ZIMBABWE: African Airlines Association Meeting In November, Host Zimbabwe

Air Zimbabwe’s turnaround strategy is set to receive a major boost this year after the national airline won the right to host the 48th African Airlines Association (AFRAA) annual general assembly (AGA) in Victoria Falls later this year.

The event, which will take place from November 20 to November 22, is expected to attract 400 high profile delegates from Africa, Europe, the Middle East, Asia and North America.

AFRAA secretary-general Dr Elijah Chingosho, who was in the country on an advance visit and also witnessed the unveiling of the logo for the general assembly, yesterday said the general assembly was a unique opportunity for Air Zimbabwe to spread its wings as it is expected to play a major role in bringing delegates to the general assembly and taking them back to their countries.

“As the host airline, Air Zimbabwe is expected to play a pivotal role in the transportation of delegates to and from the country.

“The hosting of this event in Zimbabwe and the Victoria Falls in particular also presents an excellent opportunity to strengthen aviation in the country and the tourism sector because we are encouraging all the delegates to travel with their spouses so that they can sample what Zimbabwe has to offer.

“This is also a chance to show the visitors the business opportunities that exist in the country and to state clearly that Zimbabwe is open for business,” he said.

AFRAA president and Air Zimbabwe’s acting chief executive Mr Edmund Makona said Air Zimbabwe was geared for the challenge.

“The secretary general said the purpose of hosting the general assembly in a specific country and being hosted by a specific airline is meant to maximise benefits for that airline. As Air Zimbabwe we have taken note of that. Within Air Zimbabwe we have also said it cannot be a strategy without the attendant issue of growth and sustainability. So growth and sustainability are at the heart of what we are doing.

“So we really are geared to grow that route network. I do not want to pre-empt other than just to confess that it cannot be an airline without the attendant issues of growth otherwise there is no need for the management at Air Zimbabwe to preside over a still birth airline.

“We will be the host airline and carrier of choice during the general assembly and we cannot do that if we have not spread our wings. We want to assure you that by the time the AGA takes place we would have spread our wings beyond the thin route network that we are currently operating. We have started some initiatives but we would want to under promise and over perform,” he said.

Transport and Infrastructural Development Minister Dr Joram Gumbo said hosting the AFRAA general assembly will be the best opportunity to look for partners to boost our Air Zimbabwe.

“We are busy talking to several airlines who want to partner with us to revitalise Air Zimbabwe so that we can come up with one because the shopping list of partners is long since many companies are approaching us from the Middle East, China and from Europe.

“We are expecting that in the next three to four years Air Zimbabwe will be back as a leading airline in the continent,” he said.

He added that the ministry is looking at bigger airplanes and small to complement the airline’s fleet so that it can resuscitate its old routes.

“I am looking at possibly engaging with partners before the end of the year and it’s a process, when you bring somebody to partner in such an industry which a number of countries are struggling to boost.

“We are we are aiming at bringing in new airlines and experts to revitalise Air Zimbabwe,” he said.

Meanwhile the general assembly would see delegates discussing issues on the development of air transport in Africa and development opportunities for African airlines in particular. AFRAA has a membership of 35 airlines that include all major intercontinental African operators.

The members also represent over 85 percent of total international traffic carried by African airlines. This is the third time that the annual general assembly is being held in the country.

KENYA: AFRAA Executive Committee Meets In Nairobi

The Executive Committee of the African Airlines Association (AFRAA) held its 167th meeting on 27 July 2015. The meeting was hosted by Kenya Airways at its headquarters in Nairobi - Kenya under the Chairmanship of Mr. Mbuvi Ngunze, CEO of Kenya Airways. The meeting discussed a wide range of issues some of which have been highlighted below:

The Executive Committee reviewed the Statements of Accounts and Auditors Report for the year ended 31 December 2014 and approved their submission to the 47th Annual General Assembly. They appointed Messrs. Ernst & Young as the external auditors for 2015 and endorsed the proposed budget for submission to the 47th AGA.

On the subject of establishment of a single African sky, the Committee received a presentation by IATA Senior Economist, Mr. James Wiltshire on the experiences from other regions on the implementation of liberalization and its impacts. This comes at a time when the thrust for the opening up of African skies has gained momentum with 11 African States having declared their solemn commitment to the immediate implementation of the Yamoussoukro Decision towards the establishment of a single African Air Transport market by 2017.

With regards to the development of AFRAA land, the meeting received the report on the Project’s concept, financials and funding proposals and authorized the Secretariat to proceed with its implementation under the guidance and support of a Task Force composed of AFRAA member airlines.

The Executive Committee took stock of the performance of the Secretariat’s joint projects and activities in the first half of the year and commended the progress made. The meeting also noted with appreciation the progress on the preparations for the 47th AFRAA Annual General Assembly scheduled to take place from 8-10 November 2015 at the kind invitation of ECAir.

New members and partners

The Executive Committee noted the approval of Cronos Airlines membership and approved the membership for Mauritania Airlines International. AFRAA welcomes the new members to its fraternity.

The membership programme is open to all airlines registered and headquartered in African States. AFRAA members represent over 85% of total international traffic carried by all African airlines.

The meeting received and approved the partnership applications for L’Académie Tuniso–Française de Formation en Sûreté de l’Aviation Civile (AFSAC) as a Full Partner and Manyatta Engineering Services Ltd as an Associate Partner.

Tour of Kenya Airways facilities

Following the conclusion of the meeting the Executive Committee made a tour of Kenya Airways’ world class facilities at Kenya Airways Technical and Kenya Airways Pride Center.

KENYA: The Finance Oversight Committee Holds Its 4th Meeting

On 06 July 2015, the AFRAA Finance Oversight Committee (FOC) held its 4th meeting at the AFRAA Headquarters in Nairobi under the Chairmanship of Mr. Alex Mbugua, Kenya Airways Finance Director. During the meeting, the committee among others; reviewed and endorsed the financial statements and auditors reports for the year 2014 undertaken by Messrs. Ernst & Young and recommended their submission to the Executive Committee for onward presentation to the 47th Annual General Assembly. The FOC also reviewed and endorsed the new membership subscription and the budget for 2016.

On the proposed development of the vacant AFRAA land at the headquarters, the Committee received the report on the work done by the Technical team who had selected an architect through a competitive process. Following the review of the proposed project concept and receipt of presentations from the shortlisted financial institutions to fund the project, the FOC tasked a sub-committee made up of member airlines to provide technical support and expertise to the implementation of the project.

The Committee received with appreciation an update on the Secretariat’s work under its current joint projects and initiatives namely: Fuel Purchase, Ground Handling, Route Network Coordination, training and lobbying for the reduction of taxes and charges. The Secretariat was tasked to explore more areas of mutual benefit for airlines noting that such projects and initiatives have seen significant value addition to airlines.

SOUTH AFRICA: AFRAA Stages Its 4th Stakeholders Convention

The African Airlines Association (AFRAA) successfully staged its 4th Aviation Stakeholders Convention at the Emperors Palace in Johannesburg – South Africa. The event had over 350 registered delegates from 40 countries consisting of airlines, suppliers, solution providers, airports, Civil Aviation Authorities and ATNSs. The Convention, which was held under the theme, “Building and Sustaining Strong Partnerships” deliberated on issues covering the aviation industry in Africa with a focus on intra-Africa connectivity, partnerships, cost control, demand expectations, technology and use of mobile applications in aviation.

The Convention was held under the patronage of the Department of Transport of the Republic of South Africa and was co-hosted by South African Airways. The conference provided a platform for users and suppliers of aviation products, solutions and services to showcase new developments and innovations, discuss industry trends, network and forge beneficial partnerships. From the excellent opportunities for networking, high quality presentations and debates from different experts on a wide variety of subjects relevant to the growing needs of the aviation industry on the continent, delegates had a valuable experience at this year’s Convention.

Opening Ceremony speeches

• Welcome and opening remarks by Dr. Elijah Chingosho, AFRAA Secretary General

• Remarks by Mr. Barry Kashambo, Regional Director – ICAO Eastern and Southern African (ESAF) Office

• Remarks by Ms. Poppy Khoza, Director , Civil Aviation - South Africa Civil Aviation Authority

• Remarks by Mr. Nico Bezuidenhout, Ag. CEO – South African Airways

• Remarks by Mr. Raphael Kuuchi, Vice President, Africa - IATA

• Remarks by Mr. Samuel M. Gaiya, AFCAC Legal Advisor on behalf of AFCAC Secretary General, Ms. Iyabo Sosina

• Speech on behalf of Hon. Dipuo Peters, Minister of Transport of South Africa

Presentations

• Mitigating risk and complexity for African Airlines, Mr. Saggar - Hahnair

• Assessing the key drivers of African aviation industry growth, Mr. Kuuchi - IATA

• Are stakeholders meeting the Abuja safety targets, What next, Mr. Kashambo - ICAO

• Financing airline and airport growth projects, Ms. Musamirapamwe - Barclays

• Aircraft Tracking - Management by exception, Mr. McCormack- SITA

• Fare Management Implementation by ATPCO

• HGS and Vision Systems by Rockwell Collins

Masterclasses

As part of the Convention, there were master classes where cutting edge ideas, industry best practices, new opportunities and practical solutions were presented and discussed. The following master classes were conducted:

1. Fare Management for airlines by ATPCO

2. Head Up Guidance Technologies enabling more efficient airline operations by Rockwell Collins

One-to-one meetings

The 2015 programme incorporated a session for one-to-one meetings where exclusive appointments took place with airlines, selected airports and CAAs, AFRAA and IATA.

Awards

The Aviation Stakeholders awards took place on 29 April during a colourful gala dinner. There were two award categories at the 2015 event: the Distinguished Service Award and the Service Provider of the year Award. The Distinguished Service Award was presented to Mr. Terence Naicker - GM: Contracts, Purchasing & Maintenance at TAAG Angola Airlines and Mr. Mustwafa Murad - Manager Strategic Purchases at Astral Aviation for their remarkable contribution, dedication and technical support to AFRAA joint projects. ATNS was received the Service Provider of the Year Award for excellence in the provision of safe, efficient & innovative Air Traffic Management solutions and services to the African continent.

The awards recognize the excellence in service delivery, innovation and competitiveness in best services providers to the African aviation industry.

Sponsorship and Exhibition

In addition to the presentations, panel discussions and masterclasses, the event provided excellent opportunity for brand visibility through sponsorship and an outstanding products exhibition and business opportunity for industry partners and suppliers of equipment, components, solutions and services. There were 13 proud event sponsors including: Atlantic FuelEx, ATNS, Barclays Africa, Cronos Air, Engen, GE Aviation, Hahnair, Interair, Kenya Civil Aviation Authority, Kintetsu World Express South Africa (Pty) Ltd, SITA, South Africa Civil Aviation Authority and UAS International Trip Support

29 suppliers and/or service providers benefited from the outstanding visibility, networking and direct sales opportunities by displaying their products and interacting with delegates at the conference. The exhibitors included: African Aerospace, APG Network, ATNS, AVIANET, Barclays Africa Group Limited, Cronos Airlines, Ethiopian MRO & Aviation Academy, FLYHT, GE Aviation, HADID International Services FZE, Interair, Kenya Airways MRO & Pride Center, East African School of Aviation, Lufthansa Systems, MTU Maintenance, Rockwell Collins, Sabre Airline Solutions, SITA, South African Civil Aviation Authority, South African Airways, SA Express Airways, Skywise Airline, Swahili Aviation Aerospace (USA) LLC, TCR, Travelport International Ltd, Tunisair Technics, UAS International Trip Support, Wirecard and World Meteorological Organisation.

Venue and date for the 2016 Aviation Convention: The Secretariat takes this opportunity to express its appreciation to all delegates who participated at the event and looks forward to host you at next year’s Convention. The 5th Convention is scheduled to take place from 08-10 May 2016 in Kigali – Rwanda and will be co-hosted by RwandAir.

CONGO: ECAir CEO, Fatima Beyina-Moussa, Pushes For Open Skies, Calls For Healthy Competition, Strategic Collaboration

ECAir or Equatorial Congo Airlines is the national carrier of the Republic of Congo. It was set up in 2011 with its hub in Brazzaville. Fatima Beyina-Moussa, chief executive of ECAir, is mandated with the task of developing its hub by opening further regional destinations. Beyina-Moussa, an economist by profession, was an adviser to the country finance minister and one of the key matters she was assigned was to set up a national airline.

Subsequent to her project report, she was appointed the first CEO of the airline when it was created in 2011. She is also the current president of African Airline Association (AFRAA) and ECAir will host the 47th Annual General Assembly of AFRAA in November this year in Brazzaville. Beyina-Moussa talks to Reji John about open skies and the urgency of healthy competition and strategic collaboration.

As a host airline for the 47th AFRAA annual general assembly and ready to welcome delegates, what are your thoughts on the African aviation industry and what are your expectation from the AGA this year?

I am very optimistic about the future of the African aviation industry. In 2010, the aviation industry in Africa supported about seven million jobs (including 257,000 direct jobs) through the impact on travel and tourism which translated into $67.8 billion of the continent's GDP. Forecasts indicate that the aviation industry's impact on African economies is set to grow. Over the next 20 years, implied job creation by the industry is projected at 879,000.

From the AGA, we are looking forward to giving people a taste of central Africa, while discussing the challenges faced by our industry and particularly the open skies subject. We really expect the exchanges to be rich and fruitful during the AGA and that ideas can be turned into action plans for implementation.

AFRAA was set up in 1968 with a mission to be the leader and catalyst for the growth of a globally competitive and integrated African airline industry. As an airline chief executive what is your current assessment of this mission statement?

I have been to several AFRAA meetings over the years and I perceive that we are now moving from projects theory to projects implementation. AFRAA is a true leader and catalyst for growth of a globally competitive and integrated African airline industry. For example, we are actively working at setting up a joint African airlines fuel purchase project allowing us to reduce costs. We are also setting up an African route coordination project to optimise airline schedules in the interest of our passengers.

Apart from the big efforts the Secretary General of AFRAA and his team put at the service of African aviation on a daily basis, I have also modestly tried to lobby for our industry during this year of presidency of AFRAA. During 2015, I have travelled internationally, met and discussed with stakeholders of the aviation industry such as Tony Tyler, CEO of the International Air Transport Association (IATA). I also met and discussed African airlines challenges with Nkosazana Dlamini-Zuma, chairperson of the African Union.

In your welcome message to AFRAA delegates, you say the times are both "challenging and exciting". What, according to you, are the biggest challenges for the African aviation industry to make it a world leader?

Challenging and exciting are the two key words when we talk about the African aviation sector. IATA has predicted annual growth of 7.2 percent between 2013 and 2017. These projections show optimism over the airline's future. Certainly the size of the market and its spending capacity is a present challenge. The implementation of the open skies policy is also a challenge and at the same time an opportunity for the airlines of the continent to expand in a profitable way.

Brazzaville hosting the 47th AFRAA assembly in November 2015, will have the chance to present the progresses in the area of civil aviation and there seems little reasons to doubt that the country's aviation sector will continue to blossom. Open skies, our biggest challenge, will be the subject of the 47th AGA of Afraa, "Open skies: Growth through competition and collaboration," that I will have the honour to chair as the current Afraa president.

What is your realistic outlook for 2017 by when the African aviation industry has another chance to unlock its value with the liberalisation of skies expected through the implementation of the Yamoussoukro Decision towards the establishment of a single African Air Transport market?

I really think that the commitment of these 11 states will encourage their peers to do the same. The chairperson of the African Union Commission has told us that she will continue pushing for more African governments to commit to the liberalisation of the African skies. She has asked that airlines and AFRAA also play their part in lobbying countries that are not committed yet. I remain optimistic. African airlines initially underestimated the importance of the Yamoussoukro Decision, but are now becoming more committed to it. They are still facing additional challenges like high fuel and services costs, inadequate infrastructure, lack of human resources and competition from non-African airlines.

How important is partnerships and collaboration to realise the dream of making the African aviation industry globally competitive and sustainable?

During my presidency, I have lobbied with stakeholders of the aviation industry about setting up a great cooperation in order to ease travel in Africa. I have, for example, discussed with Nkosazana Dlamini-Zuma, chairperson of the African Union. I have asked her to help us with the african governments in the areas of liberalisation, high airport charges, poor infrastructure. Aviation enjoys a natural advantage as a means of connecting cities, where most of Africa suffers from poor or non-existent ground transport infrastructure.

Africa must seize the opportunity to develop its own aviation industry and boost regional integration. That is the ultimate goal of everything we are doing now, to make it as easy to travel in Africa as it is in other parts of the world. That's not the case yet, but we are getting there and I feel AFRAA is really implementing projects to bring us together. Words are good, but actions are even better and we can see some action now. ECAir is intensely pursuing partnerships with established African carriers, through the development of code share and interline agreements.

For our company, the key world to succeed in the aviation industry in Africa is "cooperation", and real efforts are dedicated to leverage those partnerships. We understand that we can only be successful by doing so, considering the small size of our fleet, the limited market and the high operating costs in the region.

As an airline operator how do you plan to grow ECAir in terms of additional capacity and new destinations?
So far, ECAir has carried over a million of passengers. Our airline launched its first international direct flights to Paris at the end of 2012. A very challenging operation, being the first time for a Congolese Airline.

In early 2014, ECAir took the challenge of becoming the only central African country to launch a direct route to Dubai (Brazzaville-Dubai), thus linking the Republic of Congo to the Middle East for the first time. Similarly, the new direct route Brazzaville-Beirut which opened this summer with two frequencies a week, follows the same approach and development path as the route to Dubai.

In addition to the existing routes [Pointe-Noire, Ollombo, Kinshasa, Cotonou, Douala, Libreville, Dakar, Bamako, Paris, Dubaï, Beyrouth, Bruxelles], ECAir is endeavoring to open Abidjan, Yaoundé, Bangui, Ndjamena and Ouesso in the coming months. These new routes are the fulfillment of our efforts to connect the African economic capitals with each other and with the rest of the world.

Those ambitions are a direct emanation of the vision of the President of the Republic, His Excellency Denis Sassou-Nguesso, materialized through significant investments in the construction and modernization of the country's airports infrastructure and a relentless support from his government.

Give us an update of your fleet size and how do you plan to increase your fleet?

Now, at the end of 2015, we are up to seven aircrafts. We now have a 767-300, two 757-200s, two 737-700s and two 737-300s. That is the size of our fleet. Today, ECAir operates 136 weekly flights. We hope to increase our fleet in the coming months.