Members of Parliament on the Funds Committee have requested authorities to justify the continual capitalisation of Uganda Nationwide Airways, following the proposal to extend the airline’s price range within the 2024/2025 monetary 12 months.
The price range enhance is entailed within the report of the Committee on Bodily Infrastructure on the Nationwide Funds Framework Paper for the Ministry of Works and Transport.
Hon. Tony Awany, the committee chairperson, offered the report earlier than the price range committee on 16 January 2024.
“The Authorities intends to extend the airline’s funding by Shs34.9 billion, elevating the price range to Shs120.9 billion. These sources can be used to cater for funds to the Uganda Civil Aviation Authority, wages, workers coaching, procuring aviation gas, insurance coverage cowl for plane, Inflight catering, and others,” Awany mentioned.
His report left MPs on the Funds Committee involved in regards to the airline’s profitability, citing ineptitudes in its operations.
“We have to perceive the Authorities funding within the airline; what number of shares does the Authorities have? How a lot do they intend to spend money on the brief time period, midterm, and long run, and which funding automobile,” requested Hon. Dickson Kateshumbwa (NRM, Sheema municipality).
Citing the airline’s inefficiencies, members mentioned authorities wanted to show the airline’s chance of breaking even, as its foundation for steady funding.
“If you discuss of flying to locations resembling Dubai, anybody can perceive. We wish to know what knowledgeable the airline to open flights to locations resembling Abuja,” mentioned Hon. Remigio Achia, the Deputy Chairperson of the Funds Committee.
Achia complained of flight delays, saying he has had as much as two hours of flight delays with Uganda Airways. “I’ve lately used the airline thrice; I don’t perceive why they’re all the time late; for an hour, even two hours, you anticipate to fly out at 8 p.m., however you find yourself flying at 10 p.m.,” mentioned Achia.
Members had been additionally involved that out of the Shs1.83 trillion allotted to Uganda Nationwide Roads Authority, authorities is silent on the Kampala-Jinja Expressway and the usual gauge railway, which they mentioned needs to be prioritised.
“Proper now, you are taking greater than 5 hours to drive from Kampala to Jinja; the street is slender and has damaged down in some locations. There are lots of automobiles and accidents; I didn’t hear it among the many priorities within the subsequent price range,” mentioned Hon. Moses Magogo (NRM, Budiope East County).
Legislators complained that authorities is as a substitute budgeting for non-critical areas such because the Shs5 billion meant to extend street person behaviour and data.
Distributed by APO Group on behalf of Parliament of the Republic of Uganda.