International University
of Applied Sciences
Bad Honnef - Bonn
An Analysis of General
Aviation in Europe
Dr. Michael Erb
Managing Director
AOPA-Germany
An Analysis of General
Aviation in Europe
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General Aviation (GA) in Europe
Definition
Statistics
Who is AOPA?
GA´s Economic and Social Benefits
Economy – Business Travel
Ecology
Infrastructure
Technology Transfer
Security
GA´s Perspectives
Jobs in GA
1. General Aviation
Definition
- General Aviation is all civilian flying except for
Scheduled Passenger and Cargo Airlines,
or expressed in a positive way:
- It´s Personal Air Traffic, just like driving a
vehicle on the streets for most different nonscheduled purposes
AOPA-Germany´s Objectives
• Promoting and Defending GA´s interests
Advocacy
• News and Consultancy for Members
Information
• Keeping Safety Standards High
Flight Training
• AOPA-Germany has 24.000 members, the
parent organisation IAOPA is with 450.000
members the biggest pilots´ association
worldwide.
www.aopa.de
Private Travel
Business
Travel
Taxi Commercial
on Demand
Transport
Just Fun –
Destination
Unimportant
Sports
Competition
Motorsports
Driver´s and
Pilot´s School
Law
Enforcement
Firefighting
Ambulance
Agriculture
Parcel Service
Off Road /
Off Runway
Crane and
Skycrane
Oldtimer
Leisure and
Education for
the Youth
Statistics I
GA, is it mainly “Hobby-Aviation?“
Car Traffic, Airlines,
GA, Share of
Revenues in % PKM in % Pax. in %
23,50
66,1
55
Purpose
Private
Private Travel, Sightseeing, Airsports
Commercial
Flight School
Business Travel
56,25
33,9
45
3,90
32,30
Aerial Work
5,60
Ambulance
16,50
Government
16,80
Revenues p.y.:
980 mio. €, 5% of Total Civil Aviation with 20 bn. €
Jobs:
7.200, 8% of Total Civil Aviation with 90.000
Figures for Germany, Estimate for Europe = factor 5 = 5 bn. € Revenues
AOPA-Data
Statistics II
Aircraft and Airfields
46.900 GA-Aircraft vs. ~ 4.000 Airliners
3.000 GA Airfields vs. ~ 450 Airports for Airlines
Small Aircraft and Safety
Well maintained aircraft and well trained pilots
produce a high safety standard:
With 100 Take Offs per year a deadly accident
can be expected in average after 625 years.
2. GA´s Economical and Social Benefits
Focus on Business Aviation
Trends in European Business Travel
• More and more Markets have a European dimension
• The ability to reach market partners and to be reached is an
important factor for success
• Railway and Road-Traffic are on longer distances too slow
• Companies with European markets locate themselves in areas
with International Airports and leave remote areas
• New Media like teleconferences can substitute business travel
to a certain extend, but not fully
What can GA offer in Business Travel?
GA saves time because:
• It is fast!
- between 200 and 800km/h on the direct line
• It is quick to reach!
- reduced check-in times at regional airports
- a much tighter net of access points than airlines
(350/40 in Germany, 3000/450 in Europe), consequently
reduced feeder-times especially in remote areas
• It doesn´t let you wait!
- Because of GA´s flexibility as an individual means of
transportation, travel times can be chosen on demand,
without the need for time-buffers and waiting
• Trave time is value time!
- GA allows undisturbed work and meetings on board
Cologne Paris London,
with 2 h stays,
can be done
with the airlines
in ca.14 h, other
means of
transportation
can hardly
compete
Magdeburg
Cologne –
Magdeburg Brno,
with 2 h stays,
can´t be done
with airlines only
Rail
Total Journey
Time in hrs
Disadvantage
Car
60:22
Combination
Airline + Car
via Vienna and
Leipzig
52:00
33:20
50:22
42:00
23:20
High End Low End
Business Business
Aviation Aviation
10:00
13:00
---
3:00
C o s t C o m p a ris o n
C o s ts p e r P a s s e n g e r a n d
1 0 0 k m d ire c t d is ta n c e (P K M ) in €
C a lc u la te d
M in im u m
M a x im u m
A v e ra g e
G e n e ra l A v ia tio n
2 3 ,-
3 0 0 ,-
A irlin e *)
3 3 ,-
1 1 0 ,-
R a ilw a y *)
2 4 ,-
4 8 ,-
C a r / U p p e r M id s ize
1 2 ,-
4 0 ,-
*) B u sin e ss -C la ss A irlin e , F irst C la ss R a ilw a y
5 9 ,-
1 7 ,-
Ways to use GA aircraft
• Rental with/without crew
– Like a Taxi or a rented car
• Sharing of an aircraft with/without crew
– Fractional Ownership (e.g. Netjets)
• Full Ownership of an aircraft
– With a paid crew or “Self-Flying Businessman“
How to identify the optimum
means of transportation
• Saved time and an enlarged market range alone do
not justify an expensive means of transportation.
• It depends on what the traveller does with the saved
time and the increased mobility.
• The “value added“ per time is the key factor. Not
only high Executives produce a high added value,
but also specialists in urgent cases.
Assumptions for the quantification of the
“Traveltime-Effect“:
A typical enterprise uses GA aircraft together with cars, railways and airlines.
Findings of a 2001 aircraft user study.
Quantity:
75 journeys p.y. over 500 kmdistance with 3,7 passengers
Saved Working Time:
1.943 hrs with car als alternative,
(7 hrs per journey x 3,7 x 75)
Value Added:
Average of “Opportunity Costs“ 250 €/h/pax,
250 h x 1.943 €/h = € 485.000 total,
GA´s cost-disadvantage:
€ 117.000 p.y. or 0,42 €/pkm
Resulting “Traveltime“ Benefit: 368.000 € p.y. or 4.900 € per journey,
which is factor 4,5 of the amount invested in GA.
The “Break-Even“ of GA usage is obviously lower. Not regarded are the value of
an geographically increased market and the ability to work on board.
Assumptions for the quantification of the
“Location Effect“:
A central and a remote location for an industrial company with 700 employees differ
only in the below factors:
Labour Cost:
According to the spread between Hessen and Sachsen-Anhalt,
23 vs. 17 €/h, with 700 employees and 1.600 hrs
Monthly Rental:
€ 13 vs. € 8,50 per m²
Taxes:
Example of the “Gewerbesteuer“-leverage of 450% vs. 350%
Costs for GA:
800 flight-hrs with €1.000/h in addition to other travel expenses
Calculation-Scheme for the ”Location Effect“
Labour
Rental
Taxes
Additional Costs
for GA
Cost p.y.
Central
Remote
Area
Area
25.767.344
18.655.557
1.672.032
1.092.267
Cost-advantage
p.y.
Remote Area
7.111.787
579.765
245.496
190.942
54.555
0
800.000
-800.000
Location Effect
6.946.107
All figures in EUR
Evaluation of the “Location Effect“:
The location Effect can have an even higher influence than the
„Traveltime Effect“.
It´s a real phenomenon: Companies like Viessmann in Allendorf
and Würth in Schwäbisch-Hall take systematically advantage of
this effect by operating their own airfield and fleet of businessaircraft, far away from any central area and airport.
GA´s Infrastructure
Egelsbach,1.400m RWY,
80.000 mvmts. p.y.,
satellite airfield of FRA
Airfield operating costs
p.y. vary between
250&500 k €, revenues
via landing and user
fees
With the costs for 1 km of ICE tracks = 20 mio. EUR,
4 “sports aviation airstrips“ can be built to “business standard“
airfields with a weather independent instrument approach
Engpässe: IFR-Verfahren, FoF , Runway-Länge
Technology Transfer 1)
1977: Learjet Model 28/29, first production jet aircraft to utilize winglets.
Winglets, introduced by GA, today reduce fuel consumption of airliners by 5-7%!
In Germany GA burns 50 Mio. liters fuel p.y., the Airlines 12. bn. liters, 240 times more.
So GA´s Winglets save five times more fuel in the Airlines than GA consumes in total!
Technology Transfer 2)
Boeing´s first aircraft
powered by a fuel cell
was a Diamond Aircraft
“Super-Dimona“ MotorGlider in spring 2008
In Brasil hundreds of
Embraer EMB 202 Aircraft fly
Agricultural Missions with
pure Bio-Ethanol
Technology Transfer 3)
GA aircraft manufacturers
like Cirrus, Diamond and
Lancair have a long and
successful tradition of
building all composite
aircraft …
… whereas Boeing´s
all composite 787 has
not even completed its
maiden flight.
GA Ecology
Are GA Aircraft just noisy fuel-burners?
- Airfields remain below all Noise Limitations for
German Airports (Flughäfen), Streets and
Railroads
- With modern Diesel engines a DA40 TDI
consumes only 2,5l / 100 Pkm, less than a modern
Boeing 747-400 with 3,7l
- A “classic“ Socata TB20 consumes 4,2l /100 PKM
GA Security, is there a threat?
W = ½ mc², so 1.200 Cessna 172s are needed to create the
kinetic energy of a single Boeing 767 like at 9/11
An International Comparison
250
• GA revenues in the USA:
100 bn. USD p.a. = 250 EUR
per Citizen, Trend: Rising
200
150
USA
D
100
50
0
• and in Germany:
980 mio. EUR p.a. = 12 EUR
per Citizen, only 4,8% of USA,
Trend: Falling, except Business
Sector
Revenue/Citizen
Why?
Area:
• Europe = 7% bigger
Citizens:
• Europe = 70% more
GDP:
• Per Citizen almost
identical
GA density in Aircraft / 1 Mio. Citizens
International Distribution of GA
Population Density in Citizens / Square Kilometer
3. GA´s perspectives
What will come?
• GA will not be a means of mass transportation,
but it can occupy an important and growing
niche in transportation
• Very Light Jets will significantly expand the
market, reach new target groups
• New Fuels and Engines will improve ecology
• New Avionics and ATM-Technolgies will
improve safety and efficiency
What does GA need?
• Acceptance of GA as an ordinary means of
transportation
• Reduction of Bureaucratic Overhead: GA in USA has
less but strict regulation, better economy, and even
better safety records. A challenge for EASA!
• Adequate Network of weather independent GA
Airfields
• Simplification of IFR-Courses in Europe, in the USA
53% of pilots hold an IFR-Rating, in Europe only 4%
• Implementation of Satellite Navigation Procedures for
Approaches and En-Route
4. Jobs in Germany´s GA
•
•
•
•
•
•
Maintenance and Production
Flight Schools
Airfields
Air Taxi
Police + Border Patrol
Corporate Aviation
Total:
3.070
900
1.050
1.250
600
~1.000
~7.200
G e rm a n C o rp o ra te G A U s e rs
U n te rn e h m e n
L F Z -T yp
BASF
B e e c h K in g A ir 3 0 0
H e in ric h -B au e r-V e rla g F a lc o n 9 0 0
Bauhaus
F a lc o n 20 0 0 , L e a r J e t 3 5 A
B e rte ls m a n n
F a lc o n 50 , B e ec h K in g A ir 3 0 0
BMW
H a w k e r 8 0 0 , G u lfstre a m V
B u rd a
L e a rje t 6 0, B e e c h K in g A ir C 9 0
D a im le r-C h rys le r
A irb u s A 3 2 0 / A 3 19 B J
D e u tsc h e T e le k o m
C h a lle n g e r 60 4
D u s c h o lu x
C ita tio n J e t, C e ss na 3 4 0
H e rtie
F a lc o n 10
Lego
F a lc o n 90 0
L ie b h e rr
C ita tio n J e t
D r. O etk e r
B e e c h K in g A ir 3 0 0
SAP
L e a rje t 3 1
S c h o e ller
B e e c h jet 4 0 0
Q u e lle
L e a rje t 5 5
V ie ss m a n n
C ita tio n V , C ita tio nJ e t
V o lks w a g e n
F a lc o n 90 0
W ü rth
C ita tio n V
Thank you very
much for your
audience!