Connecting the world today & tomorrow Strategic Plan 2020

SP 2020

Foreword

History Dubai Airports: the story so far Dubai Duty Free A world class model Sector value

4 5 10 12 16

Future growth Emirates expansion flydubai growth Industry leading growth Strategic Plan 2020 Conclusion

18 19 20 22 24 28

Dubai International Terminal 3 Arrivals

2 SP 2020

1 Foreword

Dubais aviation sector is more than the sum of its parts, together the key players Dubai Airports, Dubai Duty Free, Emirates and flydubai have combined to create a global aviation phenomenon. The emergence of Dubai as a leading global aviation centre is the result of a carefully constructed and well-executed model that effectively harnesses the emirates geocentric location and entrepreneurial spirit. It is a model that features a liberal regulatory climate, a tax-free business environment, a customer-centric focus that provides value for money, and close coordination and collaboration within the sector. The results have been nothing short of impressive. Dubais aviation sector has seen tremendous growth in a short time frame. Over the past five years alone, passenger numbers at Dubai International have virtually doubled from 24.8 million in 2005 to 47.2 million in 2010. The airport now ranks fourth globally for international passenger and cargo traffic. Emirates passenger numbers have increased six-fold over the course of a decade, making it the largest airline in the world in terms of international revenue passenger kilometres. Dubai Duty Free has become the biggest single airport retail operation in the world, with revenues of US$1.27 billion (AED4.6bn) in 2010. And flydubai is the worlds fastest growing start-up airline, emerging as a force to be reckoned with among low-cost carriers in the region. However, while we can reflect on past accomplishments with pride, it is clear that our future holds even greater promise. The combination of rallying tourism, Dubais proximity to the emerging economies of India and China, and the emirates established role as a trading hub linking economies in the Far East, Europe, Africa and North America, is together expected to drive growth and further elevate Dubais status as a global centre for trade, tourism and commerce. In fact, projections for growth are staggering. By 2020 some 98.5 million passengers and over four million tonnes of air freight will pass through our airports. The fleets and networks of Emirates and flydubai will grow considerably to accommodate traffic and capture market share. Similarly, our infrastructure must expand to enable this growth and facilitate the trade, tourism and commerce that in turn will support the prosperity of Dubai. This is what our Strategic Plan 2020 sets out to achieve.

HH Sheikh Ahmed Bin Saeed Al Maktoum President of Dubai Civil Aviation Authority and Chairman of Dubai Airports

Dubai Airports: The story so far

2 History
The story so far

Much like the city that it calls home, Dubais aviation industry has a proud past characterised by stunning innovation and breathtaking growth. Vision and entrepreneurial spirit have propelled Dubais development from a small oasis in the desert to a thriving metropolis with a cosmopolitan population and a reputation for innovation and quality. Equally impressive has been the development of the emirates thriving aviation industry and its airport, which has evolved from a small airstrip mainly serving as a refuelling stop for a few airlines in 1960 to a global gateway for 150 airlines that is ranked among the worlds top hubs. The history of aviation in Dubai dates back to 1937 when the first Imperial Airways flying boat landed on the Dubai Creek. In the early years Dubai served as a transit point between Europe and Asia. Some 22 years later the spark that ignited 50 years of growth occurred when the then visionary ruler of Dubai, the late Sheikh Rashid Bin Saeed Al Maktoum, ordered the construction of Dubai International, which comprised an 1800-metre airstrip of compacted sand, an apron, a fire station and a small terminal building. From conception to completion, the construction of the airport was fast-moving. After a groundbreaking ceremony in 1959, the airport was officially inaugurated, heralding in a new era for aviation in Dubai. Starting with annual traffic of a few thousand passengers during its first year of operation, Dubai International reached one million passengers in 1974, with the five million passenger mark achieved 16 years later in 1990. Passenger traffic surpassed 10 million in 1999, largely enabled by a series of expansion and refurbishment projects including the construction of a second terminal (Terminal 2), two asphalted runways, a new air traffic control tower, an extended terminal building and major equipment upgrade, all of which were carried out to accommodate the robust traffic growth. Operating at full capacity and experiencing unrelenting growth, Dubai International welcomed the turn of the century with a major addition to its infrastructure in the form of Sheikh Rashid Terminal, also known as Concourse 1 in April 2000. This more than doubled the airports annual capacity from 10 million to 23 million passengers. Continued growth, spurred on by Dubais economic boom and the network expansion of Emirates, soon caught up with capacity when the airport surpassed 20 million passengers in 2004. A mere three years later that total ballooned by another 14 million to top 34 million passengers. To accommodate the rapid expansion, on October 14th 2008, Dubai Airports turned heads globally with the flawless opening of the worlds single largest terminal building, Dubai International Emirates Terminal 3. Built for the exclusive use of Dubais flagship carrier Emirates, Terminal 3 boosted the airports capacity to 60 million passengers.

SP 2020

Looking back

1937

Aviation introduced with the first Imperial Airways flying boat, using the Dubai Creek

Sector performance to date: traffic development

Despite significant events impacting the global industry, Dubai has retained exceptional growth in the aviation sector

1960

Dubai Airport opened and was capable of handling aircraft up to the size of a DC-3

45 40 35 Annual passengers (millions) 30 25 20 15 10 5 0

1970

The 70s witnessed many developments, starting with a new three-storey terminal building, control tower, additional taxiways and lengthening of the runway

2010 47.2m passengers 2000 12.3m passengers 1990 5.0m passengers 1980 2.8m passengers 1970 0.5m passengers 1961 0.04m passengers

2009 flydubai launch 2008 Terminal 3 opens First Emirates A380 1990 1st Gulf War 1983 Emirates launch 1984 2nd Runway opens 2000 Concourse 1 opens 1998 Terminal 2 opens 2001 Sept 11th

1983 ^ 1937 1984

Dubai Duty Free begins operations at Dubai International with a turnover of US$20 million (AED73.4m) in its inaugural year

The second runway opens

1998

Terminal 2 opens boosting capacity by two million passengers per year

2000

Sheikh Rashid Terminal, also known as Terminal 1, opens increasing the airports capacity from 10 million to 23 million passengers

1960 Dubai International opens 1960 1965 1970 1975 1980

1985

1990

1995

2000

2005

^ 1983

2007

Department of Civil Aviation is restructured leading to the formation of Dubai Airports responsible for the development and management of Dubais airports and Dubai Civil Aviation Authority the local aviation policy entity

Year

2008

The worlds largest terminal - Emirates Terminal 3 opens flawlessly. It expands Dubai Internationals capacity to 60 million passengers

2009

Dubai International becomes the worlds fastest growing airport among the top 50 major hubs. Work begins on Concourse 3 and Terminal 2 undergoes major refurbishment for the launch of flydubai

^ 2010

2010

Dubai Airports opens the first phase of Dubai World Central for cargo operations on June 27

Aviation is fundamental to the ongoing prosperity and economic expansion of Dubai. My job is to make sure that the airport infrastructure grows to ensure there are no constraints. Were proactively continuing to expand at Dubai International and Dubai World Central to ensure we can accommodate the massive influx of aircraft and traffic expected to inundate both airports over the next 10 to 20 years.
Paul Griffiths CEO Dubai Airports

50 years of incredible growth In the half-century since its opening, Dubai International has welcomed over 402 million passengers and has sustained an impressive average annual growth rate of 15.5%. During the same period the airport has handled over 3.87 million aircraft movements at an average annual growth rate of 12.4%. The rapid expansion of airfreight traffic has been equally remarkable, with total freight volumes moved between 1977 and August 2010 exceeding 17.9 million tonnes at an annual average growth rate of 14.3%.

SP 2020

8 SP 2020

Dubai International: 50 years of growth

To ta lp as Av se ng er ag er sf e an To ro m ta nu la 19 al irc gr 60 Av ra ow up ft er th m ag to ov in e Au em an To pa gu ta nu ss en lc en st al ts: ar 30 ge gr go Av ow rt ,2 ra fro er 01 th ffi ag 0: m in co e 19 air an ve 77 cr nu r5 af to al 0 tm gr Ju ye ov ow ly ar em s: 31 th en 20 in ts: 10 ca : rg o sin ce 19 77 :

3, 87 40 3,1 2, 32 1 28 5. 9 12 17 5% ,7 ,9 .4% 21 14 06 .3 ,19 % 9

In

te

rn D at ub io a na i l

3,

Dubai Airports: Today

40
W or ld Ce

to Du

ta ba i an

le nu

m al

pl oy to pa nt ra nn l es sc ca rg ss en he du o

ee

Source: Dubai Airports 2010 actual figures (DWC figures 2011 forecast)
9

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47 0 2. .2 27 m 32 m 22 9, 0 00 15 0 0 19 4,2 00
ai at en rli io ne s ns ts m ov em en ts /y ea r

Dubai Duty Free

Dubai Duty Frees meteoric rise on the global aviation stage parallels that of its home base Dubai International. Since its creation in 1983, Dubai Duty Free has established itself as the biggest single airport retail operation in the world in terms of turnover, with sales of US$1.27 billion (AED4.6bn) and 14% growth in 2010. Furthermore, 2010 saw an increase in consumer spending across all categories, with December setting a new monthly sales record with turnover reaching US$136 million (AED499.5m) 13% higher than the previous monthly record set in December 2009. Dubai Duty Free, as a single operator, now accounts for 3.3% of global duty free and travel retail sales (which includes airports, airlines, ferries and other shops) and 5.5% of the airport duty free business. Dubai Duty Free sells to around 50% of all passengers, while the average spend per departing customer is around US$46 (AED169). Some 20.5 million sales transactions were recorded at Dubai Duty Free in 2010 an 11% increase year-on-year. Increases were seen across all Dubai Duty Free retail areas, with Terminal 3 sales increasing by 20% overall, including an 11% increase in arrivals sales. Terminal 2 sales also rose by an impressive 24%; a revamp of the retail operation in Terminal 2 is planned for 2012. Terminal 3, which opened in October 2008, accounts for almost 60% of Dubai Duty Frees total sales. The average value per transaction is also 43% higher in Terminal 3 than in Terminal 1 and the aim is to increase penetration in both departures and arrivals. Once passenger operations commence at Dubai World Central, Dubai Duty Frees retail offer in the passenger terminal will be on par with the facilities at Dubai International with a full range of merchandise presented in an extremely attractive and convenient shopping environment. In total, Dubai Duty Frees retail area will cover 2,250 sqm and be supported by a further 1,150 sqm of support facilities. At present, Dubai Duty Free operates 15,000 sqm of retail space at Dubai International across the three terminals and, with the opening in 2012 of Concourse 3, it will have a further 8,000 sqm. Dubai Duty Free is set to capitalise on additional terminal expansion and reconfiguration laid out in Dubai Airports ten-year strategic plan. Dubai Duty Frees strategy is to increase both sales volume and spend per departing and arriving passenger. The penetration level for departing passengers, which currently stands at around 50%, is set to rise by offering the latest products and ensuring those products are visible, accessible and sold with a high level of service by competent and motivated staff. These measures, combined with passenger traffic growth and expanded facilities, are sure to drive further record-setting revenues.

Dubai Duty Free Today

Looking back 1983 1995 1998 2000 2002 Founded with 91 staff. Turnover of US$20 million (AED73.4m) Built own tennis stadium for ATP Retail area opened at Terminal 2 New retail area at Concourse 1 Turnover of AED1 billion (US$272m) 5th largest duty free operation Retail area opened at Concourse 2 Becomes largest duty free retailer in the world with revenues of over US$1 billion (AED3.7bn)

US$1.27 billion
2010 revenue up 4% over 2009

60,000
transactions per day

19,100 sqm
of retail space

36,000 sqm
distribution centre

2008 2009

197,000
products

3,872
staff from 44 different nations

We are continuing to improve the quality and effectiveness of our existing operation while keeping an eye firmly on the growth plans ahead. I think that with the size of operation in the future, the prospect of us remaining the single largest airport retailer in the world is very good.

Colm McLoughlin Dubai Duty Free Managing Director

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11

A world class model

A World class model

Dubai clearly recognises that aviation is not only an important driver of growth in its own right, but that it underpins growth in other key sectors
Dubai has a wealth of assets and conditions that combine to make it a world-class tourist and business destination. These include political and economic stability, an extensive foreign trade network, state of the art telecommunications, a tax-free environment and top-notch infrastructure. It is no wonder then that aviation is at the heart of Dubais economic strategy. The government of Dubai clearly recognises that aviation is not only an important driver of growth in its own right, but that it underpins growth in other key sectors. A liberalised aviation policy, supportive government and a coordinated approach means that Dubai Airports is able to react quickly to the marketplace and make swift decisions on major infrastructure investment that take full advantage of its geocentric location.

Political and economic stability Extensive foreign trade network State of the art telecommunication World-class tourist and business destination Tax-free environment Open Skies policy Close coordination among stakeholders

150 Airlines 220 Destinations

Aviation has benefited from a clear economic strategy that recognises the importance of the connectivity it brings. Decision-making is typically collaborative and decisions can be made quickly because of constructive relationships among senior individuals throughout the aviation sector, related commercial enterprises and government departments, all fostered by frequent contact. As a result, Dubais aviation sector has benefited from a collaborative approach to investment that has helped Dubai Airports and Emirates expand efficiently together, supporting each others growth. Dubais aviation sector also benefits from its liberal open skies policy and the emirates strategic location within eight hours flying time of most major destinations and two-thirds of the worlds population. These factors, along with the provision of top-flight infrastructure, have attracted over 150 airlines that provide service to 220 destinations around the world, and that directly connect Dubai to 55 cities of more than 10 million inhabitants. As a result, according to IATA, the UAE is the most connected country in the world, in no small part due to Dubais thriving aviation sector.

Dubai has a model that recognises aviations strategic importance and promotes growth in the sector. It starts with an open skies policy, competitive rates and a tax-free environment that together has attracted over 150 airlines to Dubai and extends to strategic investments in top-flight aviation infrastructure that promote high service standards and sustain rapid growth. This combined with our geocentric location, which can effectively connect any two major cities in the world, will drive further expansion and continued benefits to consumers across the globe.
HH Sheikh Ahmed Bin Saeed Al Maktoum President of Dubai Civil Aviation Authority, Chairman of Dubai Airports and Chairman and Chief Executive of Emirates Airline and Group

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SP 2020

13

The emergence of a global hub

Over 2/3 of the worlds population lives within 8 hours flight from Dubai

1/3 lives within 4 hours

Dubai 4hrs

The hub network centred at Dubai now provides faster connections between a constantly growing number of cities worldwide, creating more convenient and affordable links to a growing percentage of the worlds population
Paul Griffiths CEO Dubai Airports

8hrs

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SP 2020

15

Sector Value

250,000 jobs 19%

of Dubais employment

As a direct result of Dubais aviation model, the sector already makes a substantial contribution to the emirates economy, according to an exhaustive study conducted by leading global research firm Oxford Economics. The research calculates Dubais aviation sector supports 125,000 jobs in the emirate including 58,000 direct jobs that contribute US$6.2 billion (AED22.7bn) to Dubais GDP, 43,000 indirect jobs that generate US$3.5 billion (AED12.8bn) through its purchases of goods and services from local businesses and a further 23,900 jobs that contribute US$2.0 billion (AED7.3bn) through the spending of those directly and indirectly employed in the sector. The study also quantifies the wider catalytic benefits. As the overwhelming majority of foreign visitors who travel to Dubai arrive by air, Oxford calculates their spending supports nearly 134,000 jobs and contributes US$7.9 billion (AED29bn) to Dubais GDP. Other businesses, such as logistics, financial services and professional services which derive significant benefit from the connections created between cities and markets, contribute an additional US$2.5 billion (AED9.2bn) to Dubais GDP.

In total aviation supports over 250,000 jobs and contributes over US$22 billion (AED80.8bn) which represents around 19% of total employment in Dubai, and 28% of Dubais GDP, according to the report.

US$22 billion
annual contribution

28%
of Dubais GDP

Not only is the success of Dubais aviation sector good for Dubais economy, it also benefits the global economy. It promotes global tourism. It creates connections between cities and countries. These connections represent an important infrastructure asset that benefits passengers and businesses from many countries. It promotes strong competition, ensuring passenger efficient, high quality air services. Further, spending by air travellers flying with Emirates makes an important contribution to many economies. For example, tourism benefits contribute over US$1.0 billion (AED3.7bn) to GDP for both Australia and India while connectivity benefits total US$1.4 billion (AED5.1bn) for China and US$800 million (AED2.9bn) each for the UK and the US. Aviations importance to Dubai is expected to continue to grow over the next decade. On the basis of these strengths and the forecasts for passenger growth from Boeing and Airbus, Oxford Economics expects the economic contribution of Dubais aviation sector to rise to 32% of Dubais GDP and about 22% of its employment by 2020.

Sector contribution to GDP

Aviation will play an increasingly significant role in Dubais success 300 Transport Trade & tourism 250 Banking & finance 200 Property Extraction 150 By 2020 aviation will support 373,000 jobs in Dubai It will contribute US$45 billion (AED165bn at 2010 prices) Equivalent to 32% GDP Catalytic benefits will increase by over 60%

Contribution to GDP (US$ billion) 2010

Total Contribution to GDP Comprised of 22.1 (28%) 11.7 6.2 3.5 2.0 10.4 7.9 2.5

(1) Economic Footprint (1a) Direct (1b) Indirect (1c) Induced (2) Catalytic Benefit (2a) Tourism (2b) Connectivity

Contribution to employment (000s)

Total Employment Contribution Comprised of (1) Economic Footprint (1a) Direct (1b) Indirect (1c) Induced 2000 2001 2002 2003 2004 2006 2005 2007 2008 2009 1996 1997 1998 1999 1995 (2) Catalytic Benefit (2a) Tourism 259.0 (19%) 125.1 58.2 43.0 23.9 133.9 133.9

GDP (Billion AED)

100

50

Source: Dubai Statistical Centre

Source: Oxford Economics Report, May 2010

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Future growth

3 Future growth

98.5 million
passengers

Double-digit growth has been the norm at Dubai International. Over the past 50 years, passenger traffic has increased at an average annual growth rate of 15.5%. More recently during the economic downturn in 2009, while other airports saw traffic decline, Dubai Airports saw international passenger numbers increase by 9.1% demonstrating the resilience of Dubais aviation sector in challenging market conditions. Market projections and macro-economic conditions strongly suggest that this huge growth will continue for the foreseeable future. Passenger and cargo traffic growth is set to continue at an impressive rate driven by continued market liberalisation and dramatic GDP growth in emerging markets, which will lead to increasing wealth and mobility through most of Dubais immediate catchment area. This supports the expectation that local traffic growth will continue to outstrip the industry-wide projections of organisations such as Boeing, Airbus and IATA. According to Airbus 2009-2029 Global Market Forecast, air traffic will double in the next 15 years. Further, the report calculates emerging markets are set to generate the lions share of that growth. China, India, the Middle East, Asia, Africa, CIS, Eastern Europe and Latin America are projected to see annual revenue passenger kilometre (RPK) growth of 6.1% per annum for the next 20 years. More mature markets in North America, Europe, Australasia and Japan are projected to see 3.7% average annual RPK expansion. That in turn has and will continue to precipitate aircraft orders to serve the growing demand. In the Middle East, governments supportive approach to aviation as a key driver of economic diversification and social development has led to significant investment in long range aircraft and infrastructure to exploit the Middle Easts geocentric location to tap into emerging markets. New low cost airlines have created more affordable travel for an increasingly mobile population. Fleet Growth In response to these leading indicators Airbus estimates aircraft demand will average 1,300 per year globally. Dubais two largest airlines, Emirates and flydubai, have already placed significant aircraft orders to meet the expected demand.

4.1 million
tonnes cargo by 2020

Emirates expansion

Emirates fleet
153 aircraft in fleet 200 on order

Operating with a fleet of 153 modern, wide-bodied aircraft, and with 200 aircraft on order Emirates is a catalyst for future growth. Emirates strategy is to continue to progressively grow as a high quality and profitable global carrier connecting six continents through its efficient hub in Dubai, while maintaining a young, eco-efficient and modern fleet. Emirates enjoys a close and highly effective relationship with Dubai Airports, aided significantly by Emirates Chairman and Chief Executive Sheikh Ahmed bin Saeed Al Maktoum who is also the Chairman of Dubai Airports. Accordingly, infrastructure expansion plans are the result of close stakeholder collaboration. Terminal 3 is a recent example of the benefits of that relationship. Emirates has a very specific long-term strategic plan to grow and expand its business. With many major airports worldwide operating at maximum capacity due to constraints on expansion, the A380 is key to Emirates

19

Future growth

plans to meet increasing passenger demand. With a total of 90 A380 aircraft ordered, it is set to become the worlds largest A380 operator. The Boeing 777, of which Emirates is the largest operator worldwide, also forms the backbone of its fleet, and have been configured to provide maximum flexibility for effective route deployment. Emirates is known for entering markets not previously served by large international carriers. That, combined with Dubais growing attractiveness as a tourism and business destination in its own right, is sure to support the continued growth of one of the worlds most profitable airlines.

Total passenger demand

Due to strong growth of Emirates and flydubai, demand in Dubai significantly exceeds industry wide projections.

98.5 93.1 84.2 75.3 79.6 88.4

flydubai growth

flydubai fleet
16 aircraft in fleet 34 on order

flydubai is yet another growth engine. It was set up by the Government of Dubai in March 2008, with operations beginning on 1 June 2009. flydubai quickly established itself as Dubais second largest airline. Annual passengers (millions) flydubai offers a value-for-money product at an extremely competitive price. It has aimed to expand both its fleet and network as quickly as possible to offer more choice and attract more passengers, and is the worlds fastest growing start-up airline. It now serves 36 destinations across the GCC, Middle East, Africa, Subcontinent, former CIS nations and the fringes of Europe. Throughout 2010, flydubai added 17 new destinations to its network. It currently operates a fleet of 16 Boeing 737-800 NG aircraft and this number is set to grow in the months and years ahead with 34 more on order. 50.9 47.2

68.0 62.0 56.5

Other airlines

2010 Year Source: Dubai Airports

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

17% annual growth

Americas

The Open Skies policy in Dubai stimulates demand and promotes the opportunity for other airlines to benefit from and contribute to the citys growth and success. Over 150 other airlines serving 220 destinations currently operate to Dubai accounting for approximately 50% of the movements and 35% of the passengers. Growth over recent years has comfortably exceeded global averages, and this trend is expected to continue. The markets forecasted for the greatest growth over the next 10 years are the Americas averaging 17% annual growth, and Europe, Middle East and Africa with an expected 9% annual growth.

Total passenger forecast Industry projection

9% annual growth
Europe, Middle East and Africa

Compound annual growth rate (CAGR) for Dubai vs industry projected growth rates from Boeing and Airbus

7.2% 4.9% 5.2%

CAGR Dubai Pax growth Source: Dubai Airports, Industry websites

CAGR Worldwide Pax growth (Boeing)

CAGR Worldwide Pax growth (Airbus)

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Industry leading growth The past 50 years have been nothing short of remarkable and the future holds even greater promise as we build our infrastructure to support the impressive expansion of Emirates, flydubai and other airlines and ascend the ranks of global aviation hubs.
Paul Griffiths CEO Dubai Airports

7.2%
annual growth rate outstripping industry forecast growth rate of Boeing and Airbus

75 million
Concourse 3 opens at the end of 2012 to increase capacity from 60m to 75m

Together with expected expansion of services operated by the 150 airlines that fly into Dubai, Dubai Airports forecasts a cumulative annual growth rate of 7.2%. This is a much stronger rate than the industry average forecast of around 5% from sources such as Boeing and Airbus. Furthermore, based on the past 25 years of data, Dubai Airports fully expects those additional seats to be filled and forecasts passenger numbers to more than double from the 47.2 million that passed through Dubai International in 2010 to 98.5 million by the end of the decade. Similarly, bolstered by expanded trade and commerce, airfreight volumes will almost double from the 2.2 million tonnes recorded in 2010 to 4.1 million tonnes in 2020 based on a 6.7% annual growth rate. Whilst much of the growth is driven by additional hold capacity in the passenger fleet, the forecast also suggests a significant increase in freighter capacity.

Infrastructure Expansion
Accordingly, the worlds most significant airline and airport expansion programme is currently taking place in Dubai. Infrastructure enhancement is underway to increase capacity from 60 million to 75 million with the opening of Concourse 3 at the end of 2012. In addition, Phase 1 of Dubai World Central (DWC) opened in June 2010 for cargo operations. Although DWC is the long-term solution to Dubais aviation needs, adequate capacity to house Emirates considerable operation is not expected to be in place until at least the mid-point of the next decade. Accordingly, and until such time that DWC is adequately developed, Dubai International must expand to accommodate fleet expansion and traffic growth and retain the network efficiency established by its main hub carriers.

Dubai International Airport Concourse 3

Dubai World Central

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Strategic Plan 2020 (SP2020)

Aggressive expansion of airspace, airfield, stands and terminal area at Dubai International

SP 2020, Dubai Airports ten-year masterplan, outlines aggressive expansion plans for airspace, airfield, stands and terminal areas at Dubai International. The plan takes into account the need to minimise constraints on growth by delivering timely capacity, while improving service levels and generating strong cash flow to maximise capital investment. Further, it effectively balances the need for facility development, process improvement and demand management to ensure optimal utilisation of facilities and maximum return on investment. It is also designed to reinforce Dubais hub status and ensure a smooth transition to Dubai World Central in the long term.

Expansion in the air

Dubai Airports aims to identify and deliver the additional runway and airspace capacity required to facilitate airline growth plans. Airspace optimisation plans centre around the alignment of ground based and airborne strategies, using movement forecasts developed by Dubai Airports to better balance demand and capacity. Through the use of internationally recognised modelling tools that simulate gate, taxiway, runway and terminal airspace activity, Dubai Airports has been able to refine capacity forecasts in order to build a roadmap for development and the deployment of technology and procedural enhancements to meet these forecasts. Within the local airport environment, the focus is on optimising runway capacity, increasing consistency and predictability, and implementing efficient systems and processes in order to accommodate and manage growth. Beyond the vicinity of the airport itself, Dubai Airports is engaging national and regional civil aviation authorities and air navigation service providers to ensure that air routes are decongested, bottlenecks are reduced and latent airspace capacity is unlocked. Next generation technology such as performance based navigation and dynamic airspace management will be deployed over the coming years to harness the capabilities of modern fleets such as Emirates and flydubai and increase airspace capacity. Development of a performance based, predictable and cohesively managed, regional and local airspace network strategy that will promote cross-border cooperation and integrate the efforts of civil aviation authorities and air navigation service providers across the Middle East is key to the expansion of capacity in the airspace surrounding both Dubai International and Dubai World Central.

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SP 2020

25

Strategic Plan 2020 (SP2020)

SP2020 key facts

And on the ground

As airspace opens up, additional aircraft movements will need to be accommodated on the ground to ensure a smooth flow for arrivals and departures. On the airfield, that means the addition of new taxiways and rapid entry/exit points on Dubai Internationals two runways. It also requires an increase in the number of stands needed to park and service aircraft. In total, SP2020 calls for a 60% increase in the number of stands by 2015. Finally, the plan requires the construction of additional terminals and concourse areas. SP2020 calls for the creation of an additional 675,000 sqm of floor space twice the footprint of London Heathrow Terminal 5. Highlighting this expansion, and separate from the construction of Concourse 3, is the expansion of Terminal 2 and the construction of Concourse 4. Additionally, Dubai Airports will bolster baggage systems across the airport to accommodate the additional load. Plans include the construction of a remote baggage facility designed to provide fast and accurate processing of high volumes of luggage. Coupled with this will be a high-speed baggage link that will feed the entire south side of the airfield and protect minimum connection times. Construction will incorporate sustainable processes and building designs to limit impact on the environment. The expansion project will be phased in over the next five years and will be carried out in a fashion that does not impede additional traffic. At the same time it will protect minimum connection times, improve the percentage of flights that are accommodated on pier-serviced stands, increase passenger circulation space and boost passenger throughput through process and technology improvements. This efficiency, coupled with the overall growth in passenger numbers, will also boost commercial revenues, which can in turn be used to fund development. In order to balance demand with capacity, and in line with IATA slot coordination guidelines, cargo freighters will gradually be repositioned to Dubai World Central as will general aviation to make room for increased passenger traffic at Dubai International. Cargo capacity will also be augmented with an additional 30,000 sqm expansion of the cargo mega terminal. This will cater for the additional hold cargo delivered by larger joint-production (passenger and cargo) aircraft flying into Dubai with greater frequency. With additional facility enhancements and operational efficiencies contained in SP2020, Dubai Internationals capacity will expand to 90 million passengers per year by 2018.

60%
increase in the number of stands by 2015

675,000 sqm
additional passenger facility floorspace

90 million
capacity for 90m passengers by 2018

30,000 sqm
additional cargo processing capacity

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SP 2020

Dubai International phased expansion

Terminal 2 Expansion Terminal 2 Expansion Echo MARSing MARSing Phase 1-2 Echo Phase 1-2 Echo MARSing MARSing Phase 3-4 Echo Phase 3-4

East Side East Side Stands Stands

0 9

0 9

27

27 18

Remote Remote Additional Baggage Baggage Additional Fuel Factory Factory Fuel Storage Storage West SideWest Side Remote Remote FG1 Stands Stands Auto T1 C1 - C2 C1 - C2 Cargo Mega Cargo Mega - C4 T1 - C4 T3 APM Baggage Baggage T3 Terminal Terminal APM Pre Airshow Airshow Airshow C3 Airshow Baggage Baggage Pre C3 FG1 C1 BHS C1 BHS EBS EBS Link Link Expansion Expansion Stands Stands Relocate Relocate Expo Stands Expo Stands BackboneBackbone Auto Emirates Flight Emirates Flight Wide-Body Wide-Body Concourse - 4 Catering Catering Concourse - 4 Landside Access Landside Access Concourse - 3 Concourse - 3 Stand Upgrades Upgrades Stand Expansion Expansion Improvement Improvement

Proposed Proposed Aireld Developments Aireld Developments Existing Building Building Existing Proposed Proposed Building Building Proposed Proposed Apron Developments Apron Developments Proposed Proposed Stand Developments Stand Developments Proposed Proposed Runway Crossing Runway Crossing Access/Egress and Taxiway Taxiway Access/Egress and Dubai Airport Freezone Freezone Area (DAFZA) Dubai Airport Area (DAFZA)

Automated People Mover Mover Automated People Landside Access Improvement Landside Access Improvement Phase 1: Immediate Infrastructure Phase 1: Immediate Infrastructure Phase 2: Facility 2: Facility Development Phase Development Phase 3: New Infrastructure Phase 3: New Infrastructure

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Strategic Plan 2020 (SP2020)

SP2020 is designed to capture, augment and deliver those benefits to consumers, airlines and the broader economy
Open for Dubai International phased expansion plan

Long term development During 20182023, with construction completed at Dubai International, the additional aeronautical and non-aeronautical revenue generated by the higher traffic flows will be used to fund further airport development at Dubai World Central. Construction of Phase 2 of DWC will escalate during this period with the initial iteration allowing for 80 million passengers per year to facilitate the eventual relocation of the Emirates hub. DWC will feature a modular design that can be expanded incrementally to accommodate growth for both Emirates and other airlines. Once fully completed, Dubai World Central will be the worlds largest airport with five runways and capacity for 160 million passengers and 12 million tonnes of cargo annually.

Conclusion
Since the first flying boat set down on the Dubai Creek over 60 years ago, aviation has evolved as a vital component of Dubais economy. The rapid emergence of Dubai as a leading global centre of aviation is no coincidence. It parallels the emirates equally impressive history of innovation, quality and growth and is the direct by-product of a supportive model that features liberal policies, a tax-free business environment and well-timed investment. It further utilises Dubais geocentric location, one that with todays advanced aircraft technology can effectively connect any two points in the world and is ideally positioned on the doorstep of the two largest emerging economies. The results to date are impressive. Following 50 years of double digit passenger traffic growth, Dubai is now home to the worlds largest single airport retailer, one of the largest and most profitable airlines on the planet and the worlds fourth busiest airport for international passenger and cargo traffic. It is a vibrant sector whose already significant contributions to the local and surrounding economies are set to expand as the incredible growth continues. SP2020 is designed to capture, augment and deliver those benefits to consumers, airlines and the broader economy.

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SP 2020

SP 2020 in summary

60% increase in number of stands from 144 to 230 Cargo growth from 2.2 million tonnes (2010) to 4.1 million tonnes by 2020 675,000 sqm of additional terminal space Infrastructure development Concourse 3 (2012) Terminal 2 expansion (2013) Concourse 4 development (2015) Baggage Backbone DWC passenger terminal building arrivals (PTB) expansion (2018) 30,000 sqm additional cargo processing capacity