23 Jul 2019
Airlines have traditionally maintained their own inventory of spare engines or choose to avoid the capital expenditure by relying on engine lessors. Keith Mwanalushi examines the current market for spares engines.
Due to the high capital value of aircraft, commercial airlines generally maintain spare engines to ensure aircraft are not grounded when engines are removed for normal maintenance, or for other reasons.
When compared to the airframe, engines require more intensive technical management and since engine overhauls are one of the largest airline operating cost segments, each overhaul must be closely managed.
Christopher Whiteside, President and CEO, AJW Group feels the market for new and high value engines is largely controlled by the OEMs who offer total care and flight hour agreements packages that provides airlines with additional comfort but is charged at a premium.
“We are seeing increasing numbers of airlines opting for this approach as it, in effect, transfers the full risk of engine maintenance to the service provider. The typical cover of a such total care packages includes guaranteed spare engine availability and provisioning for both scheduled and unscheduled engine removals,” comments Whiteside.
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