The Tribune

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

Aviation operators yesterday said they hope discussions over a new regulatory regime are “another step” towards developing a long overdue national plan for the industry.

Anthony Hamilton, president of the Bahamas Association of Air Transport Operators (BAATO), told Tribune Business that the proposed Civil Aviation Bill and accompanying regulations would provide the foundation to further grow the local industry.

Calling for the Government to maintain the present environment of “inclusion and consultation” with the industry, Mr Hamilton said talks over the private sector’s concerns with the Bill had been “cordial” to-date.

Acknowledging that the Bahamas’ should have developed a national strategic plan for the aviation industry “a long time ago”, he added that operators wanted to move away from a climate that had too-often seen policy decisions imposed on operators without warning.

“Often times you find policy decisions are made that affect stakeholders, but they are not informed and consulted in advance,” Mr Hamilton told Tribune Business.

“You’re working with a business model, only to find you’re suddenly at a disadvantage. We’re trying to improve that, and the atmosphere has been very cordial.”

The Government tabled the Civil Aviation Bill 2015, and accompanying Bahamas Air Safety Regulations, in the House of Assembly last November.

The legislation, which has yet to come forward for its ‘second reading’ and Parliamentary debate, has been billed as a fundamental overhaul of the Bahamian aviation industry’s regulatory regime, bringing it into line with international standards.

Mr Hamilton said BAATO used the aftermath of the Bill’s tabling to engage the Ministry of Transport & Aviation, and initiate discussions, over its content and how it could be improved.

With the industry now represented at the discussion table, Mr Hamilton said of the talks: “I think they’re going pretty well. The thing about that is we are all focused on going in the same direction.

“We wanted some clarification on some things. Other things were inconsistent, and not clear in interpretation. There was a bit of inconsistency between the Bill and the regulations.

“We were able to identify those, and got commitments that they will be rectified. We laid out a list of things to them, and they’ve given us a commitment from the Government regulators, the consultant, the Ministry’s under-secretary, Flight Standards Inspectorate and Attorney General’s Office that they will revisit the issues brought up and give us feedback,”Mr Hamilton added.

“We’re now waiting confirmation from them on the concrete actions planned. We’d like to engage in further discussions.”

The BAATO chief told Tribune Business there were fears the Bill, as drafted, could result in Bahamian carriers “ending up with a lot of court battles and not operating”.

Rather than levy fines and sanctions on operators, Mr Hamilton said the industry had suggested alternative regulatory methods that would involve less recourse to the courts.

He also bemoaned the previous “lack of co-ordination” between Government regulatory agencies, which had seen the aviation industry hit with multiple fee increases at the same time, further depressing already-slim operating margins.

“As a businessperson, the margins operating in this industry are very slim,” Mr Hamilton said. “It can vary from operator to operator, but it’s slim because the variables, as far as the industry is concerned, make it very competitive.

“You have fees and increases coming from all government agencies and offices and the same time because they don’t speak to each other, and it catches operators off-guard.

“It’s been proposed for some time to make sure the fees are done in a reasonable manner, making sure it’s co-ordinated.”

The BAATO said the Government and its regulators tended to copy fees, and related practices, from other countries’ aviation regimes that were not always best suited to the Bahamas.

“What we’ve experienced in the past is cut and paste, and situations where things are put in documents that are not properly correlated,” Mr Hamilton told Tribune Business.

“That’s presented a problem because it lacks relevance to the home arena. We are a sovereign state and have some peculiarities, so we need to spend some time putting it together.”

BAATO and its members also want the “self-reporting” of safety incidents to be permitted by the Bill, not just the regulations, rather than wait for the Flight Standards Inspectorate to investigate.

Mr Hamilton said there was “no question” that the Bahamas required a strategic plan for the aviation industry, adding: “When you consider that we’re an island nation, it’s important for tourism airlift that we get this right.

“It should have happened a long time ago. We’ve been talking about it for years. This is another step towards it, but we still need it to materialise.”

The BAATO chief, referring to the Bill consultation, added: “I think we’ll have a starting point to have a discussion on a national plan for aviation.

“As far as the industry is concerned, we now need to flesh it out to make it work for the country and stakeholders who have ownership and make significant contributions to it.”

The Civil Aviation Bill creates such an entity, the Civil Aviation Authority of the Bahamas, separating the industry’s operational oversight from its regulatory functions.

Air navigation services will be separate from regulation, and there are provisions for an independent accident investigations department; airspace regulation; air traffic services and aerodrome certification.

The Government, in the Bill’s ‘objects and reasons’, admits that the Bahamas has “struggled to comply” with the standards set by the global industry watchdog, the International Civil Aviation Organisation (ICAO).

It said: “The Bahamas, as a contracting member state to the Chicago Convention on International Civil Aviation and ICAO has struggled to comply with and meet the obligations concomitant with such membership.

“ICAO, in audit and mission reports, has made various recommendations for the transformation of the Civil Aviation Department into an independent civil aviation authority.......

“By the enactment of the Bill and the rest of the legislative package, the Bahamas will have achieved a monumental accomplishment, allowing it to come into full compliance with, and fulfill, its obligations as a contracting ICAO state and signatory to the Chicago Convention.”