Civil Aviation Authority yet to conduct inspection of PIA’s 35 aircraft

 

Civil Aviation Authority yet to conduct inspection of PIA’s 35 aircraft

The inspection of 35 aircraft belonging to Pakistan International Airlines (PIA) by the Civil Aviation Authority (CAA) is still pending, posing a potential threat to the issuance of the necessary certificate for next year's flights. The CAA's Flight Standards Directorate had raised concerns related to technical issues with the planes and crew training, among other matters.

At the time when the air operator's certificate was issued earlier this year, it was stipulated that the inspections mandated by the CAA should be completed by December 2023. This includes not only the grounded PIA planes but also aircraft operated abroad and by the Pakistan Navy, all of which are part of the inspection list.

The deadline for obtaining next year's air operator certificate is set for January 31, 2024. A comprehensive list of aircraft categorized under operational specifications has been released by the CAA's director of flight standards, encompassing details of 12 Boeing 777, 17 Airbus A320, and six ATR planes owned by the airline.

 

Pakistan International Airlines (PIA) to halt operations of several aircraft

 

The CAA has repeatedly urged the national flag carrier to expedite the inspections of these aircraft. Currently, 15 PIA planes are grounded, two are overseas, and two are in use by another organization within the country.

To address the financial challenges faced by PIA, the federal government has developed a substantial plan that involves transforming the airline into a public-private partnership with foreign investment and restructuring the organization. This plan includes the creation of a new holding company registered with the Securities and Exchange Commission of Pakistan (SECP), where all assets and liabilities of the national carrier will be transferred. PIA will then operate as a debt-free subsidiary within this holding company.

 

PIA, other airlines heavily fined by CAA over delayed luggage

 

Under the PIA revival plan, 40% of shares will be offered on the international market to operate the national airline as a public-private partnership, with management outsourced as well. A foreign consultant will be engaged to ensure transparency in the restructuring process.

The government's framework for this transformation is expected to be completed in phases by 2025, initially focusing on separating the airline from its debt and losses by registering the holding company with the SECP. Subsequently, the national airline will undergo restructuring and operate as a public-private partnership, with shares sold to external investors.

Documents reveal that PIA incurred significant losses in previous years, with the annual loss projected to reach Rs259 billion by 2030. Factors such as the ban on UK and European flights have contributed to these financial challenges, causing a collective loss of Rs215 billion and an annual loss of Rs71 billion to the national carrier. The situation worsened after the crash of flight PK-8303 in Karachi in May 2020 and the subsequent grounding of 262 airline pilots suspected of exam cheating, as announced by the former aviation minister Ghulam Sarwar Khan.

Source: Express Tribune

Post a Comment

Previous Post Next Post