The deep-rooted problems that bedevil the state-owned Nepal Airlines Corporation (NAC) will not go away with a little tinkering here and there. The dwindling fleet, grounded aircraft and suspended flights have been dogging it for years, all the more so since the Nepali skies were thrown open to private investors. Its area of operation has shrunk both at home and abroad. Its privilege of operating flights over a number of international routes has been contracted out to foreign airlines, many allege too cheaply, because it has been unable to run

its own flights. NAC is going to be without any operational Boeing again, for at least a week, after December 18, as it has closed all fresh bookings for that period. This will be so, because, then, NAC will be sending its only operational Boeing to Brunei for regular check-up (c-check), reportedly to have its engine fitted into the other NAC Boeing already lying in Brunei. NAC has only one jet engine.

NAC has commissioned Ameco, a Chinese company, to overhaul its two Boeing engines — a move that has triggered allegations of underhand dealings. The Public Accounts Committee (PAC) of the parliament has formed a sub-committee to investigate the matter. Yesterday, the Supreme Court issued a stay order against this deal struck through the use of ‘special authority’ by NAC managing director Gautam Das Shrestha. Recently, PAC had also instructed the management to have NAC’s structure ‘overhauled’ and to bring its financial statements up to date. Meanwhile, the management has flown a 10-member PAC team to Malaysia and Singapore at the corporation’s expense, which includes a daily allowance of US$100 per person. The objective of the visit, according to PAC chairman Pari Thapa, is to inspect the corporation’s some 200 aircraft spare parts that remain with various companies in Singapore, as well as its ‘controversial’ services in Kuala Lumpur. How long can the corporation go on like this?

It’s pilots and employees have threatened action if both the jets are not made operational without delay. All these are symptoms of a serious disease eating away at the corporation. Several commissions were formed and their reports were in, but no action followed. The phase of diagnosis is long past, now the treatment must start. The pitiable condition of it’s fleet and air services shows the disease that has gripped the entire NAC operation. Those in authority have talked big, but acted little to bring the organisation around. There has been no dearth of suggestions for dissolving the corporation - obviously reflective of the vested interests likely to benefit from the dissolution. Outright sale of public corporations is not a sound proposition, either, judging by the lessons taught by such exercises in the past. What would be the best start in bringing the NAC back to health is to take a solid step towards floating the majority of its shares in public with minimum loss of time. This measure would not draw charges of dishonesty, would promote economic democracy, and public stakes in the corporation’s future would lead to its reorganisation and efficient operation.