Golden gateway
Posted Date: 01/09/2007
Issue: Executive & VIP Aviation International September 2007
Publication: Executive & VIP Aviation International
Opened by a prince and with design awards in its cabinet, TAG London Farnborough Airport is situated at the gateway to London. On the first anniversary of its opening, Jo Murray talks to Brandon O’Reilly, Chief Executive Officer
Farnborough has been synonymous with aviation for a century; but perhaps not always on such a glamorous scale. Control by TAG Aviation has brought with it investment in a new control tower, a triple hangar and an executive terminal building; not to mention new radar infrastructure and a resurfaced runway. Before TAG Aviation signed the lease on the airport with the UK Ministry of Defence and became an airport operator, Farnborough was a very different place. Brandon O’Reilly is Chief Executive Officer at Farnborough Airport. A commercial aviation man by background, he joined TAG Aviation at Farnborough at a very exciting stage of the airport’s development; and at a healthy stage of business aviation’s growth curve. “It’s a good place to be,” remarks O’Reilly.
Time and money
Farnborough Airport is a beautifully designed airport which is fit for purpose and no expense has been spared on its design and construction. Commenting on the decision to invest, O’Reilly says: “TAG Aviation felt that, with the prevailing market conditions, the proximity to London and the incredible heritage of operations at Farnborough Airport, the decision to invest was prompted by the evidence that this was the right airport, in the right place, at the right time and in the right market conditions. Ten years on, TAG has proved to be right.”
O’Reilly points out that what distinguishes Farnborough Airport from most other UK airports is its total dedication to business aviation. “There is no other flying permitted here,” explains O’Reilly. “Our planning permission, and our agreements with the local authority and the Ministry of Defence, states that business aviation will be the only type of aviation permitted here. That gives us a competitive advantage from the business aviation perspective, because many other major commercial airports are becoming saturated. This means that business aviation is potentially becoming squeezed out.” Equally, business aviation facilities at most commercial airports are not in the same league as those offered at Farnborough Airport. “Our facilities have been designed with the TAG ethos in mind, which is excellence in design, modernity, environmental concern, functionality and customer need,” points out O’Reilly. “The new airport facilities are also architecturally significant. All three of the key buildings – the tower, the hangars and the terminal – have won architectural awards. The buildings are all remarkably different from those at any other business aviation facility that you would find in Europe.”
One year on
Given the privilege of working from such an enhanced site, what has the new design and construction meant for volumes and revenues over the last year? O’Reilly says: “Between 2005 and 2006 we grew by 16% in terms of movements; and in the first quarter of 2007 compared with the first quarter of 2006 we grew at 26.63%. We predicted strong growth; however I have to say that growth is stronger recently than we forecasted, but growth is probably in line with TAG’s expectations when the facilities were first built.” O’Reilly lists the growth drivers at Farnborough: “First there is global and regional economic growth over the last few years – that necessarily generates business-related transportation. Allied to that is the fact that airlines and the types of airport that airlines operate into are becoming congested and awkward to transit. That will naturally create, at the top end of the market, a demand for private business travel.” Asked whether business aviation is likely to show some immunity to the aviation cycles that plague the commercial sector, O’Reilly comments: “I would not say that business aviation is immune from economic cycles. That is why we must ensure that we have the best product and that we deliver it in a fashion that tolerates no compromises. If we can do that, we are as best protected as we can be.”
Over the 10 years that TAG Aviation has gradually taken control of Farnborough Airport, it has been able to meet the demand for the vast majority of business aviation traffic. Business aircraft of no more than 80 tonnes MTOW can land here, and there is a restriction on the number of heavier aircraft in the 50-80 tonne range. “The biggest aircraft type we can have land at Farnborough is the equivalent of a 737 BBJ2, or a A319 CJ or A320 Prestige business jet,” comments O’Reilly, adding that larger VIP aircraft like 757, 767, 747, 777, A330 and A340 aircraft do not meet the criteria.
Care for the community
Although Farnborough is outside London, it is still a gateway town and with an urban presence comes community responsibility. Farnborough Airport is a noise sensitive airport. “We take very seriously our responsibility to the community here. We only allow Stage 3 aircraft and better; all Stage 2 and under business jets are not allowed into Farnborough at all. We have noise contours to which we have to adhere,” explains O’Reilly. “We report to the local authority and the Farnborough Airport Consultative Committee on a regular basis with regard to our progress on noise mitigation. We have started the implementation of the ‘Farnborough Quiet Flying Programme’ which seeks to educate pilots to fly more quietly.”
He adds: “We have also built fixed electric ground power units here so that aircraft do not have their auxiliary power units running on the ground; these are available free of charge. Engagement with the community takes place on a regular basis with working parties firmly in place and very active on the noise mitigation front.” Asked whether the new facilities were designed with an environmental eye, O’Reilly responds: “There are a number of environmental restrictions here which we took into consideration. There was rerouting and protection of a river; there are areas of special scientific interest involving certain birds that have to be protected; and new landscaping was introduced around various parts of the airport so that noise is captured by that landscaping,” remarks O’Reilly, adding that there are noise monitors around the runway too.
But the pressure on airports open to business jets around London is becoming intense and is only likely to grow as demand for private jet travel intensifies. “The key issue we have is capacity. We are capped on the number of movements we can have annually at 28,000; we are also capped on the number of movements we can have at weekends. We had 21,365 movements in 2006 and we are growing at 26.63%, the mathematics will show that we will reach that 28,000 quickly – probably by the end of 2008,” says O’Reilly.
While some airports around London do not have the capacity to grow, Farnborough Airport does. “This airport is significantly under-utilised. We are capped because that was the agreement we made with the local authority. Of the 28,000 movements, we are permitted to operate 2,500 of those at weekends and on bank holidays. In 2006 we turned away 1,500 movements at weekends because we were full,” explains O’Reilly.As O’Reilly pursues his quest to allow the airport to grow to meet prevailing demand through existing capacity by adjusting the cap on the number of movements permitted at the airport, the business aviation community flying into London will just have to wait and see if his voice is heard.
