Government’s decision to allow Eastern Airlines to begin its scheduled service between New York and Georgetown followed “heavy lobbying from official US sources,” Director General in the Ministry of the Presidency Joseph Harmon has said.
Harmon told a post-Cabinet press briefing on Thursday that there had been some lobbying by entities outside of Guyana who communicated that this was an important time in the life of the airline, formerly Dynamic Airlines.
Asked specifically if this lobbying originated from the US Department of Transportation, the White House and the local US Embassy, Harmon neither confirmed nor denied the statement.
“I can say from the Civil Aviation department where these decisions are made, they actually reported that there has been a heavy lobbying taking place from official US sources to get this airline coming to Guyana,” he said.
Stabroek News had reported last week that six months after an earlier application had been rejected by Cabinet, Eastern Airlines has been given the green light to operate scheduled non-stop flights between the Cheddi Jagan International Airport and John F. Kennedy International Airport, New York. Operations are expected to begin on December 8th.
Earlier this week, Minister of Public Infrastructure David Patterson told Stabroek News that Eastern Airlines was granted approval to operate here after it committed to lodging two huge bonds with the government and the Guyana Revenue Authority (GRA). He said that the airline in their application committed US$250,000 and another large bond to the GRA.
He stated that given the amount of the bonds, government felt that they were committed to serving the Guyanese market and with that in mind, approval was granted.
Harmon yesterday confirmed that US$450,000 will be lodged, with US$250,000 being lodged with the government directly while the remaining US$200,000 will be lodged with the GRA.
He said that while scheduled carriers had not previously been required to lodge a bond, government wants to ensure better safeguards are in place for Guyanese passengers if an airline decides to discontinue service.
“There was some history with respect to this particular airline and therefore, when the application came, it took some amount of due diligence to come to the point of deciding…We were always concerned about its history and the fact that we do not want to have Guyanese people stranded again, having bought tickets and stranded here or in New York…We wanted to ensure that these things are put in place. So the question of the bond is one sure way of satisfying that requirement,” Harmon said.
Director-General of the Guyana Civil Aviation Authority Egbert Field has said that the company is no longer connected to Dynamic Airways and has followed international regulations and transitioned and restructured itself under new management.
After serving the Guyana-New York route from the middle of 2014 with numerous delays, cancellations and even once running off the runway, Dynamic Airways quit the Guyana market in October, 2017. Hundreds of persons were left stranded, even as the airline assured that they would get refunds on their purchases. Only in May this year were passengers able to get their refunds.
The North Carolina-based company had filed for bankruptcy in the US in July last year and after quitting the Guyana market.
The Guyana to New York route is currently being served by Caribbean Airlines and later this year, American Airlines will inaugurate their service and JetBlue will also be flying this route next April.
