The scrapping of deposit leasing fees and royalty fees by the Rwanda Civil Aviation Authority (RCAA) on airlines refueling at the Kigali International Airport (KIA) has significantly boosted the local aviation sector and attracted more players to Kigali. 

Aircraft that required refueling paid deposit and royalty fees of up to $18 (about Rwf13,860) per cubic meter of jet 1 oil.

Tonny Barigye, the RCAA head of communications and public relations, said the government the move has helped spur the industry and made it more competitive.

The airlines also used to pay deposit leasing charges of $10 (about Rwf7,700) per cubic meter of jet 1 fuel, and royalty charges of $18 per cubic meter previously.

The move is one of the initiatives aimed at the industry.

He said the move means that airlines pay about 70 US cents less compared to other airports in the region.

"Such initiatives help reduce operational costs and make the sector more profitable. In fact, the sector should be given more incentives to make it more competitive in the region,” a source at Akagera Aviation said.

Digital control

Meanwhile, RCAA is yet to switch from an old conventional airspace navigational system aids to satellite-based one to improve efficiency, Barigye said.

KIA has been relying on the old conventional navigation system to guide incoming and outbound planes.

The new navigation system meets world-class aviation standards, the aviation authority said.

The new system cuts travel time, which cuts costs on the side of the operator as airlines use less fuel, translating into low costs.

The move is expected to save fuel and help reduce carbon emissions and time, officials added. Airport authorities are working to expand the airport and make it more efficient and competitive.

Kigali International Airport recorded a 6 per cent increase in passenger traffic, with about 580,505 travellers going through the airport in the 11 months of 2015. This was an increase from 568,981 passengers in the same period in 2014, which was attributed to the rising demand by domestic and international passengers.

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