eBusiness Weekly
Tinashe Makichi
The Civil Aviation Authority of Zimbabwe is in negotiations for a $33 million syndicated loan through Standard Chartered Bank of Zimbabwe as a last gap measure to set up an aerospace management system, after the companies handpicked to do the process failed to raise the required capital.
The tender to supply and install an aerospace management system, had been awarded to Indra Sistemas and Hornt Espana SA under controversial circumstances. This was after the Minister of Transport and Infrastructural Development ordered CAAZ to pick the two companies for the job.
The contract was awarded at a cost of €28 million instead of the €10 million which was initially awarded for the tender in 2016. However the companies have failed to deliver forcing CAAZ to arrange a syndicated facility.
“CAAZ has applied for a syndicated loan through Standard Chartered Bank of Zimbabwe after the companies awarded a tender to supply and implement the aerospace management system for the Authority were found wanting,” a well-placed source told Business Weekly.
This publication is also informed that, following the failure by the company to raise funding, the Ministry of Transport and Infrastructure Development has since taken over the process to raise the capital.
Efforts to get a comment from Minister Joram Gumbo were fruitless while CAAZ chief executive David Chawota’s mobile phone was not reachable.
Minister Gumbo is alleged to be an interested party in the company awarded the tender.
The project to install an aerospace management system is expected to take 18 months to complete with the majority of the systems being installed and commissioned within 12 months.
In preparation for the system, CAAZ is auditing its processes to address all shortcomings through the training of all its personnel including air traffic controllers and technical staff.
All air traffic controllers have since gone for mandatory refresher training following the procurement of the Air Traffic Controller Training Simulator in 2016.
CAAZ is also implementing a programme for the modernisation of airport infrastructure and systems as well as airspace management systems.
CAAZ has invested in excess of $200 million on its modernisation programme to date. The programme started with JM Nkomo International Airport terminal upgrading then Victoria Falls International Airport upgrading.
The authority is also currently pursuing loan facilities for the expansion and modernisation of Robert Gabriel Mugabe International Airport.
CAAZ is the country’s aviation board which oversees all aspects of aviation in the African hinterland. The authority operates and manages eight airports in Zimbabwe, which are strategically located to serve major tourism destinations in the territory.
At the airports, CAAZ provides the overall management of the facility and has several concessionaires who handle air cargo, passengers, car parking, fuelling, airside shuttle bus, cleaning services and so on.
