There are numerous but not insurmountable challenges facing Africa's aviation sector, according to IATA. (Image source: Adobe Stock)

The International Air Transport Association (IATA) has called on Africa’s governments to take advantage of the continent’s emerging aviation sector in order to stimulate wider economic and social development

According to the organisation, which represents around 330 airlines, Africa’s airlines are forecast to earn a collective net profit in 2024 of around US$100mn. While this translates into just 90 cents per passenger (below the global average of US$6.14), it can be seen as a success in light of the post-Covid environment and global instability that has coloured the operating environment over the last few years.

“Africa’s airlines are making a collective profit. That is good news. But it is razor-thin and well below the global benchmark. And there are wide variations across the continent where many individual airlines still struggle with losses,” commented Kamil Al-Awadhi, IATA’s regional vice president for Africa and the Middle East. “The demand to travel is there. To meet it, the African airline sector needs to overcome many challenges, not least of which are infrastructure deficiencies, high costs, onerous taxation, and the failure to broadly implement a continent-wide multilateral traffic rights regime. The challenges facing African aviation are significant, but they are not insurmountable.”

To help the continent do so, and realise it’s the enormous aviation potential, IATA has laid out the Focus Africa initiative – a collaborative strategy pooling together the resources from the aviation value chain and build partnerships within countries to meet clear and measurable objectives. It is focused on addressing key challenges and opportunities within the continent’s aviation sector, emphasising six priority areas in the form of Safety, Infrastructure, Connectivity, Finance and Distribution, Sustainability and Future Skills.

“IATA’s Focus Africa initiative is by no means a panacea, but it does lay out a framework to build a stronger aviation sector that will provide even better support to economic growth and social development,” explained Al-Awadhi. “The potential for aviation in Africa is huge. It has 17% of the world’s population yet only contributes about 2% of total global travel. While there are hurdles to overcome, through collaborative initiatives like Focus Africa with our partners including AFCAC, AFRAA and AASA we are addressing critical challenges hindering the advancement of aviation across Africa. Our goal is a safer, more efficient, and better-connected continent, driven by a diverse, skilled workforce to unleash aviation’s potential and unlock the economic and social opportunities.”

South Africa’s SAF opportunity

While encouraging the development of the aviation industry across the continent, IATA also singled out policy makers in South Africa by recognising an opportunity distinct to the country.

As government and industry officials gathered in Johannesburg for the IATA Wings of Change Focus Africa conference, the organisation called for the country to accelerate the development of Sustainable Aviation Fuel (SAF) production.

“South Africa has vast potential to become a leading SAF producer in the region. And there is a waiting market for SAF as airlines work to achieve net zero carbon emissions by 2050,” stated Marie Owens Thomsen, IATA’s senior vice president for sustainability and chief economist. “More than a strategy in support of aviation’s decarbonisation, it is a strategy for economic development and should be a top priority for the new South African government. Across agriculture, energy, and transportation, new jobs and industries are waiting to be created that would not only help fight poverty but also contribute to greater energy independence.

“Airlines are ready and waiting to purchase SAF as evidenced by the fact that every drop of SAF produced has been purchased and used. But the production volumes are a minute fraction of what aviation needs. That’s why it is essential for governments of countries with production potential, such as South Africa, to embrace what is a unique win-win-win opportunity for economic development, energy transition, and decarbonised air transportation.”

IATA is not the only entity to call for decision makers on the continent to get ahead of the forthcoming SAF surge; Omar Ali Adib of Rolls-Royce also provided this opinion in a recent article published on Africa Review. Discover why the senior vice president believes Africa could become home to a “world-leading” biofuel sector at: https://africanreview.com/transport-a-logistics/africa-s-sustainable-aviation-fuel-opportunity

Transporting the massive transformer meant overcoming many logistical challenges. (Image source: AGL)

AGL Egypt, part of Africa Global Logistics, has successfully transported a 50-ton transformer to Zimbabwe

The massive transformer contained 14 tons of compressed nitrogen gas – a critical component for its operation – and was required to be transported through the Port of Durban in South Africa and then on through multiple countries until it reached its final destination. Under the leadership of Osama Sedawy, the AGL team in Egypt successfully carried out the operation despite challenging circumstances including complex border crossings, challenging road conditions and local regulations.

According to the company, the completion of this project is a demonstration of its logistical expertise, its commitment to supporting regional growth and connectivity, and its ability to handle large-scale, complex operations with precision and reliability.

Jason Reynard, regional managing director at AGL East Africa, remarked, “We are immensely proud of our team’s accomplishment in executing this challenging logistics project. This project is a testament to our dedication to providing seamless logistics solutions that support the economic development and infrastructure advancement of the region. Our robust logistics networks are essential in driving the progress and transformation we are witnessing across Africa.”

Elsewhere, AGL Rwanda has laid the foundation stone for the extension of its Kigali warehouse as part of its efforts to meet growing logistics demand in East Africa. Discover more at: https://africanreview.com/transport-a-logistics/agl-rwanda-moves-to-meet-growing-logistics-demand-in-east-africa

On average, SAF can reduce aviation carbon emission by up to 80%. (Image source: Adobe Stock)

Omar Ali Adib, Rolls-Royce Senior Vice President for Africa, has outlined why there are opportunities for Africa in the global transition to cleaner, sustainable aviation fuel (SAF), which will need to be indigenously produced to be truly sustainable

African airlines play a vital role in unlocking trade, providing employment, increasing GDP, and demonstrating national and continental pride. However, they face formidable challenges, foremost among them being the cost of aircraft fuel, which exceeds global averages by up to 30%, which can be attributed to the lack of local refining capability, unique market dynamics, taxation and duties, and foreign exchange challenges from weakening local currencies.

In the wake of the Covid-19 pandemic, Africa’s aviation sector has displayed remarkable resilience by returning to pre-pandemic levels. However, if African airlines are to continue to sustain their growth and competitiveness on the global stage, then they will need to fulfil some strategic objectives.

The industry needs the best technologies to maximise operational efficiencies, defend and innovate fuel security, and develop human resources.

Boosting engine performance

In terms of operational efficiency, Rolls-Royce has a role to play in supporting African airlines.

Its engines power half of the world’s wide-body (twin-aisled) aircraft, connecting passengers, transporting food and goods, and delivering healthcare and humanitarian aid. The most technologically advanced members of the Rolls-Royce engine family are the Trent 7000, which powers the Airbus A330neo, the Trent XWB, which serves the Airbus A350, and, of course, the Trent 1000, which was designed for Boeing’s 787.

This engine family has continually evolved over the last 30 years. Since the first Trent engine took flight, Rolls-Royce has focused on improving engine performance and reliability, introducing advanced new manufacturing methods, materials, aerodynamics and digital technologies. Just recently, Rolls-Royce committed UK£1bn (approx. US$1.27bn) to a programme that will enhance and advance not only new engines entering the market but also engines already in service. With this new billion-pound investment in new technologies, existing customers will benefit from improved availability, reliability and fuel efficiency.

Alternative African fuely

Today, a Rolls-Royce Trent XWB aero engine consumes 15% less fuel than the first generation of Trent engines, contributing to savings of about US$6.4mn per aircraft per year. These savings can be even greater in Africa due to the higher cost of jet fuel.

Turning to fuel innovation and security, there are opportunities for Africa in the global transition to cleaner SAF, which will need to be indigenously produced to be truly sustainable. This alternative African fuel would bring immediate benefits to emissions and longer-term fuel security. But the challenge is to produce SAF at scale.

In addition to the well-documented benefits of SAF as a key enabler to reduce aviation carbon emissions by up to 80%. The subject of SAF will become increasingly important as, from 2025, all airlines flying into the European Union must use a 2% blend of SAF, which will gradually increase to 6% in 2030, 20% by 2035, 34% by 2040, and 70% by 2050. This move has prompted the recently established EU Global Gateway African Euro320bn Investment Package, half of which will be directed towards developing Africa’s SAF capabilities.

Rolls-Royce has actively supported work to support 100% SAF adoption and its role has been to prove there are no technology impediments to its use at engine level. That is why it has recently completed its commitment to ensure all of its in-production civil aero engines are compatible with 100% SAF – a commitment underpinned by a series of tests on the ground and in the air. It was also pleased to support Virgin Atlantic, which operated the first-ever 100% SAF flight across the Atlantic from London to New York late last year, powered by Trent 1000 engines

SAF can be made from waste cooking oils and biofuels produced from agricultural waste or the growing of feedstock plants on marginal lands unsuitable for food crops – a whole new sector of agriculture. The benefits of a regional SAF supply chain include increased energy security, reduced volatility of jet fuel supply and pricing, less forex exposure and economic development opportunities through local investments and job creation.

Choosing the right aerospace technology that continues to advance and evolve while in service simultaneously reduces operating costs, bolsters the growing economy and strengthens the transition to indigenous and better-performing fuel.

Africa has over 24% of the world’s agricultural land and 60% of the world’s uncultivated arable land. Thanks to partnerships forged between the government and private sector in East Africa, we are delighted to see the seeds are already being sown to develop a world-leading biofuel sector.

This article was origninally distributed by APO Group on behalf of LCH Consultancy & Associates.

The brand and marketing conference in Kenya. (Image source: UD Trucks)

UD Trucks has hosted Brand Day events in both Kenya and Egypt to promote and plan the brand’s future direction across Africa and the Middle East

The events have been held on the back of a record-breaking year across the two regions typified by impressive sales growth across all segments and marked by involvement in prestigious projects like those at NEOM and the Red Sea. Further, they follow UD Truck’s entry into the Egyptian market and relaunch in Kenya (which were focal points during both days). With the platform already set for success, the two days (held in May) gathered together marketing representatives from across the two regions in a bid to foster collaboration and strategically plan the brand’s future direction.

According to UD Trucks, more than 100 participants took part across both events and these would ultimately prove beneficial for partners and customers as they lead to the development of more tailored and efficient solutions, improved service quality and enhanced product offerings.

The first of the days was held in Nairobi and celebrated the brand’s relaunch in the country. It saw participation from a range of marketing communications teams and key partners in the region who participated in discussions, strategic workshops and interactive sessions aimed at unifying marketing efforts.

Then, in Cairo, the second Brand Day brought together UD Trucks commercial crew alongside marketing representatives from neighboring countries. The focus of this event was on regional collaboration and strategic alignment to ensure a consistent and impactful UD Trucks brand presence across the Middle East.