Kenya Airways finally seeks approval to fly Dreamliners

A Boeing 787 Dreamliner in Paris: KQ’s modernisation with more fuel efficient planes is at the core of the airline’s cost-cutting plan. Photo/FILE  NATION MEDIA GROUP

By WANGUI MAINA

In Summary

• National carrier asks aviation watchdog to add plane to its licence
• The airline has asked Kenya Civil Aviation Authority (KCAA) to include the Dreamliner to its current Air Service Licence
• Kenya Airways has been attracted by Dreamliner’s advantages, such as greater fuel efficiency and more cargo space, achieved by increased use of lighter plastic materials in place of metals

Kenya Airways has sought regulatory approval to be allowed to fly the delayed Dreamliner, raising hopes of the national carrier adding the fuel-efficient plane to its fleet.

The airline has asked Kenya Civil Aviation Authority (KCAA) to include the Dreamliner to its current Air Service Licence, according to a Gazette Notice published Friday.

The model was grounded by battery glitches earlier this year and has suffered a number of other technical setbacks, raising fears that Boeing would not deliver the first of nine Dreamliners to Kenya Airways by March.

A delay beyond March will prompt KQ to seek compensation from the Chicago-based company, which first signed the deal to supply the nine planes in 2006 but has faced technical and production hitches.

“Variation of current air service licence to include Aircraft type B787 (Dreamliner) on both domestic and international scheduled air services,” said the notice signed by KCAA’s director general, Hilary Kioko in reference to the KQ application.

Like other airlines, Kenya Airways has been attracted by Dreamliner’s advantages, such as greater fuel efficiency and more cargo space, achieved by increased use of lighter plastic materials in place of metals.

Tough

The 787-8 model picked by Kenya Airways uses 20 per cent less fuel and has the capacity to carry between 210 and 250 passengers on routes ranging from 14,200km to 15,200km.

Fuel costs account for more than half of Kenya Airways’ direct operating costs and the airline is keen on cutting its expenses to grow profits.

The national carrier posted a loss of Sh7.86 billion in the year to March compared to a profit of Sh1.66 billion last year, which was still a 57 per cent drop from the 2011 numbers.

It is banking on cost-cutting measures to recover from tough two years that saw the national carrier swing to losses.

Citigroup projects the airline to post a net loss of Sh3.1 billion in the current financial year ending March 2014 on higher costs that will wipe out sales. The modernisation of its fleet with more fuel-efficient Embraers and Boeing B-787 Dreamliner planes is at the heart of the cost cutting plan.

The airline has continued to acquire Brazil’s Embraer jets with an eye on the short haul African routes and was targeting the bigger Boeing jets for long haul flights that connect its Nairobi hub to Asia and Europe.

The Dreamliners are set to replace KQ’s ageing fleet of the Boeing B767 models and it is key to plans targeting destinations in Asia, Middle and Far East.