Reducing Emissions through Reducing Emissions through Operational EfficiencyOperational EfficiencyReducing Emissions through Reducing Emissions through Operational EfficiencyOperational Efficiency

Capt. Russell DavieCapt. Russell Davie

Cathay Pacific AirwaysCathay Pacific Airways

Current Practices IncludeCurrent Practices Include

...

• Monitoring fuel used on a sector by sector basis.

• Monitoring individual aircraft performance.

• Minimize additional fuel uplift by crews, through a robust and transparent fuel policy.

• Ensuring aircraft and engines and airframes are maintained to the highest possible standard.

Why the focus on Operational Efficiency?Why the focus on Operational Efficiency?

• Fuel is a significant part of the airlines budget, nominally around 35%

• Fuel savings directly affect the profit margin in a marginal profit industry.

•Importantly in today’s environmentally aware world, the Environmental Impact of flight operations is reduced.

Environmental impactEnvironmental impact

• Environmental impact of flight operations, particularly CO2 emissions, is directly proportional to the fuel used.

• Any fuel saved, directly reduces the impact of flight operations on the environment.

• Primarily cost saving measure, as fuel represents a very significant proportion of any airline budget .

ATC RestrictionsATC Restrictions

•Limited and restricted by political boundaries

•Military ownership of significant airspace, which is often little used.

•Many ATC Route structures still based on 1960s technologies

Weather factorsWeather factors

Preferred route - 20 May 07

Distance (nm)

Flight time

6897

14:13

Preferred route - 03 Nov 07

Distance (nm)

Flight time

7069

14:50

Great Circle Distance between LAX & HKG - 6300nm

2700

nm

Fuel TankeringFuel Tankering

• Airlines tanker fuel due high differentials in fuel price across their networks. There is a significant cost involved in adoption of a “No Tankering” policy, equating to millions of US$/year for a major carrier.

• The cost of tankering in environmental grounds is between 3.2 - 4.5% for every hour of flight.

Reasons Behind Fuel PriceReasons Behind Fuel PriceDifferentialsDifferentials

• Cartel. Market share is divided between suppliers and therefore price controlled.

• Import pricing parity. Government will charge you a premium to make the cost of your import the same as the locally supplied product.

• Government controlled monopolies.

THE FUTURETHE FUTURE

• Advanced ATC systems should permit more efficient routes and more optimal flight levels to be flown by a higher percentage of aircraft than today.

• New Generation Aircraft and Engines will provide an improvement over the next few years.

•Fuel specification has to be compatible with current engines.

• Must be widely available, or, able to admix with current fuel specifications.

• More environmentally friendly.

• Cost should be at least equal to current fuel.

• Availability in the near future unlikely.

Alternate FuelsAlternate Fuels

Barriers to progressBarriers to progress

• New engine technology reduces total fuel used per passenger Km, and therefore CO2, however it has little impact on NOx during the Landing/Take-Off cycle.

• Inefficient ATC systems and procedures, particularly across international borders, is currently the single largest cause of fuel wastage in aviation.

• Investment in new aircraft is extremely capital intensive, not all airlines can afford to invest in a fleet renewal program.

ConclusionsConclusions

• Urgent work required to improve air traffic procedures and route efficiency. This is the area where largest gains can be achieved in a relatively short timeframe.

• Reduce or eliminate reasons for tankering fuel. Reduction or even elimination of local price differentials will create a step improvement in the total fuel used by the industry.

• These issues must be largely Government led initiatives.

ConclusionsConclusions

•Airlines already operate as efficiently as they are able, as this has a direct bearing on costs.

• Alternative fuels, while not available in the near future, they are beginning to develop in a promising manner.

• Airlines investment in new equipment will reduce emissions per passenger Km, but is not the complete solution.

Thank You