1 / 24

Building a Business Case for CNS/ATM Implementation in the ASECNA Region of Africa

Building a Business Case for CNS/ATM Implementation in the ASECNA Region of Africa. World-Wide CNS/ATM Systems Implementation Conference May, 1998 Presented by Dr. Upali Wickrama Chief, Forecasting and Economic Planning, ICAO. ASECNA Background. Stakeholder Relationship. ASECNA

maddocks
Download Presentation

Building a Business Case for CNS/ATM Implementation in the ASECNA Region of Africa

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Building a Business Case for CNS/ATM Implementation in the ASECNA Region of Africa World-Wide CNS/ATM Systems Implementation Conference May, 1998 Presented by Dr. Upali Wickrama Chief, Forecasting and Economic Planning, ICAO

  2. ASECNA Background Stakeholder Relationship ASECNA Current Capabilities ASECNA Future Plans ASECNA Business Case

  3. ASECNAGeneral Information • 16 Member states • 16 million sq. km of area • 25 Major international airports • 160,000 Flights • 5 Millions passengers • 5,000 Staff • 100 Airports (regional & domestic

  4. Total Revenues

  5. Distribution of User Charges

  6. Total Expenses

  7. Economic Viability Provider/User • State • Sub-regional • Regional Cost/ Benefit Business Cases Financial Community Implementation Plan

  8. Summary of Results fromCase Studies

  9. Financial Institution Airspace Users Major Stakeholders ATC Service Providers Other A/C manufacturers ATM Equipment supplies Major Stakeholders

  10. ASECNA Future Plans • Capital Investment Plan for (1999 -2005) for CNS/ATM • Modernization

  11. ASECNA Business Case • Communications • Additional VSAT, VHF Voice/Data Link, ATN • Navigation • WAAS/EGNOS, LAAS at 24 airports CNS/ATM Modernization (Ground Side by ASECNA)

  12. ASECNA Business Case • Surveillance • Two en route SSR, ADS • ATM • Automation related to CNS modernization

  13. ASECNA Business Case • Communications Avionics • VDL/TDMA, CPDLC • Navigation Avionics • WAAS/LAAS • Surveillance Avionics • ADS CNS/ATM Modernization (Avionics by Airlines)

  14. Implementation period: Cost of capital: Life cycle: User charges: Fee added to the cost: Satellite lease costs: 1999 - 2004 7 per cent 15 years To resume in 2005 10 per cent 0.45/kilobit Key Assumptions

  15. Key Assumptions (cont.) • Traffic growth rate: • Movement and Flight hours • Rate of return: • No cost savings assumed for decommissioning: • 5 % • 3.5 % • 10% • -

  16. Expenses Business Case Results for Service Provider (ASECNA)

  17. ASECNA Cash-flowProfile Business Case Revenue (User fees) Revenue (Less Operating Expenses) Equipment Investment Pay-out Period

  18. Expenses Business Case Results for Service User (Airlines)

  19. Business Case Airlines Cash-flow Profile Revenues Revenues (Less Operating Expenses) Equipment Investment Pay-out period

  20. Risks • Exchange rates • Schedule • Traffic growth • Rate of return • Efficiency rates

  21. Stages of the Business Case

  22. Conclusion • Methodology enhanced beyond cost-benefit to develop Business Cases • This assessment may require updating after consultation with ASECNA, IATA & Financial Institutions • Once the Business Cases are co-ordinated, an integrated Financial Plan can be established

  23. Conclusion (cont.) • Investment for some components are substantial for both service provider & user • Multinational planning & co-ordination among various States, sub-regions & regions are essential in order to minimize costs, ensure compatibility and avoid duplication of effort, for the efficient implementation of the system

More Related