Low cost carriers and the changing fortunes of airports in the UK

This paper investigates how low cost carrier (LCC) developments have affected the traffic and financial performance of UK airports from 2002 to 2014. Considerable growth in traffic was experienced from 2002 to 2007, especially at regional airports as a result of LCC expansion. This was replaced with a more volatile period from 2008 to 2014 where many of the regional airports that experienced the greatest increases in traffic during the early years, then experienced the largest reductions. This has clearly had an impact on their financial well-being, resulting in reduced profits for many airports. It has also meant that many regional airports that seemed like attractive investments as a result of LCC expansion are now less financially appealing, especially given that the LCC sector in the UK appears to be shifting capacity to larger regional airports, and in some cases, London airports.

Value creation in capital waterway projects: Application of a transaction cost and transaction benefit framework for the Miami River and the New Orleans Inner Harbour Navigation Canal

Waterways have many more ties with society than as a medium for the transportation of goods alone. Waterway systems offer society many kinds of socio-economic value. Waterway authorities responsible for management and (re)development need to optimize the public benefits for the investments made. However, due to the many trade-offs in the system these agencies have multiple options for achieving this goal. Because they can invest resources in a great many different ways, they need a way to calculate the efficiency of the decisions they make. Transaction cost theory, and the analysis that goes with it, has emerged as an important means of justifying efficiency decisions in the economic arena. To improve our understanding of the value-creating and coordination problems for waterway authorities, such a framework is applied to this sector. This paper describes the findings for two cases, which reflect two common multi trade-off situations for waterway (re)development. Our first case study focuses on the Miami River, an urban revitalized waterway. The second case describes the Inner Harbour Navigation Canal in New Orleans, a canal and lock in an industrialized zone, in need of an upgrade to keep pace with market developments. The transaction cost framework appears to be useful in exposing a wide variety of value-creating opportunities and the resistances that come with it. These insights can offer infrastructure managers guidance on how to seize these opportunities.

Measuring the cost of resilience

Air traffic management research lacks a framework for modelling the cost of resilience during disturbance. There is no universally accepted metric for cost resilience. The design of such a framework is presented and the modelling to date is reported. The framework allows performance assessment as a function of differential stakeholder uptake of strategic mechanisms designed to mitigate disturbance. Advanced metrics, cost- and non-cost-based, disaggregated by stakeholder sub-types, are described. A new cost resilience metric is proposed and exemplified with early test data.

Effect of wind on operating cost based cruise speed reduction for delay absorption

En route speed reduction can be used for air traffic flow management (ATFM), e.g., delaying aircraft while airborne or realizing metering at an arrival fix. In previous publications, the authors identified the flight conditions that maximize the airborne delay without incurring extra fuel consumption with respect to the nominal (not delayed) flight. In this paper, the effect of wind on this strategy is studied, and the sensitivity to wind forecast errors is also assessed. A case study done in Chicago O’Hare airport (ORD) is presented, showing that wind has a significant effect on the airborne delay that can be realized and that, in some cases, even tailwinds might lead to an increase in the maximum amount of airborne delay. The values of airborne delay are representative enough to suggest that this speed reduction technique might be useful in a real operational scenario. Moreover, the speed reduction strategy is more robust than nominal operations against fuel consumption in the presence of wind forecast uncertainties.

En Route Speed Reduction Concept for Absorbing Air Traffic Flow Management Delays

This paper proposes an en route speed reduction to complement current ground delay practices in air traffic flow management. Given a nominal cruise speed, there exists a bounded range of speeds that allows aircraft to fly slower with the same or lower fuel consumption than the nominal flight. Therefore, flight times are increased and delay can be partially performed in the air, at no extra fuel cost for the operator. This concept has been analyzed in an initial feasibility study, computing the maximum amount of delay that can be performed in the air in some representative flights. The impact on fuel consumption has been analyzed, and two scenarios are proposed: the flight fuel remains the same as in the nominal flight, and some extra fuel allowance is permitted in order to face uncertainties. Results show significant values of airborne delay that may be useful in many situations, with the exception of short hauls where airborne delay may be too short. If cruise altitude is changed, the amount of airborne delay increases, since changes in cruise speed modify the optimal flight altitudes. From the analyzed flights, a linear dependency is found relating the airborne delay with the amount of extra fuel allowance.