ACL Slot Coordination
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1 ACL Slot Coordination ACL is the coordinator of choice for 39 airports worldwide. We coordinate 3 million flights carrying over 350 million passengers each year. Airport Coordination Limited Viewpoint 240 London Road Staines-upon Thames TW18 4JT Tel info@acl-international.com web
2 About ACL Over 20 years experience providing coordination services worldwide We serve 39 airports in 7 countries from global hubs to smaller regional airports Experienced team of coordinators supported by a dedicated IT team Use the Score coordination system and the OCS web portal Accurate modelling of airport capacity (runways, terminals, aprons, noise) Quick responses to airline slot requests (87% within 1 hour, 99% within 1 day) ACL coordination systems are operational critical to our customers (more than 99.9% system availability) Number of airports served Canada Ireland New Zealand Poland United Arab Emirates United Kingdom September 2016 Luxembourg Page 2
3 Airline Factors driving the shape of the schedule Operating Costs and Revenue Commercial schedule requirements Aircraft time and utilisation Crew hours Aircraft performance Maintenance Available slots -Runway constraints, Terminal constraints, Parking Constraints Ground handling September 2016 Page 3
4 Commercial scheduling requirements Business timings round trip working day Leisure timings time at origin and destination Connections Frequency Standby cover free standing or integrated Night stops crew implications costs Season length variations (scheduled or charter) September 2016 Page 4
5 Slot Coordination
6 Airport limitations Night jet bans, curfews and quota limits Opening and closing times Parking and handling constraints Congested airport - slot availability at the other end of the route Aircraft operating limits i.e. London City Weather i.e. Delhi Security for passengers and crew September 2016 Page 6
7 The allocation problem
8 Role of the coordinator Independent, neutral, transparent, and non-discriminatory Responsible for the allocation of slots Monitors the actual use of slots Applies the Use it or Lose it rules and determines historic precedence September 2016 Page 8
9 What is a Slot? Airport slots An Airport Slot is a permission given by a coordinator for a planned operation to use the full range of airport infrastructure necessary to arrive or depart at a level 3 airport on a specific date and time times are scheduled block times (on/off chocks) ATC slots an on the day permission to use congested air route not all flights require slots (eg, long-haul arrivals) September 2016 Page 9
10 Types of constraint ATM CAP Annual Movement Quota RUNWAY Hourly and sub-hourly movement limits (e.g., 30, 15, 10 min) TERMINALS Arrivals and departures limits based on the capacity of key facilities, e.g., check-in, security, baggage, customs, immigration, etc. STANDS Overall number of parking positions (by apron) NIGHT NOISE Seasonal quota of night movements and noise points September 2016 Page 10
11 Coordination Problem September 2016 Page 11
12 Coordination Problem September 2016 Page 12
13 Worldwide Slot Process & EU slot Regulation Proven process to effectively manage imbalances between airline demand and airport capacity. A Legal Slot regulation in the EU and UK. Common procedures agreed by the EU Commission and by the aviation industry. Applied at airports in the EU under the Slot Regulation and worldwide by the IATA WSG Standard timetable of coordination activities, allowing airlines to coordinate their global networks WSG principles incorporated into national and regional regulations, eg, EU Slot Regulation September 2016 Page 13
14 Grandfather rights- Historics Airlines have historic rights to slots operated in the previous equivalent season providing they qualify as a series. series of slots shall mean at least five slots having been requested for the same time on the same day of the week regularly in the same scheduling period and allocated in that way or, if that is not possible, allocated at approximately the same time; BUT, must have used at least 80% of the slots (Use it or Lose it rule) Does not apply to ad hoc flights September 2016 Page 14
15 Calendar of Coordination Activities Initial Coordination Determine Historics Capacity Review Slot Conference Slot Return Deadline Summer Winter Initial Coordination October May Slot Conference November June Slot Return Deadline January August Monitor Slot Use End March to End Oct Determine Historics September April Capacity Review September April End Oct to End March End of Season Start of Season Monitor Slot Use September 2016 Page 15
16 Objectives and Principles Objective Ensure the most efficient use of airport infrastructure to maximise benefits to the greatest number of airport users (passengers, airlines, freight shippers) Key Principles Demand managed through the administrative allocation of slots to airlines Slots allocated by an independent coordinator, acting in a neutral, transparent and non-discriminatory way Airlines entitled to historic rights to slots, subject to a use it or lose it rule Intentional misuse of slots prohibited subject to loss of historics and/or fines Slots may be freely exchanged or transferred between airlines Slot allocation is independent of assignment of traffic rights under ASAs September 2016 Page 16
17 Priorities for Slot Allocation Primary Criteria Historic slots Changes to historic slots Creation of the Slot Pool New entrants Year-round continuations Secondary criteria Secondary Criteria Effective period of operation Type of service and market Competition Curfews Requirements of the travelling public Frequency of operations Local guidelines Note: No distinction between domestic and international airlines or routes No distinction between types of airline scheduled, charter, low-cost, freight September 2016 Page 17
18 Slot Coordination Level 1 data collection Schedules available from 5 months before start of season Online web access to schedule data and reports Automatic data feeds for operational systems, eg, FIDS Representation at biannual IATA Slot Conferences Benefit from ACL s extensive network of airline contacts Level 2 facilitation Smooth peaks in demand through voluntary adjustments Make best use of existing facilities and resources Ensure profitable investment in new capacity Benefit from ACL s experience optimising capacity utilisation Level 3 slot coordination Manage excess demand through mandatory slot allocation Maintain desired standards of service, eg, queuing, delay Slot monitoring to ensure compliance Capacity governance to international best practice standards Capacity sufficient to meet demand Peak periods requiring smoothing Demand coordinated within capacity September 2016 Page 18
19 Governance of the Coordination Process Coordination Committee Airport, airline, ATC, coordinator membership Discussion of scheduling and capacity matters Development of local rules Mediation on appeals against coordinator decisions Scheduling Limits Committee Seasonal review of airport capacities and coordination parameters (runway, terminals, parking) Slot Performance Committee Ensure slot compliance and improve punctuality Advise on application of sanctions against misuse September 2016 Page 19
20 ACL Slot Monitoring
21 Slot Monitoring and Enforcement UK Slot Sanctions Scheme of financial sanctions for intentional slot misuse in the UK, with fines of up to 20,000 per misuse Types of slot misuse are: Operations without a slot Off slot operations Use of slots in a significantly different way Off slot operations have decreased by 73% The number of operations without a slot have decreased by 94% September 2016 Page 21
22 Slot Performance Improvement In addition to monitoring for intentional slot misuse, ACL monitors general slot performance to identify trends and areas for improvement. Statistical methods are applied to analyse the many thousands of flights and identify trends Example Flight Performance 23:00 22:00 21:00 20:00 19:00 18:00 17:00 16:00 28Oct 28Nov 28Dec 28Jan 28Feb Slot Time Actual Time ACL works constructively with airlines, with the support of the airport and ATC to improve performance, eg, block or turnaround time adjustments, better aircraft integrations, schedule adjustments, etc 30% 25% 20% 15% 10% 5% 0% On Time Distribution Analysis L/Haul Arr S/Haul Arr L/Haul Dep S/Haul Dep September 2016 Page 22
23 ACL How Slot Trading Works
24 Ground rules of slot trading Willing buyers and willing sellers although not all are cash transactions Only airlines can hold and trade slots Only slots with historic rights can be traded New entrant slots can only be traded after two equivalent seasons Slots are subject to use-it-or-lose-it rules Slots are permissions to use a bundle of airport infrastructure The coordinator must confirm the feasibility of any slot trade Slots are traded by way of a one-for-one slot exchange Slots are traded as separate transactions for each season Slot trade transactions are transparent but price disclosure is not mandated September 2016 Page 24
25 Slots per week Heathrow Slot Trading Volumes Pool Availability Pool Allocation Slot Transfers Note: one daily arrival/departure slot pair is 14 slots per week September 2016 Page 25
26 Economics of Slot Trading Before Trade After Trade Difference Seats per slot % Sector length 575 km 6800 km x 12 ASK per slot 77,625 1,734,000 x 22 Based on a sample of Heathrow trades, excluding temporary lease agreements ASK = Available Seat Kilometers September 2016 Page 26
27 Questions???? September 2016 Page 27
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