Long-awaited Nepal Airlines Corporation decision to purchase two new aircraft has been withheld for the time being. Public Accounts Committee has directed NAC to scrap the procedure of purchasing new aircraft.
The decision to this effect was taken at PAC meeting held today. It has also directed the Finance Ministry to realise the advance payment made to the Airbus Company and take action against the NAC officials who did not abide by the public procurement procedure.
During the meeting held at Singha Durbar, PAC asked to defer aircraft purchase. According to PAC, NAC did not follow the public procurement procedure and made an advance payment on its own discretion.
NAC has given Rs 55 million as slot money to Airbus to buy two aircraft — one A330-200 wide-body plane and one A320 single aisle jet — after the initial agreement during the Dubai Airshow in mid-November. However, PAC smelt a rat in the deal and has been probing into the case.
Budget 2009-10 has made a special arrangement of Rs 10 billion for NAC to buy two aircraft on state guarantee. But the state was yet to decide any guarantee.
Ailing NAC has been planning to add new aircraft to its domestic fleet as well.
On the domestic routes, NAC has been flying four 19-seat DHC-6-Twin Otter aircraft, though it has seven Twin Otters.
Apart from the two much-talked wide-body aircraft, NAC was keen to add six aircraft on international routes. On international routes, NAC is flying a Boeing B-757 and a Boeing 757-200 aircraft — Karnali and Gandaki - each with a 190-seat capacity.
