Foreign airline operators have to take steps to reduce the rising cost of air fares in the country, the Ghana Civil Aviation Authority (GCAA) has said.
The directive from the GCAA, regulator of the aviation industry, comes at a time when passengers flying out of Accra pay relatively high fares compared to similar flight distances from other destinations.
�It is not government�s policy to determine air fares. Government is of the position that the development and provision of a safe and conducive aviation environment coupled with market forces will ultimately have an impact on air fares.
�However, if airlines fail to adhere to calls to charge moderate fares and provide quality services to passengers who fly in and out of Ghana, then the Authority will be pushed to take drastic measures,� Director-General of GCAA, Air Commodore Kwame Mamphey, said at a meeting organised by GCAA with the Ghana Airports Company Limited and foreign airline operators.
Air Cdre Mamphey said despite the fact that airlines plying the Ghana route enjoy similar air navigation and regulatory services as in Europe and the Americas at minimal cost, Ghanaian passengers still paid comparatively higher fares.
A round-trip in economy class for Accra-London costs about US$947 and US$1,347 during the peak period between June to September on Virgin Atlantic, while premium economy on the same flight costs US$1,284 and US$1,584 during the peak period.
British Airways charges at least US$945 (economy) and US$1,055 (premium economy) on the same route (with fares comprising US$593.00-US$893.60 charged per adult as government taxes and fees). Meanwhile, a return ticket on the same route is often cheaper, ranging between US$500-US$700. Airline operators have attributed the high fares to high government taxes and the high risk of operating from the sub-region.
Accident risk in Africa is considered high, and this is factored into the leasing cost of aircrafts, they say -- hence, airline companies who lease aircrafts for operations in Africa charge high fares in order to pay their high leases to keep their aircraft in the air.
Mr. Paul Dhami, former Commercial Manager for British Airways, said in an interview that high government taxes and lack of accurate information on the sector are major challenges that the airline industry faces.
Though the country lacks a successful airline of its own, there is a strong foreign airline presence in the country. Around 30 international airlines operate from Accra presently, with Royal Jordanian Airlines and Iberia expected to join by mid-year.
Emirates, Air Nigeria, KLM, Delta Air Lines, Kenya Airways, Virgin Atlantic, British Airways and Ethiopian Airlines are some of the leading carriers in the Ghanaian international market, which includes many smaller carriers operating a limited number of services.
The industry has continued its steady growth in the last two years. The number of international passengers between January and August last year was about one million, an increase of 16.7% over the figure for the same period in 2010. Domestic traffic also increased from 81,000 in 2010 to 106,000 passengers in 2011.
The GCAA and the Ghana Airport Company have in recent years collaborated with the Civil Aviation Authority of Singapore (CAAS) to train human resources for the country�s aviation sector. This training has been driven in Ghana by the Ghana Civil Aviation Training Academy (GATA).
Such international exposure for aviation personnel,coupled with efforts to boost aviation infrastructure is intended to increase confidence in Ghana�s market, and reduce risks and lease- costs that will ultimately translate into lower fares.
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