Hong Kong transport chief reveals measures to boost beleaguered private jet industry
DANNY LEE AND SARAH KARACS
UPDATED : Wednesday, 01 June, 2016, 6:00pm
The private jet industry is facing competition for runway slots at an increasingly overcrowded Hong Kong International Airport. Photo: Dustin Shum
The government has announced that it will aid the private jet industry with a package of measures to support business aviation services in Hong Kong.
The plans include reviewing when private jet firms can book runway slots in advance, imposing heavier penalties for the misuse of slots and creating a one-stop shop for business aviation companies.
The sector has been complaining about being marginalised by commercial passenger and cargo airlines at an overcrowded Hong Kong airport. Scarcity of runway slots saw unscrupulous players in the private jet industry hack the booking system and sold take-off and landing slots for profit, a practice first revealed by the South China Morning Post.
Hong Kong airport runway slots being hijacked for profit via online booking system
The package of measures was revealed in the Legislative Council by Secretary for Transport and Housing Anthony Cheung Bing-leung, who said: “The government recognises the positive impact brought by the business aviation sector to the overall economic development in Hong Kong.”
Measures under consideration include offering more runway slots at night and in the early morning, while increasing the time and flexibility jet operators can make slot applications – currently a maximum of seven days in advance.
The Business Aviation Centre provides ground handling services. Photo: Dickson Lee
However, heavier penalties for non-compliant operators who waste slots are planned, including abuse or illegal trading that would see the right to book a slot revoked.
Cheung confirmed a review found “loopholes” in the online booking system for private jet operators that led to the “speculation of slots”. The probe uncovered aggressive booking tactics, and since the exposé, the aviation regulator has asked slot bidders to log in to the online system to “reduce the possibility of abuse”.
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The government will also explore consolidating the management of ground handling services, runway and parking slots to one agency. At present, the Business Aviation Centre (BAC), Airport Authority (AA), the Civil Aviation Department (CAD) each play a separate roles.
Responding to lawmaker Jeffrey Lam Kin-fung, who raised the original question about the private jet industry and followed up with the one-stop shop idea, Cheung said: “We agree with the sector we should explore how we can have better coordination and provide a one-stop service.”
The private jet industry will meet with the CAD, AA, and the BAC today to discuss changes, enhancements and penalties. Further details on the government proposals are expected to be fleshed out behind closed doors.
Charlie Mulkarski, Asian Business Aviation Association chairman, said: “We would love to see more speed, but nevertheless are all very happy to see motion in the direction of improving the environment to continue see Hong Kong as an economic hub in the region, attracting business and corporations who use business jets as productivity tool.
“We want to see all slots and resources maximized and available for the proper use by the business jet operators, both based in HK as well as those transient to the city for business meetings,” he said.
http://m.scmp.com/news/hong-kong/economy/article/1961540/penalties-extra-runway-slots-and-no-more-loopholes-how
