Tanzania’s frustration over Kenya’s failure to support its desire for a national carrier burst into the open last week, with Dar es Salaam reducing by two-thirds the number of flights from Nairobi into its airspace.

Tanzanian aviation authorities reduced the number of Kenyan flights to Tanzania from 42 to 14 a week, saying the two countries had failed to reach consensus on Bilateral Air Services Agreements (BASA) that have been under discussion for eight years.

But it is understood that the action was in retaliation for Kenya’s refusal to accord Tanzania designated Fastjet access to Jomo Kenyatta International Airport, similar to the one Kenya Airways enjoys in the neighbouring country.

“The discussion could not come to consensus on the matter related to principal place of business and effective regulatory control as a criterion for airline designation parallel to the majority ownership and effective control requirement,” Charles Chacha, acting director general of Tanzania Civil Aviation Authority (TCAA) said of the March 2 meeting.

Mr Chacha said the standoff had “detrimental effects” for the Tanzanian side.

Kenya has since last year refused to give FastJet Tanzania rights to fly the Dar es Salaam-Nairobi route. Although the carrier as a Tanzania designation as required it does not have any shareholding by Tanzanians, a condition for it to be admitted as Tanzania’s national carrier by Kenya under the existing BASA.

FastJet said that it had applied for an operating licence from the Kenya Civil Aviation Authority (KCAA) and that it expected to begin flights from Kenya within six months of receiving a permit.

In November last year, acting KCAA director-general Joseph Kiptoo said the licence had been delayed following objections from Kenya Airways, African Safaris and other airlines about some aspects of FastJet’s operations.

“We have already forwarded these complaints to FastJet and we are awaiting their response. Once they respond, we will grant them another licence application hearing,” Mr Kiptoo said.

Kenya Airways dominates the Dar es Salaam to Nairobi route, being the only carrier with five direct flights a day.

Jimmy Kibati, FastJet East Africa general manager said renegotiation of the bilateral air-services agreement between the two countries was necessary for it to ply the route.

“We are waiting for both states to renegotiate the bilateral agreement so that they can allow FastJet Tanzania to fly to Kenya,” Mr Kibati said. He added that Fastjet expected a decision on the application, which had been deferred two times to come through this week.

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Mr Kibati said that Kenya Airways’ concerns over Fastjet’s ownership and market fundamentals had been addressed.

“We believe they do not interfere with our application. We hope to get the licence soon,” Mr Kibati said.

Kenya Airways’ Tanzania country manager Lucy Malu said the airline was re-booking its passengers within the available flights to avoid inconvenience.

“We have managed to fix our schedules and I can say things are in order now,” Ms Malu said.

The airline has been operating an average of five flights per week, which it reduced to two after the frequency was cut.

The stalemate on the BASA has centred on the identification of airports for international flights, the number of flights and the type of flights.

According to the status BASA concluded between Tanzania and Kenya, as at May 31 last year, TCAA had allowed unlimited frequencies from any point in Kenya to Zanzibar, 42 frequencies on the Nairobi to Kilimanjaro route, 42 frequencies on Nairobi to Dar es salaam, 14 frequencies on Kisumu to Mwanza, 14 frequencies on Nairobi to Mwanza, 14 frequencies on Mombasa to Kilimanjaro, 14 frequencies on Kisumu to Mwanza and unlimited frequencies from any point in Tanzania to Mombasa.

TCAA also offered no restrictions on aircraft capacity and size from Kenya. The agreement was last reviewed in February 2011. A source privy to the goings on said the question of the designated national carrier was at the centre of the row.

“Tanzania wants to have a controlling stake in the airlines that fly into the country because the country does not have a strong national carrier. They may be looking to attract International airlines to open subsidiaries.”   

He said the retaliation by Tanzania to the delay in granting traffic rights to FastJet was just “a tactic to force Kenya to the negotiating table with a view of opening up this lucrative route,” the official said.

Andrew Luzze, executive director of  the East African Business Council (EABC) said such trade wars were not necessary because EAC member states should free their airspace in line with the Common Market Protocol. Ideally, he added, they should have a single regional airline to prevent conflicts of interest.

“Let the member states agree on an East African airline where all members will have an equal stake. They should probably revive East African Airways,” said Mr Luzze.

African Airlines Association secretary general Dr Elijah Chingosho said bilateral agreements between EAC member states should be done away with to avoid such conflicts.

“We can only get strong carriers by opening up skies and allowing as many airlines to fly within the EAC and to the continent, just like in the European Union,” said Dr Chingosho.

International experts have condemned the protectionism by the two countries, saying partnerships were now the norm in aviation globally.   

“This is an unfortunate outcome against the liberalisation of the East African skies which would bring significant benefit for consumers and the region’s economies,” Brendan Sobie, a senior analyst at the Australia-based aviation market intelligence outfit, told The East African.

Kenya recently banned Tanzania-registered tourist vehicles from its airports, a decision also being associated with the flight ban.

Kenya Airways in a tariffs notice to its agents offered to fully refund bookings, which would not fit in the revised schedule and rebooking to alternative destinations in Tanzania — Arusha and Zanzibar.

The tickets could also be used for travel to other destinations of similar fare and or topped up for routes costing more. There would be no refund for those opting for cheaper destinations.

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Reported by Allan Olingo. Scola Kamau, Costantine Muganyizi and Adam Ihucha.