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"id": 9953,
"url": "https://info.mzalendo.com/api/v0.1/hansard/entries/9953/?format=api",
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"type": "speech",
"speaker_name": "Mr. Kimunya",
"speaker_title": "The Minister for Transport",
"speaker": {
"id": 174,
"legal_name": "Amos Muhinga Kimunya",
"slug": "amos-kimunya"
},
"content": "Mr. Temporary Deputy Speaker, Sir, Kenya Airways has continued to record improved profitability. I think that was also one of the issues that were asked. As at 30th September, 2011, the board announced the achievement, half a year turnover of Kshs54.9 billion which is a 33.3 per cent increase in comparison with the same period last year. That has resulted in a profit of Kshs2.034 billion after tax, compared with the same period last year of Kshs1.436 billion. To ensure the continued growth of Kenya Airways, the board has approved a ten- year Strategic Plan starting with the Financial Year 2011/2012 to the year 2020/2021. This will enable Kenya Airways remain competitive by positioning itself to capture the traffic flows in the future. The plan also includes a roll-out of new destinations covering the six continents and a fleet modernization plan. Mr. Temporary Deputy Speaker, Sir, during the meeting between the Kenya Airways senior management team and the National Assembly’s Departmental Committee on Transport, Public Works and Housing on 15th September, 2011, the airline’s Chief Executive Officer took hon. Members through this detailed strategic plan. While the benefits of air transport to Kenya cannot be overemphasized, it is important to highlight some of the statistics which were requested by the Member. According to the 2011 draft report by the Oxford Economics on the economic benefits of air transport in Kenya, the aviation sector in Kenya contributes about Kshs83 billion to the Gross Domestic Product (GDP) and comprises Kshs13 billion contributed through the output of the aviation sector through the airlines, airports and ground services. Another Kshs6 billion is indirectly contributed through the aviation sector supply chain. An amount of Kshs5.7 billion is contributed through the spending by the employees of the aviation sector and its supply chain and another Kshs59.2 billion in what is referred to as catalystic benefits through tourism. Further, the aviation sector supports about 198,000 jobs in Kenya; 13,000 being direct jobs supported by the aviation sector, 17,000 jobs indirectly supported by the aviation sector supply chain, another 16,000 jobs supported through spending by the employees of the aviation sector and its supply chain and 142,000 jobs supported through the catalystic effects of aviation. Mr. Temporary Deputy Speaker, Sir, Kenya Airways has been at the forefront in the above mentioned economic benefits and they are committed to maintaining high levels of customer service and ensuring, among others, that they maintain the all time performance to levels above the International Air Travel Association (IATA) recommendation. In order to achieve this, the airline has in the last three years invested in people and systems with its recently approved ten years strategic plan which will harness opportunities for modernizing its fleets to ensure high levels of aircraft availability. In addition, in order to ensure consistent first class service from the Kenya Airways ground staff, they will be undergoing a customer service training course commencing later this month. All these measures will mitigate against the delays and further, the airline intends to complete both its domestic and Flying Blue lounges before the end of the year, thereby further improving service levels. Mr. Temporary Deputy Speaker, Sir, lastly, the Government has also in the last few years initiated various projects to enhance reliability, safety and efficiency of operations at the international and domestic airports in the country. Construction of Terminal 4 building, parking garage, grade parking and associated works at the Jomo Kenyatta International Airport (JKIA) is ongoing. The upgrading of facilities at Kisumu Airport through construction of a 3.3 kilometer runway linking taxi ways and new terminal building is substantially complete. The rehabilitation of the aircraft pavement at the Moi International Airport is expected to commence in February 2012 and Malindi Airport construction of a new terminal building is ongoing and is expected to be completed by September. These are ongoing projects and the other projects are going on in other airports and airstrips across the country. They are expected that they will greatly improve the services offered by the Kenya Airports Authority (KAA) across the entire country. The Kenya Civil Aviation Authority (KCAA) is also implementing its restructuring aimed at improving its ability to attract and retain skilled personnel especially in the areas of flight operations and airworthiness. The measures we have put in place will improve the overall aviation industry in the country and facilitate both local and international airline, providing better services to passengers. That is the Statement as requested by Mr. Magwanga."
}