Source: Heathrow Airports Limited
Cargo operations at Heathrow Airport have been disrupted following a power outage that has seen the airport shut down for the day with no confirmation yet on when activities will resume.
Heathrow Airport said early this morning that it will be closed all day on 21 March due to a power outage. Air Cargo News understands that cargo handling zones are included in the areas with no power.
The airport published a statement on its website that said: "Due to a fire at an electrical substation supplying the airport, Heathrow is experiencing a significant power outage.
"To maintain the safety of our passengers and colleagues, Heathrow will be closed until 23:59 on 21 March."
Air Cargo News (ACN) has contacted Heathrow Airport for comment on the extent of the impact of the incident on its cargo operations.
As well as the impact of the power outage on cargo operations on the ground, the cancellation of all flights means that cargo cannot be transported as planned, affecting supply chains and potentially causing cargo backlogs.
IAG Cargo advised ACN on Friday afternoon that it had begun accepting cargo bookings again.
This morning, IAG Cargo said on its website: "Due to a power outage in the London Heathrow area, our operations are temporarily disrupted. We are currently unable to accept new bookings or any freight at London Heathrow. We are actively monitoring the situation and will provide further updates as soon as possible."
IAG Cargo had declined to comment on the extent of the operational disruption currently and how it plans to handle any cargo backlogs, but further told ACN: “Our colleagues are actively working to minimise disruption and will be in contact with our customers.”
The company's hub at London Heathrow Airport handles over 500,000 tonnes of cargo every year. IAG Cargo transports cargo using the belly capacity of IAG's airlines - British Airways, Iberia, Vueling, Aer Lingus, LEVEL.
Commenting on the impact of a lack of power at cargo facilities and handling areas at the airport, supply chain management company Woodland Group said: "As Europe’s busiest airport, significant disruption is to be expected over the coming days for travellers and global consignments.
"This outage is expected to impact cargo shipments, forcing airlines and logistics companies to divert freight to alternative airports such as Frankfurt, Amsterdam Schiphol, Paris and Madrid."
Angus Hind, director of Europa Air & Sea, agreed that the closure is "going to have a profound impact on supply chains for days, and potentially weeks, to come".
He pointed out: "No cargo is scheduled to land today and even if the airport reopens this evening as planned, we will see disruption for days ahead."
Further commenting on potential disruption, he said: "For us in the industry, I would expect this disruption to continue throughout the next week. Due to Ramadan, poised for the end of March, we are operating at higher volumes of trade to and from the Middle East currently."
That said, Hind stated that ground facilities are operational, although how badly delayed and congested handling becomes depends on when flights are reinstated.
“Airline handling facilities are operating as normal, so airline transfers from European hubs/UK airports will continue to arrive on the ground and be processed as normal, however, we will need to be patient as these facilities work through the backlog of freight while flights start to arrive."
Tim van Leeuwen, vice president and head of consulting at Rotate, said that the company's Live Capacity and Air Demand data shows that more than 10% of European cargo is directly impacted by Heathrow's shutdown, with transatlantic capacity most affected. 20% of cargo capacity on the transatlantic lane is to/from Heathrow.
Meanwhile, the British International Freight Association (BIFA) said that disruption to cargo and supply chains has been overlooked in coverage of the Heathrow shutdown and that the flow of goods at the freight hub had been "severely disrupted".
"After the pandemic and Brexit, the British International Freight Association says it thought that there was a better understanding of the critical importance of efficient international supply chains, said BIFA.
"If the initial mainstream media coverage of the incident at Heathrow is anything to go by, clearly that is not the case, with little mention in the news of the huge disruption to UK supply chains.
"As expected, most reporting has focused on the immediate impact on flights, terminals and passengers. Regrettably, cargo has been largely overlooked, and the impact will be significant on both import and export movements.
"Supply chains work based on a consistent flow of goods and this has been severely interrupted – for exports the immediate concern will be that airline sheds will fill up rapidly and be unable to accept fresh freight deliveries, which will then affect other parties. For imports, freight will not arrive at or be diverted from its original final destination.
"For BIFA members, a big concern is that most cargo is carried in the bellyholds of passenger aircraft and when flights to and from LHR are restored there will be a considerable influx in demand by passengers for seats to continue their journeys. Potentially this will restrict the capacity to move cargo."
In 2023, 48% of all UK air cargo was processed through Heathrow in 2023. This amounts to 70% of all UK air cargo by value.
Over 198.5bn worth of goods travelled through Heathrow in 2023. 90% of cargo at Heathrow is transported via belly capacity.
PML Seafrigo, which said its "facilities are unaffected by the fire", is offering shippers "a collection service from alternative UK airports where imported goods have been unexpectedly rerouted".
The company added it is also offering an export service to transport cargo "to alternative London airports, specifically London Gatwick or Stansted".
There could be opportunities for air charter firms too.
Chapman Freeborn said it was ready to assist shippers who needed to move cargo via an alternative route.
"Chapman Freeborn is ready to assist those affected by the disruption at Heathrow Airport today," said the company in a LinkedIn post this morning.
"If your transport has been impacted by the closure, get in touch with our team and we will create an alternative solution to get your cargo and your people where they need to be."
Following the incident, there has been questions around how major infrastructure operations can better prepare and carry out risk management for such events.
Komal Raj Aryal, lecturer in crisis and disaster management at Aston University, remarked: "This morning’s unprecedented incident at Heathrow Airport has forced us to urgently reconsider how we teach and govern risk management for operational continuity.
"The incident highlights how a localised disruption to one of the UK’s critical infrastructures can trigger cascading impacts across the globe."
