Lack of GCC airspace capacity threatens Dubai's growth
by This email address is being protected from spam bots, you need Javascript enabled to view it on Monday, 05 May 2008
A severe lack of airspace capacity in the GCC could harm Dubai’s aviation growth, an leading industry executive warned on Sunday.
Speaking at the Arabian Hotel Investment Conference, Dubai Airports CEO Paul Griffiths said there was a “pressing need” to increase airspace capacity across the Gulf region.
“We will have the accommodation on the ground but what we must address is the very real challenge of airspace capacity. This means unlocking current 'no fly' zones around the GCC which potentially pose a fundamental barrier to growth,” Griffiths said.
Currently Middle Eastern airlines are forced to fly in restricted air corridors, with security-related no-fly zones reportedly in Iran, Afghanistan, Kuwait and parts of Saudi Arabia, forcing flights from Dubai to the UK or Australia to take extensive detours.
Griffiths said issue could not be solved by independent countries and called for intra-regional cooperation.
If the problem was not addressed it could prove a “significant problem” for the growth of the region's hotels and tourism industry, he added.
Griffiths also said that over-capacity in the Gulf region was a possibility, given the expansion at airports in Abu Dhabi, Doha and other destinations.
However, globally there was a need for more airports, more runways and more terminals, he said.
“Dubai needs more airport capacity and we must supply it if the emirate is to remain it a success,” he said.
Griffiths also suggested operations at the existing international airport could be discontinued once the Al Maktoum International Airport at Dubai World Central was fully operational.
The $10 billion Al Maktoum International Airport in Jebel Ali is expected to be fully operational by 2017.
READERS' COMMENTS
MORE FROM ARABIANBUSINESS.COM
TOP IN MIDDLE EAST TRANSPORTATION
TOP MIDDLE EAST BUSINESS STORIES
ALSO IN MIDDLE EAST TRANSPORTATION
LATEST MIDDLE EAST BUSINESS NEWS
- Banking & Finance: Dubai gov't repays $1bn aviation bond
- Personal Finance: Credit bureaus combine to form regional group
- Healthcare: Kuwait swine flu fatalities rise to 24
- Politics & Economics: Mideast needs to improve insolvency rules - World Bank
- Travel & Hospitality: ADNH sees net profit up by 28% but hotels suffer
SHARE PRICE CHECK
RELATED STORIES
Atm
3 stories- Dubai showcases China's most beautiful city
8 May '08 | News - Qatar Airways mulls launch of budget carrier
8 May '08 | News - Dubailand dismisses delay rumours
7 May '08 | News
Dubai Airports
- Dubai sees 19.5% rise in air passengers in Sept
21 Oct '09 | News - Dubai sees double digit passenger growth in Aug
28 Sep '09 | News - Dubai eyes 46m air passengers in 2010
14 Sep '09 | News
Gulf Cooperation Council (GCC)
- Recession is over, declare GCC finance chiefs
17 Oct '09 | News - UAE leads GCC’s nuke power rush
15 Oct '09 | Features - Gulf states deny talks to replace $ for oil trade
6 Oct '09 | News




