Pakistan’s cabinet accords approval to National Aviation Policy
The revised National Aviation Policy (NAP) 2023 has received
approval from the federal cabinet, marking a significant step towards granting
industry status to the aviation sector. The government aims to attract
investment in various facets of the sector, including air services, airports,
infrastructure development, flight catering services, aircraft manufacturing,
maintenance and repair organizations, ground support equipment, and the import
of aircraft and related supplies.
Key highlights of the revised policy include a reduced
taxation regime to incentivize investment, mandatory registration of all
aircraft on the Pakistan Aircraft Register, and a prohibition on the conversion
of aircraft from cargo to passenger operations. The policy introduces a
technical committee to evaluate requests for variations in aircraft induction
or retirement criteria, with committee recommendations subject to approval by
the licensing authority.
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The NAP 2023 proposes substantial amendments in areas such
as Safety Security and Regulatory Oversight, Air Traffic Rights, Guidelines on
Air Service Operators, Aviation Infrastructure Development, and Guidelines for
Allied Service Providers. The government will encourage the development of
brownfield airports through investment models aligned with Pakistan's
investment policy.
A significant aspect of the policy involves offering
incentives to Aircraft Maintenance Organizations (AMOs) and Maintenance Repair
and Overhaul (MROs), including land lease and license benefits. Notably, the
policy allows 100 percent Foreign Direct Investment (FDI) through joint
ventures with local business entities.
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In special circumstances, the government permits the
induction of foreign-registered aircraft on wet lease, such as in cases of
accidents, maintenance, market evaluation, and operations related to Hajj or
Umrah. The wet lease period is capped at 120 days, extendable to a maximum of
10 days from the aircraft's induction date.
The Aircraft Accident Investigation Board (AAIB) will be
responsible for investigating incidents and accidents involving civil aircraft
operating in Pakistan, with a specific timeframe for completing investigations.
Findings and recommendations from AAIB will be shared with stakeholders to
proactively address and prevent future occurrences.
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Under NAP 2023, the regulatory role of the Pakistan Civil
Aviation Authority (PCAA) will be made independent of service provision,
ensuring financial and administrative autonomy in compliance with International
Civil Aviation Organization (ICAO) requirements. The policy reflects a
commitment to effective governance and proactive measures to enhance the
aviation sector's safety and efficiency.
Source: Pro Pakistani