All airports riding on Pom and Hagen

By MATTHEW VARI

Sunday, September 18, 2016 (Sunday Chronicle, PNG)

MINISTER for Civil Aviation, Steven Davies has pinned the day to day operation of all 22 airports in the country riding on the performance of nation’s capital’s Jacksons Airport and Mount Hagen’s Kagamuga Airport.

He made the statement when announcing major changes to the National Airports Corporation management and board.

Minister Davies highlighted the need for restructure in the airport authority to be more commercially viable in order to maintain and gain economically form its 20 other assets around the country.

“I say this knowing that except for Port Moresby and Mt Hagen- all other 22 airports are liabilities that we are carrying in our books at the moment,” Minister Davies said.

“That is why in our effort as a government oversight, myself and the minister for finance, 12 months ago, urged the board at restructuring NAC so that you have a business arm that would drive the commercial interest of the company.”

“I will in due course receive a report on that. We have 22 airports with NAC mandated to manage them in terms of they meet standards of safety. There is no direct government funding in terms of supporting all those airports.”

He said mostly Port Moresby and Mt Hagen are able to generate sufficient revenue to carry out their operational cost and everything else that is required, with the rest of the other airports are unable to be commercially viable.

“That is why the current government is looking to see how we can support NAC to make sure that those airstrips, or those regional airports.”

“I referred in the community service obligation policy that government has past and we are asking the current board and management to look at to support.”

“And also under the act we are also looking at partnering with the provincial governments the local authorities so there is combined responsibility and cost sharing- and of course from cost sharing we will go to benefit sharing.”