Legislative change allowing commercial use of aircraft by federal departments provokes controversy.

Published: 8/16/1999

According to Moscow newspaper, Segodnya, the FSVT, the Russian air transport agency, is being besieged by airlines, airports and journalists urgently seeking clarification of the July 30th 1999 government decree, legalising the use of state and development aviation aircraft and facilities for commercial purposes. The FSVT, which is responsible for implementing the changes, argues that it cannot comment until the information has been made available to the industry. But this ignores the fact that the nature of the changes are already well known, having been discussed for two years in a broad range of forums, including conferences, seminars and commissions. Judging by the reactions of the industry, a different approach was expected. The present decree allows the federal departments such as the VTA, the air transport wing of the air force, the Ministry of Internal Affairs and the Ministry of Emergency Situations to use their aircraft for unscheduled for passenger and cargo traffic. Exactly how this occurs without the state entities undercutting commercial operators is supposedly avoided by the fact that the FSVT coordinates cargo rates, although passenger rates are left to the entity"s discretion. Led by the Air Force Control Center, the air force has spearheaded the push to allow the government entities the opportunity for commercial gain. Air Force spokesman, Serguey Sinyakin, is reported by Segodnya as saying that: " The air force does not have the funds to maintain aircraft, airfields, and pay salaries. Now we shall have a chance to earn money. Freight and passengers have been carried for some time and the decree only brought the rules in line with practice". The air force, in particular, has been providing cargo carrying for customers for some time. Indeed, in 1997, one unit from the 224th flight detachment of the VTA was credited with carrying 9% of Russia"s total cargo business. (www.concise.org 24th April 1998) For commercial operators, the efforts to provide additional funding for the armed forces will not save the military and paramilitary units, but will do irreparable damage to the commercial sector. According to a director of the Domodedovo airport, home of Russia"s largest cargo carrier East Line, "commercial activities will not save the military airfields, but will ruin the civilian ones". The director added that: “ Out of twelve airfields in Moscow four are civilian, which currently are not working at full capacity. If all twelve are operated, for both cargo and passengers services, the military will lure passengers by simply dumping prices. Given that military airfields are situated across the country, similar scenarios will occur elsewhere. The state should let commercial companies do business, collect taxes from us, and support the armed forces with these taxes." The Air Force insists it has no intention of running its aircraft on a commercial basis. According to Sinyakin, "aircraft will mainly carry freight on board to avoid flying empty". The Association of the Cargo Operators has offered a potential solution to the problem. It recommends that the Air Force should wet lease aircraft and crews to commercial operators and use the revenues to contribute to state budgets. The military, however, is reluctant to consider such an arrangement. For other commentators, the commercialisation of the Air Force"s transport capacity will not rectify, but aggravate the Air Force"s problems. They consider that the life of the aircraft will be shortened, owing to increased use without the funds to maintain and overhaul. Anatoly Kondratyev, President of the Association of the Cargo Operators, observed that: " Military aviation needs money today, and the government tries to give it a hand. Tomorrow, it will let OMON (special police units) to use armoured troop carriers as taxis, and let the Navy make tourist cruises". The management of Transaero cautions that the entry of numerous new operators could affect flight safety, particularly on passenger flights. It argues that the majority of all serious aviation accidents over the last few years have been attributable to military crews on “irregular" flights. The development of the military"s role in the commercial market will depend on the approach of the FSVT. Former Air Force General, Vladimir Andreyev, General Director of the FSVT, may be a partial ally of the civilian operators. In recent interviews, Andreyev has declared that "even when [he] was in the military, [he] was against letting military cargoes be used in commercial service", but if we let it happen, "then the rules are the same for everybody" and no dumping.

Article ID: 755