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January 2006, No. 38


Transport Industry

Russian Tupolevs to Join Iran’s Air Fleet

Saeed Hesami, Managing Director of the Islamic Republic of Iran Airlines (HOMA)

Seventy percent of domestic flights by Iran Air are not profitable. Iran Air is not an ordinary airline and cannot be easily shut down. But referring to delays in Iran Air’s flights, Saeed Hesami, Managing Director of the Islamic Republic of Iran Airlines (HOMA), noted that many bodies are involved in managing various affairs at domestic airports and this is a reason for delayed flights. Referring to the fact that 70% of delays are related to airport operations and service, he added, "Engineering and overhaul operations as well as airport services are among major reasons for delayed flights by Iran Air. Therefore, the delay can be reduced through suitable management."

Flight delays by the company have been reduced by 30% last month compared to the preceding month and reached 12 minutes. The official stated that the downward trend will continue, but we cannot expect the figure to be lowered to zero.

Managing director of Iran Air further stated that during his recent trip to Russia, the two sides decided that Iran will purchase or lease planes from Russia and it will take two years before the airplanes ordered by Iran are manufactured. Hesami did not mention the exact number of planes, but noted that Russia enjoys one of the world’s most important airplane manufacturing industries and according to the said negotiations, Russia’s Tupolevs will join Iran’s air fleet.

"The two sides also decided that after purchasing or leasing Russian airplanes, the Russian company which will sign contract with us, will be responsible for overhaul and maintenance of the planes. We will also use Russian government’s finance for buying the planes," he said.

Managing director of Iran Air noted that the company’s flights have increased 12% compared to last year and stated that the number of international flights have also increased 15% in September. "Since 70% of Iran Air’s flights are domestic, the company is making loss and we are trying to reach a balance between costs and airfare." The company has tried to make up for its losses through allocating 30% of flights to international trips as well as through the subsidies it receives on gasoline.

Referring to establishment of a committee to study legal and technical mechanisms for weathering international sanctions in Iran Air, the official noted that according to international conventions, flight safety is not included in sanctions, but western countries use airplane industry as a political tool and we have decided not to be passive in this regard at international bodies.

Asked about subsidies paid to domestic plane industry, Hesami noted that no subsidy should be paid on air transportation because it accounts for a small share of domestic transportation and general resources should not be squandered on 5% of domestic transportation, but should be allocated to rail and road transport.

He said Iran Air’s fleet is 20 years old, adding, "The average lifetime of the fleet should be reduced to 15 years. Also, part of technical and engineering services will be given to the private sector in the near future."

 

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  January 2006
No. 38