Annual Report 2018-19

Chairman's report

This has been a remarkable year for global aviation. As the trusted partner for keeping 11 per cent of the world’s skies safe, Airservices is rising to the challenge of leading Australia’s aviation industry in an era of technological advancement.

In 2018-19, we saw very tangible evidence of the changes we have been anticipating for some time with the launch of a commercial drone delivery business in our nation’s capital, Canberra, and the announcement of a trial of the world’s first aerial taxi service in Melbourne from 2020. Meanwhile, air traffic and passenger movements of traditional aviation services continued to increase over the previous reporting period.

Amidst such significant change, the Airservices mandate remains constant. We are charged with ensuring the safe, regular and efficient use of airspace for all users through the provision of services that are valued by the industry. This requires us to deliver our services to a standard of excellence while also investing to deliver new and enhanced service offerings to anticipate and keep pace with change.

OneSKY, the world’s first harmonised civil and military air traffic management system, remains the centrepiece of this investment program. In partnership with Defence, OneSKY is building our capacity to manage future air traffic growth, meet national security imperatives and integrate new aviation technologies. The program positions Australia as a world-leader in the delivery of innovative aviation technology.

From the Chairman

Amidst such significant change, Airservices mandate remains constant. We are charged with ensuring the safe, regular and efficient use of airspace for all users through the provision of services that are valued by the industry.

John Weber | Airservices Australia

Our program of work to integrate new and emerging airspace users with existing participants is well underway. We are striving to create a safe and efficient aviation ecosystem for all airspace users, which we believe will underpin the economic and social prosperity of our nation.

We do this while maintaining a focus on internal efficiency and commerciality. Since transforming our operations in 2016 we have been able to achieve annual cost savings year-on-year, culminating in our announcement on 1 July 2019 of a 2 per cent reduction in airways service charges for our customers. We are also returning funds to benefit the wider Australian community, in the form of increasing our annual dividend payment from 30 to 60 percent of net profit after tax, to our shareholder, the Australian Government.

Meanwhile, we continue to deliver the $1.2 billion capital investment program that will facilitate the safe and efficient growth of Australia’s aviation industry.

Finally, we recognise the important role we have to play in minimising the impact of aircraft operations on the environment and community. Each and every one of Australia’s airports has a critical role to play in connecting the local community with global markets, creating local employment and enhancing the overall prosperity of the surrounding region. We remain focused on helping to enable these benefits while also delivering positive environmental outcomes for all stakeholders.

The 2018-19 Annual Report demonstrates Airservices is well-positioned to deliver safe and efficient services today, while delivering the full potential of a very different, high-tech tomorrow for Australia’s aviation industry.

John Weber

Chairman