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Zawya
10 hours ago
- Business
- Zawya
African airlines taxed out of reach for travellers
Carriers in East Africa have sounded the alarm over high taxes imposed by governments on goods and services in aviation, saying the levies are inflating ticket costs and stifling growth in an industry facing numerous challenges. The African Airlines Association (Afraa) says many countries in Africa have raised taxes on aviation in an effort to boost revenues and meet fiscal targets, but at the expense of air travel and the viability of carriers. In a report published last week, the lobby says a passenger departing from an African country pays an average of 3.5 taxes, charges and fees on international departures – about $68 – up from $66 in 2022. Anyone departing from Europe and the Middle East pays an average of 2.53 and 2.69 taxes respectively, valued about $30 and $34.'Aviation in Africa faces huge challenges related to taxes and charges, which affect airlines, passengers and economic growth,' Afraa said in the report.'High taxes, inconsistent policies and reliance on revenues can stifle the development of a competitive and sustainable aviation industry.'The report says many African governments are ignoring the International Civil Aviation Organisation's (ICAO) policies on taxation, imposing exorbitant charges on the sector. In addition to international departure taxes, more African countries have introduced transfer and arrival taxes, further inflating the cost of flying to and through the continent. Regional departuresAs of 2024, some 42 African countries applied transfer taxes, up from 35 in 2022, increasing ticket prices by an average of $34.40. Arrival taxes rose from an average of $14 in 2021 to $34.10 last year. Flights within the continent are not exempt. Since 2022, fees, charges and taxes on regional departures have risen by about $2 to $59.05, up from $57.40. While average taxes in Africa are already above international norms, some countries charge close to $300 in taxes and fees on global and regional departures. Gabon is the most expensive country to fly from, charging $297.70 for international flights and $260 for regional departures. Sierra Leone follows closely, levying $294 for the categories. In East Africa, the Democratic Republic of Congo is the costliest, charging $109.90 for regional and international departures – the ninth most expensive on the continent. On average, East African countries charge $63.32 in taxes on international departures and $52.82 on regional departures, ranking third after West Africa ($109.49 and $96.98) and Central Africa ($106.62 and $85.84). Four countries in the region charge $50 to $100, one charges between $100 and $150, two fall between $30 and $50, and two charge less than $30. Afraa does not specify charges by country except for the 10 most and least expensive. An analysis by the East African Business Council in 2023 also established that countries in the region have hefty taxes on international and regional travel, with some airports being among the most expensive on the continent to depart from. Juba Airport in South Sudan was the most expensive, with taxes amounting to 17 percent of ticket prices for air travel within the East African Community (EAC) and 11 percent within the rest of Africa. Uganda's Entebbe Airport and Burundi's Bujumbura Airport came second with taxes eating up 15 percent of ticket prices, followed by Nairobi's Jomo Kenyatta Airport and Julius Nyerere Airport in Dar es Salaam, at 11 percent, with Kigali Airport in Rwanda being the cheapest at eight percent. Aviation trafficAfraa says the continued rise in these taxes will suppress local demand for air travel and weaken tourism in Africa, which relies on aviation to transport about 56 percent of visitors.'Taxes and fees generally represent more than 55 percent of airlines' most affordable base fares, and over 35 percent of the total ticket price,' the report states.'Given the low purchasing power in Africa, it is urgent to assess the issue of high taxes to stimulate demand and make air transport affordable.'Indeed, air travel seems to be less developed and has less traffic in regions that have more taxes than in those with lower taxation on the industry, evident from the Afraa analysis. Of the 10 countries with the lowest aviation taxes for international and regional departures, four – Morocco, Tunisia, Algeria and Libya – are from northern Africa. All but one country from this region charge less than $50 in such taxes, according to the report. In contrast, only three countries from West and Central Africa have taxes of less than $50, while the majority charge more than $100 in international and regional departure taxes, not to mention arrival and transfer taxes on airline tickets. As most African countries grapple with debt sustainability and scramble for revenue, Afraa says indiscriminate taxation risks strangling industries critical for growth.'To foster greater air connectivity, economic growth and regional integration, it is important for African governments to consider harmonising tax structures, reducing excessive charges and pursuing alternative funding methods for aviation infrastructure,' the report concludes. © Copyright 2022 Nation Media Group. All Rights Reserved. Provided by SyndiGate Media Inc. (
Economic Times
a day ago
- Politics
- Economic Times
AI 171 crash probe raises more questions than answers
The sole purpose of states devoting resources to investigate an air accident is to determine the cause and take corrective action to prevent a recurrence. What such an investigation absolutely shouldn't do is apportion or indicate blame on investigators in the AI 171 crash have managed to do with the preliminary report that was released on Saturday is exactly opposite of that. It has left the airlines and regulators wondering what should be done to prevent another air tragedy, while hinting at casting aspersions on capability or mental health of pilots. International Civil Aviation Organization (ICAO) recommends that in cases of heightened public attention, the state investigating the case should publish the report within 30 days. It should lay down all facts obtained during the early stages of the investigation and provide safety recommendations if it deems fit at that stage. Aircraft Accident Investigation Bureau (AAIB) has done remarkably well to meet this deadline. But a bare reading of the report reflects it trying to hide more than providing information. Initial reports of investigations into similar crashes present a transcript of the cockpit voice recorder (CVR) along with timestamps. For instance, while releasing the early report into the investigation of the accidents involving Boeing 737 Max aircraft, Indonesian and Ethiopian authorities laid out the entire transcript of the CVR. It depicted the pilots' struggle to regain control of the plane despite performing all procedures mandated by the manufacturer. Airlines and regulators across the world look to such cues to take preventive action so as to cut down any factors that can risk flight of such details in AAIB's report - while cherry-picking a single sentence in which one pilot is heard asking the other regarding why he had cut off the fuel switch, to which the reply was that he hadn't - is questionable. It has led to pointless speculation on pilot error, or worse, pilot suicide, since these switches in crafts like the 787 have safeguards like metal lock and a guard built around them to avoid any accidental 'switching off'.By keeping the report open-ended, AAIB has provided fertile ground for claims and counter-claims that can affect pilots at large. Further, it gives no further details on what happened in the 10 secs between the switches being cut off and being put on again. Surely, sharing such details wouldn't have harmed the probe process. Instead, it would have helped to understand why investigators believe they see no risk with either the Boeing 787 aircraft or GE report also cites a 2018 advisory of Federal Aviation Administration (FAA), which flagged the possibility of disengagement of the fuel switch-locking mechanism, although in a different type of aircraft. Because the bulletin was advisory and the issue was not deemed an unsafe condition, it stated that Air India did not conduct inspections on its fleet. It raises the suspicion about whether the crash was due to bad engineering practice. But in the very next sentence, the report states that Air India replaced the throttle control module twice, in 2019 and a modern-generation jet like Boeing 787, the thrust control module and fuel control switches are physically integrated into the same unit, and replacing the module also involves replacing fuel switches. If at all investigators felt that it was a significant fact in the accident, the least they could have done is advise airlines to check the locking mechanism of the crux of ensuring success of a process is to maintain public trust. The report has managed to break that trust with some claiming it's hiding pilot error, intentional or not. From the very start, the investigation process has been shrouded with controversy with AAIB or civil aviation ministry deciding not to give any update. It is essential to effectively communicate in today's 'real-time information' era. In the absence of that, it's misinformation that fills the void. (Disclaimer: The opinions expressed in this column are that of the writer. The facts and opinions expressed here do not reflect the views of Elevate your knowledge and leadership skills at a cost cheaper than your daily tea. The 10-second mystery: Did the Air India crash report hide more than what it revealed? Can Indian IT's 'pyramid' survive the GenAI shake-up? Zee promoters have a new challenge to navigate. And it's not about funding or Sebi probe. The deluge that's cooling oil prices despite the Iran conflict Stock Radar: Natco Pharma stock showing signs of momentum after falling over 30% from highs – what should investors do? In mid-caps, 'just hold' often creates wealth: 10 mid-cap stocks from different sectors with upside potential up to 44% F&O Talk | Foreign outflows, IT drag pull nifty lower; next support at 24,500: Rahul Ghose How to use dividend yield in volatile times: 6 stocks where this strategy has a high chance of giving much better returns
Zawya
a day ago
- Business
- Zawya
Jordan submits e-passport encryption keys to ICAO
AMMAN — Jordan on Saturday submitted its public encryption keys for the electronic passport to the International Civil Aviation Organisation (ICAO), marking a 'key milestone' in the Kingdom's digital transformation efforts. The handover took place during a special ceremony at ICAO headquarters in Montreal, Canada, the Jordan News Agency, Petra, reported. According to a statement issued by the Ministry of Digital Economy and Entrepreneurship, the event represents a 'major' step in the implementation of Jordan's e-passport project. Jordan's Ambassador to Canada Sabah Rafii represented the Kingdom during the handover ceremony, which was attended by ICAO Deputy Director of Aviation Security and Facilitation Sylvain Lefoyer. Minister of Digital Economy and Entrepreneurship Sami Smairat said that uploading the digital certificate to ICAO's servers will allow member states in the Public Key Directory (PKD) to verify Jordanian e-passports electronically and in real time. This will enhance global authentication systems and facilitate smoother border crossings for Jordanian passengers at airports and land ports in countries that participate in the directory, the minister added. © Copyright The Jordan Times. All rights reserved. Provided by SyndiGate Media Inc. (
Business Times
2 days ago
- Business
- Business Times
Maritime, aviation sectors can learn from each other in tackling conflict risks, climate change: transport leaders
[SINGAPORE] The maritime and aviation sectors can work together to tackle shared global risks such as geopolitical conflict and climate change, said senior global transport officials on Monday (Jul 14). These are among 'common challenges and issues… that straddle both sectors', said Acting Transport Minister Jeffrey Siow. 'To that end, we are looking at how we can train practitioners in both sectors to be able to look at these issues and to come up with innovative solutions to address them.' For a start, Singapore will work with the International Civil Aviation Organization (ICAO) and the International Maritime Organization (IMO) to develop new joint training programmes on areas such as sustainability, safety and capacity building, he added. This was at a press conference with ICAO's secretary-general Juan Carlos Salazar and IMO's secretary-general Arsenio Dominguez, held after the Global Aviation and Maritime Symposium. The one-day event brought together more than 500 maritime and aviation leaders from over 60 countries and 90 organisations. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up Collaboration between both transport sectors is not just possible, but necessary, said Dominguez. 'Sometimes we're portrayed as competing. But that's not the case.' One shared challenge is sustainability. Here, Siow noted, aviation has been focusing on sustainable aviation fuel due to its fixed infrastructure, while the maritime industry is exploring a broader mix of alternative fuels. ICAO's Salazar said that even as the aviation sector develops its own measures to cut carbon emissions, it is closely observing the IMO's decarbonisation framework, which he described as 'innovative'. As the aviation sector works towards a plan to address carbon emissions, it hopes to learn from the maritime sector's experience after it rolls out its net-zero framework later this year, he added. Safer skies and seas Beyond emissions, aviation and maritime can work together in many other areas, said Salazar. He named examples such as managing air and sea traffic in conflict zones, coordinating search and rescue operations, and improving crisis responses. 'Many of the challenges we face today are common: political instability, threats to security and safety of both maritime and aviation systems,' he said. 'These present opportunities to exchange and learn from each other.' His maritime counterpart Dominguez noted that safety challenges such as search and rescue, route disruptions, and safety equipment interference are shared across both sectors. ICAO's Salazar also noted that international civil aviation has long drawn from the maritime sector, particularly in legal frameworks. 'In that regard, I believe the cross-pollination… of experiences and best practices… is very important,' he said.
Time of India
2 days ago
- Time of India
'Missing signatures, no pilot in team…' Sanat Kaul Tears Into AAIB Report, Points to Major Lapses
Aviation expert Sanat Kaul has raised serious concerns over the preliminary report on the Air India flight AI171 crash. Calling the report 'not OK,' Kaul questioned the lack of pilot representation in the probe team and highlighted deviations from ICAO's Annex 13 protocols. Pilot bodies have also alleged bias and lack of transparency in the investigation. The crash, which occurred on June 12 in Ahmedabad, claimed 260 lives.#ai171 #airindiacrash #aviationnews #sanatkaul #icao #boeing787 #airindianews #pilotassociation #aviationupdate #crashinvestigation #civilaviation #airplanesafety #breakingnews #aviationalert #india Read More
