The Hague Court of Arbitration for Aviation (CAA) and the Singapore International Mediation Centre (SIMC) have signed a memorandum of understanding to develop Asia’s first specialised mediation framework for the aviation industry. The MOU was signed at the Singapore Airshow on 21 February. Mediation is a “fast, flexible and cost-effective mode of alternative dispute resolution”, which could potentially translate into “potential time and cost savings for commercial parties in a dispute”, says Chuan Wee Meng, chief executive officer of SIMC. “We are delighted to partner with The Hague CAA which specialises in addressing disputes within the aviation sector and is committed to advancing the use of mediation within it. In a fast-moving, mission-critical industry like aviation, the speedy resolution of disputes is absolutely essential,” adds Chuan. Unlike court litigation, where judges determine the outcome of cases, mediation is a facilitated negotiation under the guidance of a professionally trained mediator, who helps parties arrive at an outcome that they can both agree on. “In the past few years, the industry in Asia has faced unprecedented challenges because of the pandemic. An efficient method for dispute resolution between industry players is key to help the industry back to growth and success,” states Paul Ng, co-chair of the mediation standing committee of the Hague CAA and head of aviation at law firm Rajah & Tann.
The Hague CAA and SIMC also agreed to promote the “incorporation of suitable model dispute resolution clauses” in Asia.

Flydubai saw profit soar last year as passenger numbers easily surpassed pre-pandemic levels. Profit hit a record Dh2.1 billion ($572 million) for the year, a 75% jump on 2022, with revenues up 23% to Dh11.2 billion, the UAE-based carrier says. The low-cost airline transported 13.8 million customers, a 31% increase on 2022 and up from 11 million in 2019, with capacity by available seat kilometres up by 27%. Flydubai's fleet rose to 84 aircraft, all of which are Boeing 737 equipment and the bulk – 52 jets – are Max units. However, it notes that “ongoing challenges” with deliveries from the airframer meant that it accepted just 13 new aircraft, four fewer than it had expected, leading it to enter an ACMI contract with Czech airline Smartwings for six wet-leased aircraft. At the 2023 Dubai air show, Flydubai placed a $11 billion order for 30 787s to be delivered from 2026, marking its first deviation from the 737 and into widebodies. The carrier was also impacted by higher jet fuel expenditure which accounted for 32% of its total operating costs. “The airline continues to explore fuel hedging options and last year it hedged 12% of its fuel requirement,” it states. “In its 15th year of operations, Flydubai has emerged as one of the key players in the UAE’s aviation industry and a major contributor to Dubai’s economy,” says chief executive Ghaith Al Ghaith. “Its solid business model has enabled the carrier to grow exponentially even during challenging times, doubling its operating fleet and expanding its network since the pandemic.”

Loganair will resume domestic services to Shetland Islands' Sumburgh and Orkney's Kirkwall from London Heathrow, from early March, as part of its summer schedule. The UK carrier says one-stop same-plane flights to Sumburgh will increase to thrice weekly from 31 March, while one-stop Kirkwall service will be operated at twice-weekly frequency. "It is fantastic to see Loganair expand their services at Heathrow, connecting some of the most remote parts of the country to the UK's hub airport," states Heathrow aviation director Alyson Playford.