"Uzbekistan airways" JSC

PRESS CONFERENCE of the National Air company “Uzbekistan Airways”

PRESS CONFERENCE of the National Air company “Uzbekistan Airways” devoted to the implementation of the Decree of the President of the Republic of Uzbekistan “On measures for cardinal improvement of civil aviation of the Republic of Uzbekistan” PD -5584 from November 27, 2018.

Time:  June 20, 2019, 10:00 – 11:00

Location:  National Press Center of Uzbekistan

During the years of independence, much has changed in the country's civil aviation. The air harbours have undergone a noticeable transformation, and conditions have been created in them for the quality service of passengers and aircraft. New air navigation systems were introduced, new types of aircraft were mastered. Uzbekistan Airlines' airliners fly to the countries of Europe, Asia, America, from Alaska to New Zealand.

Currently, Uzbekistan Airways has regular flights to 63 international destinations, in 2017 their number left 58. In the past period, starting from 2018, four new destinations — Mumbai (3 flights a week) were opened, Vladivostok (1 flight per week), Jeddah (3 flights per week) and Jakarta (1 flight per week).

According to the end of 2018,  the  NAC, having crossed the three million mark for the first time in its history, transported 3 million 173 thousand passengers, which amounted to 117% of the 2017 indicator: 1 million 91 thousand passengers to non-CIS countries, 1 million 477 thousand - in the directions of the CIS countries and 606 thousand passengers - in domestic destinations. Of this number of transported passengers, more than 800 thousand  are citizens of foreign states, including 56 thousand citizens of Kazakhstan, 16 thousand - Tajikistan, 12 thousand citizens of Kyrgyzstan. The main markets for passenger traffic for the NAC are the Russian Federation, Turkey, the United Arab Emirates, the Republic of Kazakhstan, and the Republic of Korea.

In order to execute instructions on a number of regulatory legal acts of the Republic of Uzbekistan, the airline in 2018 provided discounts in the amount of 20% of the minimum economy-class tariff for persons traveling to the Russian Federation to carry out temporary labor activities (out of 33,450 tickets sold for 48.9 billion soums the discount provided to persons of this category was 9.9 billion soums), in the amount of 50% for residents of the Republic of Karakalpakstan and the Khorezm region. Reduced fares on international flights to 30% for foreign tourists.

Last year, the average fare on international destinations was reduced by 13%, on local destinations - by 50%, despite the increased cost of domestic aviation kerosene (the share of jet fuel costs is up to 40% of the cost of the flight).

The efficiency of the use of the aircraft fleet has been increased and the number of flights performed has been increased due to the introduction of an optimal flight schedule, optimization of the technological process of servicing aircraft and performing peripheral flights based on aircraft in Moscow and St. Petersburg.   As a result, the number of flights increased by 36 frequencies per week. The average flight time for 1 aircraft in 2018 was 10.9 hours /day, in 2017 this figure was equal to 8.1 hours/day, in world practice it is 10 hours/day.

Significant work was carried out by the NAC to expand its fleet and develop infrastructure. Fleet of the NAC is replenished with the newest Airbus A320neo aircraft. Operation of the fourth  Boeing 787 Dreamliner with a total cost of $132 million has begun (the loan is repaid in due time at its own expense), this year it is expected to deliver two more airliners of this type.  With the purchasing  of this new liners the NAC began to introduce new “internet on board” service.

New terminals were reconstructed and put into operation at the “Tashkent”, “Urgench” and “Nukus” airports, the total amount of costs was 300 billion UZS (financing was carried out at the expense of NAC's own funds), this allowed improving the quality and significantly reducing the passenger service time. A new, unique V9000 Commander simulator manufactured by Flame-Aviation was installed at the NAC Training Center to train firefighting skills during the flight.

Established active cooperation with the airlines of neighboring countries. At the aviation enterprise “Uzbekistan Airways Technics”, aircraft are serviced by long-term partners - the airlines SCAT (Kazakhstan) and Tajik Air (Tajikistan). The NAC Training Center provides on a permanent basis training services for the flight personnel of the air carriers AirAstana (Kazakhstan), SCAT (Kazakhstan) and KamAir (Afghanistan).

At the same time, due to the liberalization of the foreign exchange market, the number of foreign air carriers flying to/from cities of the Republic of Uzbekistan increased by 18% in 2018 and reached 20 in the period 2016-2017  there were 13 airlines. Last year, foreign airlines performed 11,957 flights, which is 9% more compared to 2017 (10,977 flights). This has increased competition in the Uzbek aviation market.

Undoubtedly, the most important and key event in the history of the NAC "Uzbekistan Airways" was the Decree of the President of Uzbekistan "On measures for cardinal improvement of civil aviation of the Republic of Uzbekistan"   dated November 27, 2018.

According to this document, Uzbekistan Airways and Uzbekistan Airports joint-stock companies will be established on the basis of the NAC by means of reorganization. State unitary enterprises, which are part of the airline, are being transformed into limited liability companies (LLC). Uzbekistan Helicopters LLC will be established on the basis of the State Unitary Enterprise "Airline of Special Aircraft Works (SAR)", and the Center "Uzaeronavigation" will be transferred to the Ministry of Transport of Uzbekistan.

The Decree also provides for strengthening of the state regulation and creation of competitive environment by transferring the authority to the State Aviation Supervision (now the Civil Aviation Agency under the Ministry of Transport of Uzbekistan) to issue permits for one-time flights and construction of facilities near airfields.

It should be noted that the creation of the Ministry of Transport as a single body of state administration in the spheres of automobile, railway, air, river transport, subway, as well as road facilities is a very positive and important step for the development of the national economy. In accordance with the presidential decree "On measures to radically improve the system of public administration in the field of transport", the key task of this ministry is to conduct a unified public policy and regulation of the transport industry.

In pursuance of the decree of the head of our state on the radical improvement of civil aviation, a working group of leaders and responsible specialists was organized at the NAC.  An action plan was developed for the reorganization of the airline and its member enterprises, which defines the mechanisms for their implementation.

Currently, the National Airline of Uzbekistan with the support of the World Bank Group is developing a business plan in order to achieve leadership in the air transport market of the Central Asian region. For this purpose, international practices are being introduced in the NAC, and the functions of air transportation and airport activities are being separated into independent enterprises. The airline focuses on increasing its budget revenues and reducing costs.

The national airline, together with the Central Securities Depository and consultants of the World Bank, prepared the draft Articles of Association of Uzbekistan Airways JSC and Uzbekistan Airports JSC, which define the main objectives of these organizations. Uzbekistan Airways Joint-Stock Company is being established on the basis of the Directorate of the National Air Company "Uzbekistan Airways" with the involvement of state unitary enterprises "Flight Complex", "The General Sales Agency (GSA) and "Complex of Material and Technical Supply "Uzaviatekhsnab" and will also act as a founder for the Training Center, “Uzbekistan Airways Technics” aircraft maintenance enterprise (UAT), Catering and Uzbekistan Helicopters LTD. “Uzbekistan Airports" JSC will include all operating airports of the country.

Efficient use of the aircraft fleet, development of new directions and expansion of the flight geography, improvement of the quality of provided services, implementation of a flexible tariff policy, ensuring a high level of flight safety and quality of aircraft maintenance, as well as the integration of the airline into the international communities of air carriers and achievement of the level of regional leader in the field of air transportation are the main objectives of Uzbekistan Airways JSC.

Development and implementation of strategies for long-term development of airports, attraction of investments for modernization of their infrastructure, ensuring regularity and safety of flights, maintenance of a high level of service to passengers and air carriers at airports, optimization of processes of their service, creation of all necessary comfortable conditions for them, including expansion of the network of modern facilities of trade, catering, banking and other services to passengers at airports, as well as improvement of infrastructure and creation of favorable.

Undoubtedly, the ongoing reforms will bring significant benefits in terms of economic growth, improving the efficiency of the airline's operations, increasing its competitiveness and ensuring a high level of flight safety. In short, a new stage of development awaits the civil aviation of Uzbekistan. And the staff of the NAC "Uzbekistan Airways"  is set on positive changes in its activities, which will allow the national air carrier to take a leading place in the international aviation market and decorate the chronicle of the Uzbek civil aviation with new achievements.

Press service of the NAC

E-mail: uzairsmi@uzairways.com