Ogle International Airport

…”anti-competition, oppressive” says Small Aircraft Operators

The management at the Ogle International Airport (OIA) has come under fire from the Small Aircraft Operators, who said that the entire operation is working in favour of international air services only.

The operators, whose aircraft fly domestic trips, vented their frustration in a letter to the editor of this newspaper on Sunday, in which they noted that there was “an eruption of an unbearable discontent which is rife at the Airport”.

According to the six small operators, there is a myriad of serious and vexing issues they face on a daily basis with Ogle Airport Inc, the company which runs the Airport.

“Ogle Airport, while improving its regulatory compliance and infrastructure in the past decade, is in fact an anti-competitive and oppressive business environment. The establishment of an aviation operation requires large amounts of capital and the operating environment definitely contributes to the success or failure of the enterprise,” the aircraft operators said in their letter.

According to them, the Airport has refused to allow cargo transport operations using the main terminal, although foreign operators, including LIAT, are allowed to do so. The aircraft operators said they have been ordered to use the Cheddi Jagan International Airport (CJIA) for their cargo operations. This, they said, would   add to their operational cost.

They further claim that the management is consistently reluctant to respond to their needs in a “timely manner; gives them no voice on issues affecting them, imposes staff on them with authoritative and confrontational attitudes”, often threatening, shouting, and demanding; is sub-leasing land for facility development at prohibitive rates; is charging astronomically high fees for airport usage, and has introduced a “toxic and draconian operators’ agreement which demands that we sign over liens on all of our property including our aircraft, among other odious provisions”.

The operators said given that the issues were serious, one could imagine how difficult the operating environment was when compounded with anti-competition measures by Ogle Airport Inc’s management, led by the Correia Group.

“The Correia Group controls the Airport and has increased the cost of fuel; monopolised ground handling and other services and arbitrarily terminated tenancy contracts with the apparent aim of forcing us out,” the operators said in the letter.

“We have now joined in unity and are now part of nine operators out of 10 that are disenfranchised by the actions of the Correia Group and their agents who manage and regulate the Airport. We, therefore, urgently call on the Government to intervene, investigate and regularise this Airport for the benefit of all of its stakeholders.”

Dispute

Efforts by this newspaper on Sunday to reach the management of OIA proved futile.

In 2011, Air Services Limited (ASL) had called for a Commission of Inquiry into the Ogle Airport after it accused the Ogle Airport Inc of running a “monopolistic” family affair.

Again in 2013, management and ASL clashed in a bitter dispute over the requirements for the start-up of the carrier’s US$1 million fuel farm. In that instance, ASL had accused Ogle Airport Inc of deliberately creating conditions to ensure that its fuel would not be cheaper and it would be forced to continue buying fuel stored at a fuel farm being operated by Caribbean Aviation Maintenance Services (CAMS).

Ogle International Airport is owned by the Government of Guyana, but is run by the private company, Ogle Airport Inc, which exerts total monopoly control over the facility greater than that of the private partner in a Public-Private Partnership (PPP).

Guyana Times was told that the facility is a public utility which is managed and controlled by the Private Sector.

The operational arrangement was negotiated after the initial five investors who formed a corporation, Ogle Airport Inc, made a proposal to operate the Airport following safety concerns which were raised by the International Civil Aviation Organisation (ICAO).

Ogle Airport is the base of operations for several local aircraft operators including: Trans Guyana Airways; ASL; Roraima Airways Ltd; Oxford Aviation; Hinterland Aviation, Domestic Aviation, Phoenix Aviation, Hopkinson Aviation, Wings Aviation and JAGS Aviation (BK).