Air Operations Certificate - Assignment Example

REPORT ON ACTION REQUIRED TOWARDS ACQUIRING AIR OPERATOR'S CERTIFICATE FROM THE CAA INTRODUCTION In contemporary scenario, the aviation market is one of the fastest growing market, especially so with tremendous aviation boom in the Asia-Pacific and other developing nations across the world. The business growth is projected at about 20% and fleet expansion from 25-30% in most such markets. The growth is likely to sustain for another decade which will then stabilise at about 8-10% figure. To take maximum advantage of the existing scenario, our company has decided to initiate an airline with an initial fleet size of 5 Boeings-737 or Airbus - 340 class aircraft. The fleet size shall be expanded based on future trends and growth prospects in two years from now. Consequently, there is a need to dwell upon all the requirements to obtain an Air Operator's Certificate and give a smooth start to our airline operations. AIM This paper aims at bringing out various considerations and criteria to be fulfilled towards securing Air Operator's Certificate from the CAA and suggest suitable recommendations. AIRLINE OPERATIONS: CAA REQUIREMENTS Air Operations Certificate is issued by the Aviation authority of the country of registration after an operator satisfies the authority of its technical competence, professional outlook, meeting legal requirements necessitating safe aircraft operations and maintenance practices besides other criteria involving quality assurance, passenger safety and emergency requirements. The convergence of goals between an operator and the authority lie essentially in ensuring safe conduct of operations, and with due regard to national security aspects in contemporary security scenario. Essential specific criteria as per JAR-OPS-1.175 requires that an operator does not hold an AOC from another country, holds principle business interests and aircraft registrations in the country of application, and most importantly, the ability to conduct safe aircraft operations. With first three criteria already fulfilled for us, our task narrows down towards meeting the last part, i.e. to demonstrate the ability to operate our airline safely. However, with initially limited fleet size of just five aircraft for flight operations, the task is fairly achievable within the limited timeframe available to us. CAA Investigation The investigation by CAA towards grant of an AOC essentially evaluates following criteria: a. Previous Conduct. Previous conduct forms the basis for grant of AOC. We have an upper hand in this regard due to our impeccable and enviable reputation in the market. b. Previous Experience. Although we have negligible previous experience in aviation, our company's excellent reputation, our service to the nation, monetary record and good business practices are expected to help us tide over these requirements without much ado. Further, with a professional outlook and a dependable brand name, we should be able to satisfy the authorities of our competence and convictions of establishing a credible organisation which will not only meet the laid down safety requirements but also complement them in time to come through our awareness programmes and innovations. c. Equipment. With our plan to commence with a fleet of 5 aircraft, we have options of outright purchase of aircraft or borrowing an aircraft on lease. While the latter is an economical option for a new entrant, it is not very profitable in long run if the plan is to establish a major airline in due course. Further, we can go in for a wet lease (with operating crew) or a dry lease (just the aircraft). Considering our eventual plan to establish an airline in long term, it is strongly advocated that an outright purchase of aircraft from company like Boeing or Airbus be affected. Further, considering fleet size and interoperability, we should go in for same type of aircraft for the time being. However, since due to previous orders the company is not likely to be able to provide us with an aircraft immediately, a wet lease for a period of about one year from a reputed source be considered favourably. Further, ground equipment may be purchased directly from the company appropriately for the major bases we are likely to operate at in foreseeable future of about two years. d. Organisation. The authorities have laid down rigid minimum criteria for grant of AOC in their catalogue. Further, with our plans to expand suitably in future to a larger fleet airline, it is recommended that a formal organisation is established which not only meets the bare minimum criterion but also provides for requisite expansion in the future. With a need to demonstrate to the investigators that our management structure will provide a balanced and safe operating culture, we need to establish following key management structure: i. Accountable Manager: The top management will be headed by an experienced professional management graduate with considerable experience in the aviation sector. ii. Flight Operations Manager: The professional frontier which shall directly control and supervise essential tasks to ensure operational effectiveness of our fleet. With a fleet of just 5 aircraft, the fleet management assumes considerable importance due to lack of any viable reserves in terms of aircraft, aircrew and spares to fall back on. The operations manager shall be directly responsible for following aspects of the organisation: Smooth flight operations and scheduling. Flight Crew Training and Licensing. Aircraft airworthiness. Documentation. Medical fitness of all crew members. Other operations related activities. iii. Maintenance Manager. With a fleet of five aircraft, we do not need to go in for complete maintenance infrastructure. The task can be outsourced to approved maintenance agencies servicing the type of aircraft selected. However, in due course, we need to start building up infrastructure required for our planned fleet of about 12 aircraft. This would require professional and accountable maintenance managers to undertake the complex task of maintaining the fleet effectively and economically. The salient aspects of maintenance aspects for B-747 including suggested maintenance schedules for a period of 24 months shall be discussed in sufficient details subsequently. iv. Crew Training Manager. Training of Cockpit crew and cabin crew occupies most important place in aviation due to complex pattern of skill test and licensing requirements of CAA. With a large number of pilots and other crew members, we need to evolve an especially dedicated cell responsible to meet each individual's legal licensing requirements. They would also be responsible for evolving and ensuring a workable plan to warrant availability of sufficient number of current and qualified pilots for undertaking the job at any given time. For present fleet size, we may also consider this task to be undertaken by Flight Operations manager himself. v. Ground Operations Manager. In tandem with flight operations, there is a requirement of suitably qualified ground training manager, who will be responsible for all ground handling activities related to aircraft operations. These typically include: Aircraft preparedness for flight. Ground support control including passenger handling. e. Maintenance. Maintenance schedules vary from an aircraft to an aircraft. Typically, an aircraft would require to follow laid down check schedules in line with following guidelines (as in B-747): i. Transit checks before each flight. These would typically involve exterior checks to assess damage and wear and tear during the previous flight. ii. Daily checks. In addition to transit checks, these involve engine oil replenishments, aircraft health monitoring systems and assessment of flight log entries. iii. Periodical checks: Weekly and monthly. These involve all the above checks plus checks on power plants, engine component oil replenishments, aircraft interior and windows etc. iv. A/2A/4A Checks. Every 600 hours/ 99 days/ 190 days. These involve all the above checks in addition to internal and external operational checks, lubrication of undercarriage and flaps and oil system of Auxiliary Power Unit. Duration to complete 2A and 4A checks is about 3 shifts and 3-4 days respectively with a laid down compliment of engineers. v. C/C2 Checks. Detailed inspection carried out every 18 months/3 years by a team of engineers requiring about 7 days and 12 days respectively. Our present plan won't include 3 years' C2 check. vi. D Check. This would entail virtual strip down first at 8 years and thereafter every 6 years. Our present planning won't include this check too. All these checks would require our aircraft to be rotated and utilised in such a way that at least 4 aircraft are available for use at any given time. This would ensure optimum utilisation and minimum ground time for an aircraft. f. Other factors to be investigated include official name and place of business, description of proposed operations and management structure, qualifications of accountable managers, operations manual, maintenance program, maintenance schedule and technical logbooks of the aircraft types. Once AOC is granted, there is no restriction on validity of the AOC but the operator has to ensure current and valid Certificate of Airworthiness (C of A), a viable maintenance program, an effective organisation, quality assuring and monitoring system in place and ensure compliance with all training programmes. RESPONSIBILITIES AS AN OPERATOR JAR - OPS Part-B stipulates the responsibilities of an operator holding a valid AOC. While these are too comprehensive, essential aspects are enumerated below for a quick reference: a. No commercial flight should be undertaken unless the operator holds a valid AOC and aircraft holds a valid Certificate of Airworthiness. Exemptions, if any, shall be granted on a one time basis and for a limited period only. b. Operators shall make all the information available to the staff to make them comply with the law. Dedicated training in this regard would also be necessary. c. Operators shall ensure that all documentation and communication is done in a commonly understood language. d. Operator is responsible for setting up and monitoring a quality control system. A dependable quality assurance program to include auditing, crew training and incident investigation would be required to be in place and working effectively. e. Risk awareness program to advise all personnel on the operating risks and occurrence reporting program must be devised similar to the one specified in AWN71, Management of Maintenance Error Reporting System. Proper evaluation and feedback needs to be followed up to share critical safety related information in aviation world. f. Other operator responsibilities include: Training of crew. JAR-26 lays down emergency and survival equipment requirements which need to be fully complied with. Dangerous goods carriage is strictly guided by JAR-OPS subpart R and needs to be strictly adhered to. Non-compliance can result in serious injury to personnel and damage to the aircraft and systems. Weapons and ammunition must be carried only when reported to the operator and stored in inaccessible areas during flight. Passengers must be carried in authorised seats only. Their behaviour is to be checked for any influence of alcohol or drugs, restricted use of electronic devices and a briefing is to be conducted for specific information during in-flight emergencies. Commander of the aircraft has total responsibility once the aircraft is airborne, and this needs to be specifically informed to all crew members and passengers. All crew are to report incidents through appropriate occurrence reporting channel which could have endangered safety of the aircraft or its occupants during flight. All crew undertaking the flight must be medically fit to prescribed standards and should have undergone routine periodical medical examination. There is a comprehensive list of documents to be carried on board an aircraft when flying and some documents need to be retained on ground. These guidelines need to be complied with strictly. There are also guidelines for strict compliance as per CS 25 for markings of emergency equipment and exits, and mandatory placards for crew-members. The comprehensive list needs to be followed meticulously not only in accordance with the law, but also for safety of aircraft and its occupants. RECOMMENDATIONS Consequently, obtaining an Air Operator's Certificate and its retention thereafter is guided by strict guidelines from all aviation authorities. Following framework is recommended: We need to apply for the AOC and establish an organisation to operate a five aircraft fleet presently. The aircraft may be purchased directly from the manufacturer with all spares and support for a period of 5 years. Each aircraft shall fly on an average 250 hrs every month or a total of 3000 hrs per year. This totals to 30,000 flying hrs from 5 aircraft in 2 years. This works out to an average of just 8-9 hrs every day, which is very easily achievable since most airlines maintain flight time of 16-18 hours per day for short haul aircraft while 13-14 hrs per day for long haul aircraft. Even with four aircraft, this task of 40-45 hrs per day can be easily achieved, leaving sufficient scope for aircraft undergoing maintenance and unserviceability. However, good competency of scheduling staff would be required to ensure that degradation in quality of service in terms of delays or passenger inconvenience is not allowed. All organisational positions in organisation and maintenance channels need to be selected from the existing market through wide advertisements. A dedicated section under Operations manager with experienced staff wholly responsible for training of aircrew and ground crew may be established. The posts of General Manager (accountable for organisation), Operations Manager (responsible for operations), Crew Training Manager and Ground Operations Manager with sufficient staff are to be established with appropriate organisation chart clearly establishing responsibilities and reporting channels. Having competent individuals at these positions would not only facilitate early grant of AOC but also help in establishing a credible and efficient system for the future. Subordinate ground operations managers for satellite bases and destination bases would also be required once regular operations commence. Appointment of Maintenance Manager and his subordinates may be outsourced to the approved maintenance facility at our base airfield with responsibility to provide necessary transit support at all our destination bases. As discussed earlier, the aircraft are likely to be constantly available within 1 day after all checks for a period of initial two years except C Check every 18 months, which requires 6-7 days. With adequate planning and staggering, we need to ensure that at least four aircraft are available during Check C being carried out on fifth aircraft. The suggested maintenance plan is appended at the end. Once AOC is granted, we need to strictly meet all requirements for continuous validity of the AOC as discussed above. CONCLUSION In current aviation boom, establishing an airline is the right option with a small rider of intense competition. However, with adequate incentives and market reputation, survivability is not difficult. Further, strict but straightforward guidelines by CAA need to be followed for grant of an Air Operator's Certificate, which is only the first academic step towards establishing the business. All the responsibilities entrusted with an AOC holding operator towards fulfilling the aim of a safety oriented organisation need to be well surpassed to establish credibility, dependability and quality in this uncompromising and fiercely competitive aviation environment. While the task is enormous, it is definitely within our reach and achievable within planned timeframe. With adequate innovations, it can be expected that in years to come, we can establish a credible airline which not only caters for basic needs of a passenger to go from one place to another safely, but also with pride and dignity. COMPANY ORGANISATION CHART Note: Does not include maintenance organisation and staff, which should be outsourced to an approved organisation for present fleet size. AIRCRAFT MAINTENANCE SCHEDULE FIRST 24 MONTHS (@ 250 hrs / month) AC -01 AC-02 AC-03 AC-04 AC-05 0-2 Months 2-4 Months Check 2A - 14th Week Check 2A - 14th Week Check 2A - 14th Week Check 2A - 15th Week Check 2A - 15th Week 4-6 Months Check 4A - 27th Week Check 4A - 27th Week Check 4A - 27th Week Check 4A - 28th Week Check 4A - 28th Week 6-8 Months Check 2A - 29th Week Check 2A - 29th Week Check 2A - 29th Week Check 2A - 30th Week Check 2A - 30th Week 8-10 Months 10-12 Months Check 2A - 42nd Week Check 2A - 42nd Week Check 2A - 42nd Week Check 2A - 43rd Week Check 2A - 43rd Week 12-14 Months Check 4A - 55th Week Check 4A - 55th Week Check 4A - 55th Week Check 4A - 56th Week Check 4A - 56th Week 14- 16 Months Check 2A - 57th Week Check 2A - 57th Week Check 2A - 57th Week Check 2A - 58th Week Check 2A - 58th Week 16-18 Months Check 2A - 70th Week Check 2A - 70th Week Check 2A - 70th Week Check 2A - 71st Week Check 2A - 71st Week 18-20 Months Check C - 74th Week Check C - 75th Week Check C - 76th Week Check C - 77th Week Check C - 78th Week 20-22 Months Check 4A - 82nd Week Check 4A - 82nd Week Check 4A - 82nd Week Check 4A - 83rd Week Check 4A - 83rd Week 22-24 Months Check 2A - 84th Week Check 2A - 84th Week Check 2A - 84th Week Check 2A - 85th Week Check 2A - 85th Week Notes: Daily, Transit, Weekly and Monthly inspections can be achieved without considerable down time. Check 2A (99 days), 4A (190 days) require two days for maintenance. Check C (18 months) requires 6-7 days for maintenance. Stagger will be workable because all five aircraft are not expected to join our fleet on the same day. Check C2 and Check D occur after covered period of 24 months. Read More