Monday, May 16, 2011

AIRPORT - Excellent Management

Ethiopian Airports Enterprise Wins Gold Medal for Business Excellence
By Yonas Abiye


Addis Ababa, May 16, 2011 (Ezega.com) - Ethiopian Airports Enterprise (EAE) won gold medal at the 14th International Transport Award for business excellence named ‘the new millennium award’ in recognition of its airline service, freight logistics, cargo service, international container terminal service, and marine transport service.

The golden award was presented to EAE last week in Paris organized by Trade Leader’s Club that has more than 14,000 members in 124 countries, comprising all the production and services fields.

Headquartered in the Spanish capital of Madrid, the Club was founded in 1978 with the objective of establishing a tie among various companies.

Regarding the award, EAE’s Chef Executive Officer, Shiferaw Alemu, told reporters on Friday that the business excellence award will encourage the enterprise to do more and maintain Bole International Airport as one of the finest and well equipped runways and terminals in Africa.

He also indicated that the enterprise was chosen by the Club as winner of this year’s best airlines award out of several contenders, including from those from Mexico, Turkey, Nigeria, Malaysia and other 18 countries.

According Shiferaw, the club acclaimed the airport as the top-ranking airport in Africa for its consistently and dynamically supporting airlines’ route development through the airport’s wide ranging services.

The CEO also indicated the services rendered by all airports throughout Ethiopia, particularly Bole international airport, is the reason for this award. “The effort being made to make Bole International Airport the traffic hub of East Africa is a crucial factor in this award,” he added.

In addition to Bole International Airport, the Enterprise EAE administers 17 airports across the country, out of which, four of them are international and the rest are domestic. Currently, the enterprise is building its 18th airport in Kombolcha town.

Regarded as one of the largest and fastest growing airlines in Africa, Ethiopian Airlines received more than four awards since 2007 in recognition of its long-haul operations.

The EAE chief told Ezega.com that EAE is undertaking a huge expansion project to upgrade the overall capacity of Bole International Airport at a cost of some 1.2 billion birr. This will enable the airport to accommodate 25 new flights.

Upon completion of the project, the airport will increase its takeoff weight from the existing 19 to 41 aircrafts simultaneously, Sheferaw said.

According to the CEO, the airport will also have a capacity of accommodating heavy planes such as Boeing 747 and ‘triple seven’, in addition to curbing congestion of the ever increasing traffic flow.
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Yonas Abiye is Addis Ababa based reporter for Ezega.com.

Fuel Cost - Hedging

SIA hedges 20% of 2011-12 jet fuel needs

Singapore Airlines chief executive Goh Choon Phong said the carrier was hedged for 20 percent of its jet fuel requirements in the current fiscal 2012 year, reported Dow Jones Newswires.

"For the full year this year we are hedged at roughly 20 percent of our jet fuel requirement, and it's roughly hedged at US$130 per barrel," Goh said.

The airline has hedging flexibility of 20 percent to 60 percent for the full year, he added.

Goh also said the airline is open to merger and acquisition opportunities in Asia if opportunities arise.

Impact of Fuel Price Increase

High fuel costs pushes NOL into the red

Rising fuel costs and soft trade during the Chinese New Year period sent Neptune Orient Lines (NOL) sailing into the red for the first quarter.

The shipping giant posted a net loss of US$10 million for the period to April 8 - a sharp improvement on the US$98 million deficit recorded last year, although it still came after three consecutive profitable quarters, reported Straits Times.

The first-quarter result was also better than the predicted loss of $22.9 million from three analysts polled by Bloomberg.

"In spite of year-over-year volume growth, a softer-than-expected Lunar New Year period and rising fuel costs have interrupted our momentum,'' said NOL president and chief executive Ron Widdows.

NOL has posted net year-on-year quarterly profits since the first quarter last year, fuelled by a strong recovery in trade after the global recession.

In the first three months of this year, revenue grew 16 per cent from a year ago to $2.4 billion.

But costs rose 12 per cent from the first quarter last year to $2.25 billion, mainly stemming from higher volumes and increased bunker charges.

Revenue at APL, NOL's core container line shipping business, grew 15 per cent to $2.1 billion over the same period last year.
Container shipping volume rose nine per cent to 764,000 FEUs, mainly due to higher volumes on the intra-Asia and Asia-Europe trade lanes, although freight rates declined on both trades.
The average revenue per FEU grew three per cent from a year ago to $2,598, mainly due to improved freight rates on the transpacific trade route.

APL president Eng Aik Meng said: "Our emphasis must remain on operating efficiency, as well as slow-steaming our ships to conserve fuel and counteract the effect of rising fuel prices, which were 28 per cent higher per metric tonne in the first quarter of 2011 than they were in 2010.''

The company's logistics business posted a first-quarter revenue of $368 million, up 24 per cent from a year ago, on higher volumes and recovering rates across the various segments of its business.

The shipping industry has faced rising fuel prices and uncertainty over new vessels coming onstream, which could depress freight rates.

Oil prices breached $100 a barrel in March as political unrest swept parts of the Arab world, although they have now inched back down to $98.

NOL said market conditions remain uncertain.

"Increased operating costs - particularly related to fuel cost increases - and competitive pressure on rates are expected to continue for the near term. Should these conditions persist, our results will be negatively impacted.''

FUEL INCREASE & AVIATION

Singapore Airlines Q4 profit slammed by fuel costs

Soaring oil prices pushed Singapore Airlines’ fourth-quarter net profit sharply lower and the carrier warned of uncertainties ahead as the global economic recovery sputters and Japan recovers from the effects of a devastating earthquake.

Net profit for the three months ended March 31 was down 38.5 percent at US$137.94 million compared with $224 million a year earlier. Earnings were significantly lower than the $235.5 million average forecast in a Dow Jones Newswires poll of five analysts.

Group revenue rose eight percent year-on-year to $2.9 billion but was outpaced by an 11 percent rise in expenditure, the airline said, adding fuel costs rose to $1 billion in the fourth quarter this year from $803.82 million in the same quarter a year earlier.

The average price of jet fuel, which accounts for a third of the airline's costs, surged by more than 25 percent between January and April this year to $140 per barrel, the highest level since the last peak at $174 per barrel recorded in July 2008, it said.

"While there has been some respite in the past week, jet fuel prices are likely to remain high and volatile in the near term," the airline said.

For the full fiscal year, the airline reported nearly a five-fold increase in net profit to $879.24 million from $174.24 million in the year that ended March 2010, when the global financial crisis roiled the international aviation industry.

"The twin challenges of near term weakness in load factors and high fuel prices will adversely affect operating performance of airlines. The company remains committed to staying lean and competitive. The company will be vigilant in cost management and closely monitor patterns of demand and adjust capacity accordingly," Singapore Airlines said in the statement.

During the January-March quarter, Singapore Airlines decommissioned one B747-400 aircraft. As at 31 March 2011, its operating fleet comprised 108 passenger aircraft with an average age of six years and three months, the company said in the statement.

In the new fiscal year, the company expects to take delivery of eight Airbus A380-800 aircraft and decommission five Boeing B777s and all seven of its B747-400s, bringing down its operating fleet to 104 aircraft by March 2012.

"The reduction in fleet size will be more than offset by increased utilisation to produce passenger capacity growth of six percent in available seat-kilometres for the 2011-12 financial year," it said.

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Oil costs push Turkish Airlines into red

Turkish Airlines , Turkey's flag carrier, posted a first-quarter net loss of US$209 million, steeper than expected, after it was stung by higher oil prices, reported Reuters.

It had been forecast to post a loss of $164.61 million, according to the consensus forecast in a Reuters poll, and after net profit of $75.86 million in the first quarter of 2010.

Analysts have said the carrier, which is expanding at a rapid pace, is seeing its expenses rise much faster than capacity.

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Thai Airways Q1 profit plunges by 94%

Thai Airways International first-quarter net profit plunged 94 percent from a year earlier, due mainly to a foreign-exchange loss, reported Dow Jones Newswires.

For the three months ended March 31, the national carrier reported a net profit of US$20.4 million, down from $349.67 million a year earlier.

Thai Airways booked a $111.15 million foreign-exchange loss compared with a $118.56 million foreign exchange gain recorded in the first quarter of last year. The carrier recorded a foreign-exchange loss in the quarter because the baht weakened against the euro, which is the main denomination of the firm's foreign debt.

The national carrier's expenses, which rose 7.5 percent year-on-year to $1.58 billion, was also a cause of the sharp decline in its first-quarter net profit, it said.

"The major factor causing a dramatic increase in cost is the rapid rise in average jet fuel price, which was 33.5 percent higher than the first quarter last year," the company said.

It said Japan's recent massive quake also took a toll on the company's earnings.

MARITIME - Ships Design

Harnessing the sun, the wind and the sea with E/S Orcelle
9 May 2011 | By Stuart Nathan

Dream Boat: A concept for a renewably powered cargo vessel could help drive emissions-free shipping.

The Irrawaddy dolphin is a strange-looking beast. Round-headed, snub-nosed and a little smaller than a human, the critically endangered marine mammal lives around the coasts and estuaries of the Bay of Bengal, Brunei and Malaysia, and has an endearing habit of helping fishermen out in exchange for some of their catch. But this odd, rare animal is lending its name to an even stranger-looking, but much larger, sea-goer: a zero-emissions, hydrogen-powered concept for a cargo ship designed by Scandinavian shipping company Wallenius Wilhelmsen Logistics (WWL).

The E/S Orcelle (the French name for the Irrawaddy dolphin) is a bold concept to explore ways to reduce the environmental impact of cargo shipping, cutting or even eliminating carbon emissions while also tackling other factors associated with ships that are regularly loaded and unloaded in different ports throughout their lifetime. Even its designation is a nod towards a green agenda E/S stands for ’environmentally sound’. Although WWL stresses that Orcelle is a concept, and will likely never be built in its entirety, it intends to use the components of its design to improve future forms of cargo shipping. ’While futuristic in its concept, we believe the E/S Orcelle represents the achievable goal of building an environmentally friendly cargo ship,’ said WWL chief executive, Nils Dyvik. ’We are determined to be at the forefront, along with the World Wildlife Fund, to help and protect marine life on the high seas.’


“WWL’s E/S Orcelle requires less energy than a conventional ship to push it through the water”
WWL, which operates from Sweden and Norway, is no small-fry shipping company it is one of Europe’s largest movers of cars from country to country, with clients, including Jaguar Land Rover, transporting some 1.7 million vehicles by sea every year. Therefore, Orcelle is visualised as a large ship. Designed to carry 13,000 tons of cargo on eight decks with a total area of 85,000m2, the ship could transport 10,000 cars 50 per cent more than a conventional car carrier. The design challenge is to do this using only renewable resources, and without any need for ballast water.



Unique: the pentamaran hull has five elements, giving the ship extra stability and removing the need for ballast water when unladen
This is becoming an increasing concern for shipping companies, as ballast is a major source of biological pollution. Conventional ships are designed to be stable when fully laden, so when they are unloaded, ballast tanks need to be filled to ensure the ship sits at the right level in the water. Unloading the ballast water elsewhere in the world introduces any marine organisms that have been sucked into the tanks into a foreign environment, which can lead to trouble for the local ecosystem.

The Orcelle, therefore, combines hull design, propulsion systems, and a variety of energy-harvesting methods to come up with a ship that looks nothing like anything currently in the sea.

For a start, Orcelle is a pentamaran it has five hulls. This is a progression from the WWL design team’s original concept, a streamlined trimaran. Compared with conventional monohull designs, this form provides greater stability, less drag and improved utilisation of energy, the team said.

However, a trimaran isn’t the best shape for a cargo ship because there is limited scope in a three-hull vessel for cargo space. This led to the two outside hulls being shrunk down to outriggers, or sponsons, in the next design stage. Finally, the designers opted to split the sponsons, with two at the bow of the vessel and two at the stern, bracketing a long, slender main hull. The slim sponsons, shaped something like a section of an aircraft wing positioned edge-on pointing downwards into the water, provide extra stability, meaning that the ship will not need ballast water. ’In addition,’ the team said, ’the pentamaran hull design will contribute to the improved utilisation of energy and clean flow of water around the vessel.’

The hulls are made from aluminium and thermoplastic composites, rather than carbon steel, as they are lighter, more fatigue-resistant, easier to shape, more recyclable and require less maintenance. The lighter weight, combined with the hull shape, means that the Orcelle requires less energy than a conventional ship to push it through the water. This low energy requirement is crucial if the ship is to gather all of its motive power from renewable sources. ’We have observed various emerging technologies that enable smaller ships to utilise energy from renewable sources,’ the company said. ’We are keeping a close watch on emerging trends and are hopeful that these solutions may become applicable to larger vessels in the future.’

One source of energy would come as no surprise to any pre-20th century sailor the wind. Orcelle has three rigid sails, each with an area of 1,400m2 and made from composite material, which can be rotated and positioned to catch the wind. Moreover, these sails would each incorporate 800m2 of photovoltaic panels to generate a maximum of 2,500kW of solar electricity; when not used for propulsion, the sails would be folded back against the upper deck of the ship to maximise the amount of solar energy they receive.



Sailing on the Seven Seas: Orcelle’s rigid sails can be positioned to catch maximum wind, and also incorporate large photovoltaic panels
More electricity-generating components are located underneath the ship. Joining the sponsons to the keel of the main hull are 12 horizontal fins, three on each sponson. These are configured to move up and down as the ship moves through the water, with the movement converted into electricity by hydraulic motors.

The solar and wave energy is planned to be stored in the form of hydrogen, obtained by electrolytic splitting of seawater; this, WWL concedes, will require the development of new technologies. The hydrogen would be converted back to electricity in on-board fuel cells with a total output of 10,000kW; these, the design team said, would provide about half of the energy used to actually propel the ship.

As well as the composite sails, Orcelle makes its way through the water using variable-speed electric propulsion systems, known as pods. The vessel would carry two pods, one at either end of the main hull and each incorporating a motor, gearbox and propellor. Pod systems already well established on large ships and produced by companies such as Rolls-Royce, which is providing pods for the Queen Elizabeth-class aircraft carriers currently under construction can turn through 360°, making them an integral part of the ship’s manoeuvring systems. The other components of these two rudders at the stern of the ship are also operated by electrical and hydraulic energy.



Weighty issue: Orcelle is visualised as a large ship designed to transport 10,000 cars
Other energy-consuming systems would be a propulsion system operating through flapping the keel-mounted fins when they are not being moved by waves, along with shipboard utilities such as lighting, ventilation, control, navigation and equipment operation. These will run off the electricity generated by the ship, while other systems, such as the raising and lowering of the stern ramp and adjusting the height of the cargo decks to accommodate different types of vehicles, would use hydraulic power.

Conceptual work began on the Orcelle in 2004, with the ship first presented a year later. Since then, WWL has kept working on the project, bringing in new designers and technologies via ’Orcelle grants’, which now also includes concepts for an emissions-free cargo terminal. It envisages an in-service date for an Orcelle-like ship around 2025.

the data - cargo concept

The E/S Orcelle looks nothing like anything currently in the seaLength: 250m

Height: 40m
Total height with sails erected: 95m
Beam: 50m
Draught: 9m
Design speed (max): 20 knots
Design speed (service): 15 knots

Lightweight: 21,000 tonnes
Maximum deadweight capacity: 13,000 tonnes

Pod propulsion: 2 x 4,000kW
Sails: 3 x 1,400m2
Fins: 12 x 210m2

Eight decks, three with adjustable height



Read more: http://www.theengineer.co.uk/in-depth/analysis/harnessing-the-sun-the-wind-and-the-sea-with-e/s-orcelle/1008538.article#ixzz1MWBDjgCs

Shipping Terms

Over Dimensional Surcharges / Over Dimensional Container

Charges imposed by a carrier when the cargo exceeds the length, width or height of a standard container and when special devices such as slings, shackles, lifting beams etc. are required to load or unload the container. Damaged Containers and Containers requiring special devices for lifting will also incur an over dimensional surcharge.

This applies to cargo shipped on Flats, Open Tops or Platforms. Also called
Out of Gauge (OOG). Synonym: Within Gauge (WIG).

Where, due to the nature of the cargo, it is necessary to use equipment or other services in addition to those normally used for moving containers in the container terminal e.g. cranes or direct loading equipment, these additional costs incurred will be charged to the merchant.

The Malaysian Economy

Malaysian Growth May Quicken, Giving Room for Rate Increase

May 16 (Bloomberg) -- Malaysia's economic growth probably accelerated last quarter amid rising investment and demand for commodities, supporting an Asian expansion that has prompted policy makers to raise interest rates.

Gross domestic product may have increased 4.9 percent in the three months through March from a year earlier, after a 4.8 percent expansion in the previous quarter, according to the median forecast of 20 economists surveyed by Bloomberg News. The central bank is scheduled to release the economic data at 6 p.m. on May 18.

Bank Negara Malaysia has raised borrowing costs four times since the beginning of March 2010 to contain inflation as the Southeast Asian nation recovered from a recession the previous year. The ringgit reached a 13-year high this month as higher interest rates from China to Taiwan boosted Asian currencies even as regional growth eases from a rebound last year.

"The stellar performance in commodity exports was the major driver of economic growth, although we are also encouraged by a better-than-expected showing in private consumption," said Gundy Cahyadi, an economist at Oversea-Chinese Banking Corp. in Singapore. "Our assessment on the overall economic outlook remains fairly sanguine at this point."

Malaysia's exports rose 7.8 percent in March from a year earlier as palm oil shipments surged 22.8 percent and electronics sales gained 6.7 percent. The amount of loans disbursed by the country's lenders rose 17.3 percent in March from a year earlier, according to central bank data.

Asian Currencies

Most Asian currencies have climbed over the past year, partly because of foreign capital inflows seeking higher yields. The Malaysian ringgit has jumped 5.5 percent, advancing below 3 per U.S. dollar for the first time in more than 13 years on April 25. The currency fell 0.9 percent as of 9:55 a.m. local time today.

"With robust momentum in consumer credit showing the underlying demand growth, we expect Bank Negara to remain vigilant on inflationary pressures," said Rahul Bajoria, an economist in Singapore at Barclays Plc. "At the current juncture, inflation risks outweigh growth risks."

Inflation accelerated to a 23-month high in March, climbing 3 percent from a year earlier. Consumer prices probably rose at a faster pace in April, gaining 3.1 percent, according to the median estimate of 18 economists surveyed by Bloomberg News. The statistics department will release the figures on May 18.

The Southeast Asian nation's economy may expand 5 percent to 6 percent this year, after growing 7.2 percent in 2010, according to the central bank. Policy makers led by Governor Zeti Akhtar Aziz resumed rate increases this month after pausing since July, saying borrowing costs still support growth.

'Steady Growth'

"The assessment is for the Malaysian economy to remain firmly on a steady growth path, with growth improving gradually during the course of the year," the central bank said May 5. "Growth will be underpinned by the firm expansion of domestic demand. Sustained employment conditions and income growth is expected to provide support to private consumption."

Still, Malaysia's export growth has cooled since a rebound last year helped the country recover from the 2009 global recession, and the March 11 earthquake and tsunami in Japan have clouded the outlook for overseas sales for exporters from the Philippines to Thailand.

Rising prices for raw materials may hurt companies that have difficulty passing the higher cost of production to consumers, said Yong Yin Ng, an analyst at Citigroup Inc. in Kuala Lumpur. He is "cautious" on power utility Tenaga Nasional Bhd., construction and property group Gamuda Bhd. and budget carrier AirAsia Bhd.

Inflation Threat

"Overall business sentiment appears to have turned cautious as inflationary threat looms," Ng said. "Export sluggishness could extend another quarter following the Japan quake and further ringgit strength."

Citigroup said it views "positively" Petronas Chemicals Group Bhd. and oil palm planter QL Resources Bhd., and considers mobile-phone operator Axiata Group Bhd. and casino group Genting Bhd. as "attractive."

Singapore and Taiwan will release revised first-quarter growth numbers on May 19. Singapore's economy may have expanded an annualized 22 percent last quarter from the previous three months, when it climbed 3.9 percent, according to the median forecast of seven economists surveyed by Bloomberg News. That's less than the 23.5 percent growth estimated by the government on April 14.

Taiwan's economy probably grew 6.2 percent last quarter from a year earlier, after expanding 6.92 percent in the three months through December, a survey of 11 economists showed. An April 29 preliminary estimate showed first-quarter growth of 6.19 percent.

--Editors: Stephanie Phang, Alan Soughley



Read more: http://www.sfgate.com/cgi-bin/article.cgi?f=/g/a/2011/05/15/bloomberg1376-LL4POQ0D9L3501-50H5IDL2INSE9EGPSNVT26E3O3.DTL#ixzz1MVRay4kt