PIA to resume flights to UK in ‘three months’

Rafique says Islamabad airport to be outsourced for 15 years


Our Correspondent July 21, 2023
A file photo of Islamabad International Airport. PHOTO: AFP

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ISLAMABAD:

Federal Minister for Aviation Khawaja Saad Rafique on Friday said the Pakistan International Airlines (PIA) was likely to resume flights to Britain in the next three months, after services were suspended following a fake pilot scandal.

The federal minister apprised the National Assembly that new legislation this week had removed the final hurdle for the national carrier to fly to the United Kingdom.

He gave no details about the legislation or why it was required to resume the flights.

He said the resumption of services to Britain did not include other European destinations.

“God willing, the PIA flights will resume at least to the UK in three months, and later, flights to Europe and America will resume."

The PIA flights to Europe and the UK were suspended after the European Union’s Aviation Safety Agency (EASA) revoked the national carrier's authorisation to fly to the bloc in 2020 following a fake pilot licence scandal.

The issue resulted in the grounding of 262 of Pakistan's 860 pilots, including 141 of PIA's 434.

PIA spokesperson Abdullah H Khan said the national carrier was looking forward to resuming flights on the UK route.

"The UK and Europe contribute to 37% of our total revenue," he said.

Rafique said the national airline had incurred losses as a result of the fake licence issue.

He said it would need to be restructured and required billions of dollars in investment to avoid closure.

The minister also stressed the need to restructure the PIA in order to address its substantial deficit, which had reached Rs80 billion this year and was projected to increase to Rs259 billion by 2030 if not dealt with appropriately.

He asserted that no employees would be laid off, and all existing staff would retain their job security and privileges.

Regarding the future plans for the PIA, Rafique informed the house that the total liability of the PIA amounted to Rs742 billion, with only 27-28 planes operational currently.

He urged the necessity to save the institution and underscored the importance of the restructuring legislation, which had been approved by the National Assembly in the previous sitting.

Rafique issued a warning that immediate reforms were crucial to prevent further escalation of the deficit in the coming days.

Islamabad airport

The aviation minister also said that the government planned to outsource the airport operations, starting with Islamabad airport, and followed by operations at Karachi and Lahore airports.

“The Islamabad airport will be outsourced for a period of 15 years to improve its operational activities,” the minister said while responding to a calling attention notice by Muttahida Majlis-e-Amal lawmaker Maulana Abdul Akbar Chitrali.

The minister said that the move did not equate to privatisation. The runway and navigation operations would not be included in the outsourcing process, he said. “Instead, it aims to bring in proficient operators to enhance airport operations.”

Rafique emphasised that open competitive bidding would be ensured, allowing the best bidder to be given the opportunity to operate the airport.

The process, he said, would be profit-oriented, ultimately benefiting the national exchequer.

The International Finance Corporation, the private sector arm of the World Bank Group, would serve as the consultant.

The minister said that 12-13 companies had already shown interest in participating in the bidding process, while assuring that the process would be transparent and in line with rules and regulations.

Highlighting the success of outsourced airports in other countries like India and Turkiye, Rafique mentioned that even Madina airport had been efficiently outsourced to deliver enhanced services.

(With input from agencies)

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