The Tribune

By NATARIO McKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net

The Bahamas’ aviation director yesterday pledged to resist pressure to open up the domestic aviation market to foreign carriers - something he agreed could “destroy” local carriers.

Algernon Cargill, pictured, affirmed that despite constant pleas, his department will not break cabotage rules and allow foreign carriers to transport passengers throughout The Bahamas’ multiple islands on domestic routes.

Mr Cargill, who was addressing a meeting of The Bahamas’ Out island Promotion Board (BOIPB), said: “Our focus is not only heads in beds but heads in beds safely. I manage the air traffic licensing department, and we will not support any licensing that breaks cabotage laws or compromises the safety of persons coming to The Bahamas.

“You may get 100 heads in beds now but lose millions later on, and that is certainly is not an even exchange. We want to grow the numbers and do so safely. Once we break cabotage rules we open up cabotage in The Bahamas to the whole world.”

Mr Cargill continued: “Under our guidelines, we - and certainly the Department of Aviation - is not going to approve any foreign airline to transport passengers throughout the Bahamas. It destroys the local airline industry, and it destroys opportunities for Bahamians.

“We say we will approve them, but partnered with a local airline and codeshare. Despite all the cry and pleas we keep getting for cabotage, to allow foreign airlines to come to The Bahamas and transfer passengers up and down, I am not a politician but I can tell you that would be political suicide.

“We would have so much issues coming about as a result. We have to think about what is best for the local airlines, earth’s best for tourism, and how we can safely expand and achieve more heads in beds.”

Cabotage, according to the Department of Civil Aviation is “an operation involving flights in commercial air transport which enplaned passengers at one aerodrome in the Bahamas and deplaned those same passengers at another aerodrome in the Bahamas”.

According to its guidelines for foreign operators “no foreign person or operator may conduct commercial air transportation operations involving cabotage between aerodromes in the Bahamas”. It also states that “no foreign person or air operator may conduct commercial air transport operations from an aerodrome in a foreign country to and from aerodromes in The Bahamas unless those operations are authorised by the Authority, and in accordance with the five freedoms specified in the International Air Transit Agreement or as provided in applicable bilateral agreements”.

Mr Cargill, meanwhile, also spoke to the need for upgrades of several Family Islands airports, which he noted were in disrepair. “We have a huge problem in many of our airports. North Eleuthera, for instance, is in a state of decay, falling below international standards and can’t meet the demand,” he added.

Mr Cargill also described the Marsh Harbour airport as “bursting at the seams” with regard to capacity, and in need of proper management. “We hired a consulting group that came in and recommended $5m more in upgrades for that airport,” he revealed.

“We’re finding the money to get it done. We have to get it done. We’re looking at a separate, varied management structure for that airport because we have a $35m airport, that in the opinion of the Department of Aviation, is being neglected. That airport in Marsh Harbour needs focus in the short-term.”

Mr Cargill, though, stressed: “We’re not giving any airports away. They will be owned by the Government. They may be operated differently but we’re not giving away any gateways to The Bahamas.’

He said the cost of Family Island airport upgrades will result in increased ticket prices to finance the work. “Every expansion has to be paid for. When you expand an airport as we did with LPIA, we saw the ticket prices go up in terms of taxes built in to the tickets,” Mr Cargill explained.

“Now in the Family Islands they don’t this add-on to the tickets, but once we spend this money it’s going to happen. Investments have to be paid back. It’s not a social programme but a business programme that we are managing here.”