Open Skies
While an “Open Skies” policy is a natural extension of the government’s liberalisation programme, deregulation of the aviation industry has been one of the most significant of the Nawaz Government’s initiatives. This two-pronged foray creates a new dynamics (“let a hundred flowers bloom”) in the body economic of Pakistan, serving to propel a wider percentage of our masses pell mell into the twentieth century’s technological marvels and its benefits thereof, albeit in its very last decade. Just before Eid, a private airline announced inaugural operations on one of the most travelled aerial sectors in Pakistan, Karachi-Islamabad-Karachi. Hajvairy Airlines thus become the first to break PIA’s monopoly of the domestic aerial routes, one hopes that more private airlines will follow to open up shuttle services on the pattern available in most western countries between the key major cities. Expectations that the advent of more aviation companies would mean the death knell for PIA are patently incorrect, this should act as a tremendous boost for the national airline. Bereft of a marker for evaluation, PIA has suffered in the lack of comparison thereof. PIA’s competitive spirit would be aroused to cater for survival in the new dynamics.
The government must ensure that an “Open Skies” policy should have reciprocity as a fundamental principle. Take the example of Kenya, which sells us tea worth more than US150 million annually and purchases virtually nothing in return. Despite the fact that Kenya Airlines comes to Karachi, they have not given PIA the requested landing rights (only) on the way to Johannesburg. This is taking undue advantage of the “Open Skies” policy to the detriment of PIA (and the nation). The government must impose mandatory sanctions against those who do not reciprocate our liberal generosity. The other factor is that socio-economic factors rather than commercial factors govern present operation on many of PIA’s domestic routes, that handicap must be adjusted against the balance when assessing PIA’s performance vis-a-vis private airlines who will only be governed by commercial parameters.