Rivals are vowing cooperation -- and Southwest is implementing next-generation air-traffic efficiencies
The on-again, off-again romances, courtships, engagements and miscellaneous liaisons in the American air transportation industry are positively dizzying. The latest announcement involves a planned linkage of former rivals United and Continental in a bilateral agreement for domestic and international cooperation, in reality a cost-cutting measure by two struggling legacy carriers that have invidually trimmed costs and tapped new revnue sources, largely by charging passengers for services that were until recently free.
The new relationship, which is yet to be approved by regulators, is described as a "partnership" and not a merger. It is supposed to include code-shared domestic flights and also reciprocity between United's MileagePlus program and Continental's OnePass program, enabling to earn miles when flying on either airline and redeem awards on both carriers, including accruing miles toward elite status -- though whether they will be any easier to redeem is yet to be seen. Similarly, members of Continental's Presidents Club and United's Red Carpet Club will have access to both.
Continental has also been invited to join the Star Alliance, which has announced an "enhanced transatlantic partnership of the two U.S. airlines and Star Alliance member carriers Air Canada and Lufthansa" -- whatever that will turn out to be. This latest venture into airline togetherness is supposed to be implemented sometime in 2009. Forgive me for being a tad skeptical, but when it comes to airline coopration, several similarly optimistic plans have unraveled.
Meanwhile, go-it-alone Southwest seems to be stepping in to the tune of $175 million to help implement Required Navigation Performance technology that "allows the aircraft to fly more precise, direct, and accurate paths, allowing more 'lanes' to be built into the same limited airspace," an airline press release quoted executive vice president and chief of operations Mike Vande Ven as explaining. Within six years, Southwest expects to have RNP at the 64 airports it serves. Southwest calculated that every single minute of time saved on each flight, would reduce carbon emissions by up to 156,000 metric tons annually by 2015 and result in $25 million in fuel savings per year.
Southwest has partnered with Naverus, a leader in RNP development, and the Federal Aviation Administration since May 2007 to train the airline's pilots on RNP, equip the airline's fleet to be RNP capable to and to produce RNP-charted procedures. In other times, the FAA might have taken this responsibility upon itself, but Southwest appears to have provided the impetus to get fuel-saving and green procedures underway. Southwest's goal is to begin flying with RNP procedures in place by fall 2009 and have the entire fleet under such operations by 2013.
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