In the midst of opportunities
encased within Tanzania, one of the world's most astounding
wildlife regions, a master-plan is now being evolved to rejig the
entire gamut of Tanzania's transport system and fire up the
country's transport market to serve the transportation needs of
nearby land-locked countries. Hon. Omari Nundu, air transport
industry statesman and Tanzania's Transport Minister, is piloting
this process, weaving into his workplan for air transport the
all-important Yamoussoukro Decision. He reveals details of his new
preoccupation to Aviation & Allied Business in this exclusive
interview in Dar es Salaam.
Q: Honourable Minister,
what would you say is the thrust of your administration as the
Minister of Transport in Tanzania?
A: First of all,
this is a new Ministry, in the sense that we had a Ministry of
Infrastructure Development, which was a big ministry that involved
road construction and air transportation in general, and of course
the development of all the other infrastructure with respect to
both railway and meteorology. The government broke it down to two
ministries - the Ministry of Transport and the Ministry of
Works.
The thrust of my administration is to continue in developing
transportation systems so that they serve the country well. The
belief is that transportation is a major source of income; it is
also a support for all the other sectors. I am talking about source
of income because here we have ports and harbours. But several
countries who are our neighbours like Rwanda, Burundi, Uganda,
Congo, Zambia and Malawi do not have these facilities. For them to
import or export goods they depend on ports; and we have ports. So,
the task now is to make sure that these ports are developed well
enough to the extent that they can serve this country and the
neighbouring countries. The ports need the railway system to
complete the network; so we need to develop the railway system as
well.
And then there is the question of
air transportation; if we are to become that centre of business in
the transportation of people and goods in the region, we need an
efficient air transport system. We have been developing this for
many years, before independence and after independence, and we made
some headway. But suddenly things did not continue to work that
well; so we decided to go into private sector partnership. And we
tried that in this particular sector with Air Tanzania and the
railways. They still had challenges. So, when I came here the first
thing was to find out what the problem was, if we are still to
continue with the private sector, and how we can cope with the
marriage with the private sector. We want to see how we could
revive the system on our own.
Our objective is to improve the
system so that it can serve the country well; we also have the
objective of transforming the whole transportation system to serve
the country well and support the economy of the other neighbouring
countries.
Q: You have stated
readiness to address transportation challenges in Tanzania. What
are your plans for Air Tanzania?
A: We have to
develop air transportation for the domestic market; not a lot of
people are using air transportation. We have limited number of
operators in the country, and if the operators are limited monopoly
comes in and they charge the fare that they want. So, my first
strategy is to break that, and the way to do that is to resort to
low-cost carriers. If we attract low-cost carriers here, more
people can use air transport. There is Comair, which came in in
November 2010, there is also Fly540, and another one also coming in
to Tanzania. When Fly540 came in on the Dar es Salaam-Mwanza route,
for instance, it was charging half of Precision Air's fare on the
route, and Precision Air had to respond and brought down their
fares between Mwanza and Dar es Salaam. So, we want more of these
carriers to come in until the market is saturated.
When you come to the political
arena our people still believe that you should have your own
national carrier. Air Tanzania as at today is not flying. To revive
this airline, our intention is to make their two aircraft
serviceable. The airline will have those two aircraft and we will
raise some capital in the budget for the airline to return to
service with the two aircraft. We will equally appoint a management
and a new board and let them take off from there.
Q: One of the major
problems of air transport in Africa is weak infrastructure. What
are your plans in terms of infrastructure development in
Tanzania?
A: Through the
budget, we try to allocate enough funds for infrastructure
development. When it comes to air transportation, of course, the
key infrastructure development areas are the airports and air
navigation service equipment, and others. Individually, it is
difficult to achieve. I headed civil aviation safety in SADC (South
African Development Community) for ten and half years; and we were
working together to introduce satellite-based system into the
region and the V-sat project for SADC. But when it comes to the
individual States, you cannot mobilize enough funds from tax payers
to do all that.
So, in Tanzania now, apart from the
support we are getting from the donor community, we passed a law
last year on PPP. That is what we are going to use to develop the
infrastructure; and to attract the private sector into joint
financing and shareholding in all areas of transport
infrastructure, not only air transport but also the railways and
ports. That is the only solution for us, if we do not go in that
direction, I do not see infrastructure development taking place
soon.
Q: You were one of those in
the forefront of the Yamoussoukro Decision in Africa. Is this
Decision still relevant in Africa?
A: Anything to do
with cooperation in Africa is important. In States in Africa, the
air transport market is still very much under-developed. So, when
you want to develop the market, you need to join forces. And that
was the essence of the Yamoussoukro Declaration made in 1988, which
was later changed to the Yamoussoukro Decision. SADC tried to
introduce something similar. In 1992 we would have created one
airspace in the SADC region; we had what we called Southern African
Air Transport Regulatory Authority (SAATRA). But it had some
challenges.
With the Yamoussoukro Declaration,
we gave ourselves 8 years to have airlines owned by Africans
(operating freely on the continent). But we realized that during
the 8 years nothing was taking place. So, in 1994 we decided to ask
every country to put the Yamoussoukro Declaration in their national
laws. In November 1995 when this was supposed to take place, it did
not. So, we decided to involve the Presidents. At the OAU (now AU)
there is a position called decision of the Presidents - once the
Presidents make a decision it becomes binding within 30 days. So,
the AU met in July 2000 and the decision was made that the
Yamoussoukro Declaration should become the Yamoussoukro Decision,
thereby opening up everything and giving ourselves only one year
for the 5th Freedom to be implemented. But every other Freedom,
designation of airlines, among others, were free for African
carriers. The only thing that remained then was the 5th Freedom;
but even that was granted on a formula which was very difficult to
calculate - that if there are the 3rd and 4th Freedom operators,
then the 5th Freedom operator can come in and take only 20 percent
of what was there - and that was to happen in one year. This meant
that from 2001, every airline should be moving freely everywhere in
Africa. So, on the 20th of August 2000, the Yamoussoukro Decision
entered into force, and it was binding on all the States. And the
condition is, for instance, if I decide to operate into Kenya under
the Yamoussoukro Decision, Kenya is supposed to make all the
facilitation and arrangements within 30 days for me to operate into
Kenya. So, if people wanted to implement the Yamoussoukro Decision
the conditions were simple and clear. The Yamoussoukro Decision is
still valid.
Q: It appears the operators
are the ones impeding the Decision even though the Presidents have
signed the Decision?
A: That is exactly
what is happening. The Presidents have made the Decision that
should be binding in 30 days, and the conditions are so simple, you
only tell another country that you are coming to that country and
the country should not object but simply facilitate it.
The
question one should ask is: 'why is Tanzania not telling Kenya that
it wants to operate there under the Yamoussoukro Decision; why is
Ethiopia not telling Kenya that it wants to operate there under the
Decision; why is South Africa not telling Nigeria that it wants to
fly into Nigeria under the Yamoussoukro Decision?' And all along
they have been saying they want to implement the Yamoussoukro
Decision. States want to take from another but not to give their
own. There is that fear among countries that if I go to country X
to ask for the chance to operate under the Yamoussoukro Decision,
then country Y will also come to me for the same thing. I do not
think the Yamoussoukro Decision will be implemented, unless we
change the mind-set.
Q: How do we move forward
on the Yamoussoukro Decision?
A: For me as the
Minister here, I want our market to be consolidated into a bigger
market; there is no doubt about that. I want to start from here and
establish the market here. I want airlines to come here and
establish themselves. I want to facilitate the airlines coming
here. I have urged airline operators to come and register here even
if they are not citizens of this country, even if their airline is
100 per cent owned by foreigners. Once the owners of such airlines
decide that the airlines should be Tanzanian airlines, irrespective
of the ownership, the airlines are going to get the support of this
State. They will be given all the rights that a national carrier
can be given. I want to start from there and see how it will
develop.
In Africa, there is no problem in
civil aviation, but in the air transport market. If we decide to be
there (implement the Yamoussoukro Decision), I am ready. But we all
need to be serious. Do not come here and tell me you want to
operate to Tanzania under the Yamoussoukro Decision and you do not
want other countries to operate under Yamoussoukro Decision into
your own country.