GROUND HANDLING SERVICES

A Project Report Prepared By

 Centre for Aviation Policy, Safety & Research

(CAPSR) 

Project Analysis

TABLE OF CONTENTS

      1. Introduction

      2. India Market

      3. Regulations

      4. Services 

      5. Equipments

      6. Basic Charges of Services

      7. Selection of Airport to Serve

      8. Ideal Resource Module

Introduction of Services – 1

  • In aviation, aircraft ground handling defines the servicing of an aircraft while it is on the ground and (usually) parked at a terminal gate of an airport. 
  • Ground handling addresses the many service requirements of a passenger aircraft between the time it arrives at a terminal gate and the time it departs for its next flight.
  • Speed, efficiency, and accuracy are important in ground handling.
  • A typical aircraft gate period include: cargo loading and unloading, passenger loading and unloading, potable water storage, lavatory waste tank drainage, aircraft refueling, , and food and beverage catering.

Introduction of Services -2

  • Many airlines subcontract ground handling to an airport or a handling agent, or even to another airline. 
  • Airlines employ specially designed GSE to support all these operations. Moreover, electrical power and conditioned air are generally required throughout gate operational periods for both passenger and crew comfort and safety.

Market Size

  • The market shares we estimate the total value of the Indian ground handling market, to be €246 million for ramp and passenger services combined. Market share and size estimates have been developed in line with the methodology on turnaround costs for the USA adjusted for purchasing power parity using World Bank data. However based on market commentary, we consider this may be an underestimate. 
  • India ground handling services market is expected to register a positive CAGR of around 14.1% during the period FY’2018 – FY’2026.
  • Increasing number of people travelling by air, growth in air cargo and ground handler focus on security and customer centric approach are expected to have a positive effect on the overall revenue of the India Ground Handling Market.
  • Apart from Metro Airports , there are approximately 45 class II city airports which has mixed system, mostly dominated by third party service providers. Apart from airlines , General aviation is another segment which is totally dependant on third party ground handling services

Authorised Ground Handlers at Metro Airports

Delhi

  • AISATS   50:50 joint venture between Air India Limited and Singapore Airport Terminal Service
  •  (SATS Ltd)
  • Bird Worldwide Flight Services   Consortium of French based Worldwide Flight Services and an Indian company The Bird Group
  • Cambata Aviation Indian Firm
  • Celebi Ground Handling Turkish ground handling firm

Mumbai

  • Air India
  • Cambata Aviation

  Chennai

  • Air India
  • Bhadra International Indian based company partnered with NOVIA (from Denmark)
  • Cambata Aviation

   Bangalore

  • AISATS
  • Globe Ground Joint venture between Globe Ground (German company) and the Indian company Bird Group

   Hyderabad

  • AISATS
  • Menzies Bobba :  Joint venture between Menzies Aviation headquartered in London (Menzies Aviation is a full subsidiary of John Menzies Plc established in Edinburgh) and an IndianCompany Bobba Group.

   Kolkata

  • Air India
  • Bhadra International

Opportunities – 1

  • India Ground handling services market offers compelling opportunities in the future with the implementation of favorable government schemes such as UDAN and 100% FDI in ground handling services market. 
  • The 100% FDI scheme will encourage and enable foreign investors to enter the market.
  • UDAN scheme will lead to construction of new airports in India which will poise opportunities for ground handling companies. 
  • Growth in the airline fleet in India will also increase demand for ground handling services as flight time increases. 
  • With rise in per capita income, people will prefer to travel by air rather than rail transport, thus increasing the number of air passengers.
  • As e-commerce industry in India will grow, transportation of cargo, especially by air, will swell in future. 
  • These factors together will lead to growth in demand for ground handling services.

Opportunities – 2

  • New ground handling companies should target airports in Tier 2 cities in India and increase their focus on security and customer centricity in service provision to gain larger ground in the market.
  • Airports Authority of India is planning to release RFQs for 90 AAI operated airports in India. Up-to 2 ground handling service providers will be required to operate at these airports apart from AIATSL/AISATS. 
  • This presents significant potential for ground handlers in India ground handling services market.

India Market

  •   India ground handling services market is expected to register a positive CAGR of around 14.1% during the period FY’2018 – FY’2026. Increasing number of people travelling by air, growth in air cargo and ground handler focus on security and customer centric approach are expected to have a positive effect on the overall revenue of the India Ground Handling Market. Products Covered:
  • Airport Ground Handling Services: 
  • Passenger Handling Services, Ramp Handling Services, Cargo Handling Services, check-in, gate arrival/departure, customer service counters, lost/damaged/transfer baggage handling, unaccompanied minors and special needs customers, interior cabin cleaning, temperature control and de-icing, lavatory/water services, handling checked-in baggage, aircraft tow/pushback, airport bussing, offloading/loading and storage of pallets, containers and unit load devices, cargo supervision and security screening, export/import cargo handling and mail, perishable cargo handling, DG handling, VAL handling, notification of recipients, ULD build up and break-down
  • Companies Covered:
  • Air India Air Transport Services Ltd. (AIATSL), Air India SATS Ltd., Bird Worldwide Flight Services, Celebi Nas Airport Services India Pvt. Ltd., Bhadra International Pvt. Ltd., Indo-Thai Airport Management Services, Menzies Aviation Bobba (Bangalore) Pvt. Ltd, GlobeGround India, Celebi Delhi Cargo Terminal Management Private India Limited, IFOS Aviation Services Private Limited, Bird Execujet Airport Services Private Limited, Bangalore Airport Terminal Management Private India Limited, Cargo Service Centre, KCIC Private Limited and Indamer MJets Airport Services Private

Ideal Resource Module

 Annual Expanses

Airport Licence Fee

Airport Space Rent

Damage Loss Insurance

Monthly Expanses

 A.  Step ladder(Universal) on loan basis initially @ customer’s chargeable basis                                     

 B.   Minimum tools

      1   SUV Vehicle (on rent) – 20,000-

      1   Office inside airport – 25,000

      1   Base in charge – 30,000

      1   Common executive – 20,000

      1   Supervisor – 20,000.      

      2   Drivers –24,000

      5   Cleaners/loaders – 60,000

 Total –2,14,000

Regulations

Ground handling services at airports.–

  • All domestic scheduled airline operators and scheduled helicopter operators will be free to carry out self-handling at all airports including Civil Enclaves.
  •  A foreign airline may undertake self-handling in respect of passenger and baggage handling activities excluding security functions  listed  out in para 1 of AVSEC Order 03/2009 [enclosed as Annexure-I] at the airport terminals restricted to the passenger check-in at pre security hold area, at all the airports except Civil Enclaves or Joint User Defense Airfields.
  •  At the cargo terminals except Civil Enclaves or Joint User Defense Airfields, all cargo aircraft may undertake self handling excluding security functions listed out in para 1 of AVSEC Order 03/2009[Annexure-I].
  •  At all airports having annual passenger throughput of 10 million passengers per annum or above, the airport operator shall ensure that there will be three ground handling agencies including that of the Airport Operator or its Joint Venture or its 100% owned subsidiary, a Joint Venture or a subsidiary of Air India and any other ground handling agencies appointed by the airport operator through a transparent bidding process.
  • (e) At all airports having annual passenger throughput of less than 10 million passengers per annum,based on the traffic output and airside and terminal building capacity, the airport operator maydecide on the number of ground handling agencies, not exceeding three, including that of–

Regulations Cont..

At all airports having annual passenger throughput of less than 10 million passengers per annum, based othe      traffic output and airside and terminal building capacity, the airport operator may decide on the number of ground    handling agencies, not exceeding three, including that of–

   (i) the airport operator or its Joint Venture or its 100% owned subsidiary;

  (ii) a Joint Venture or a subsidiary of Air India;

 (iii) any other ground handling agency appointed by the airport operator through a transparent bidding process.

A ground handling agency, with foreign ownership of 50% or more of its paid-up capital shall not be  allowed to undertake ground handling activities at Civil Enclaves or Joint User Defense Airfields.

  • At all airports, the Joint Venture or the subsidiary of Air India shall match the lowest royalty paid by the other ground handling agencies.(h) The provisions of clauses (d), (e) and (g) of this regulation relating to Air India will be in force so
  • long the Air India remains a Public Sector Undertaking and in case of its disinvestment, the above said clauses will continue with respect to Air India at all such airports where it functions as a ground handling agency, till such time the next bid takes place for that airport.(i) No royalty is payable in case of self-handling
  • All airlines, Joint Ventures, subsidiaries, ground handling agencies shall enter into an agreement with the airport operator for the satisfactory observance of performance standards as may be mutually acceptable4. Entry into Terminal Building, 

Services

Ramp Services :

• Meeting and marshalling of the aircraft,

• Offloading and loadingof the aircraft,

• Supplying Ground Handling Equipments,

• Provision of Ground Power Unit, Air Condition Unit and Push-Back/Towing services to     the aircraft,

• Interior cleaning,

• Provision of toilet and water services to the aircraft,

• De-icing of aircraft in adverse weather conditions and taking measures for anti-icing,

• Passenger and crew transport between aircraft and passenger terminals,

• Storage of pallets, containers and other unit load devices.

Services Cont..

Coordination of Aircraft Servicing Units

 Preparation and distribution of flight documents (customs declaration, loading instruction, load sheet, passenger manifest, weather forecast, flight plan etc.),

Load control, weight and balance calculations, Transmission and reception of all operational messages, notification of all related units, Communication and coordination between aircraft and ground handling.

Flight Operation Services

• Flight permit and airport slot applications,

• Preparation and distribution of flight plan to the cabin crew,

• Coordination with fuel and aircraft catering companies,

• Preparation of weather forecasts and navigation information and distribution to the 

   cabin crew.

Representation and Supervision Services

• Making payments and/or issuing guarantees on behalf of the airlines to related   institutions such as terminal operators, airport authorities, customs, police, etc. against all services provided and listed above as per respective contracts.

• Establishing and maintaining contact with local authorities in the name of the airline company.

• Preparing, transmitting and filing reports, statistics, documents, etc related to flights.

QUICK Response Team

Introduction                                                                         

This is the team of semi-skilled professionals responsible for arranging GSEs including

cleaning solution at aircraft to make it ready for flying. 

Basic concept of such arrangement is  to ensure availability of resources near the aircraft in minimum possible time. 

  Arrangement of such  team is mostly to assist for technical service requirements where skill is necessary to perform specific task. The service criteria of such service team remain to attend critical requirements other than normal activities. 

There is two types of customer base i.e. regular and one timer. Thus we have two types

of rates to propose different variety of customers.

 Addition of such team is not only to expedite the performance level but also earns reputation and support to revenue base as .peripheral income to the organization.

Background

–Aviation is the highly sophisticated mode of transport where as General Aviation is all about personalized services, exclusively available for individual aircraft  and  passanger.                                                                                                                                                                                                                                          

Before take-off. Sometimes aircraft is coming to the airport and need quick assistance

during the few hours of transit unexpectedly as surprise. This is the time pilot need all

necessary help on single call and here speed, efficiency and accuracy is required at highest level during execution of the task.

Though providing such service is most challenging, but earn lots of appreciation with cash for the company.  For GHA, There are two types of customer base i.e. regular and one timer. Thus  they may have two types of rates to propose each variety of customers.

Services Expected At One  Base : QRT

S.No
01
02
03
04
05
06
07
08
09
10
11
 Services Expected
 Exterior and Interior cleaning of Aircraft 
 Lavatory cleaning and cutlery cleaning 
 Positioning of fresh tissue papers, room fresheners and insect removers
 Marshaling and ground to cockpit communication assistance
 Positioning of required GSE and operators  required at aircraft
 Arrangement of consumables etc. required  during ramp-maintenance
Wheel change or tire changing facility  arrangement
 Portable generator to arrange power  supply near aircraft
 External air conditioning system arrangement for aircraft parked on the bay/ramp
 Deep cleaning of aircraft interiors 
 Deep cleaning of aircraft exteriors including paint touch up
Monthly movement
10
10
30
10
20
10
05
05
10
02
02

Ideal Team For One Base : QRT

01      Manager – 75×1= 75000.00

03      SHIFT INCHARGE 

                         CUM 

                         TEAM LEADER – 30×3=  90,000.00

                         CUM

                        AIRCRAFT TECHNICIAN

03     CLEANING EXPERT – 25×3=75,000.00

04       HELPER CUM DRIVER – 15×3=45,000.00

TOTAL – 2,85,000.00

Equipment Required : QRT CONT …

01 UTILITY VEHICLE – 01

02. CLEANING EQUIPMENT  –  2 Set

03. CLEANING CONSUMABLES & Tissue Paper

 04. INSECT REMOVER & ROOMFRESHENERS SPRAYS

05. WATER & TOILET CARTAGE  – 01 Each

06. PORTABLE GENERATORS – 02

07. INSPECTION LAMPS WITH CABLE AND BOARD – 04 Set

08. GROUND POWER UNIT (GPU) – 01

09. TRESSELS  of Different Sizes – 02 Set

10. JACKS AS & WHEN REQUIRED BASIS 

11. NITROGEN CHARGING KIT AS &WHENREQUIRED BASIS

12. GROUND TO COCKPITCOMMUNICATION HEAD SETS – 03 Set

13. NITROGEN CHARGING KIT AS & WHENREQUIRED BASIS

14. SMALL LADDER FOR SMALL HIGHT  ACCESS   01

15. BATTERY CART AS ANDWHENREQUIRED

16. EXTERNAL PORTABLEAIRCONDITIONER  – 02

17. WIRELESS COMMUNICATION SET – 1 WITH 4 WALKY-TALKY SET

18. WHEEL CHOCKS   – 04 SETS 

19. TAIL STANDS/AIRCRAFT TETHERING  – 01

20. SAFETY CONES   – 04

21. PORTABLE FIRE EXTINGUSHIR – 02

22. MARSHELLING LAMP – 02 SETS

23. MARSHELLING BAT – 02 SETS

24. CREDIT CARD SWEPING MACHING  – 01

Revenue Model

For Handling Domestic Flights :

  • A.      Ramp Assistance         – @5,000 – 8,000 per flight
  • B.      Commercial Handling – @8,000 – 10,000 per flight  

For Handling International Flights:

  • A.      B&GA – @40,000/- per flight (Ramp and Comm.)
  • B.      1 time Comm. A/C – @80,000 (Ramp and Comm.)  (All equipment on rent extra)
  • C.      Regular International airline –
    • a)50,000 (Ramp and Comm.)
    • b)30,000 (Ramp)
    • (Some equipment involved)       

Ground Handling Equipments

Ground Support Equipment (GSE) is the support equipment found at an airport, usually on the apron, the servicing area by the terminal. This equipment is used to service the aircraft between flights. As the name suggests, ground support equipment is there to support the operations of aircraft whilst on the ground. The role of this equipment generally involves ground power operations, aircraft mobility, and cargo/passenger loading operations

Basic equipment to buy for Handling Airlines:

  • 1.       Tractor with Trolley – 30,000 Pr Month
  • 2.       Universal ladder – 3.5lac
  • 3.       2 SUV’s – 60,000 Per Month
  • 4.       Baggage Loading VSL -2.5lac
  • 5.       Pushback and GPU/ Air Start on Loan/ Monthly Rent (Rs.01 lac pe rmonth )

Services

General

• Safe acceptance of outgoing passengers to the aircraft,

• Incoming and outgoing VIP, unaccompanied children and special care passenger  services,

  • Specially trained personnel for with reduced mobility passengers.

Load Control and Communication Services

• Coordination of aircraft servicing units,

• Preparation and distribution of flight documents (customs declaration, loading instruction, load sheet, pessenger manifest, weather forecast, flight plan etc.),

• Load control, weight and balance calculations,

• Transmission and reception of all operational messages, notification of all related units,

• Communication and coordination between aircraft and ground handling.

Equipments To Handle Transport Aircraft

Non-powered equipment

1.1 Dollies

1.2 Chocks

1.3 Aircraft Tripod Jack

1.4 Aircraft Service Stair

                 Powered equipment

2.1 Refuelers

2.2 Tugs and tractors

2.3 Ground power units

2.4 Buses

2.5 Container loader

2.6 Transporters

2.7 Air Start Unit

2.8 Potable water trucks

2.9 Lavatory service vehicles

2.10 Catering vehicle

2.11 Belt loaders

2.12 Passenger boarding steps/stairs

2.13 Pushback tugs and tractors2.14 De/anti-icing vehicles