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Aviation policy to be made attractive for foreign airlines

RECORDER REPORT

KARACHI: The committee constituted by the government to recommend improvements in the aviation policy, will submit its report by end of this month (March).

Civil Aviation Authority Director General, Air Marshal Aliuddin (Retd), who heads the committee said it would be the endeavour of the committee to bring back leading U.S. and European carriers who have rolled back their operations in Pakistan in recent years due to a multiplicity of reasons by making the aviation policy more attractive.

The committee will look into the causes which forced foreign carriers to shift from Pakistan and suggest measures, incentives and concessions to induce them to come back, he said.

Air Marshal Aliuddin, who gave an impression that he was well prepared to 'rub his shoulders' with the public to achieve his goals, appeared pretty confident of 'hitting the bulls eye' provided he gets required support from quarters concerned in achieving his targets.

He said higher aeronautical charges could be one of the reasons, other than security, costly fuel, competition and problems faced by them in repatriating their profits which forced the foreign carriers to withdraw. It had become impossible for these carriers to carry passengers to Dubai for Rs. 6,000, being offered by some local carriers, as against a fare of Rs. 14,000, he said.

He said that despite reservations of PIA, he favoured the existing open sky policy and airline operations through northern gateway. There was nothing wrong with the aviation policy, he said adding that while making recommendations for improvement, the committee shall certainly keep the interests of PIA in mind. Opening of northern gateway has proved beneficial for Pakistan. It has resulted in increased revenues, increased passenger load and competition among airlines.

In reply to a question about Federal Aviation Administration (FAA) suggestions to bring about improvements in different areas, he said that ever since he took over as Director General, his team has made untiring efforts to restore the CAA status by updating various facilities. Now it has proper regulations, qualified inspectors for all types of equipments as well as inspection records.

He was confident that all objections raised by FAA have been removed and first initial dialogue with FAA mission is expected sometime during this month.

He said that CAA has restored financial health of the Authority and plans are in hand to commercialize its land around Quaid-e-Azam International airport, Karachi.

He said one of the improtant areas which had constantly engaged his attention was the recovery of dues amounting to around Rs 4 billion against airlines and different agencies. He said that the government has written off Rs 1.5 billion out of Rs 3 billion which were long over due against PIA.

The national carrier is now paying Rs. 30 million per month to clear the dues as per the agreement. PIA is not only clearing its previous liability but also paying current dues regularly, he said.

About the completion of Lahore international airport, he said that the new complex will be completed by January 2001 at a cost of Rs. 10 billion. With regard to international terminal at Islamabad, he said it has been decided to offer it on BOT basis. Further it has been decided that no new airport will be constructed in the country. Rather the infrastructure facilities at existing airports will be consolidated. The Sialkot airport project has been shelved, he said.

About the winding up of KLM operations from Pakistan, he said it has nothing to do with our aviation policy but was part of airlines world-wide strategy as it was closing down some more stations in other parts of the world as well.