The Tribune

By EARYEL BOWLEG

Tribune Staff Reporter

ebowleg@tribunemedia.net

CHESTER Cooper confirmed that a consortium of American airlines, in opposing air navigation services fees in The Bahamas, has tried to make Bahamasair a casualty of its campaign.

The Airlines for America consortium, including American Airlines, Jet Blue, FedEx, Delta, Southwest Airlines and United Airlines, urged the US Department of Transportation (DOT) not to renew Bahamasair’s authority to offer passenger and cargo services to and from the US.

Mr Cooper, the Deputy Prime Minister and the Minister of Tourism and Aviation, assured yesterday that its bid would not impact the operations of the national flag carrier.

The consortium threatened that it would object to all applications by any Bahamian airlines, such as Western Air and Southern Air, for approval from the US Department of Transportation and its regulatory affiliates to operate in the US.

The move comes after the US Department of Transportation dismissed the consortium’s initial complaint over The Bahamas’ air navigation services charges, also known as overflight fees, in February 2023, finding they did not represent “unfair practices” or “unjustifiable or unreasonable discrimination”.

Mr Cooper discussed the issue with reporters outside of House of Assembly yesterday.

“The Department of Transportation has indicated to us that they have no concerns as it relates to Bahamasair,” he said. “They understand what the issues are. They understand what the previous complaints have been from this association of airlines.”

“The conversations are continuing, and the consultations are continuing as it relates to the overflight fees, and there is no interest in conflating the two issues. So the Airlines for America are attempting to get attention to the matter that has effectively already been litigated by the Department of Transportation by taking a swipe at Bahamasair.”

He emphasised the Bahamian government’s positive relationships with the Department of Transportation and the US generally, saying: “All will be well.”

“We believe, in our sovereign right, we have the ability and right to charge for the use of airspace, and we have been very transparent and accountable and very open in the dialogue,” he said. “They’ve asked for extended periods of time for consultation, and we complied. I think, you know, nobody wants to pay more taxes. I don’t think any of us want to pay more taxes.”

“So people fight paying taxes, and in the reality of the matter, at the end of the day, once we believe that we’re being accountable, transparent, and there is cost relatedness to the services being provided, we are satisfied that the principles of our position will hold.”

The US Embassy in Nassau released a statement yesterday saying that while Bahamasair has an application pending before the Department of Transportation, the airline may continue its flight operations to and from the United States under its existing authority.

“The United States and The Bahamas share strong economic ties,” the embassy said. “Our partnership enables frequent and easy travel between our two countries.”

Meanwhile, Mr Cooper responded to the Airport Airline and Allied Workers Union’s (AAAWU) threat to take a strike vote over Bahamasair’s decision to outsource ramp service agents to Nassau Flight Services.

The union claimed the move violates its industrial agreement.

Mr Cooper said: “Let me tell you that we have two loss-making entities that are subsidised heavily by the government of The Bahamas and the taxpayers. We have two set of employees doing exactly the same thing, and in our wisdom, we determine that there is a better way to do this, and we can redeploy the staff to make other areas of both entities more efficient.”

“So, this is sound governance principles being recommended. We respect that the union and the employees are stakeholders, and we believe that they also want what is best for these entities and what’s best for the country.”