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{
    "id": 696363,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/696363/?format=api",
    "text_counter": 154,
    "type": "speech",
    "speaker_name": "Hon. A.B. Duale",
    "speaker_title": "",
    "speaker": {
        "id": 15,
        "legal_name": "Aden Bare Duale",
        "slug": "aden-duale"
    },
    "content": "commercial department which in turn directly reports to the airline CEO. The fares have been declining significantly especially during the last two years. This has been the reason why low unprofessional fares were being given in some markets. Hon. Speaker, London which is a key market for the airline, has witnessed very low fares. An analysis in the audit report which was done by Deloitte, and which is in a draft form--- If you allow me, I will give it to Members. They can pick it from my office. It is above the graphics and all that was taking place. The KQ passenger numbers have grown from 3.6 million to 4.2 million between 2011 and 2015. This represents a modest growth of 17 per cent in four years. In the same period, Ethiopian Airline grew it passenger numbers to 6.9 billion, a growth of 70 per cent when KQ was growing at 17 per cent. The peak to March, 2015 was driven by a growth by Jambojet. Who owns Jambojet? Kenyans must be told who the shareholders of Jambojet are. Hon. Speaker, look at the customer service. The lack of quality and consistent service by KQ is well known. There are delays, cancellation of flights, overpriced fares among others. After paying Kshs53,000 I was stranded. Many Kenyans in Kisumu, Eldoret and Mombasa, over the weekend between 1200 hours to 1500 hours, were stranded. There were members of various committees of Parliament who were with me in Mombasa. They were told that their flights will leave Mombasa at 3.00 a.m and had to go back to the hotel. Pickup flights were being delayed. That is the kind of customer service Kenya Airways gives to its people. The commercial department structure has three main sections namely sales; which is responsible for selling, networking, planning and schedule of flights. The next one is the revenue department and the last one is the department that deals with operations. The current head of networking and planning is a KLM employee. This is a conflicting situation and some decisions have to be made to suggest that the individual is working for the interest of KLM and KQ and he cannot be sacked. The Commercial Director and the CEO of KQ, today, cannot be sacked by the KQ Board of Management without the concurrence of KLM. This is because it is in their MoU. Hon. Speaker, we do not know what the 29 per cent shareholding of the Government of Kenya serves. Every time, this House allocates more money to the KQ. In normal business circles, when a company goes under, if one of the shareholders pumps more resources into that company, then it must be reflected in its shareholding. Every now and then, this House approves bailouts for the KQ. Why is it that our 29.6 per cent shareholding has not changed? Let me go to the cargo business. The JKIA is a well-known cargo hub for the region. Until 2004, the KQ cargo business was the most profitable business component of the national carrier. Greedy politicians and senior managers of the KQ, including the former CEO Titus Naikuni, came up with a scheme that ultimately sank the KQ to where it is today. Instead of doing what is good for the country, they chose to “descend” the airline for their selfish gains. The KQ cargo business was---"
}