Balancing Aviation Safety & Security with Industry Growth “ The AACO Region Case”

1. Balancing Aviation Safety & Security with Industry Growth “The AACO Region Case” Captain Mohammed Aziz, Ph.D. Advisor to Chairman – Chairman – AACO Security WG & Safety SC

2. Structure of the Presentation • Industry environment in the AACO region • Economical challenges • Safety challenges • Security challenges • AACO challenges • Facing the challenges • Future outlook

3. The AACO Region Syria Lebanon Jordan Iraq Kuwait KSA Bahrain Qatar UAE Oman Yemen Algeria Tunisia Libya Morocco Egypt Mauritania Sudan Somalia Djibouti Comoros

4. AACO members • Royal Air Maroc • Air Algerie • Tunis Air • Libyan Airways • Afriqyah • Egypt Air • Sudan Airways • Palestinian • Royal Jordanian • Jordan Aviation • Syrian Arab Airlines • Iraqi Airways • Middle East Airlines • Trans Mediterranean Airways • Kuwait Airways • Saudi Arabian Airlines • Gulf Air • Qatar Airways • Emirates • Etihad Airways • Air Arabia • Oman Air • Yemenia

5. Catalysts for Growth • Oil at record prices • New oil and gas potential • Evolving infrastructure • Political stability and governance • Business & tourism growing across the region • Record investments & spurring economies • Liberalization • Population growth • Emerging global hubs

6. Industry Growth

7. Sample Forecasted growth Source Dubai DCA

8. Regional Economical challenges • Inconsistent availability of financial and/or human resources to the national CAAs in the region • Difficulties to retain adequately qualified and experienced personnel within some CAAs • Transition form a protective regulatory environment to a liberal one, at times unilaterally • Transition from state owned and supported airlines to market driven privatized ones • Aviation generated State income is not necessarily invested in the industry

9. Regional Safety Challenges • National oversight • Flag of convenience • Aging aircraft • Rapid expansion • Training challenges • Regional statistics • Emergency response • Safety culture Source ICAO AIG

10. BEA Report on Cotonu Accident • The investigation demonstrated that the lack of regulatory structure and safety oversight in certain states does not allow an appropriate level of safety for passengers and persons on ground • Those weaknesses are the results of many factors, mainly economical considerations and the conviction that flight safety rests primarily on the decisions taken in real time by the front line actors, i.e. the pilot in command

11. Impact on industry • Investigation conclusions supported by ICAO Safety Oversight Audit data • This situation jeopardizes the organization of international civil aviation, founded on trust and mutual acceptance of licenses and agreements • Many CAA are establishing “Black Lists” of carriers and countries • The unhealthy risk of seeing double or multiple standards in the industry is growing and threatening to disturb the air transport system and the economies of many States and regions

12. Regional Security Challenges • Unresolved Arab-Israel conflict; inflames regional tensions & threats • Islamic radical militant groups; threatens safety and security globally • Iraq, Afghanistan & Pakistan instability and insurgency; active anti-government insurgencies considered a threat to regional security

13. Regional Security Challenges • Iranian nuclear and political ambitions; potential threats of actions and counter-actions • Rising insurgencies in central and sub-Saharan Africa; Chad, DRC, Niger, Nigeria, Somalia & Sudan, ongoing instability. Generally, endemic poverty, crime & corruption, refugees, militancy and separatist insurgencies + oil & gas • Different national requirements;LAG, No-Fly-List / PPP, etc

14. AACO Members Zero Fatality 2 SD 6 fatal accidents in 2004 with 209 deaths

16. AACO Challenges • Impact of regional safety statistics • Liberalization policies aiming at enhancing the air traffic industry without proper oversight • Transition from government ownership to privatization • Competing with big alliances and charter companies while maintaining the highest operational safety standards, efficiency and sustainable growth • Promote safety and security culture at regional level • Design and maintain contingency plans to face threats and manage the associated risks

17. AACO Leadership • AACO Safety Audit guidelines produced in 1995 and revised in 2001 by Safety SC members and Secretariat • Support the SMS and SEMS concept • Joint approach to AOs for IOSA and full support for the program • Lobbying with ACAC and succeeding in making IOSA as an oversight tool • Support for Authorities through scholarships by AACO TC and technical assistance from members • ERP Task Force with a view for mutual assistance in cases of emergency

18. AACO support activities • Participation in international and regional initiatives, seminars and working groups • Training through ATC – Amman and in-house • Annual Technical Forum • Full support for ICAO and IATA safety and security assistance programs • Full support for ICAO and IATA safety and security oversight programs • Security WG lobbying for standardized security regulations

19. Future Outlook • Maintain a safe, secure and sustainable growth, through regional and international cooperation • Members unconditional support for all ICAO, IATA and FSF initiatives aiming at making our skies safer • A call to standardize the protocols for the PPP • Spiral growth through proper and efficient planning, training, quality performance and oversight • On-going commitment to our customers for their continuous support and deserved trust • Advance the region economy through the industry by creating new opportunities

20. AACO belief Our regional activities contribute to enhance: Global civil aviation safety Global civil aviation security Global economy and commerce The efficiency of aviation operations The continuity of the aviation industry The customers opportunities to communicate and interact safely, securely, comfortably and efficiently at a global level

21. Thank you!