Alarm at attempt by Bahamas to collect retroactive fees for O&D charges

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Dionisio D’Aguilar Bahamas Aviation Minister
Dionisio D’Aguilar Bahamas Aviation Minister

The aviation industry expressed alarm at a move by Bahamas Air Navigation Services Authority (BANSA) to implemented retroactive fees for origin and destination charges spanning from May 2021 to July 2024, creating financial strain particularly on local airlines.

Western Air Bahamas received an invoice for over BSD2.4m for the stated period, expressing concerns over the lack of prior communication regarding these charges.

BANSA’s new fee structure, announced in April 2024, will see O&D revenues rise sharply to BSD38.19m by 2028-2029 while overflight revenues are expected to decrease significantly.

Trans Island Airways reported a nearly 200pc increase in their invoice and indicated potential relocation if BANSA does not reverse the fee hike.

Lenn King of BANSA
Lenn King of BANSA

Concerns have been raised regarding potential unfair trade practices, especially if state-owned Bahamasair receives an exemption from the increased charges.

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