Michael Lau Senior Operations Inspector Flight Standards and Airworthiness Division

1. Development, Safety Oversight and Safety Management System (SMS) Of Business Aviation (BA) inHong Kong (HK) Michael Lau Senior Operations Inspector Flight Standards and Airworthiness Division Civil Aviation Department (CAD) Hong Kong SAR

2. Outline • BA Development in Hong Kong • Safety Oversight • SMS • Challenges ahead

3. Business Aviation Development in Hong Kong

4. Hong Kong • Financialcentre • A place for international business • A hub • High volume of business activities • Over 50 million population in the Pearl River Delta Region

5. Asia Pacific Region • International Monetary Fund (IMF): GDP annual growth • Strategic location of Hong Kong • Hong Kong as a gateway to Mainland China • Mainland China • 1.3 billion population • 2nd largest economy in the world • Highest foreign exchange reserves • Great demand for air services

6. Within five hours flight time 1 hr 2 hr 3 hr 4 hr

7. Growth of Civil Aviation in HK In 2009

8. Developments of BA in HK from 2005 to 2009: • Aircraft movements and Passengers had doubled Average 20% growth each year

9. A Comparison of HK BA Operator activities of 2009 with that of 2005

10. Types of Business Jet on HK register include: • G200 • G450 • G550 • Global 5000 • CL 604/605 • Gulfstream G300 and more coming ... • Boeing BBJ • Citation 560XL • CL850

11. Location of the Hong Kong Business Aviation Centre (BAC) 25R Hong Kong International Airport O7L 25L O7R

12. HKBAC • Total size about 65,000 m2 • Executive terminal building and two hangars providing one-stop-shop services

13. Business Aviation Safety Oversight

14. Application and Continuous Surveillance • Hong Kong Air Operators • Foreign Air Operators for Non Schedule Flights

15. Hong Kong Commercial Air Operators Application • Operations Manual • Training Manual • Organisational Structure • Key Staff Members • Arrangements and Facilities of Maintenance Security Programme • Pre AOC Audit • Operations • Airworthiness Proving Flight Yes Findings No Air Operator's Certificate (AOC) Granted for one year Start of Operations Surveillance HKCAD has the right to suspend the AOC in case of any safety concerns • Flight Inspections • Station Inspections • Document Inspection • Simulator Approval • Authorised Examiner • Ramp Inspections • Maintenance facilities • Maintenance records Remedial Actions Findings Yes Findings resolved No Air Operator's Certificate renewed for one year

16. Foreign Commercial Air Operators for Non Schedule Flights Application • Primary Responsibility • State of Operator • State of Registry 3 Days 2 weeks for new Operators Documents check Permit/ Clearance Start of Operations Findings from other Authorities' Reports or ICAO Audit or ATC Reports Surveillance Ramp Inspections Serious Follow up with operators and Authorities Operations of aircraft may be grounded in HK Findings Significant safety concerns No Ramp Inspection Report

17. Business Aviation Safety Management System

18. Background • Systematic approach • ICAO Annex 6 and HK Legislation • 4 types of Service Providers shall implement SMS • Identify safety hazards and mitigate risks • Remedial actions • Continuous monitoring • Continuous improvement

19. Acceptance Requirements SMS development plan Nomination of key personnel Identify hazards and mitigate risks Safety assurance Training and Communication SMS Manual Gap analysis report • Proactive safety culture • Continuous improvement • Further enhancement

20. Implementation of SMS in HK

21. Challenges ahead

22. Challenges for the Regulator • Ad hoc nature of Business Aviation • Flexible • Collaboration • Numerous types • Ops Manual to cover all types • Suitably qualified personnel • Training Organization / Simulators • Training Org / Authorities • Initial assessment by the Operators

23. Challenges for Aircraft and Airport Operators Rapid growth Single airport in Hong Kong capacity issues • How do we increase capacity • Equipment • 3rd Runway • Infrastructure - midfield

24. HKCAD VISION “Committed to a Safe and Efficient Air Transport System”

25. 1. An application for permission (DCA122 form) to operate non-scheduled services;2. A valid air operator's certificate or equivalent document to indicate type of aircraft authorized, area(s) of operations, and type(s) of services authorized; 3. Current Certificate of Airworthiness, and Certificate of Registration of the aircraft to be used;4. The aerodrome operating minima to be used at the Hong Kong International Airport together with the instructions relating to the application of those minima;5. Noise certificates to show that aircraft complies with ICAO Annex 16 Volume I Part II Chapter 3 noise standard ;6. Information as to how the pilot's route and airport qualification is to be established for Hong Kong;7. Insurance Certificate that insures the operator in respect of any liability which may be incurred by him/her in respect of Third Party, Passenger, Baggage, Cargo, and Mail for any one event to a Combined Single Limit required in accordance with the Civil Aviation (Insurance) Order; and8. Confirmation on whether the aircraft is equipped with TCAS II, and has full navigational capability and sufficient fuel to divert to alternate airfield.

26. 1. Type of aircraft;2. Nationality and registration marks of the aircraft; 3. Name of operator; 4. Name of ground handling agent in Hong Kong; 5. Proposed dates and times of arrival and departure; 6. Confirmation that there will be no fare-paying passengers or commercial cargo on board; 7. Insurance Certificate that insures the operator in respect of any liability which may be incurred by him/her in respect of Third Party, Passenger, Baggage, Cargo, and Mail for any one event to a Combined Single Limit required in accordance with the Civil Aviation (Insurance) Order;8. Noise Certificate to show that aircraft complies with ICAO Annex 16 Volume I Part II Chapter 3 noise standard; and9. Confirmation that the aircraft has full navigational capability and will carry sufficient fuel to divert to its alternate airfield from overhead Hong Kong