Rules set for Int'l flights of private airlines

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Abbas Ali
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Rules set for Int'l flights of private airlines

Post by Abbas Ali » Wed Aug 10, 2005 2:55 am

LAHORE, Aug 09 : Private airlines in Pakistan which intend to operate on international air routes will have to abide by certain rules set by the Defence Ministry.

Most of the officials working in different departments at Allama Iqbal International Airport are of the view that allowing the private airlines to operate on the international routes is meant to be the first step towards the privatisation of national flag carrier, PIA.

As per sources the airlines will have to get the planes from international market under ‘wet lease system’ contrary to the past when some airlines got their planes under ‘dry lease system’, media report said.

A senior officer of the Civil Aviation Authority (CAA) told this correspondent that in the past it happened that some airlines including Hajvery Airlines, Safe Airlines and Raji Airlines got their planes from the international market on dry lease and operated on some domestic and international routes. When the said airlines could not earn good business their owners returned the planes to the concerned firms and left the aviation industry.

It is pertinent to mention here that during the operational period of the aforesaid private airlines a huge amount was outstanding against them under the head of landing, take-off, and other handling charges, the officer lamented.

The sources in the ministry also disclosed that this time the ministry was trying to make fool proof arrangements for the airlines so that they could not dodge the ministry or CAA, and the airlines would be bound to get planes on wet lease basis and offer sound financial guarantee against any default. The wet lease means that the airlines would get the planes registered with the government of Pakistan and whenever any airline will try to wind up its business it will not be able to get the plane back to concerned firm without having clearance from the management of CAA.

The sources close to defense ministry have claimed that the negotiation between the owners of the private airlines and the ministry was underway and the ministry was asking the airlines to also operate on the socio-economic and subsidized routes like Chitral, Swat, Skardu, Gilgit and costal areas including Pasni, Panjgoure, and Gwadar.

As per sources the airlines have expressed their willingness to operate on the above mentioned routes. Contrary to this when PIA was asked to operate on the said routes, its management had demanded a huge amount from the government of Pakistan for the purchase of new planes for the said routes.

Now the government was urging the private airlines to operate on the socio-economic routes, failing which the responsible airline will be fined heavily and that that amount will go to account of CAA instead of PIA, because PIA was already under debt from the CAA, owing them a huge outstanding amount.

Director Allmama Iqbal International Airport, Nusrat-Ullah Khan said that the wet lease would also help the job seekers to have gainful employment, because under the said lease the airline would be able to hire its own manpower like pilot, cabin crew and other facilitating staff.

Whereas under the dry lease the leasing company was authorised to engage it’s own staff up to large extent in the plane, and the airline had less chances to hire the staff at its own.

Khan was also of the view that introducing new aviation policy would lead to a better economy of the country, as there would be more chances of travelling for businessmen and traders, who due to uncertainty and congestion on the different international routes could not travel.

Replying a question regarding capacity to handle such number of planes Khan said that CAA was ready to deal with even six more airlines and their planes at the same time, and they have full arrangements for this purpose.

Source: Pakistan Link
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Kashif
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Post by Kashif » Wed Aug 10, 2005 4:39 am

The article is wrong. Dry lease means to only lease the aircraft. This is what Airblue has donewith its 3 320. Wet lease is "all inclusive" lease that incorporates also the flight crew and personell

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Adnan Anwar
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Post by Adnan Anwar » Wed Aug 10, 2005 8:24 pm

Kashif wrote:The article is wrong. Dry lease means to only lease the aircraft. This is what Airblue has donewith its 3 320. Wet lease is "all inclusive" lease that incorporates also the flight crew and personell
TRUE! This article seems more made up, concocted than factual.
Adnan Anwar