Volume increase could have offset repayment – Jagdeo

…flacks government for not knowing of increase

 

Opposition Leader, Bharrat Jagdeo, on Thursday said that government not knowing of the increase in fees at the Cheddi Jagan International Airport (CJIA) is unacceptable and had government gone along with the original plan then the increase in volume would have covered the repayment.
“The plan (under the PPP) was to use the airport as a mini-hub to connect with Northern Brazil through Roraima, Suriname, Barbados, Trinidad and Tobago, North America and Europe through those KLM flights coming through Suriname…it would have meant that there would have been an increase in traf-fic.
You can often do what you want by increasing traffic that is why the size (of the airport) mattered. By increasing traffic you don’t need to adjust fees because you now operate on volume,” Jagdeo ex-plained when questioned by reporters at his weekly press conference.
“First of all we have to get what we paid for at the airport and we are not getting what we paid for…the size matter and the number of standing aircraft. Sometimes we have up to four standing air-craft on the tarmac and that puts us at capacity already and that is why we (the PPP) designed for 8 (air) bridges…Volume growth could have offset any repayment. But if they had to do an increase they should have had consultations with everyone and government should have known,” he added.
The former President further related an increase in volume would have meant that there would have been more services to the non-traditional sectors alluding to freight service.
He said that it would have meant that the cost for freight services would have decreased with larger aircraft coming to Guyana.
Business Minister, with the responsibility for Tourism, Dominic Gaskin said that the increase in fees would have a negative impact on tourism since most people book flights based on price.
He said that the increase just does not happen arbitrarily rather it involves all sorts of assessments on the impact it will have on the industry.

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