Let Ugandans work hard to make Uganda airlines succeed

By Kavuma Kaggwa

While speaking to the new Ministers on June 24, 2016, at State House Entebbe, President Yoweri Museveni told the new Minister for Works and Transport, Eng. Ntege Azuba, that the National Airline, Uganda Airlines, must be revived now to boost tourism, communication and international trade.

I thank the President for this action. The Airline was wrongly closed in 2003 following wrong advice from some external forces which enforced their ideas of wholesale privatisation, without exception.

President Museveni has made the best and right decision. This is now a real second "fundamental change".

A National Carrier does not only make money from carrying passengers, but also creates other revenue earning streams such as handling services, management of routes and carrying the incoming and outgoing cargo to various destinations.

I almost "weep" in my heart when I see in the daily newspapers adverts of South African Airways, Emirates, Kenya Airways, Rwanda Express and Ethiopian Airlines and others, showing their African and international routes. All these airlines, plus others which fly into Entebbe, are foreign. All these airlines fly full load daily into and out of Entebbe International Airport. If we had our own airline, we would be taking either half or the whole revenue on some of these routes.

Besides South African Airways and Ethiopian, which were formed in 1946, Kenya Airways was formed in 1977 together with the former Uganda Airlines and Emirates was formed in 1985. Within this short period of 31 years, Emirates is dominant in both the African and International skies.  If we had not followed the wrong advice of selling off Uganda Airlines, we would be earning a lot of revenue from it, plus promoting our national tourism as well as providing employment to Ugandans. These Airlines contribute between 60% to 70% to the national revenue of their countries.

There is a notion in the minds of people here that Ugandans work harder when they are employed in the private sector only. That unprogressive thinking will stop and the rampant nepotism should also stop.

When the national carrier is revived and an employee does not work diligently, he/she should be sacked forthwith and another well qualified Ugandan given that job. The revival of the National Airline will be in phases.

I remember very well how Kenya Airways was started in February 1977. When the EA Community collapsed and EAA (where I worked for 12 years from July 1, 1965 to February 1977) was no more, a Kenyan Kikuyu R.M Douglas, who was a Director in the former EAA, went to British Midland Airways and hired a second-hand aircraft. It operated the new Kenya Airways short haul routes and one long haul to London.

After operating for two months, the new Kenya Airways entered into a commercial agreement with the Royal Dutch Airline, KLM, to run and manage the Airline with the Kenyans, on a 10-year agreement.

KLM brought aircraft and a limited number of top management staff and they operated Kenya Airways for 10 years until it stood on its own. KLM also bought 26% shares in Kenya Airways.

When the Uganda Parliament votes that money and the airline starts operations, the best way would be to enter into a "dry lease" agreement with a reputable international airline and we operate under that agreement for a period of 10 years.
"Dry Lease" agreement means that the reputable airline will bring its aircraft (equipment) with their pilots and Uganda Airlines will provide the operating crew and handling facilities at Entebbe Airport.

The entire airport handling equipment which was taken over by the ENHAS from the former Uganda Airlines will have to be bought back by the new Uganda Airlines. All the Ugandans who were employees of the now defunct Air Uganda (which was owned by His Highness, the Aga Khan) will have to be employed by the revived Uganda Airlines. A "wet lease" agreement is not suitable because it means that the foreign airline will bring its nationals to work here.

Uganda Airlines will have to create another source of income besides carrying passengers and cargo. The Airline will have to build a huge Maintenance Hangar (call it garage) at Entebbe Airport somewhere near the old airport or the western side of the airport, to service and repair aircraft of other international carriers. The current charges of servicing and repairing an aircraft are now between $150,000 and $200,000 daily. Now that the Government is preparing Entebbe to be an International hub in this part of Africa, this kind of facility is a must.

The third stage will be for Uganda Airlines to press an order to purchase its modern aircraft. The modern aircraft in use now all over the world are the British/French Airbus and the American Boeing.

Finally, when you consider the industrialisation taking place in Uganda, the building of the oil refinery in Bunyoro and the oil pipeline to Tanga as well as tourism, the revived Uganda Airlines will have good business as well as good sources of revenue for Uganda.

The writer is an elder from Kyaggwe in Mukono District