High hinterland airfares causing hotels, lodges to suffer – RCCI President
During a recent meeting with President Irfaan Ali, the Rupununi Chamber of Commerce and Industry (RCCI) related that high airfares have resulted in significant economic losses for hotels, lodges and other businesses.
Minister Oneidge Walrond and Minister Deodat Indar in meeting with President of the RCCI, Daniel Gajie, President of AOAG, Capt. Gerald Gouveia Jr, and Nadira Persaud, Secretary of AOAG
Upon learning this, President Ali instructed the Minister within the Ministry of Public Works, Deodat Indar, and Tourism, Industry and Commerce Minister Oneidge Walrond to meet with the local aircraft operators to address the matter.
Minister Walrond has said flights from Georgetown to Lethem are full, and the price per ticket remains unchanged even after the 14 per cent Value Added Tax (VAT) was removed from the cost of the ticket under the PPP/C Government. She said no reduction in fares was granted to passengers.
Minister Indar has said that input VAT of 14 per cent is recoverable from the Guyana Revenue Authority (GRA), and does not form part of the cost of operation, only financing cost associated with working capital during the refund period, as this was flagged as an issue by the members of the Aircraft Owners Association of Guyana.
A commitment was made subsequently by the President of the Aircraft Owners Association of Guyana (AOAG), Captain Gerry Gouveia Jr, to re-examine the costs of airline tickets to the main hinterland destinations.
Meanwhile, Gouveia took the opportunity to highlight several issues that are affecting the local aviation sector, some of which include urgent rehabilitation of runways, the installation of solar runway lights for night operations, and the removal of travel voucher tax.
He also spoke of the need for an established Aircraft Accident Investigations Unit within the Guyana Civil Aviation Authority (GCAA), an automated weather observing system to assist pilots with weather information at airstrips continuously, and an area navigation approach into major runways to assist pilots in landing at airstrips during severe weather conditions.
Additionally, Minister Walrond indicated that the Tourism, Industry and Commerce Ministry would work collaboratively with the aviation industry to develop packages to enhance the tourism sector. On the other hand, Minister Indar gave a commitment to holding a monthly meeting with the local Aircraft Owners Association (AOAG) to work through the many issues that were raised at the meeting.
