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40 | Flight International | 17-23 February 2015 flightglobal.com


vice levels were maintained, says Laverty. The
service’s next four-year Commonwealth fund-
ing agreement will commence this year.
Sections conduct their own fundraising. “To
continue to meet the needs of West Australians
around our vast state, our team at the RFDS
must be increasingly innovative and efficient
in its approach and thinking and continually
look for new ways to ensure we can improve
our capability and build a strong and sustaina-
ble foundation,” says Western Operations.
Demand for services drives the high hours
aircraft operate and the huge distances they
cover, meaning aircraft need to be replaced
about every 10 years. “We need to purchase up
to two new aircraft every year, which is a huge
financial challenge,” says Western Operations,
which has established an Aeromedical Fund to
make it easier for people to donate.

In the resource-rich state of Western Aus-
tralia, Western Operations has secured consid-
erable corporate support from resources com-
panies. Last year Rio Tinto renewed its funding
commitment – A$6 million – for the Life Flight
jet for another four years, while BHP Billiton
contributed A$4.5 million to the section’s air-
craft replacement programme, which was put
towards four new PC-12s. Grain growers co-
operative CBH Group committed A$300,000 to
the RFDS Airstrip Survey and Evaluation pro-
gramme, which is assessing more than 700 air-
strips across the state.
“Funding and efficiency of operations is a
constant challenge,” says the Queensland Sec-
tion. “Fuel costs, maintenance costs and for-
eign exchange rates affect our aviation running
and capital acquisition costs.”
Central Operations agrees: “Funding is al-
ways a challenge as it is dependent upon gov-
ernments of all persuasions, as well as the
economic climate. Foreign exchange rates are
also significant as aircraft and major over-
hauls are in US dollars. Fuel is the other mat-
ter than can vary and to that end we are now
all with one fuel provider, bringing savings
via aggregated usage.” ■

COVER STORY

Taking on


the world


Ownership by India’s Mahindra
has seen the former Gippsland
evolve from a niche, local GA
manufacturer to a global player
EMMA KELLY PERTH

“Fuel costs, maintenance
costs and exchange rates
affect our aviation running
and capital acquisition costs”
RFDS QUEENSLAND SECTION

W


ith a manufacturing base in Australia, a
marketing and assembly operation in
the USA, a growing global sales and support
network and ownership by an Indian
conglomerate, Mahindra Aerospace is truly a
global company.
Mahindra, formerly Gippsland Aeronaut-
ics (and later GippsAero), was once a small,
Australian niche manufacturer of utility air-
craft, having started out as an aircraft mainte-
nance and modification business. But since
its acquisition by Indian automotive and in-
formation technology group Mahindra in
2009, the company, now Mahindra
Aerospace, has been spreading its wings.
As a small, Australian company, Gippsland
was successful in getting its flagship product,
the Airvan 8 (formerly the GA8 Airvan) into
international markets. The high-wing, eight-
seat, piston-powered utility aircraft, certificat-
ed by the Australian Civil Aviation Safety Au-
thority in 2000, is now operating in more than
34 countries, in roles ranging from air taxi,
freight, tourism, missionary work, skydiving
and law enforcement, thanks to its low operat-
ing costs and versatility. Numerous versions
and upgrades have followed.

GEOGRAPHY
In January, Mahindra was assembling Airvan 8
number 209 at its Latrobe Valley, Victoria,
manufacturing facility, which has a produc-
tion capacity of two to three aircraft per month.
Following its manufacture in Australia, the air-
craft, destined for American customer Spectra
Energy, was due to be disassembled and
shipped to the USA, where it will be reassem-
bled by Soloy Aviation Solutions. Soloy was
appointed in 2012 to conduct assembly of the
Airvan 8 for the North American market in an
effort to boost sales of the type there.
The arrangement seems to be paying off, as
Mahindra has gained a foothold in a market
with 43 now in operation. Jon Dauplaise, Ma-
hindra’s US-based vice-president global sales
and marketing, says Soloy assembles the air-
craft whenever it makes “geographical sense”.
Recent changes in regulations regarding
seating for piston-powered aircraft by the In-
dian government mean the manufacturer will

Western Operations conducts medical fit-
outs at its Jandakot base. The job takes 760h and
includes modifications to the aircraft landing
gear to allow for take-off and landing on dirt air-
strips, along with a custom-built stretcher sys-
tem with a hydraulic lifting device. The interior
is equipped with a full range of medical devic-
es, including a defibrillator, ventilator, oxygen
and suction system.


FUNDING
South Eastern Section spends A$1.25 million
on its specialised interior, including the patient
handling system, interior coverings that can be
sterilised after each mission, and a range of
communications, including VHF, UHF, HF, sat-
phone and GSM mobile. The section has con-
verted some of its aircraft to a multirole config-
uration, allowing them to perform air
ambulance, specialised transfer and clinic
transport missions. “This will enable us to use
aircraft much more efficiently,” says chief ex-
ecutive Greg Sam. South Eastern Section has
also incorporated an increased gross weight
modification – from the standard 12,500lbs to
13,500lbs to carry more fuel.
Funding is an ongoing issue for all sections
and probably its greatest challenge as demand
for services increases. In total, 48% of RFDS
funding comes from state and territory govern-
ments, 27% from federal government, 15%
from fundraising activities and 10% from other
sources such as private contracts.
During the 2013/14 financial year, demand
for RFDS aeromedical services grew by 5.9%.
Since 2006/7, the RFDS has seen a 30% in-
crease in demand for its Commonwealth-fund-
ed traditional services. At the start of 2014, the
service received an additional A$6 million
from the Federal Budget, which ensured ser-


❯❯


Central Operations transferred almost 4,500 patients through Adelaide last year


Two new aircraft are required every year


RFDS

RFDS
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