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NAC charges Air Namibia of non-compliance with Ground Handling Agreement

Home Business NAC charges Air Namibia of non-compliance with Ground Handling Agreement

WINDHOEK – The Namibia Airports Company (NAC) has not renewed a Ground Handling Agreement with Air Namibia, citing non-compliance to a number of clauses in the agreement. The agreement between Air Namibia and NAC, which initially expired towards the end of 2018, was for the provision of Ground Handling services at Hosea Kutako International Airport. Ground handling services usually include all services an aircraft needs when it is on the ground. Some airlines receive these services from a ground handling services company while others prefer to use their own equipment.

In a letter dated May 22, 2019, from NAC’s newly appointed Chief Executive Officer, Bisey /Uirab, wrote: “Noting that the agreement expired on 31 October 2018, NAC is issuing Air Namibia (Pty) Ltd with a six month notice effective from 1st June 2019 up until 30 November 2019, which is reasonable enough to vacate and cease your operations as a ground handler at HKIA.” 

According to the letter, NAC’s decision not to renew the contract stems from Air Namibia’s non-compliance with clauses four, 4.1, five and 10.2 of the agreement. Clause 4.1 specifically deals with payment of a consideration fee which NAC said Air Namibia has not complied with. “As such your account constantly reflects arrears over the years,” wrote /Uirab. 

Upon enquiry, NAC spokesman Dan Kamati emphasised the confidentiality of the Ground Handling Agreement. “It is not appropriate to disclose the content thereof with any third party/media. NAC’s responsibility is to ensure that we manage the ground handling agreement in line with the provisions as agreed upon between the two parties,” said Kamati in response to questions from New Era. 

Meanwhile, the letter further stipulated that NAC will call for a national bidding process for ground handling services in due course. 

“You are more than welcome to participate in the competitive bidding process to be advertised in local print media,” /Uirab told Air Namibia before reminding the national airline to settle their account.