Aviation Ministry presents details of airports’ revenues

ISLAMABAD: The Ministry of Aviation has presented the details of revenues from airports to the National Assembly (NA), ARY News reported on Monday.

In a written response, the aviation ministry stated that the income of Jinnah International Aiport Karachi was Rs40 billion in the previous three fiscal years, Rs44 billion from Allama Iqbal International Airport Lahore and Rs46 billion from Islamabad International Airport.

The aviation ministry stated that New Gwadar International Airport will be made functional in December 2023.

To a query, the aviation ministry replied that direct flight operations to Europe and the United Kingdom (UK) were not resumed yet which was suspended in July 2020 following a ban imposed by the European Union Aviation Safety Agency (EASA).

The ministry stated that a new greenfield airport was not being constructed in Sindh and Balochistan.

The ministry added that the government is working on outsourcing Karachi, Lahore and Islamabad airports for improving the revenues and standards.

It added that the ownership of the airports’ properties will stay with the Civil Aviation Authority (CAA).

Airports outsourcing

Earlier, it was learnt that the federal government decided to outsource Islamabad International Airport before the end of its tenure.

Sources told ARY News that the concerned authorities will release a tender before the end of the incumbent government’s tenure for the outsourcing of the Islamabad International Airport for 15 years.

The outsourcing contract could be extended up to 20 years citing the interests of the companies. Under the plan for the airports’ outsourcing, the passengers’ facilitation services will be handed over to the concerned company from the Civil Aviation Authority (CAA).

The concerned company will be responsible for managing the airport instead of the CAA besides increasing the facilities for the passengers. Additionally, the company would also be responsible for renovating the duty-free shops at the airport.

The CAA employees will be transferred to other departments of the airports under the outsourcing plan. Moreover, the airport terminal services, parking, storage, cargo and handling will also be outsourced.

The Civil Aviation Authority (CAA) will keep control of the airports security and air traffic controller departments. Under the agreement, the federal government can cancel the agreement with the company in case of failure to provide facilities to the passengers.

After Islamabad, the airports of Lahore, Karachi and Skardu will be outsourced by the federal government.