Nepal Aviation Insurance Summit 2014: For a Safer Nepali Sky

Stakeholders of the aviation sector have expressed great concern over the increasing number of fatal air crashes in Nepal in recent years, saying that these disasters have had a negative impact on the country’s tourism industry and the aviation insurance business. Gathered for Nepal Aviation Insurance Summit 2014 organised at Gokarna Forest Resort on March 14, they stressed on the need to promote aviation safety as a culture in Nepal in the days to come.

 

Addressing the Summit, director general of the Civil Aviation Authority of Nepal (CAAN), Ratish Chandra Lal Suman said that frequent aircraft disasters are indicative of the dismal state of aviation safety in the country. He, however, added that CAAN has made efforts in recent times to meet the safety standards set by the international civil aviation authorities like the International Civil Aviation Organisation (ICAO). 

 

Calling the operating ban imposed on all Nepali airlines by the European Union (EU) ‘unfortunate’, he said, “We have prepared a roadmap to delist Nepali airlines from the EU blacklist. He also informed that, based on the suggestions forwarded by the EU, CAAN has started programmes such as new and additional training to pilots and improving infrastructures at various airports of the country. “With the recent measures taken, aviation safety in Nepal will definitely improve,” he said.

 

In December 2013, the EU Air Safety Committee decided to add all Nepali Airlines to its list of banned operators after a series of fatal air crashes in the country. Though no Nepali airline flies into the EU region, the ban is supposed to affect the tourists coming to Nepal from Europe.

 

Making a presentation at the Summit, deputy director at CAAN, Raju Shrestha said that there was an unacceptable level of safety with alarming number of aerial accidents and serious incidents in Nepal. “Difficult terrain, high altitude, unpredictable weather, short take-off and landing (STOL) airport strips make flying in Nepal a very challenging task,” he said adding that CAAN has charted out a five-year plan (2014-18) to improve aviation safety in the country. He also hoped that the EU will lift the ban on Nepali airlines when a delegation from the EU Air Safety Committee visits the country in November this year.

 

Anthony Frankel, Aviation Class Underwriter at XL Insurance, London, noted that there has been at least one aerial accident a year in Nepal since 2008. “Nepal has a consistent frequency of loss. CAAN should enforce regulations with an iron fist,” he said, “The high insurance premiums cannot be lowered without changing the loss history.”  

Flight Safety Director at Yeti Airlines, Capt. Ravi Kansakar said various airports in Nepal were affected by birds which are a great hazard for flights. “Geographically, some airports are very challenging but pilots are providing service by flying to these airports by taking risks,” he said. He stressed on the need for special training for pilots flying in Nepal. Addressing the programme, chairman of the Insurance Board, Dr Phatta Bahadur KC said it was unfortunate that almost all the aviation insurance premium collected in the country was going abroad because of the lack of reinsurers in the country.

 

Mahendra Kumar Shrestha, managing director of Himalayan General Insurance, the organizer of the Summit, said that the Summit was organized to highlight the importance of insurance in the aviation sector. 

 

Douglas Cavannagh, Risk and Safety Manager at Airclaims, Singapore, Keith Richardson, partner at Holman Fenwick Willan Singapore LLP and Steve Wilkinsons, Managing Director of Aviation and Aerospace- Marsh, London, emphasized on the need to full compliance with international aviation safety standards in Nepal.

 

Timeline of Recent Plane Crashes In Nepal

Feb 2014: A Nepal Airlines Twin Otter aircraft flying from Pokhara to Jumla crashed in Arghakhanchi, killing all 18 on board October 2013: A Chinese tourist and Nepali pilot were killed when a small plane crashed into a hill near Pokhara.

 

May 2013: A Nepal Airlines plane skidded off the runway at Jomsom Airport and plunged into a river, injuring 21 people, including eight Japanese tourists.

 

September 2012: An Everest-bound Sita Air flight crashed shortly after takeoff from Kathmandu killing 19 people, including five Chinese and seven Britons.

 

May 2012: Fifteen of the 21 passengers and crew aboard an Agni Air flight from Pokhara to Jomsom died when the plane crashed into the mountains. Though 13 Indian pilgrims perished, three others survived, along with two Danish tourists and the flight attendant.

 

September 2011: A Buddha Air sightseeing flight out of Kathmandu crashed at Kotdada Hill, killing 19 people, including 10 Indians, two Americans and one Japanese.

 

December 2010: A Tara Air flight crashed five minutes after taking off from Lamidanda Airport en route to Kathmandu, killing 19 passengers and three crew members. Among the fatalities were 18 Bhutanese pilgrims and one American.

 

August 2010: An Agni Air flight between Kathmandu and Lukla crashed shortly after takeoff, killing all 14 people aboard, including four Americans, one Japanese and one Briton.