GACA seeks public input on economic regulations for air transport

Logo of GACA

The General Authority of Civil Aviation (GACA) sought public feedback on the economic regulations for air transport no later than June 22 via the Public Consultation Platform, (Istitlaa).

The draft regulations aims to promote competitiveness, enable efficiency, support rapid growth, and support passenger experience improvement.

The regulations classified economic licenses for foreign carriers into two categories. First, an economic license to launch regular international flights. Second, an economic approval to offer international charter flights for Hajj and Umrah purposes.

Under the regulations, a foreign carrier may not offer regular flights for passengers, post, and/or cargo, or launch international charter flights for Hajj and Umrah purposes from or to the Kingdom for any consideration or compensation without obtaining a valid economic approval or license from GACA.

On the other hand, foreign carriers that apply to offer international charter flights for Hajj and Umrah purposes for certain compensation is required to submit to GACA an unconditional and irrevocable bank guarantee issued by a Saudi bank to cover the return cost of the maximum number of pilgrims flying on the carrier’s airlines at any time within the validity period of the economic approval.

The foreign carrier shall also provide an unconditional and irrevocable bank guarantee issued by a Saudi bank to cover the entire cost of food and accommodation for pilgrims.