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Local airlines call for removal of 15% passenger ticket tax

Staff Reporter by Staff Reporter
September 24, 2020
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Michael correia, President of the Aircraft Owners Association

– lobbies gov’t to expand Ogle airport, upgrade major hinterland runways 

The Aircraft Owners’ Association of Guyana Incorporated (AOAG), while making a strong case for the further expansion of the Eugene F. Correia International Airport (EFCIA), on Thursday, lobbied the Government to remove the 15 per cent passenger ticket tax from all regional travel.
In his address at the AOAG’s Annual General Meeting at EFCIA, the AOAG President, Michael O. Correia (Jnr) said the removal of hefty taxes can significantly bring down the cost of air travel.

“…We recommend that the Government consider the future removal of the burdensome 15% passenger ticket tax from all regional travel to reduce the cost of air travel within the Caribbean.  We further support the matter of high taxes on Regional travel to be further raised with CARICOM as a Regional integration priority, going forward,” Correia said during his opening remarks.
Taxes aside, Correia said further expansion of the Eugene F. Correia International Airport would augur well for the development of the country’s Aviation Industry. With investment from both the public and private sector, the airport, formerly known as Ogle International Airport, was converted from a small aircraft agricultural runway to a fully accredited Regional and International Airport, providing much needed support to the Cheddi Jagan International Airport.
He said the expansion of the airport should not only cater to the demands of the growing domestic industry but should allow aircraft owners to capitalize on the budding oil and gas sector.

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Minister of Works Juan Edghill addressing the AGM

“We support this Airport, not only serving domestic and regional operations but becoming an aviation shore base for the helicopters and corporate jets needed for the oil and gas industry,” he explained.

The AOAG President added: “The Aircraft Owners Association also fundamentally supports the further lengthening of our current runway at EFCIA with the requisite enhancement of our terminal facilities and support services, which will eventually bring this Airport to its full maximum potential.”
It is AOAG’s hope that in the not so distant future, the Eugene F Correia International Airport would be able to accommodate up to 70 seat Regional jet class aircraft and non-stop flights to destinations like Jamaica, Cuba and the Bahamas in the North, and Manaus, Belem, and Caracas, in the South.
“We see this expansion work in tandem with the Government’s proposed highway, soon to begin construction, to link our two International Airports, as Guyana becomes a major aviation hub between South America and the Caribbean.  We believe the two airports can complement each other with CJIA catering to long haul large jet traffic and EFCIA catering to short haul regional and domestic traffic,” Correia posited.
Hinterland Runways

But while the international airport services a number of Caribbean destinations, an important part of its operation is the provision of domestic service but many major hinterland runways are currently in appalling state.

As such, Correia made a case for the Ministry of Public Works to spearhead a substantial programme to develop and permanently rehabilitate all of the major hinterland runways. Such a move, he posited, will make travel safer and accommodate larger passenger aircraft.
“As it is, as we know, we are spending some US$150 million and counting on one runway, so let us spend US$50 million on 50 domestic runways. We can begin immediately to restart and complete, for instance, the Lethem runway project,” he proposed.

Minister of Public Works, Juan Edghill, whose ministry has responsible for Transportation, told those present that it is the intention of the People’s Progressive Party/Civic (PPP/C) Administration to transform Guyana into a ‘Convention Destination’ – a move that would significantly increase air travel to the country. He noted that the government is inviting investors to develop modern hotel facilities in the main urban areas as well as in the hinterland.  “We intend to make Guyana a Convention Destination…If we can get 2,000 rooms, high-class rooms, we can start hosting international conventions in Guyana,” Minister Edghill posited.

Tourism aside, the Public Works Minister said the Government is working to strengthen existing sectors while developing new and budding industries as such as the Oil and Gas Industry, and the Aviation Sector must position itself to capitalise on these developments.

Egbert Field, the Director General of the Guyana Civil Aviation Authority, was among officials present at the AGM held at Ogle.

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