New aviation policy wont offer open sky incentives
* To offer foreign airlines their required destinations only on reciprocal basis
ISLAMABAD: National Aviation Policy 2008 would not offer open sky policy incentives to the foreign airlines and would be based on reciprocal treatment with the countries, seeking access to their required destination in Pakistan, official sources told Daily Times here on Monday.
However, government is expected to offer open sky policy incentives to the airlines desirous of operating their flights from Gawadar International Airport, to be constructed in Gawadar, Balochistan province. Open sky policy incentive would be limited to Gawadar International Airport to attract more foreign airlines at this important trade hub for its success, the official informed.
Foreign airlines were demanding the government to offer open sky policy incentive, operating rights to any destination without any condition, under the new aviation policy and any policy minus this incentive would not have much to offer to foreign carriers.
Caretaker federal cabinet had, in recent past, expressed desire to arrange special presentation on new aviation policy, however, later it asked the authorities concerned to finalize the policy and prepare summery for formal approval by the federal cabinet of the next elected government, the official added.
Lufthansa had already started its operations from Lahore and other airlines, including UK International, GMG Bangladesh, British Midland, Virgin Atlantic and China International, had shown interest in operating flights from Pakistan. Growth in the aviation industry of the country is nearly 7 percent, which is more than 4 percent of the Asia Pacific region.
The official informed that the new policy would not be based on open sky policy as this incentive could create trouble for the national carrier. New policy would offer foreign airlines their required destination on the reciprocal basis. The foreign countries seeking access to new destinations in Pakistan would be required to offer similar access to Pakistans national carrier its required destinations, the official said. Access to foreign airlines on reciprocal basis is in practice in many countries and this method is proved successful and beneficial for foreign airlines as well as national airline, informed the official.
He further informed that wet leases would not be allowed as this creates trouble for the airlines especially new ones and the authorities concerned. All the airlines desirous to operate in Pakistan would be required to purchase their own aircrafts so that their operations are carried out on sustainable basis, said the official. The official informed that recently inaugurated Sialkot International Airport would be used for cargo handling purposes only for the time being. National Aviation Policy is the part of the governments endeavors to facilitate flows of trade and passenger traffic in the country according to international standards. During the consultation process on the proposed policy representatives from donor agencies had desired that the all Pakistani registered airlines should be treated equally without preference for Pakistan International Airlines (PIA). Private airlines should not be forced to operate on secondary routes, being non-commercial activities; these should be covered under Public Service Obligations and should be subsidised to ensure commercial viability, the official explained.
They also proposed restructuring of Civil Aviation Authority (CAA) and suggested that CAA should also include a separate regulatory and air traffic control body.
Preparation of National Aviation Policy is an important initiative with significant emphasis on Pakistans aviation sector in the years ahead and creating a conducive environment for aviation industry to flourish. They were of the opinion that proposed National Aviation Policy should be revised to include multi-model integration with railways, roads and port sectors and peripheral development.
Ground services at airports, peripheral services and infrastructure development should be included in the infrastructure development of the proposed policy. The objective of the proposed National Aviation Policy should cover performance indicators, access, mobility, connectivity (both domestic and international) and tax perspective.
Representatives from donor agencies had also pointed out that proposed NAP does not provide the strategic direction and targets to be achieved in longer terms. The objective, to contain predatory pricing and unfair competition both international and domestically through a system of filling of tariffs should be deleted. Operations of wet leased foreign registered aircrafts by Pakistani airlines led to compromise on aviation safety, security and employment opportunities should either be properly justified or deleted from the proposed NAP.
It focuses on rules and regulations for example being the section on licences and certificates. The paid up capital for regular public transport licences shall be Rs 250 million. A suggestion was also made to study international airline/aviation policies including Gulf countries, United Kingdom, India, France and Austria. Human Resource Development (HRD) component should be included in the proposed policy.
Daily Times - Leading News Resource of Pakistan
