The federal cabinet has adopted the long-awaited updated National Aviation Policy (NAP) 2023, which aims to provide the aviation sector industry status.
National Aviation Policy (NAP) 2023
According to sources, the government’s updated National Aviation Policy intends to establish a lower taxation environment in order to attract investment in various sectors.
However, air service, airports, infrastructure development, flight catering services, aircraft manufacturing industry, maintenance and repair organizations, ground support equipment, and import of aircraft including aircraft engines, spare parts, and supplies of all specifications are among the sectors.
Major changes were recommended in the amended NAP 2023 for Safety, Security, and Regulatory Oversight, Air Traffic Rights, Guidelines for Air Service Operators, Aviation Infrastructure Development, and Guidelines for Allied Service Providers.
Registration of Aircrafts
Furthermore, the government has imposed mandatory registration on the Pakistan Aircraft Register of all aircraft owned or operated by air service operators under NAP 2023.
Conversion of aircraft from cargo to passenger operations is not permitted under the policy.
Moreover, a request by an air service operator for a change in the induction or retirement criteria for an aircraft must be considered by a DGCAA-created technical committee.
The committee’s suggestions must be approved by the licensing authority.
New Airports Construction Under Policy
In accordance with Pakistan’s investment policy, the government would encourage brownfield airports through investment models.
Furthermore, the government will create Greenfield airports in areas where no such facility currently exists, and PCAA and PAA will establish methods to attract investment in developing Greenfield and Brownfield airports.
Furthermore, under NAP 2023, the government will not only provide incentives to Aircraft Maintenance Organizations (AMOs) and Maintenance Repair and Overhaul (MROs) in terms of land leasing and licensing, but 100% Foreign Direct Investment (FDl) would be permitted through joint ventures with local commercial organizations.
According to sources, the government has also allowed the entrance of foreign-registered aircraft on wet lease in extraordinary circumstances such as aircraft accident, maintenance, market evaluation, temporary expansion, and Hajj, Umrah, or Ziarul operations.
However, the wet lease duration shall be up to 120 days, extending to a maximum of 10 days from the date of aircraft induction.
According to the information, the Aircraft Accident Investigation Board (AAIB) will investigate aircraft incidents and accidents involving any civil aircraft flying in Pakistan.
Aircraft Accidents Examination
If a Pakistan-registered aircraft is involved in an incident or accident outside of Pakistan, the AAIB may examine the incident or accident on the authorization of the Ministry of Aviation, if requested by the state where the incident or accident occurred.
The investigations will be finished within a certain amount of time.
However, AAIB findings and recommendations will be shared with all stakeholders to assist in taking a proactive approach to avoid repeat recurrence.
The Ministry of Aviation will examine the implementation of these proposals on a regular basis.
PCAA’s Position as a Regulator
According to NAP 2023, PCAA’s position as a regulator will be made independent of service providing, with financial and administrative autonomy in accordance with ICAO criteria.
It is worth noting that the operational segregation of PCAA into Regulatory Authority and Airports Authority has already occurred, and the organizational structure will be administratively segregated in compliance with the appropriate Act of Parliament.
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