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Pages 34-44

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From page 34...
... The analytical process examines the incremental cost savings that could be expected from modified or enhanced lightning detection and warning systems or from improved operating procedures. The implications of the ripple effects of aircraft arriving late at destinations are incorporated into the analysis.
From page 35...
... Initially, we examined the use of a "queue" delay reduction approach or a "linear" delay reduction approach, as described in Delay Causality and Reduction at the New York City 35 Cost Item Short Duration Delay Medium Duration Delay Long Duration Delay Passenger Time Yes Yes Yes Direct Cost to Airline Minimal Some Likely Ripple Effect Some Some Likely En Route Delay None Unlikely Possible Notes: Short duration is defined as less than or equal to 60 min. Medium duration is defined as greater than 60 min and less than or equal to 135 min.
From page 36...
... Case Studies Closure costs will always be a function of the amount of aircraft operations affected, the geographical area and lightning climatology, and flight schedule. To get a balanced perspective, we chose two airports for detailed case study analysis -- Chicago O'Hare International Airport (ORD)
From page 37...
... It should be noted that all data contained in the following analyses and shown in Tables 5 through 12 were derived using the synthetic lightning duration technique employed on the Vaisala lightning detection data and therefore do not represent actual reported lightning duration delays. O'Hare International Airport The results for ORD indicate there would have been 68 ramp closures in 2006, with a total closure time of 70.8 hours, or approximately 1% of the time.
From page 38...
... In our analysis, we assumed there would be no direct operating costs to the airlines for short duration events because they should be able to catch up without incurring additional costs. For medium and long duration events, the direct local airport costs were obtained by multiplying the number of planes affected times the number of ramp workers per plane times the overtime rate of ramp workers times one-half of the delay.
From page 39...
... where DLAC = direct local airport costs, NPA = number of planes affected by delay, NRPP = number of ramp workers per plane, ORRW = overtime rate of ramp workers, and DD = duration of delay. The ripple effect direct costs are caused by the added endof-day cost of repositioning planes.
From page 40...
... The ripple effect opportunity cost may be determined from the following equation: REOC = LAOC ∗ ORF where REOC = ripple effect opportunity cost, LAOC = local airport operating costs, and ORF = opportunity ripple factor. The monetary per-minute cost calculations are shown in Table 7.
From page 41...
... Weighted average, calculated with Total Annual Potential Savings divided by Potential Annual Minutes Saved.
From page 42...
... The potential savings from a 10-min improvement in delay time during peak hours at MCO is approximately $2.8 million, compared with the $6.2 million calculated for ORD. Shorter Duration Events Consideration was given to reducing the 60-min or less lightning delay interval in the cost analysis to a shorter time interval.
From page 43...
... The potential savings produced by a reduction of 43 Type of Event Number of Events Total Annual Minutes Delay Potential Annual Minutes Saved Per Minute Cost ($) Total Annual Potential Savings ($)
From page 44...
... The potential savings produced by a reduction of even a few minutes would likely be sufficient to more than cover the cost of introducing the improved technology or procedures. Because safety of the ramp workers is the paramount concern, it appears the airlines will likely err on the side of caution in closing ramp operations.


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