JEDDAH: In a major step toward opening up the Kingdom's skies to private airline companies, the General Authority of Civil Aviation (GACA) invited on Saturday tenders from airline companies as well as investors to operate domestic and international flights from Saudi airports.
"GACA will start receiving tenders during the period starting from Sunday (January 22) and ending March 18. Interested parties can submit a letter of intent, details of which have been published in some local newspapers as well as on the authority's website," GACA said in a statement.
GACA announced that it would issue a request for proposal (RFP) in April 2012 and that the RFP would furnish the bidders with more details and specific conditions for winning the license.
The aviation authority would also invite the qualified bidders to have an open meeting with specialists at GACA and the specialized consultancy company, which is working with the authority to complete the procedures related to tenders for the selection and licensing of new operators.
"The open meeting would provide the bidders with an opportunity to make a strong bidding for the project through an audio-visual presentation. Field visits to Saudi airports will also be conducted for the bidders to get them well acquainted with the potential opportunities lay open in front of them," the statement added.
GACA said it would provide airline companies that make the best offer with all facilities to operate domestic and international flights successfully. "We'll not insist that they operate from specific airports and will give them multiple options, including free selection of domestic routes," it said. A licensed company will have the freedom to choose any Saudi airport as its hub and also to operate international flights. "Licensed airline companies will be able to operate international flights within the limits of bilateral agreements," the GACA statement added.
Arab News has learned from well-informed sources that more than half a dozen Saudi investors, including some domestic transport companies, are making preparations to submit their tenders. A prominent businessman who holds a major stake in a leading road transport company told Arab News that he had earlier vied for winning a license for establishing a private aviation company but was not successful.
"Now I am happy to make a strong bidding for the same goal. I am contacting investors to form an alliance prior to submitting tenders," he said, underscoring the great scope for opening up of the Kingdom's skies to private airlines in the wake of a growing number of Haj and Umrah pilgrims every year.
© Arab News 2012
