Galf launched at ATM in Dubai

Sheikh Ahmed bin Saeed opened the 1st Global Airport Leaders' Forum (Galf) at the Dubai International Convention and Exhibition Centre with a call to the aviation industry to leverage new technologies to enhance customer experience.

The two-day forum is part of the 13th Airport Show which runs until May 8 with the participation of over 220 exhibitors from 35 countries.

In his keynote address, Sheikh Ahmed said that the coming together of great minds often gives birth to wonderful ideas and valuable solutions that benefit one and all.

"It's no coincidence that the UAE's bid to host the Expo 2020 in Dubai is based on the theme "Connecting minds, Creating the future". I am hopeful your participation will lead to far-reaching, positive changes in the airport industry worldwide," he said.

Referring to a study conducted by Oxford Economics in 2011, Sheikh Ahmed said that aviation industry supports over 250,000 jobs and contributes over $22 billion to Dubai's economy, representing around 19 per cent of total employment and 28 per cent of the emirate's GDP.

"This is the basis of our continued investment in airport infrastructure. Currently we have committed $8 billion for the ongoing expansion of Dubai International. We are confident that investment will pay huge dividends. In fact by 2020 aviation's contributions to our economy will grow to $44.5 billion and 372,900 jobs.

"We must leverage new technologies to enhance the customer experience. And we must find ways to tap into renewable sources of energy to limit our carbon footprint. All of this will contribute to a profitable and sustainable industry," he added.

Sheikh Ahmed said: "Airport leaders therefore play a pivotal role. Airlines want timely, cost effective infrastructure that supports their growth and profitability. Passengers want and expect a seamless and pleasant experience. Our communities want us to connect them to the rest of the world. Going forward, we have an opportunity to deliver even more.

"We must cooperate more closely with stakeholders across the value chain - customs, immigration, ground handlers, airlines and ANSPs to ensure our airspace is opened up to meet growing demand. Airports, and the people who run them, are vital links in this chain. I urge you to take advantage of this conference to exchange ideas and develop new solutions to age-old challenges," he added.

Sheikh Ahmed said: "Dubai itself is growing in leaps and bounds, and the world is waiting in eager anticipation to see what it will do next, and what has been achieved so far. We are delighted to see so many people here now, facilitating and enabling each other to come up with innovative solutions to the challenges facing the aviation industry."

In a presentation on Abu Dhabi International Airport expansion and transformation, Mohammed Al Balooki, Chief Commercial Officer, Abu Dhabi Airports Company (Adac), said Abu Dhabi International Airport recorded 12 per cent CAGR during the 2000-2012 period. He said growth in demand requires additional capacity which will reach 43 million annually by 2030.

 Referring to the Midfield Terminal Building (MTB) project, he said the facility will be spread over 700,000 square metres and will have the capacity of 27 million passengers with a peak hour capacity of 8237 passengers. There will be 156 conventional and 42 self service check-in desks, 65 contact gates and 19000 bags per hour baggage handling capacity. The passenger lounges will take up a space of 18000 square metres while the retail space size will be 27500 square metres.

He said Etihad Airways will have a fleet of 158 aircrafts, majority being wide body, by the year 2020, up from 50 in 2010.

A panel discussion on how airports can pave the path for economic growth in a country featured Dr. Waleed Youssef, Director, Middle East Region at TAV Airports, Turkey, PS Nair, CEO - corporate at India's GMR Airports, Inderjit Singh, former airport director (chief executive) IGIA, New Delhi and ICAO consultant, Rajeev Jain, CEO, Mumbai International Airport and Frantz Buch Knudsen, Project Director, Ramboll.

Inderjit Singh said: "Trade and commerce, travel and tourism are the triggering factors of the economic growth of any nation. Logistics is the new buzzword in the world economy for the 21st century and it is fast becoming a driving force for development, particularly in the emerging economies." He stressed that the economic rate of return on investment is highest from aviation, ranging globally from 16 per cent-59 per cent. Yet, at the same time, the industry faces challenges, he pointed out, citing the example of Heathrow's Airport, which closed down its third terminal when faced with environmental concerns.

Nair shared his own experience of dealing with challenges faced in Delhi, India. According to him, one of the major set-backs is the high sales tax on fuel - 25 per cent.

He said he was currently trying to get the government to subsidise these charges and has even commissioned a study to get findings that can reveal the economic impact that Delhi Airport has on the economy of the country as well as the city itself.

Another Indian example was presented by Rajeev Jain, who pointed out that one of the key challenges the Mumbai Airport faces was expanding and upgrading its services in a limited space since they don't have the land to expand outwards.

The panelists spent a lot of time discussing what makes a hub city - the geography or strategic planning with most agreeing that it was usually a mix of both. They also pointed out that it was usually a comprehensive government strategy to market an airport as a hub since it involves different so many different parties - the airport developer but also the airlines and the commercial sector.

For many, including Singh, an additional requirement was that the country has a strong national carrier and he cited the example of the Middle East where cities like Dubai and Abu Dhabi have become a hub with the support of airlines like Emirates and Etihad.

Other issues the panelists discussed touched upon included what can be done to ensure projects attract investment.

Rajeev Jain pointed out that there's a need for a long-term "clarity on government policy on open-sky agreements, tariff rates, whether there's potential for making a hub." The discussion led way to another debate on whether it is financially advisable to invest huge amounts of money, such as in the case of Turkey's Istanbul Airport where a Turkish firm has won a 22 billion euro tender.

Dr. Youssef argued that this was a "strategic mistake" and can actually do more harm to the country's economy because at the end of the day, it is the airlines and the consumers that will have to cover the cost.

Knudsen, who is working on a consultation project for the airport in the UK, said that his company is currently looking on re-location for the airport and a huge project. "It will provide substantial capacity increase and more capacity in the airspace. One of the key challenges is to estimate the future world hub market," he said.

Galf will act as an industry think-tank to generate solutions, drive improvement and innovation to overcome any kind of potential business growth challenges you might face for continued airport expansion and passenger satisfaction. Over 35 airport industry experts and thought-leaders from various parts of the world are scheduled to address the forum on a variety of topics of interest to the industry.

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