Business Advantage Papua New Guinea 2020

Page 41

INFRASTRUCTURE ECONOMIC & TRANSPORT UPDATE AVIATION

Alan Milne: turbulence and turnaround

investigating three current codeshare arrangements at the moment. One that has been approved is with Cathay Pacific.

Q You’ve talked before about airline

maintenance, is this part of the plans

for Air Niugini? Q Do you have plans to expand Air Papua New Guinea’s national air Niugini’s services? carrier, Air Niugini, has experienced A We did some work on improving a strong turnaround in its fortunes processes in our heavy maintenance A We are looking at all options at under Managing Director Alan Milne, all times. Some of them are closer to area and that gives us the opportunity to open up some slots for customer fruition than others and we’re trying to but what does the future hold for take opportunity as it comes up. Cathay airlines to come in. the airline? The Solomon Islands Dash 8 was Pacific pulling out of its Cairns-Hong Kong route was a really good example – that’s an opportunity we’ve jumped on. I know there are freight companies that are ready to go, but to be able to do both [freight and passengers] – no one, I believe, has been able to do that, and certainly not faster than Air Niugini.

Q What about your relationship with other international airlines, where do you see opportunities for co-chair arrangements? A Air Niugini is well positioned to take Air Niugini’s Alan Milne. Credit: Air Nuigini

advantage of co-chair arrangements. This falls into our pillar of higher revenue enhancement. We are

AIRPORTS TO RECEIVE A MAJOR UPGRADE At the end of 2019, a K634 million agreement was finally signed between Japan International Cooperation Agency and PNG’s National Airports Corporation (NAC) to commence the expansion of PNG’s second busiest airport, Lae Nadzab. Work to upgrade Nadzab will commence in 2020 to widen and extend the runways, taxiways and apron, and to renovate the terminals. The aim is to make the second-largest city airport in PNG suitable for Boeing 767 aircraft and make it an alternative to Jacksons International Airport in Port Moresby. Meanwhile, the Asian Development Bank has begun the second part of its Civil Aviation Development Investment Program (CADIP) to help PNG upgrade its airports, and strengthen aviation safety and services. CADIP is aimed at strengthening the operations of NAC, PNG Air Services Limited and the Civil Aviation Safety Authority. There will also be improvements to airport infrastructure, air traffic management and navigation services. Upgrades and rehabilitation of airports will be

the first of the customer airlines to come into Air Niugini, which was a wonderful opportunity. We delivered that aeroplane back to the customer on time, on budget and on quality, which was just an amazing outcome. Some of the Australian operators are sending their aeroplanes to London to get the heavy maintenance checks done. So, I see that as an opportunity.

Q And Air Niugini’s return to profitability after two years of losses? A The words I’ve been using are ‘cautiously optimistic’. 

Nadzab airport redevelopment. Credit: NAC

undertaken at Wewak, Hoskins, Gurney, Mt Hagen and at Port Moresby’s Jacksons International Airport. The first tranche will finance improvements in pavements and fencing (Kavieng and Goroka are poised to have new security fences installed), provide support for engineering design and preparation of bid documents. During this phase, NAC will also work on investment proposals for subsequent projects. At the end of 2019, the National Executive Council also approved a submission for the upgrading of Kavieng Airport Terminal, in New Ireland Province.

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