Prodigal Son
JF-Expert Member
- Dec 9, 2009
- 1,067
- 700
The Government is looking for a new investor to run the Kilimanjaro International Airport (KIA) after terminating the Kilimanjaro Development Company (Kadco) contract over poor performance.
Infrastructure Development ministry permanent secretary Omary Chambo told The Guardian in an interview recently in Dar es Salaam that the government had retaken all shares in KIA in a bid to improve service delivery at the airport.
We have taken back all shares, meaning that the management of KIA owned by the government by 100 per cent. This will continue to be so until a new investor is obtained to run the airport, he explained.
Defending the government decision to ditch Kadco, the PS said KIA had been experiencing myriad of problems due to the firms poor management.
According to Chambo, foreign shareholders in the firm had made lots of empty promises, which the government would not continue entertain them any longer.
Kadco was in late 1998 given 25 years to operate the airport in a public/private sector joint venture with the government.
The move paved the way for much-needed investment in the facility with a view to creating Africas first fully privatised international airport. The airports management was provided by Schiphol and the operations managed by the UKs CAA International Services.
Under the agreement, the management teams first task was supposed to be upgrading the airport to international standards.
Kadco was expected to undertake the upgrading of safety systems and equipment, staff training, setting up of modern management systems and long overdue refurbishment of terminal facilities.
It was also expected to launch a marketing campaign aimed at developing and promoting the airports tourism potential internationally.
Not long time go, the minister for Infrastructure Development Dr Shukuru Kawambwa said the government was now in talks with investors from the United States and South Africa in connection with the matter, but he would not be drawn into giving specific details.
He explained that the governments decision to repossess the airport was prompted by a need to improve service deliver of an airport believed to be a vital cog in the wheel of the countrys tourism industry.
The PS informed: We are now discussing with two investors who have shown interest in investing in this facility.
Chanzo; IPP
Infrastructure Development ministry permanent secretary Omary Chambo told The Guardian in an interview recently in Dar es Salaam that the government had retaken all shares in KIA in a bid to improve service delivery at the airport.
We have taken back all shares, meaning that the management of KIA owned by the government by 100 per cent. This will continue to be so until a new investor is obtained to run the airport, he explained.
Defending the government decision to ditch Kadco, the PS said KIA had been experiencing myriad of problems due to the firms poor management.
According to Chambo, foreign shareholders in the firm had made lots of empty promises, which the government would not continue entertain them any longer.
Kadco was in late 1998 given 25 years to operate the airport in a public/private sector joint venture with the government.
The move paved the way for much-needed investment in the facility with a view to creating Africas first fully privatised international airport. The airports management was provided by Schiphol and the operations managed by the UKs CAA International Services.
Under the agreement, the management teams first task was supposed to be upgrading the airport to international standards.
Kadco was expected to undertake the upgrading of safety systems and equipment, staff training, setting up of modern management systems and long overdue refurbishment of terminal facilities.
It was also expected to launch a marketing campaign aimed at developing and promoting the airports tourism potential internationally.
Not long time go, the minister for Infrastructure Development Dr Shukuru Kawambwa said the government was now in talks with investors from the United States and South Africa in connection with the matter, but he would not be drawn into giving specific details.
He explained that the governments decision to repossess the airport was prompted by a need to improve service deliver of an airport believed to be a vital cog in the wheel of the countrys tourism industry.
The PS informed: We are now discussing with two investors who have shown interest in investing in this facility.
Chanzo; IPP