Dear #Customer.FirstName#,

 
FLYING IN FORMATION – “One Industry One Voice”   
 
We have a short guest commentator this week – he’s a very avid correspondent and here’s what he thinks about the world………
 
 Human nature unfortunately does not always respond as required to avert an accident. Most accidents are caused by split decisions, often on a whim and with the decider’s decision being wrong.
 
It is amazing that the powers that be feel that penalties and threats will hold the whole thing together. In actual fact, in my mind, it is that training over and over again which will in the end make the decider always go for the correct action without even having to think about it. It used to be called AIRMANSHIP.
 
SO our training of pilots needs to work on decisions to avert incidents rather than hammering home the litigation threats that may happen should they err in those decisions. Airline crews don't very often make a b...... and the reason is ongoing training in a simulator on a very regular schedule.
 
Therefore, I believe, that recurrent pilot training in Airmanship, which doesn't necessarily involve flying, is required almost annually. I can hear the screams already - "Me, I've flown for years. I don't need annual training."  It is the brain that needs training and the older it gets the more it believes it is infallible!!!
 
How much is a life worth anyway!!!! I always tell owners that me, as an LAME, have one thing in mind and that is looking after their neck and more importantly, the necks of those who fly with them.
End of episle 1.
 
No more so than this week have we come to realise how important it is for the industry to all be on the same page.  Now this doesn’t mean that we shouldn’t or can’t express our concerns about issues but the one thing I am learning is that it’s best for the aviation community to sort out the issues amongst themselves than to have those issues sorted for us.
 
As we progress through the survey it is becoming very clear that the smaller operators and engineering companies are being significantly squeezed out of business by rampant increases in the “non tradable” central and local government charges.  These charges are now really biting with the most recent increase in CAA hourly rate charges.  As one operator put it to me, “As we try to modernize, our business is being slaughtered by the open cheque book approach being taken to work.”
 
It’s pretty clear that the tensions and frustrations are just short of boiling.  Some time ago we talked to CAA about the concept of fixed charges but understand this was rejected by the Minister and Treasury officials as it was not provided for in the regulations.  However, in view of the significant concerns now being picked up, we think reactivation of those discussions is important. A solution may be a more prescriptive template before work commences on issues so that all parties are clear on what they are paying for and how the work is to be done and by whom.
 
We’re also reactivating discussions with CAA over engineering in general and seeing if we can get this group thinking more along the lines of the FAA, who have a major project on making it more efficient to get more products to market and safer to fly.
 
So thanks so much to those people who are so far participated in our survey.  We’ve sent out the questionnaire to around 50 organisations so far and have conducted around 20 interviews.  While we’re interested in the forward demand for pilots we’re also interested in your views on what we should be doing including the stuff you’d like us to continue doing.
 
Let me emphasize we remain committed to the Government’s growth agenda but this needs to be extended to making our own home  economy more competitive.  “The boots” thinks in the aviation environment this means different ways of doing business and it’s one reason why we’re committed to pursing substantial reductions in fees and charges but without compromising the need to invest in high performance regulation and infrastructural development as these are equally important efficiency drivers.
 
 
The strategy – One Industry One voice
 
Our goal is creating a $16Bn sector by the end of 2016 – last week we told you how we’re going and some of these challenges.
 
This week we’re going to cover with you more details of the five components of the strategy
    
 

Aviation is in our DNA Red Boots

Islands Business, which circulates throughout the Pacific, Australia, New Zealand and North America, is producing an aviation supplement on the recent Association of South Pacific Airlines Conference in Fiji.  There are advertising opportunities for anyone wishing to advertise as part of the supplement.  Get in quick if you are interested in an ad, they are at the booking deadline with copy due next week here

AIRCARE™ – we know our operators who are accredited have some impressive safety records because many of them have been awarded our SAFETY RECOGNITION awards but there are many other operators out there who have impressive credentials as well.  We also know from our TFO web page that those who hold our SAFETY RECOGNITION awards get more hits than those who don’t.  International tourists don’t always get the CAR 135 certificate but they really relate to an award that says 20 years accident free. Go to aircare.co.nz  safety recognition awards for more detail.  Everyone is eligible including engineering companies.
 
Aviation New Zealand  - we’re in transition to adopting our international brand name and applying it across all our domestic operations. What we know is that Aviation New Zealand is about the New Zealand aviation community.  Our name is much more consistent with forming “One Industry” and having “One Voice” – we know many aviation groups may find this change challenging for them but its just so obvious that multiple voices dilutes the message and the message is about impressing on stakeholders the important sectorial contribution of aviation to creating wealth        

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We met people from Brazil during the week.  They talked about the strong New Zealand agricultural involvement in Brazil – from Fonterra down to individual farmers.  All are bringing New Zealand agricultural management techniques to their farming activities.  While New Zealand’s agricultural aviation expertise is known around the world, they commented on the comparative absence of air based techniques.  So that set us wondering about the ability to work with some of these New Zealand companies to get our agricultural aviation sector more deeply entrenched in Brazil.  We’ve kicked off a little investigatory work.  But there is a bigger picture too.  We know that New Zealand agricultural companies are also investing heavily in China – ok there are air space issues but does this also represent opportunities to sell more of our agricultural aviation technologies and practices?  How can we leverage off the New Zealand agricultural companies that  are already in those markets?
     

Mixed-use assets
The recently enacted Taxation (Livestock Valuation, Assets Expenditure, and Remedial Matters) Act introduced new tax rules for lease inducement and lease surrender payments, and for the tax treatment of certain assets that are used both to earn income and used privately (also known as mixed-use assets).  The special report on asset use is here.

Government Agency relationship.  We attended a meeting with the One Government Aviation Team (NZTE, MFAT, MoT, CAA and Callaghan Innovation).  They have now visited Hamilton and Top of the South.  Ardmore is next in line for a visit.  Good to see them all travelling together because they get different perspectives on what is happening in the regions, and it helps understand what else they can do to aid the sector.  MFAT for example, is following up some Government to Government issues as a result of the visit to Nelson and Blenheim.  The team is also looking at issues around the supply of aviation parts to the EU; some profile raising opportunities in Thailand, the Philippines, Indonesia and Vietnam; and ways in which the developing UAV sector can be coordinated and speak with one voice to CAA.  Clearly we are working with them on these issues too.

Skill shortages submission – pilots, the submission is couched in the context of “survey in progress.” However, it’s becoming fairly clear that if there is no relief then either New Zealand’s regulatory framework for fixed wing has to change ie the 750 hours IRF single pilot; the 500 hours CAR 121 ops and the 1500 hour Air Ambulance restrictions are going to have to be removed; or MPL will need to be introduced quite quickly.  (click here)
 
A change in the regulator environment has serious implications for those both in the system undergoing training and those who are out building up hours.
 
We don’t yet have enough information on rotary to start making any comment but by this time next week we’re hoping to have a lot more input from that sector.

AIRCARE™
 

AIRCARE™ ACCREDITATION process read here

AIRCARE™ accreditations Click here

The underlying objective is delivering value and wealth for members – this underpins everything we do.  Some examples of how we do this is by

• Becoming a trusted partner – the essence is to have open communications and work on a no surprises basis with all of our key stakeholders and this means a strong and resilient voice in Wellington
  • We take your issues forward collectively
  • Individually we will work on your behalf if requested – we are always respectful of commercial in confidence issues and work on a de-identified basis unless otherwise agreed
  • But we will not captured by your individual desires and aspirations - at the end of the day the outcome must always be an improvement in the “common good”
• Promoting those businesses that support us
  • We have loyal sponsors and trade services – we facilitate communications – this week we have an offer from Aviation Safety on an ELT and new safety equipment

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