International Air Transport Association raises competency concerns about Paragon

Staff Reporter

The International Air Transport Association (IATA), an affiliate of the International Civil Aviation Authority (ICAO), has engaged the NAC (Namibian Airports Company) and expressed serious concerns that Paragon may be inept and unqualified to provide ground handling services at Hosea Kutako InternationalAirport (HKIA).

IATA has also sent a communique to the Executive Director of the Namibian Civil Aviation Authority, Toska Sem, for her urgent intervention.

In the email seen by Informante, IATA shares concerns about the ground handling issues that airlines have reported as a result of the recent ground handling services changes at Hosea Kutako International Airport in Windhoek.

"While IATA commends Namibia Airports Company Ltd (NACL) for its improvement program on airport infrastructure and facilities, and its efforts to ensure the health, safety, and prosperity of its people, we are, however, concerned about the reports received from airlines regarding ground handling, which is an integral part of airline operations. It has come to our attention that there is now only one ground handling company, and possible obstacles with the switch over of ground handling companies are impacting passenger service and airline operations, leading to delays, cancellations, and diversions," IATA said.

Furthermore, they mentioned that airlines are concerned about the capacity and capabilities of the new ground handler, Paragon, in terms of being adequately equipped and becoming acquainted with airlines' systems and SOPs.

"Of greater concern is the possibility of unilateral increases in charges. IATA supports competition in the provision of ground handling services at airports to ensure they are cost-effective and that airlines are subject to market-determined ground handling charges. Handlers should not maximize revenue from ground handling charges but should rather ensure cost-based pricing of such charges, as stated in ICAO's guidance. If the specific market and/or technical conditions of an airport do not allow competition to materialize, meaningful consultation must take place between the monopoly provider and the airlines regarding the appropriate level of charges to apply, while the offer of ground handling services should be tailored to airlines' operational needs," IATA said.