Government eases the way for domestic airlines to gain international flight permission

8th Aug, 2018 | Tourism Mail Crew

KATHMANDU, Aug 08: Domestic airlines operating in Nepal will now have to compulsorily engage in the open competition for international flight license. The government has provisioned for domestic airlines operating for at least 5 years to easily gain the international flight license if they so wish. For the airlines that have not been operating for 5 years, the open competition route has been opened for them.

The new system has been proposed in the new updated protocol for international flight permissions by the Ministry of Culture, Tourism, and Civil Aviation. "It will now be easier for experienced companies to gain the international flight permissions," said a ministry official.

The new system has been designed with the aim to increase the international flights market share of Nepali airlines to 60%. The government is currently looking to decrease the market share of foreign airlines. Currently, only 3 Nepali airlines have been filling international flights, Himalaya Airlines, Nepal Airlines, and Buddha Air. Meanwhile, Shree Airlines has shown interest in filling international flights while BB Airlines is non-functional while having already gained the flight permission.

The new protocol proposed by the government will allow domestic airlines with 5 years of experience under their belt to gain international flight permission easily after passing government tests and studies. An airline company will be required to have a paid-up capital of 500 million to 1 billion rupees in order to fill international flights. The international flight license has been divided into different categories, each requiring a different set amount of paid-up capital.

The system also proposes penalties for companies which do not start offering aviation services after gaining the license, suggesting an increased registration fee and increased fines.