Civil Aviation Authority (CAA), Nepal’s aviation regulator, issued the Air Operator Certificate (AOC) issued the required clearance, the air operator certificate (AOC), to the aviation company. The certificate effectively allows the company to do non-scheduled and chartered flights internationally.

Yeti Airlines spokesman Sudarshan Bartaula stated that the aviation company would operate flights to South Asia and Southeast Asia as receiving the permit.

The CAA cleared Nepal Airlines, Himalayan Airlines, Buddha Air, and Shree Airlines for international skies before Yeti.

Despite the clearance for international flight operations, only Nepal Airlines and Himalayan Airlines are flying to international destinations regularly.

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The flight takes off from Kathmandu.

Spokesman Raj Chhetri of the Civil Aviation Authority of Nepal (CAAN) stated that Sri Lankan Airlines were permitted to operate the Kathmandu-Sri Lanka air route twice a week.

He added that Sri Lankan Airlines had sought the aviation permit for this summer season. However, the permit’s termination date is September 4. “The company would also apply for further flight permission by observing the situation,” he said.

The airliner expressed interest in taking off from Gautam Buddha International Airport at Bhairahawa. However, the airport is under construction.

Jenith Travels is the travel agency of Sri Lankan Airlines in Nepal. It stated that the air route was inaugurated as a considerable amount of Nepalis visit Sri Lanka. Tourism also stands to get boosted for Nepal after the pandemic ebbs away.

Sri Lanka is currently operating jets in the Middle East and the Maldives. It is planning on expanding to Japan, Australia, and London, Jenith said.

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As per the Department of Health Services’ Logistic Section, 800,000 doses of the Vero Cell vaccine will be shipped in the second phase. Another 800,000 will flown in depending on the jetliner’s capacity, said the Administration Chief of the Logistic Section Upendra Dhungana. Additionally, the vaccination program implementation speed will determine when this next batch of vaccines needs to be flown in.

The health services department stated that the jet would head to China and get the vaccines this week. The chief of the health services department, Dhungana, said that a total of 1.6 million vaccines would be flown to Nepal this week. These Chinese vaccines will be dispatched to Province 1, Sudurpashchim, and Karnali Provinces.

Dr. Jhalak Gautam, Immunization Section Chief of the health services department, said that these vaccines would be allocated to the areas where no vaccination campaigns were conducted earlier. The vaccines will be allocated on a priority basis.

Additionally, Japan shall provide 1.6 million doses of AstraZeneca vaccines within two weeks. China shall provide the rest of the vaccines in phases.

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Despite having a wider reach than NAC, the Department of Postal Services took this decision as Thai Airways no longer had a regular flight service to Kathmandu since 2020.

Due to the irregular flight service of Thai Airways, the department signed an agreement with NAC designating the carrier as the official transport for international communications.

The department’s Director-General Aabha Shreshta Karna and NAC General Manager Dim Paudel signed the agreement, which will take effect from July 1.

Both the officials concurred that the deal would save millions of rupees that the Department of Postal Services paid to the Thai airline.

While NAC has been assigned to transport messages and packages to the world, Air India will continue to be Nepal’s messenger to India alone.

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The national flag carrier has grounded the Y12e and MA60 aircraft since July last year as these were allegedly causing losses, reported Kathmandu Post.

In 2012, Nepal Airlines signed an agreement with Aviation Industry Corporation of China (AVIC) to acquire six aircraft – two MA60s and four Y12es.

Under this deal, China offered grant and concessional loan of $62.13m (CNY408m) for the six airplanes.

Out of $62.13m, a grant of $27.4m (CNY180m) was given by China for one 56-seater MA60 and one 17-seater Y12e aircraft, while the remaining amount was taken as loan by Nepal to procure one MA60 and three Y12e airplanes.

The carrier plans to initially invite offers from national and international bidders to dry lease the aircraft but will go ahead with the sale if there are no takers.

Kathmandu Post quoted Nepal Airlines managing director Dim Prasad Poudel as saying: “Out of the two options recommended by the Finance Ministry—dry lease or outright sale—Nepal Airlines will try the first one.

“We have constituted a committee to determine the lease rate. The panel will submit a report within a week, and we will show it to the board for its go-ahead.”

As of now, only five of the six aircraft are functional and one requires maintenance after crashed landing on the runway of Nepalgunj Airport on 28 March 2020.

The carrier stated that it incurred financial losses due to various reasons including load penalties, insurance, scarcity of spare parts, expensive parts, etc.

Source: Aerospace Technology

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The swab samples of the evacuees were tested at National Public Health Laboratory in Teku.

The evacuees will undergo another test at the end of the quarantine period of 14 days and will be allowed to return home only if found healthy.

Earlier, Nepal Airlines’ aircraft airlifted 175 Nepali evacuees from Wuhan and reached Tribhuvan International Airport, Nepal at 3:30 AM on February 16, 2020.

Currently, the evacuees were being isolated at the training center of the Nepal Electricity Authority (NEA) in Bhaktapur.

Coronavirus Global Overview

As of today, i.e., February 20, 2020, the coronavirus death toll in China has reached 2,130 with 75,761 confirmed cases.

At least 25 other countries have reported coronavirus infection cases. There are 10 death cases and around 1000 confirmed cases outside China.

Coronavirus Cases outside China

• Japan: 693 confirmed cases, including 621 from a cruise ship docked in Yokohama, 1 death
• South Korea: 104 confirmed cases, 1 death
• Singapore: 84 confirmed cases
• Hong Kong: 63 confirmed cases, 2 deaths
• Thailand: 35 confirmed cases
• Taiwan: 23 confirmed cases, 1 death
• Malaysia: 22 confirmed cases
• Vietnam: 16 confirmed cases
• Germany: 16 confirmed cases
• United States: 15 cases; 1 US citizen died in China
• Australia: 14 confirmed cases
• France: 12 confirmed cases, 1 death
• Macao: 10 confirmed cases
• United Kingdom: 9 confirmed cases
• United Arab Emirates: 9 confirmed cases
• Canada: 8 confirmed cases
• Philippines: 3 confirmed cases, 1 death
• Iran: 3 confirmed cases, 2 deaths
• India: 3 confirmed cases
• Italy: 3 confirmed cases
• Russia: 2 confirmed cases
• Spain: 2 confirmed cases
• Belgium, Sri Lanka, Sweden, Cambodia and Finland confirmed one coronavirus case each.

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The Civil Aviation Authority of Nepal (CAAN) confirmed this in a statement informing that the new decision is due to runway upgradation works underway at TIA.

During this maintenance period from April 1 to June 30, 2019, TIA will be operational from 8-10pm (local time).

The new decision will not impact regular flight movement, the department confirmed.

TIA Runway Expansion

The upgradation plan is the first such decision taken on TIA that currently has a 3-km-long runway. Constructed in 1980, this runway did not undergo any expansion since then.

The runway finally came under scrutiny because of depleting airstrip’s surface, demanding ‘runway rehab’.

TIA’s runway would be pitched 80 meters per day during the maintenance period.

CAAN is undertaking this project under the NPR 3.75 billion worth agreement it had signed with the China National Agro Technology International Engineering Corporation in November 2018.

TIA witnesses the entry and exit of around 400 flights per day including over 100 international flights.

The post Nepal’s Tribhuvan International Airport Goes Under Maintenance appeared first on Nepali Sansar.

The national flag carrier informed this in a recent update, where it said that it’s currently running out of cash and is on the verge of bankruptcy.

Nepal Airlines’ official report released on November 15, 2018 has shown that the carrier’s monthly cash deficit has reached NPR 317.79 million.

The airlines’ deficit has reached this level since addition of two long-range Airbus A330s to its fleet months back, termed as the largest-ever purchase in the history of Nepali aviation.

“We are facing severe financial stress and have requested the government to bail us out. The reason we have been dragged into financial stress is that we have not been able to operate the newly-acquired A330s to their full capacity,” says Madan Kharel, Executive Chairman, Nepal Airlines Corporation (NAC).

Although the situation is expected to recover after the fleet operation begins, the Corporation requests the government for an immediate ‘bail-out’ for now!

Fast-depleting cash flows is another major problem that the airlines is suffering from, say the officials.

The airlines’ debt-to-equity ratio has reportedly grown three-fold since the last summer, from 14.40 percent to 39.82 percent, which means the company is receiving most of its budget as a borrowing and continuing the same leads to business decline to the level of bankruptcy.

What’s Leading to Bankruptcy?
The national flag carrier was enjoying a monthly revenue surplus of NPR 12.54 million prior to the Airbus jets’ deal.

According to the official data, the maintenance of these two jets for a month period (August 1-September 15, 2018) tripled airlines’ expenses to nearly Rs 756.6 million, adding to its deficit of NPR 491.8 million and giving it a mere NPR 264.8 million in earnings.

The two A330 jets are currently being used for less than seven hours in a day and less than 50 percent of the required flight time usually required to generate a decent profit.

The deal added to the dire state of Nepal Airlines’ finances, which was already facing the intensity of offering massive loans to various institutions, both long and short-term loans, which stand at NPR 41.73 billion and owes more than NPR 3.66 billion in interest annually.

“The corporation’s financial health is really bad. If things continue the way they are, the airlines will begin defaulting on payments and staff salaries,” says an official associated with NAC’s operations.

‘Yet to Utilize Due Potential’
The official continues to say that Nepal Airlines’ case is different from similar ones in other nations like India as “the new planes have not been utilized prudently and commercially”.

NAC has reportedly failed to scope pilots in advance for the new aircraft following the traditional practice of getting planes first and then pilots.

Besides, the Corporation still has nearly three planes waiting at the Tribhuvan International Airport for pilots.

Above all, officials feel that was not appropriate to equip the airlines with the country’s youngest fleet, inducting two Airbus A320 aircraft in 2015 and two additional wide-body A330 in 2018.

“Despite the pilot shortage, the corporation again started homework to procure two more A320neo jets for international route and six Viking Twin Otters for domestic operation,” says a senior captain at the corporation.

According to Kharel, shortage of flight crew is stopping new planes from exhibiting their optimum potential.

“We were also not able to expand our routes to Japan, South Korea and some European countries from where we would have generated good income,” he adds.

The post Nepal Airlines Stuck in Financial Stress, Requests Bail Out! appeared first on Nepali Sansar.

The Ethiopian Ambassador to Nepal Asfaw Dingamo Kame has reportedly proposed a deal with Nepal Tourism Minister Rabindra Adhikari to sign a strategic alliance with NAC, in a meeting in Kathmandu last week.

This deal with NAC comes as part of the African airlines’ strategy to set up multiple hubs beyond its region. As an owner of a fleet that accommodates 108 aircraft, Ethiopian Airlines is currently serving 125 international and domestic destinations.

The latest news also gains significance in view of Adhikari’s recent update to Nepal Parliament about government’s plans for a strategic alliance with a foreign aviation partner.

However, details about the deal are yet to be officially announced.

“We need to sign an air service agreement first to form a partnership to invest in Nepal Airlines. We can also start with a code share agreement,” Ambassador Kame said in a statement.

A Strategic Move
The latest proposal is Nepal Government decade-long wish to bring in a foreign aviation partner for NAC and is coming at a time when the Nepal Government is also planning to revamp NAC into a company before signing a deal with foreign partner.

On the other hand, the Finance Ministry has already recommended induction of the foreign strategic partner with maximum benefits to NAC under the partnership.

Tourism entrepreneur and a former member of NAC Ashok Pokhrel feels that the foreign alliance will add to the brand value of NAC and also supports it financially.

“We have been hearing for a long time that the government is inducting a foreign strategic partner at NAC. The plan, however, has remained on paper only. But it’s not too late. The government should act promptly before the airline is put into financial stress,” Ashok Pokhrel said in a statement.

“At a time when NAC has been facing criticism for its failure to assure quality and efficiency, a strategic partner, if it is a globally reputed company, can help the carrier to win business globally,” he adds.

Nepal-Ethiopia Ties Growing!
Kame also held discussions with Foreign Minister Pradeep Gyawali regarding Nepal-Ethiopia partnership in forming a bilateral consultative mechanism and carrying out a parliamentary exchange program, among other areas.

Speaking to local media, the Ethiopian official explained that the two countries haven’t exchanged much in partnership since they established diplomatic ties in 1964.

However, the bilateral partnership gained momentum with the establishment of Ethiopia’s honorary consul in Nepal in 2015.

Ethiopia has also urged Nepal to establish its residential mission in the capital Addis Ababa, the area that also hosts the Secretariat of the African Union.

The Background
Nepal Government initiated this plan to bring in a foreign partner in 2007 with an aim to handover NAC’s management to that strategic partner.

Prior to that, the then Royal Nepal Airlines Corporation (RNAC) had invited experts from Air France in 1970 as part of a program to improve NAC management. And, the partnership gave RNAC its first jet, Boeing 727.

Later in 2015, nearly 21 foreign firms applied Letter of Intents (LoIs) to offer world-class management consultancy services to NAC, but the plan didn’t work out.

Later in 2016, the government invited request for proposals from renowned carriers from US, UK, France, Germany and Australia, and only one carrier turned out with Rs688.67 million worth proposal.

Then the Finance Ministry turned it down and then decided to a set up a fresh committee, which again failed with the government pitching for ‘multiple modality options’ before sealing the deal.

While officials are of the view that the deal should be held on a global competition, Ethiopia proposed it under government-to-government procedure.

Now, its government’s turn to react in an appropriate way!

The post Africa’s Largest Air Carrier Proposes Deal with Nepal Airlines appeared first on Nepali Sansar.

And what’s more? It will be offering a huge take-home in terms of remuneration, luring foreign pilots to its airbases!

The Risk of Running Out
Currently, the shortage of pilots can jeopardize NAC’s plans for flying its new planes.

This is especially an issue of concern as the corporation continues to experience pilots shortage despite the continuous addition of air transport to its airbase.

Kansakar seconds this when he says that even though NAC has 116 pilots, it still falls short of 28 pilots.

“The deficit may rise as we have planned to add at least 10 planes—two A320neo, six Twin Otter and two medium-sized aircraft to serve domestic trunk route sector,” he said during a press conference.

“It will be a temporary hiring until we produce our own captains,” says Sugat Ratna Kansakar, NAC Managing Director .

“We don’t have any option as pilots are not available in the domestic market,” he added speaking about the current situation.

An Attractive Package!
On July 11, 2018, Kansakar revealed that the organization may reward the foreign pilots with a pay package of USD 18,000 and co-pilots with USD 12,000 to ride its ‘wide-body’ addition Airbus A330 jet. This amount is three times more than what the airline corporation is paying its existing pilots.

At present, NAC is recruiting three foreign captains for its A320 jets following which, they will be paid USD 15,000 every month.

Procurement of Additional Flights and Recruitment of Crew
The corporation has already got its first Airbus A330 jet and is expecting the second one’s arrival anytime in the following three weeks. For this, it will start looking for 12 captains and 12 co-pilots.

“All these 24 pilots will be hired from foreign countries,” says Kansakar.

The corporation has expressed that it will need eight captains to fly four ‘Made in China’ Y12e aircraft.

Related Plans
The corporation has also revealed its plans for separating its domestic operations from international ones.

“We have been receiving complaints from all sides that the national flag carrier doesn’t seem interested to fly its domestic aircraft. Hence, we are splitting the operation into two entities that will be managed separately,” says Kansakar.

Among its old flights, the corporation has sold one of its two Boeing 757s and plans to sell its second flight by next year.

It also plans on selling its 40-year Twin Otter. “In the next two years, we will have all new planes in our fleet,” says Kansakar.

NAC Strategic Shift to Draw ‘Big’ From Tourism
With major shift driving profits from tourism, NAC plans to procure two new wide-body-aircrafts and move its focus to high-end tourists from migrant workers which is the current trend.

Managing Director Kansakar explains this when he says, “We are planning to expand our service to various developing and developed countries with an aim to service high-end tourists.”

Amidst the hullabaloo concerning Visit Nepal Year 2020, NAC is also preparing to back the government’s aim of bringing two million nations to the country by 2020.

Revealing this decision in his address to the media, Kansakar said that it is NAC’s duty to support the government’s aim of bringing in more high-end tourists from other countries.

“Currently we are only flying to India, some Middle-East destinations and other comparatively cheaper destinations,” Kansakar says.

Since the European Union has also lifted the ban on Nepal aircraft, Kanaskar told media that NAC will now religiously work on resuming flights to Europe.

“We believe that restarting direct flights to Europe will go a long way in bringing in high-value tourists to Nepal,” he says.

“Currently we are only flying to India, some Middle-East destinations and other comparatively cheaper destinations,” added Kansakar.

In June 2018, the Nepal government signed ‘air pacts’ with Japan to renew its air ties with the country and provide more window for flights operating between both the nations. Currently, it is in talks with Australia.

NAC also has eyes on religious tourism destinations including India, Myanmar, Vietnam and Sri Lanka.

The post NAC Strategic Plans: Increasing Fleet Crew and Promoting Tourism appeared first on Nepali Sansar.