FIJI NEWS

State vows to revive airline

Written By : Sun Fiji Newsroom. Air Pacific’s commercial viability is government’s concern because it is the airline’s major shareholder, says interim Minister for Finance Mahendra Chaudhry. Mr Chaudhry was
27 May 2008 12:00

Written By : Sun Fiji Newsroom. Air Pacific’s commercial viability is government’s concern because it is the airline’s major shareholder, says interim Minister for Finance Mahendra Chaudhry.
Mr Chaudhry was responding to an earlier article that government should stay out of Air Pacific’s affairs.
“Air Pacific is a stagnating airline,” he said.
“Its profit is declining, it is not expanding, no new major international destinations have been added to its flight network in the past two decades. It is also beset by serious employee relations’ problems.
“It is ridiculous for anyone to say that as the major shareholder the Fiji government should sit back and not take timely action to set things right.”
He said government’s concern was the result of months of complaints lodged by Air Pacific employees, concerned members of the tourism industry as well as the travelling public. Mr Chaudhry said the national airline’s deteriorating standards were a worry to the tourism sector.
“Chronic mechanical problems associated with its ageing fleet of aircraft, is causing delays in the airline’s time performance, sapping confidence in its reliability and efficiency,” he said. “As Fiji’s flagship carrier, it is expected to contribute to a vibrant tourism industry by exploring expansion into new markets and destinations. But we have not seen the national airline embark on any new initiatives in the past two decades.”
He said the Air Pacific board and senior management had to take full responsibility for the poor state of the airline.
Mr Chaudhry added the shareholding agreement with Qantas Airways needed to be reviewed to ensure that Fiji’s national interest was not compromised by this partnership.




Fiji Sun Instagram
Subscribe-to-Newspaper
error: