New Swazi airport could compete with ORTIA on price

THE CONTROVERSIAL and expensive international airport under construction in Swaziland has found a supporter outside of government. The project has been condemned as a “white elephant” by its critics, who wonder how large passenger and cargo volumes can be attracted to the small country. However, Hans Steffen, president of Swazi Express Airways, told FTW he saw the project as a potential regional hub airport. The reason: SAA’s artificially high airfares. “SAA keeps its fares high and so British Airways and all the other carriers flying to South Africa see no reason to offer lower fares. This is why Kruger/ Mpumalanga Airport failed, because it could not offer a cost alternative to Jo’burg. Durban faces the same problem. They are all South African and air users have to pay high costs,” said Steffen. As an autonomous state surrounded by South Africa, Swaziland is not bound to SAA pricing, and carriers can set whatever low prices they like. This would make the Sikhupe airport, under construction about 75 minutes east of Mbabane, an economic destination for EU and Asian carriers whose passengers would then board smaller aircraft for trips to Durban, Kruger, Maputo, Cape Town, etc.This is as much as they do now in Johannesburg but with one advantage: passengers would not have to depart the international terminal and check into a domestic terminal for flights to SA destinations. Steffen envisages turning his own airline into the air link carrier service. Four months ago, a court decision permitted him to break the SAA monopoly (via SAA Airlink Swaziland) from Swaziland to Johannesburg, and with flights to Durban and Maputo, his sights are now on a Cape Town route. Swaziland’s international airport is set to open in 2009. If things work out according to Steffen's scenario, SAA might have little choice but to lower airfares to stay competitive.