quality regulatory regime but also a regime that supported business growth. To progress new Rules, it is clear that a thorough economic analysis of the benefits of securing a full Pt 141 and 147 will need to be done. We also need to make sure that whatever we do, doesn't compromise our ability to compete internationally. So, anyone who wasn't at the meeting, is keen to see movement in the Rules, and wants to be involved in the analytical work, should let us know.
More contributions required for TEC/MOE EFTs work. As many of you will know, we're making progress with the factual case we need to present to TEC and MOE to get changes in the EFTs area. Unless we can turn around the reducing numbers of New Zealanders getting involved in pilot training, we're compromising the future growth potential of the industry; and especially, given forecasted global shortages, the ability to train more international students. A questionnaire will soon go to the flight trainers. We need full and quick responses to it.
New Zealand has real capability in airport developments. We're now well advanced with a stock-take of New Zealand capability in planning, developing, building, fitting out and running an airport. This work is being led for us by Sir Ken Stevens (Glidepath Group), Ray Reesby (UFL Group) and Bill Andrew (AECOM). These companies aren't traditional AIA members but it shows some of the work being done under the growth agenda and 'One Industry'. We're looking for these and other companies to belong to us and so drive more value into the Supplies and Services Division. We will be demonstrating more of this capability in Indonesia in a couple of weeks.
Indonesian Mission looking good. We have 15 companies and the Ministry of Transport taking part in a programme being organised by the New Zealand Embassy and NZTE. A real NZ Inc approach. Activities include participating in a major New Zealand Business Forum (which has an aviation theme), several workshops with Indonesian companies and group meetings with the airlines and airports. There is a good buzz about this mission. We're optimistic that a number of doors will be opened. Participants come from the strategic advisory, engineering, training and airports sectors.
America's Cup Update. Last week, we gave details of the aviation programme being run on 22 to 24 July in San Francisco. We now know that the programme 'coincides nicely' with race days for Emirates Team New Zealand. So, if you are wanting to host existing and potential customers, and/or meet some of the companies that will be invited so that you can develop business possibilities, register interest with us now. Companies that might be participating in the New Zealand events include Bell, Boeing, CAE, Pratt and Whitney and Rolls Royce. You can invite others!
Aviation is in our DNA
Travel Careers & Training has classrooms available for lease at the AKL Airport (opposite the IBIS – 10 minute walk to Domestic Terminal). Available on a causal or long-term basis. Also available in AKL CBD. Contact Guy Domett on 07 853-0294