TIA still to recover dues worth Rs 1.45 billion

Published On: January 10, 2018 09:11 AM NPT By: Republica  | @RepublicaNepal

KATHMANDU, Jan 10: The country's only international airport, Tribhuvan International Airport (TIA), is still to recover Rs 1.45 billion from airline companies, government offices and other commercial organizations.

After airlines companies failed to pay passenger service fee along with airport development fee, parking fee, navigation fee, security fee and counter rental amount, among others, TIA had issued a notice to all the stakeholders to settle their pending dues as of mid-July by mid-December, 2017.

Talking to Republica Devanand Upadhyaya, general manager of TIA, said that due settlement is progressing smoothly after the notice was issued. “Some dues date back to the era of Department of Aviation. We are recovering all the dues gradually,” he added.
The government upgraded the Department of Aviation to Civil Aviation Authority of Nepal (CAAN) in 1998.

According to Upadhyaya, TIA has receivables worth Rs 1.48 billion from different airlines and other companies as of mid-December, 2017. The receivables have come down after Air Asia X paid Rs 35 million to the airport management recently. Similarly, TIA Customs Office and several other government offices, owe a total of Rs 551.2 million to the TIA management.

“We have made numerous requests to the customs office to clear their dues. But it has not paid us even a penny,” Upadhyaya.

Nepal Airlines Corporation (NAC) has to pay Rs 322.1 million to TIA. After the TIA issued a notice to settle all pending dues, NAC has provided a schedule to the TIA to pay the dues in different installments. In the schedule, NAC has proposed to pay Rs 5.6 million every month setting a target of clearing all dues within five years in 60 installments. 
Several other organizations owe a combined Rs 124.5 million to the TIA.

Airlines companies, which are no longer in operation, owe around Rs 113.9 million to the TIA. “As these companies are no longer in operation, it is very difficult to recover the amount,” Upadhyaya said, adding: “Our focus at present is on recovering dues from airlines that are still in operation. We will slap heavy penalty on airlines that fail to clear dues in time.”

According to the Airport Service Fee Regulation 2067 (2010 AD), companies get three percent discount if they clear dues within seven days of issuance of invoice by the TIA. They are given 30 days to pay the fee. TIA slaps a fine of five percent if the fee is paid between 30 to 45 days of the issuance of the invoice. Similarly, it slaps a penalty of 15 percent if the fee is paid between 45 to 60 days of the issuance of the invoice. Likewise, it charges 30 percent penalty if the fee is not cleared within two months of the issuance of the invoice.

The indifference of the TIA management in recovering its dues even prompted CAAN to form an investigation committee. 

TAAN had receivables worth Rs 2.204 billion as of mid-July, 2017. TIA mobilized total revenue of Rs 7.262 billion in Fiscal Year 2016/17.

26th COSCAP steering committee meeting kicks off

KATHMANDU, Jan 10: The 26th steering committee meeting of Cooperative Development of Operational Safety and Continuing Airworthiness Program (COSCAP) began in Kathmandu on Tuesday. 

The event is being organized in association with Civil Aviation Authority of Nepal (CAAN), International Civil Aviation Organization (ICAO) and COSCAP South Asia Pacific Region. 

The meeting will continue till January 11.  Chiefs of civil aviation regulatory bodies of eight countries of South Asian Association for Regional Cooperation (SAARC), distinguished delegates from SAARC member countries, and partners and industry representatives are attending the meeting. Minister of Ministry of Culture, Tourism and Civil Aviation, Jitendra Narayan Dev, inaugurated the meeting. 

According to Rajan Pokharel, deputy director general of CAAN, delegates from SAARC countries will present overall review of aviation sector of their respective countries in 2017 during the meeting. Along with this, the event will decide further programs of aviation safety for the year 2018. Speaking at the event, Arun Mishra, regional director of ICAO Asia Pacific Office, said that 2017 has stood as a pleasurable year for the aviation sector of SAARC countries since there was low number of accidents and fatalities.


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