Gozo fixed wing service - a costly operation (1)
Mr Franco J. Saliba (The Sunday Times, December 4) supported Dr Anton Refalo's proposal for a fixed-wing aircraft operation to Gozo. He also quoted 'people in the know' who argue that a fixed-wing service would be cheaper to operate than a helicopter...
Mr Franco J. Saliba (The Sunday Times, December 4) supported Dr Anton Refalo's proposal for a fixed-wing aircraft operation to Gozo. He also quoted 'people in the know' who argue that a fixed-wing service would be cheaper to operate than a helicopter service.
Malta Air Charter, which I managed for a number of years, used to operate the most economical service and because of very favourable wet leasing rates afforded through East European operators, the fare was just right and affordable to Gozo residents and tourists. A good number of Gozitans travelling on international flights chose the helicopter service to travel to the airport. A sizable percentage of four-star hotel tourists were also using the service. Most however still preferred the romantic and more appealing boat crossing.
With that mix, we used to carry 50,000 passengers every year at a loss of Lm120,000. However, Lm80,000 were going back to Air Malta in handling charges and a bigger chunk was also being paid to the government in VAT and tax on fuel.
All that is now water under the bridge as EU regulations will not allow East European aircraft to operate within the Union. And that was the reason why the other service had to stop.
All through the years of the helicopter service, Air Malta remained vigilant and carried out studies to test the viability of a change to fixed-wing aircraft. The same stumbling block emerged: not enough demand for seats and the operation would lose more money.
The results had always shown that a wet lease operation was less costly than the other available options. With Malta's EU accession, Air Malta could not consider the leasing of inexpensive East European equipment. All different options and scenarios will clearly indicate that operating with fixed-wing will cost three times as much as operating with Russian helicopters, or even more. Russian helicopters are very safe and reliable, and are frequently used by the United Nations worldwide, excluding EU members.
The other option - to operate with our own aircraft and crews - would cost more than a wet lease operation. After years of deliberation and Malta joining the European Union, Air Malta closed its Gozo operation. And some of us were still dreaming that one day some adventurous operator would go for it! And one was found.
The Spanish operators were nothing more than a temporary political stop gap solution for Government to shrug off the responsibility of providing the service which the Gozo tourist trade insisted upon. This will see 50,000 annual helicopter passengers dwindle to 8,000 if the present service continues.
I had other occasions to illustrate how Government is subsidising the present service by over Lm167,000 a year, excluding an exorbitant amount to cover the cost of salaries paid to the heliport manager, air traffic controllers in Gozo, four crews of firefighters and equipment, security personnel and other administrative and operational equipment.
I can now safely add that with some of those expenses, a very conservative figure of over Lm250,000 per annum will be reached. The cost to transport one passenger on a 10-minute return flight has now reached the astronomical and ridiculous sum of over Lm120 when a return air ticket for a three-and-a-half-hour flight to London costs less.
The profile of an air passenger to Gozo is that of an international one in transit at Malta International Airport. The service will never become appealing to other passengers because it does not offer any extraordinary advantages to domestic travellers.
A ferry crossing is far cheaper, equally efficient and, at the best of times, more convenient. Gozo-bound tourists arrive in Malta in small numbers on infrequent international flights which means a very low seat take-up on the islands connection.
That situation calls for a more frequent service with smaller seat configured aircraft. I honestly fail to understand how the proposed fixed- wing service will solve that insurmountable problem.
Having very boldly exhausted my argument and possibly lost some esteem from my fellow Gozitans, I would be asked for a long-term solution. Quite frankly, I don't have one; any form of aerial operation shackled by EU regulations will be very expensive and definitely a non-starter.
The dilemma of stranded passengers in bad weather conditions will always be raised and it is always a difficult one to address. Gozo has its strong points - it is still unspoiled, very romantic and is a small island. Maybe a good shuttle service between the airport and Cirkewwa would increase the 'island appeal' and lessen the burden.
The Greek islands and many others do not have the luxury of an air service to the mainland and are still very popular. Let us therefore look at what we are really doing wrong in Gozo and sort it out. Managed efficiently, the island has many of required qualities to attract more visitors with or without an air link.