Kenya Airways plane. EABC called on the Heads of State Summit to intervene and make air travel in the region affordable by addressing the emerging non-tariff barriers. PHOTO | FILE | NMG Speakers pointed out that despite countries having national carriers, tickets from one capital to another in the region are punitively high, giving room to foreign airlines to undercut them, making the business of aviation expensive for regional airlines.
He appealed to the EAC partner states to open the skies by reducing and aligning the high landing and parking fees in the region and governments to offer national treatment to each other’s carriers.
He said EAC countries are not optimising the Customs Union and the Common Market. “Unharmonised domestic tax regime affects the free movement of goods, services, labour and capital the freedoms of which are provided in the Treaty protocols,” said Mr Nesbitt.
Unless leaders in the region review policies and fees, air travel in East Africa will remain expensive, cumbersome, uncompetitive and punitive to both operators and passengers, stagnating the aviation sector.
These were the sentiments of the private sector in East Africa led by the umbrella organisation, East African Business Council (EABC), and presented at the EABC Private Sector Pre-Heads of State Summit Engagement held in conjunction with the German development agency, GIZ, in Nairobi this past week.
EABC called on the Heads of State Summit to intervene and make air travel in the region affordable by addressing the emerging non-tariff barriers.
“East African air transport service is over regulated and is still fragmented, restrictive and expensive due to the existence of different Bilateral Air Service Agreements,” said Nicholas Nesbitt, chairman of the EABC. “Regulation of air services should be about safety and not what airline is travelling where and why,” he pointed out.
Speakers pointed out that despite countries having national carriers, tickets from one capital to another in the region are punitively high, giving room to foreign airlines to undercut them, making the business of aviation expensive for regional airlines.
Dennis Karera, the vice chair of EABC blamed it on government taxes.
“Over 40 percent of air ticket costs in the region comprise of regulatory charges, parking fees and other taxes. And this is what we want the Summit to address,” he said.
He singled out Article 92 of the Treaty (Civil Aviation and Civil Air Transport), and called for its implementation. It states that EAC Partner States are required […]