11 Jun 2019 19:30pm
WINDHOEK, 11 JUN (NAMPA) - The report from consultants appointed to draw up a rescue plan for Air Namibia is not yet ready for public consumption, Public Enterprises Minister Leon Jooste said Tuesday.
In January this year Jooste announced in the National Assembly that consultants were appointed to evaluate the national airlines current business model and draw up recommendations to allow Air Namibia break even within three years.
At a media briefing, the minister said the evaluation report was given to the Air Namibia board and the ministry, but it will only be released once the second part of the agreement was completed.
The first report gave us a clear picture and a good understanding of what needs to be done for Air Namibia going forward and it has quantified it too. The consultants were appointed for two purposes, the first being to propose different business models for Air Namibia and based on the outcome of that first phase, we have to interrogate them and decide what we feel most comfortable with, Jooste explained.
The minister said once the business model is integrated and the consultants have established a business implementation strategy, the report will be released to the public.
He could not give an exact date for when this will happend. The report is however set to be discussed at the next Cabinet Committee on Treasury (CCT) meeting.
The report was discussed last week at the Cabinet Committee on Overall Policy and Priorities (CCOPP) meeting. The committee was however not satisfied and asked the CCT to provide them with additional information.
Jooste could not say what additional information was requested.
Air Namibia will be discussed at the next CCT meeting where various interventions and options will be interrogated before further recommendations will be made to the CCOPP, he said.
Popular Democratic Movement Member of Parliament, Nico Smit, wanted to know in the National Assembly on Tuesday what happened to the consultants report as March was given as the deadline for the submission of the report.
Smit said Air Namibia is in financial trouble and the debt, along with flight cancellations and delays, is causing a serious erosion in public faith in the airlines ability to provide reliable services.