Prime
Sh3.6 trillion spent on ATCL revival so far as new jet arrives today
President Samia Suluhu Hassan is joined by other dignitaries in officially commissioning ATCL’s new Boeing 767-300F freighter at Julius Nyerere International Airport in Dar es Salaam on June 3, 2023. Tanzania is today March 26, 2024 expected to take delivery of a Boeing 737 MAX 9. PHOTO | FILE
What you need to know:
- ATCL now boasts a fleet of 15 planes, the latest addition being a Boeing 737 MAX 9, which is scheduled to arrive in Dar es Salaam today March 26, 2024
Dar es Salaam. The government has spent at least Sh3.63 trillion in reviving Air Tanzania Company Limited (ATCL) in the last eight years.
This is according to the Transport ministry’s annual budgets passed by Parliament from the 2016/17 financial year to date.
The national carrier, which had only one operational plane by 2015, has been the beneficiary of substantial funding since the government made the airline’s revival a top priority from 2016.
ATCL now boasts a fleet of 15 planes, the latest addition being a Boeing 737 MAX 9, which is scheduled to arrive in Dar es Salaam today March 26, 2024.
Other planes are one Dash 8-Q300, five Dash 8-Q400’s, four Airbus A220-300’s, one Boeing 737 MAX 9, two Boeing 787-8 Dreamliners and one Boeing 767-300F freighter.
The airline is expected to add one more Boeing 787-8 Dreamliner to its fleet before the end of the year. These latest purchases are expected to put Tanzania on the continental and global aviation maps.
Following the purchase of the first Boeing 737 MAX 9, ATCL managing director Ladislaus Matindi was quoted saying, “The acquisition of our first Boeing 737 MAX 9 marks a significant milestone for Air Tanzania. It’s a momentous occasion that echoes the spirit of the ‘Wings of Kilimanjaro’. This advanced airplane fulfils our promise to deliver an extraordinary experience to our customers.
“As we ascend to new heights, Air Tanzania enhances the fleet’s capabilities and exemplifies its commitment while extending our appreciation to Boeing as an invaluable partner in enabling our vision.”
Data analysed by The Citizen shows that the government started investing heavily in ATCL’s revival in 2016/17 under President John Magufuli when Sh500 billion was set aside for the acquisition of new aircraft. A similar amount was set aside in the following financial year.
In 2018/19 and 2019/20, the budgets for the purchase of new aircraft for ATCL were Sh495.6 billion and Sh500 billion, respectively.
The government set aside Sh450 billion in 2020/21 and the budget was unchanged in 2021/22 before it was boosted to Sh468 billion in 2022/23. The budget for the current financial year is Sh271 billion.
Speaking to The Citizen, various stakeholders commended the government’s unwavering commitment to reviving ATCL, saying it is a positive development for Tanzania’s aviation industry and the economy as a whole.
Mr Gaudence Temu, director of the ground handling firm Celebi Tanzania, said investing in ATCL is the right move since it also benefits other key economic areas such as tourism and trade.
“Having more planes means having the ability to reach more destinations, which, in turn, stimulates trade and eventually boosts economic growth,” he said.
Mr Temu, a former chief executive of Swissport Tanzania, added that the government’s plans to procure more cargo aircraft are also commendable in that they put ATCL in a good position to compete effectively with other airlines in the region.
“We have many perishable products such as horticultural produce, meats and fruits that require fast transportation. Having many aircraft also increases flexibility and reduces cancellations, thus boosting efficiency.”
Senior aviation consultant and Ontime Delivery Services managing director Jimray Nangawe said the aviation industry is capital-intensive and the government’s decision to invest heavily in the area is understandable.
He added that the investment will stimulate and pave the way for players in the private sector to invest their money in ATCL if the airline will eventually be listed on stock markets.
“The multiplier effect of the aviation sector is evident in terms of employment opportunities, skills development and growth in other service sectors.”
Mr Nangawe also commended the government’s plans to purchase planes for the use of its senior officials, saying it will help to avoid ATCL planes from being frequently withdrawn from scheduled service, thus inconveniencing fare-paying travellers.
By having its own aircraft, the government will also do away with the high cost involved with using large commercial planes to transport a handful of leaders.
“Efficiency is critical in aviation. So, by increasing investment, the government is improving services and the industry as a whole, along with the economy,” Mr Nangawe said.
ATCL currently operates on more than ten domestic routes out of its Dar es Salaam hub and to and from Dodoma, Kilimanjaro, Kigoma, Mpanda, Geita, Mbeya, Mtwara, Mwanza, Bukoba, Songea, Tabora, Iringa, Arusha and Zanzibar.
International destinations are Mumbai (India), Lubumbashi (DRC), Nairobi (Kenya), Hahaya (Comoros), Ndola and Lusaka (Zambia), Harare (Zimbabwe), Bujumbura (Burundi) and Entebbe (Uganda).
The airline also plans to start flying to Dzaoudzi (Mayotte), Dubai (UAE), Juba (Southern Sudan), Johannesburg (South Africa), Lagos (Nigeria), Accra (Ghana), Kinshasa and Goma (Congo), Muscat (Oman) and London (United Kingdom).
