By FRANCIS RODNEY PULU
MINISTER for State Owned Enterprise, William Duma has clarified the 5% fees imposed by the Air Niugini to customers using cash payments for airfares.
He said the 5% fee is to cover security cost for security companies engaged by the Air Niugini to move the cash around.
Duma said Air Niugini is forced to tackle whatever it cost or whatever it takes from the passengers that are using cash payment for airfare.
He therefore clarified that Air Niugini engages security companies to move cash around in fear of being robbed.
Duma said there is a cost of operating business in PNG like any other business does, and the additional 5% fees charged from the customers as cash handling fees gear this security operations.
“So, that is an extra cost that Air Niugin will charge when collecting cash from our travelling public.
“Unfortunately, we have to pay the cost of doing business in this country. This happens everywhere, it’s not only Air Niugini doing this,” he said.
He said people are now being encouraged not to pay cash but try and use bank cards.
Minister Duma also clarified why Air Niugini charges very high airfares nowadays.
He expressed that the increase in air fares was never approved by the Board of Air Niugini or it never came to his attention as the Minister.
“And that is one of the reasons why the people who are behind this increase has to be terminated.
“It is not for me to tell the public for all the reasons why people have to go through this but they also have rights to defend themselves.
So, this is the least I can tell you, and that also gave rise to why Cabinet has to make a decision to let go the serving CEO,” Minister Duma said.
“We are looking at that aspect of Air Niugini’s intention to provide fares that are affordable for our people as Air Niugini is not a company that is led by people who are blind.
“Changes have to be made to the senior executive of Air Niugini, and there were two gentlemen who had been asked to go.
“The Air Niugini Board is now asked to review the level of rates being imposed on our traveling public in order to reduce the rates that are affordable to our people,” he said.
Minister Duma was responding to questions raised by North Fly MP, James Donald during question time in recent parliament sitting.
Mr. Donald was questioning why Air Nuigini is charging additional 5% fees to the ordinary citizens of this county who are using cash to pay for the airfares; why the airfares are skyrocketing these days.
