DODOMA – Members of Parliament in Tanzania have urged the government to transfer ownership of aircraft operated by Air Tanzania Corporation Limited (ATCL) from the Tanzania Government Flight Agency (TGFA) directly to the national carrier. This directive came during discussions on the 2024 Report presented to the National Assembly by the Chairperson of the Parliamentary Standing Committee on Infrastructure Development, Moshi Kakoso.
Currently, TGFA, a state-run agency, owns the aircraft and leases them to ATCL. MPs argue that this arrangement is creating significant operational hurdles for the airline. They highlighted the substantial debt of 429 billion Tanzanian Shillings accumulated by ATCL due to the aircraft leasing contracts with TGFA. This debt, they contend, is crippling the airline's finances and hindering its ability to function effectively.
“Due to the current arrangement and the inherited debt, ATCL is struggling to purchase spare parts, hire pilots and engineers, and even obtain permits to ferry cargo abroad in a timely manner,” Mr. Kakoso explained while presenting the committee’s report. The MPs believe this structure is detrimental to the government's efforts to expand the airline and improve its services.
The parliamentarians stressed the urgent need to transfer all aircraft from TGFA to ATCL. Furthermore, they recommended amending the law that established ATCL, advocating for its transformation from a public parastatal organization (corporation) into a company, allowing for greater operational flexibility.
In addition to the ownership transfer, the MPs called on the government to address outstanding debts owed to ATCL. They specifically mentioned 64 billion Shillings in outstanding payments, including 18 billion Shillings owed to the corporation’s suppliers.
To further strengthen ATCL, the MPs urged the government to expedite the construction of an aviation college and improve the welfare of pilots. They suggested that these measures could incentivize Tanzanian pilots working abroad to return home and contribute to the national carrier.
Another key concern raised by the MPs was the issue of faulty engines on ATCL's Airbus A220-300 aircraft fleet. They noted that these engine problems have led to frequent maintenance and flight disruptions, impacting the airline’s schedule and reliability. ATCL currently operates four Airbus A220-300 aircraft. The MPs called for the replacement of these problematic engines.
Despite these challenges, the MPs acknowledged the progress ATCL has made, noting the increase in destinations served from four in 2016 to 28 by November of last year. Currently, the airline serves 25 destinations, including 13 domestic, nine regional, and three international routes. The report also highlighted ATCL's achievement of passing the aviation safety inspection four consecutive times, earning the IOSA 26 Certificate.
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