The EA-SA-IO regional air transport market is not currently integrated nor liberalised. This has the effect of retarding growth of the air transport sector and restricting the sector from effectively playing its economic role in support of economic growth and development. Liberalisation is expected to increased air service levels, increased route competition resulting in lower fares, which in turn stimulates additional traffic volumes, facilitates tourism, trade, investment and other sectors of the economy and brings about enhanced productivity, economic growth and increased employment. There is therefore a need to integrate and liberalise the sector so as to unleash its potential leveraging on implementation of Yamoussoukro Decision (YD).
The programme operationalise the Single African Air Transport Market (SAATM) is important and should be supported. Some countries in the EA-SA-IO region have not yet committed to the programme so lobbying and awareness building is required over and above the technical support and capacity building required for the operationalisation process to be successful. This programme will therefore assist Member States to commit to, participate in the operationalisation and implementation of the SAATM.
Under this result area, the principal activities to be undertaken are:
Support the signing of solemn commitment by Member States in the EA-SA- IO region
This will entail convincing Member States that have not yet signed the Solemn Commitment to the Operationalisation of the SAATM as the first step towards integration and liberalisation of the continental air transport market through lobbying and advocacy. Member States need to be convinced that they will benefit from the integration and are safeguarded against potential negative effects of market integration and liberalisation on their respective countries. Awareness campaigns will play an important role in this regard. There is need to develop and disseminate regional institutional frameworks and instruments to further the implementation of YD.
Enable operationalisation of joint competition rules and regulations
Joint competition rules and regulations of the AU are in place but they need to be operationalised through dissemination, advocacy and capacity building. The programme will therefore support AFCAC to ensure that Member States buy-in to these rules of the game in an integrated and liberalised air transport market.
Enhance capacity for a regional model for sustainable air transport market development.
Member States will need to sign a Multilateral Air Service Agreement to facilitate air flight movements within an integrated and liberalised market. There is therefore need support and facilitate review, adoption and signing of the Multilateral Air Service Agreement by member states. As the integration and liberalisation will affect Member States differently, there is a need to develop a regional model to ensure that the resulting air transport market is sustainable. There will also be need for training for air transport personnel to be able to cope with the new market environment.