The Tribune

By RANDY BUTLER

The Bahamas has an opportunity to create skilled jobs and earn more from aviation by establishing a facility to maintain, repair and overhaul aircraft.

The Tribune’s November 6 report outlined the proposal by Jobeth Coleby-Davis, the Cabinet minister responsible for aviation, to develop such an MRO facility. I welcome the idea and believe it can succeed.

The Prime Minister and minister can help bring investors, experienced maintenance companies, training institutions and government agencies together. Success will depend on understanding the costs, securing customers and preparing the people and systems needed to deliver safe, reliable service.

The first question is straightforward: Whose aircraft will we maintain, and what work will we do?

Servicing a small passenger aircraft is different from carrying out a major inspection on a large jet. Repairing engines, installing electronic equipment and painting aircraft also require different skills, tools and facilities.

We should identify a practical starting point, secure customers and expand as the business develops. An experienced maintenance company could bring technical knowledge, customer relationships and established working procedures.

A hangar alone will not create a successful business. Equipment, spare parts, technical information, insurance, reliable electricity and qualified staff must also be funded. The business needs enough money to operate while completing approvals and building its customer base.

Training that leads to employment

The greatest benefit could be the opportunities created for Bahamians.

Young people should be able to see a clear route from training to practical experience, recognised qualifications and employment. Completing a course is one step. Being qualified and authorised to certify that maintenance has been properly completed involves further requirements.

Before students begin, they should know who will issue their qualifications, where they will gain practical experience and what work those qualifications will allow them to perform.

We should also involve experienced Bahamian technicians and existing maintenance businesses. Their knowledge can help develop the industry and guide the next generation.

Government’s aviation regulator must be ready, too. The Civil Aviation Authority of The Bahamas (CAAB) needs enough qualified inspectors, clear procedures and the resources to check that the facility continues to meet the required standards. This preparation should develop alongside the business.

Financing and confidence

There is another opportunity connected to this discussion: Making The Bahamas a more attractive place to register and finance aircraft.

 An aircraft owner seeking a loan faces a familiar question. If the borrower stops paying, can the lender protect and recover the asset?

That requires clear records of ownership and mortgages, reliable searches and predictable enforcement procedures.

I raised aircraft mortgage registration concerns publicly in 2012, and later served on the Government’s aircraft registry committee chaired by the late Michael F. L. Allen. Successive administrations engaged consultants to help develop the registry. Government should explain which recommendations were implemented and what remains unfinished.

Bahamian law provides for recording aircraft interests. The question is whether the arrangements give lenders the confidence and practical protection needed to support more aircraft financing here.

Aircraft registration and maintenance are connected opportunities, but customers do not have to register their aircraft in The Bahamas to bring them here for maintenance. The facility can serve overseas aircraft once the necessary approvals are in place.

Where registration, operation and oversight involve different countries, their authorities must clearly agree who is responsible for what. Owners and maintenance providers need certainty about the rules they must follow.

Competing on cost and service

Location is an advantage, but customers will also consider price, quality, turnaround time and reliability.

Some competing jurisdictions provide airport infrastructure, tax incentives and training assistance to attract maintenance businesses. The Bahamas should examine those offers when assessing its own business case.

Any public assistance here should have clear limits and measurable benefits, including investment, sustained Bahamian jobs and training. Agreements should address what happens if promised commitments are not delivered.

Customs procedures and taxes also matter. Government should clarify how aircraft visiting for maintenance, replacement parts, tools and equipment will be treated. Existing concessions should be easy to understand and applied consistently.

Delays in clearing a necessary part can keep an aircraft grounded and increase the customer’s costs. Efficient procedures would benefit both overseas customers and Bahamian operators.

Protecting our environment

Aircraft maintenance also creates waste. Used oils, solvents, hydraulic fluids, batteries and paint residues require proper handling.

Before operations begin, the developer should establish how these materials will be stored, how spills will be contained and where waste will go. If suitable treatment is unavailable locally, lawful overseas disposal must be arranged and included in operating costs.

The Government should review whether existing environmental laws and regulations adequately cover the proposed activities and address any gaps.

Our groundwater, wetlands and coastal waters must be protected. Environmental authorities need trained personnel and resources to inspect the facility, monitor compliance and require corrective action. Responsibility for cleaning up any contamination must be clear.

A practical way forward

I recommend a phased plan bringing aviation, finance, Customs, environmental authorities, industry and training institutions together, with named responsibilities, secured funding and realistic milestones.

I support the proposal and want it to succeed. Careful preparation can turn this opportunity into lasting employment, stronger Bahamian businesses and greater national capability.

• NB: Captain Randy Butler is the principal of Aviation Safety & Security Consultants.