Runway work to clip Emirates' wings
About 2500 departures - or 31 services a day - will be cancelled at the world's second-busiest international airport for 81 days next year while repairs are carried out on two runways. The cancellations represent about 14 per cent of flight departures from Dubai.
The airport is yet to finalise allocation of slots for scores of airlines during the outage but Emirates executive Barry Brown said it would inevitably lead to disruptions.
"We're trying to manage whatever slots are being handed out to us. If we have to make cancellations on certain routes we will do that," he said. "There will be a bit of pain."
Emirates has 84 services a week between Dubai and Australian cities, which makes it the third-biggest international operator after Qantas and Singapore Airlines.
Mr Brown refused to say what impact the work was likely to have on Emirates flights to Australia. However, the addition of more A380 superjumbos, which carry more passengers, to Emirates' fleet would help reduce flight numbers in the three months.
Dubai has also become Qantas' main hub for flights to Europe since its alliance with Emirates began in March.
Qantas believes it will be able to retain all of its 28 weekly landing slots at Dubai but has said the closures may require changes to timing of its twice-daily flights to Europe.
Mr Brown said neither Emirates nor Qantas would receive preferential treatment from Dubai Airport authorities in allocation of landing slots. Between them, Qantas and Emirates control more than half of the market share of air passengers between Australia and Europe.
Due to the strain from an influx of large aircraft such as A380s, Dubai Airport will carry out extensive repair work from next May.
Like other airlines, Mr Brown said Emirates faced a "mini perfect storm" on international routes worldwide with excess flight capacity, heavy discounting of fares and high jet fuel prices.
"Fuel continues to be a red spike on the balance sheet ... and trading conditions are very difficult, and because of that prices have come down, particularly with capacity increases into Australia," he said.
"Airlines are vying for market share. You are seeing bigger, wider-body aircraft come in."
But, he said, the Qantas alliance had boosted passenger numbers in Emirates business and first-class cabins to and from Australia, helping to offset lower margins on economy tickets, although he would not put a figure on the financial gains.
While Emirates might consider flying to more Australian destinations in the longer term, Mr Brown said, it was more likely to use larger planes than increase frequency.
Frequently Asked Questions about this Article…
The runway repairs at Dubai Airport will lead to inevitable disruptions in Emirates' worldwide network. About 2,500 departures will be canceled over 81 days, representing 14% of flight departures from Dubai. This will impact Emirates' flight schedules, including routes to Australia.
The runway repairs at Dubai Airport are expected to cause inevitable disruptions to Emirates' worldwide network. About 2,500 departures will be canceled over 81 days, representing 14% of flight departures from Dubai. The exact impact on routes to Australia is still being determined.
Emirates is working to manage the allocation of slots during the runway repairs. They may need to cancel certain routes, but the addition of more A380 superjumbos, which carry more passengers, could help reduce the number of flights needed during the repair period.
Emirates is working to manage the allocation of slots during the runway repairs. They may need to cancel certain routes, but the addition of more A380 superjumbos, which carry more passengers, could help reduce the number of flights needed during this period.
While Emirates has not specified the exact impact on flights to Australia, the airline operates 84 services a week between Dubai and Australian cities. The use of larger aircraft like the A380 may help mitigate some disruptions.
Qantas believes it will retain all 28 of its weekly landing slots at Dubai, but the runway closures may require changes to the timing of its twice-daily flights to Europe. Both Qantas and Emirates will not receive preferential treatment in slot allocation.
The Qantas-Emirates alliance will face challenges due to the runway repairs. Qantas plans to retain all its 28 weekly landing slots at Dubai, but may need to adjust the timing of its flights to Europe. Both airlines will not receive preferential treatment in slot allocation.
Since the alliance began, Dubai has become Qantas' main hub for flights to Europe. This partnership has boosted passenger numbers in Emirates' business and first-class cabins to and from Australia, helping offset lower margins on economy tickets.
Airlines, including Emirates, are facing a 'mini perfect storm' with excess flight capacity, heavy fare discounting, and high jet fuel prices. These factors are creating difficult trading conditions and increased competition for market share.
Emirates is facing a 'mini perfect storm' with excess flight capacity, heavy discounting of fares, and high jet fuel prices. These factors are creating difficult trading conditions and increased competition for market share.
The Qantas alliance has boosted passenger numbers in Emirates' business and first-class cabins to and from Australia. This has helped offset lower margins on economy tickets, although specific financial gains have not been disclosed.
Emirates is considering using larger aircraft, such as the A380 superjumbos, to handle increased capacity into Australia. This strategy could help manage the number of flights needed while accommodating more passengers.
In the longer term, Emirates might consider flying to more Australian destinations. However, it is more likely to use larger planes to accommodate more passengers rather than increasing flight frequency.
While Emirates might consider flying to more Australian destinations in the long term, it is currently more likely to focus on using larger planes rather than increasing flight frequency.
The influx of large aircraft such as the A380 has contributed to the need for extensive runway repairs at Dubai Airport. These repairs are necessary to accommodate the increased strain on airport infrastructure.
High jet fuel prices continue to be a significant challenge for Emirates, impacting their balance sheet. Despite this, the airline is working to manage costs and maintain competitive pricing in a challenging market environment.