Minutes of meeting
Minutes of BARSA Meeting
08/08/1439H – 24/04/2018G – Jeddah
Board of Airlines Representatives in the Kingdom of Saudi Arabia
(BARSA) held its meeting on Tuesday 08/08/1439H corresponding to
24/04/2018G at Jeddah Hilton Hotel to discuss various issues pertaining
to the Hajj Operation for 1439H/2018G.
The meeting was headed by Mr. Essam Almaimani, BARSA Chairman, and
attended by delegates of airlines operating in the Kingdom and the
guest from GACA Finance and Revenue Department and the head of Policies
of Air Transport Department.
Mr. Essam Almaimani, BARSA Chairman opened the meeting by welcoming all
the attendees to this meeting. He then introduced the head of
GACA Policies of Air Transport Department – Mr. Mohammed Al Otaibi.
Mr. Otaibi focused on the presentation of the Hajj Instructions
Governing the Carriage of Pilgrims by Air to the BARSA membership.
He explained thoroughly all the points listed in the Hajj Instructions
Manual for the smooth Hajj operation. For further inquiries and
understanding with the Hajj Instructions he has given the web-link; firstname.lastname@example.org
To ensure the authenticity and validity of the hajj visa of the passengers, airlines can verify thru the link: https://visa.mofa.gov.sa/visaservice/searchvisa
The meeting was followed by inquiries regarding the previous years’
hajj fines. Vice Chairman Mr. Hamoud Al Noamani explained that
depending on the valid and justified reasons the fines can be
contested. He will be sharing to everyone the contact correct
department and the concerned officer for issues related to hajj fines.
The team of the GACA Revenue Department was introduced and received inquiries about the APP/PNR issues.
They have announced that they are working out with the new formula regarding the computation of the APP/PNR.
Oman Air raised the issue of the increase in the APP/PNR charges from
SAR 7.50 per passenger to SAR 8.00 effective October 2017 without the
notice to the airlines. CAGA confirmed that circular had been
circulated and they will be resending the circular to all airlines.
Since there were no other matters to discuss the meeting was adjourned at 1300H and followed with lunch.
Minutes of BARSA Meeting
20/05/1439H – 06/02/2018G – Jeddah
Board of Airlines Representatives in the Kingdom of Saudi Arabia
(BARSA) held its meeting on Tuesday 20/05/1439H corresponding to
06/02/2018G at Jeddah Meriden Hotel to discuss various issues listed in
the agenda of the meeting.
The meeting was headed by Mr. Essam Almaimani, BARSA Chairman, and attended by delegates of airlines operating in the Kingdom.
Mr. Essam Almaimani, BARSA Chairman opened the meeting by welcoming all
the attendees to this meeting which he is chairing for first time after
his appointment as Chairman of the Board. He expressed his
confidence that the coming period will witness strong collaboration
between BARSA members to ensure smooth operation and provide best
services to customers and resolve issues for airlines members. He
asserted that communication between members will not be confined to
such meetings but will continue all the times through various means.
Mr. Essam Almaimani extended his thanks to Mr. Hamoud Al Noamani, BARSA
Vice Chairman, and Mr. Fahad Alsabhani, BARSA Secretay General, for
their valuable participation in BARSA issues and the efforts they
exerted during the past period.
After introductions by all airlines representatives, the meeting started discussing the agenda as follows:
APP/PNR Security Charges:
H.E. Dr. Eisa Rawas, Deputy Minsiter of Hajj for Umrah Affairs,
made a presentation regarding the basic idea and purpose of the
E-Path system. Main highlights of the presentation included the
Mr. Hamoud Al
Noamani, Vice Chairman, pointed out that he held several meetings with
GACA officials to convey airlines’ concerns about the implementation of
these charges. Several members expressed their concerns about the
mechanism of issuing the charges, being based on PNRs and tickets
issued and re-issued tickets rather than actual flown passengers.
Mr. Al Noamani advised the airlines that they may submit their
objection if they find the billing figures unrealistic and request
invoices revision to avoid paying undue amounts and to avoid
late-payment charges. BARSA will arrange a meeting with GACA
officials to convey the airlines concerns a representative from the
Ministry of Interior will be invited to agree on the invoicing system
and to ensure the implementation of the agreement.
Chairman of Airport Operation Committee in Jeddah Feedback:
Mr. Shujaa Pasha, Chairman of AOC, pointed out that the meeting is held
off-haj season so there is no feedback on Haj operation/obstacles.
However, he enlightened airline members of the following:
opening of the new KAIA is planned to be on 1st of May 2018, however
foreign airlines will be moving after the National carrier (Saudi
has been in continuous follow up with the airport operators (Changi
Company) to obtain the rental charges for airline offices and
facilities. However the company has not yet provided the information
till now. BARSA members will be advised accordingly once the
charges are received.
visits are planned to be arranged on 26th February and 5th March which
require online registration. The link will be provided to BARSA
Secretariat for interested airlines to participate in the site visit.
will be in total control of all communications systems in the new
airport. Therefore, all operating airlines are required to
communicate the data on their systems, software, requirements, etc. to
to the policy at the new airport, no segregation will be made for
passengers arriving on scheduled flights. Only 4-digit flights
(with exclusive Haj and Umrah Passengers) will be directed to Haj
Consumer Protection Regulations:
This subject will brought to the attention of GACA during the proposed
meeting with BARSA to obtain information about the current status of
Low Cost Carriers Join BARSA:
Mr. Essam Almaimani, BARSA Chairman, advised Board members about the
requests received form several LCC’s to join BARSA. He asked the
position of the membership of BARSA towards these requests before
a decision to grant the membership of the LCCs. It was unanimously
agreed by the members to grant the membership of these airlines, taking
into consideration the that they are officially licensed operators in
KSA and their numbers will have great impact to BARSA’s position and
Mr. Hamoud Al-Nomani, Vice Chairman pointed out that several airlines
have not settled their annual membership fees which are required to run
BARSA activities. He reminded these airlines to send their dues
as soon as possible. BARSA Chairman has instructed the
Secretariat to send email to these airlines listing all details of
their unsettled annual dues.
BARSA Chairman has announced that the BARSA members shall meet on a
quarterly basis. The next meeting is scheduled by April 2018. He
stressed the importance of the attendance of its membership.
Agenda will be prepared in advance and he welcomes all members to send
the issues and concerns to be discussed to be included in the next
agenda of the meeting.
requested to add to the agenda the subject of VAT implementation. It is
made to understand that the implementation of VAT to airlines does not
include international tickets but only on domestic travels. The
members have requested to include the VAT implementation to the various
suppliers by neither direct nor indirect payment to the proposed
meeting with the GACA.
the Haj Season, Ethiopian Airlines opened to discuss the bank guarantee
is still required to the airlines with regular scheduled flights in the
Kingdom rather this could be imposed only to the airlines with seasonal
flights only. Furthermore, he pointed out the strict requirement
of obtaining the signatures from the supplies like PPMDC, SGS and
others prior to obtaining the final approval of slots from GACA.
Mr. Hamoud Al-Nomani proposed to discuss the issue with between GACA officials and a team of BARSA members.
Mr. Essam Almaimani
has exgtended his gratitude to all airlines representatives for their
attendance and participation. The meeting was closed at 13:00 in the
afternoon followed with lunch.
Minutes of Meeting Between
On Electronic Path System
26/5/1436H – 17/3/2015G – Jeddah
A meeting was held on Tuesday
26/5/1436H – 17/3/2015G at Jeddah Hilton Hotel to discuss the Electronic Path
System for Hajj season 1436H The meeting was attended by representatives from
Ministry of Hajj Affairs, GACA, and Board of Airlines Representatives (BARSA).
In the beginning of the meeting Mr. Ayman Omair, BARSA Vice Chairman welcomed
all participants to the meeting to discuss this important subject. The following
deliberations took place:
Presentation from Ministry of Hajj:
H.E. Dr. Eisa Rawas, Deputy Minsiter of Hajj for Umrah Affairs,
made a presentation regarding the basic idea and purpose of the
E-Path system. Main highlights of the presentation included the
The E-Path project is a grand project
emanating from the directives of the Council of
Ministers to transform all procedures and
services offered to the pilgrims from manual to
electronic system, with the aim of providing
easy and convenient services to the Guests of
The aim of introducing the system to
follow electronic systems in dealing with all 5
stages of Hajj procedures and services, namely:
(i) transportation from home countries (ii)
accommodation in Makkah Almukarramah (iii)
accommodation in Al-Madinah Almunawarah (iv)
Land transportation (iv) Food services to the
The new E-path system considers the
air transport stage as the prime and most
important stage upon which others steps are
based, hence it is given the priority before
designing other stages. So airlines shall start
with designing their schedules submit them for
approval of slots from GACA. The approved
schedules will be entered in the system so that
the whole package of services provided to
Pilgrims can be designed on the basis of
schedules showing dates of arrival of
To help airlines in this stage, a
tentative schedule could be designed at the
beginning which could be amended and approved by
GACA in the system. Once the schedules are
approved and entered to the system, Hajj
organizers will approach airlines to make
necessary contracts regarding the booking on the
desired dates, and hence design the other
package elements of housing, food for the
pilgrims whose names are sent to the Ministry of
Foreign Affairs to obtain visas for them form
the Saudi diplomatic missions abroad.
Airlines could rely on
the schedules of the previous year as tentative
schedule to be submitted to GACA for approval
after any modifications needed.
For the Hajj season of the current
year (1436H), airlines are requested to submit
their tentative flight schedules by the end of
Jumadah II 1436H, to GACA for necessary
The system will contain all the
pertinent rules and regulations issued by
concerned Government departments to be followed
by concerned parties which will be issued
usernames and passwords to access the system.
The system is provided with perfect information
KAIA has kindly provided a location at
the airport assigned to E-Path project. Airlines
representative may visit the location for
further information and training on the system.
Presentation from the Project
A detailed presentation on the technical aspects of the system
was provided by Dr. Emran Badaneh, project consultant. The
presentation described the process to be followed by all
stakeholders involved (Ministry of Hajj affairs, GACA, Hajj
Organizers and Airlines). Below are main the highlights of the
Once the airlines
approved scheduled are fed in the system, Hajj
Organizers shall approach airlines through the
system for booking following the mechanism of
E-bulk ticketing. This means that Organizers
will book the number of their assigned quotas on
the required dates shown on the schedule, and
buy tickets in bulk as names of passengers are
not known at this stage.
Hajj organizers shall be notified by
the airlines about the approval of their booking
Hajj Organizers shall effect payment
to the airline electronically (through e-payment
system) from the IBAN accounts assigned to each
organizer at SAMBA bank under the umbrella of
the United Agents Office. A confirmation of
payment will be sent from the bank to the
airline to make the booking and issue the
Based on booking confirmation,
Organizations shall proceed with contracting for
the package depending on the dates of inbound
and outbound flight dates.
To ensure necessary flexibility, the
system allows modifications through an interface
created in the Unified System between the
airline and the organizer, if the desirable
dates or space is not found. Such modifications
will be subject to the approval of GACA.
Queries and remarks:
Various Queries and remarks have been raised from the
participants to which Dr. Eisa Rawas responded, these include
GACA and KAIA stressed on the
importance of distributing of flights throughout
the Hajj period to avoid concentration of
flights on certain days. The implementation of
the system itself will help achieving this goal.
The e-path system is a unified system
that applies to types of pilgrims according to
the rules of regulations issued.
Some BARSA members expressed concerns
about the need to make some changes due to
reasons out of control. Dr. Eisa responded that
the same procedures are followed since there are
no change in rules, and only the processes are
done electronically. The system is flexible to
deal with exceptional circumstances within
To ensure successful implementation of
the project, airlines are advised to start
preparations as soon as possible so that the
tentative schedules will ready by the end of
Jumdah II 1436.
Airlines representatives requested
GACA and the Ministry of Hajj to provide them
with an official written full description of the
E-Path system and all the steps required from
airlines in order to send it to their Head
offices for information and necessary
At the end of the meeting, Mr. Ayman Omair, BARSA Vice
Chairman, thanked all participants to the meeting, saying that another meeting
may be called for, for further discussion/clarification of the project as
required, in order to ensure successful implementation.
MINUTES OF BARSA MEETING
HELD AT JEDDAH MERIDIEN HOTEL
ON 7 MARCH 2010G
The Board of Airlines
Representatives in Sadui Arabia (BARSA) held its meeting on 7 March 2010 at
Jeddah Meridian Hotel, chaired by Mr. Ayman Omairi– Vice Chairman of the Board
on behalf of Mr. Abdulaziz Alhazmi – Chairman of the Board – who was unable to
attend the meeting due to urgent unforeseen commitment. Dr. Ayed Al-Amri,
Secretary General of the Board later chaired the meeting due to urgent
commitment of Mr. Omairi.
Mr. Aymen Omari opened the meeting by thanking the attendees and welcoming the
representatives of Dammam Airport, IATA and the airlines who newly joined the
Board. After a minor alteration in the order of the agenda items, the following
deliberations took place.
GACA NEW INSTRUCTIONS REGARDING AIRLINES SPONSORSHIP:
The meeting discussed the
regulations recently circulated by GACA regarding the issue of
sponsorship in Saudi Arabia, affecting commercial registration
and the commercial titles of operating airlines specially those
operating under GSA, following the recent developments after
which GSA's now come under the purview of the Higher Commission
for Tourism while airlines are still supervised by GACA.. The
issue has been listed in the agenda items upon the request of
GACA which has proposed the subject to be formally addressed at
this BARSA meeting, requesting all airlines operating in the
Kingdom to abide by the regulations and take necessary actions
accordingly through the Chamber of Commerce. Inspectors form the
Authority will make field visits to ensure that the regulations
are properly implemented by all airlines, and GACA expressed its
readiness to offer any clarifications or assistance needed by
the airlines for implementing the new instructions.
PPMDC CONTRACT AT KAIA:
The Chairman of the meeting gave a
brief highlight on the status of the contract between PPMDC and
the airlines operating at KAIA, stating that several meetings
were held with PPMDC, some of which in the presence of
representatives from GACA, in which the company was advised of
the reservations on the proposed contract, as reflected in the
feedback received from airlines head offices. While PPMD
asserted that the rates mentioned in the contract are fixed and
are not subject to change, the AOC informed PPMD that there are
other points of dispute in various aspects of the contract such
as the bank guarantee and the conditions of payments. Airlines
were particularly concerned with the clause requiring payments
to be settled as received in the invoices, then objections may
be raised later, contrary to the previous normal procedure which
enables airlines to object within 15 days and then settle the
adjusted invoice accordingly. Another point of concern conveyed
to the Company regarding the payments of fines imposed due to
delays, as airlines should not be liable to payments resulting
from delays for which the airline is not responsible, therefore,
a report should be jointly signed indicating the reason of the
delay. BARSA will follow up the matter with PPMDC, under advice
to GACA, in order to finalize the contract as soon as possible.
Airlines representatives raised some other points to be
discussed with PPMD, including double charging, parking fees and
considering acknowledgements date rather than invoice date for
the invoices received by couriers. All these pending points will
be discussed with PPMD in the coming meetings, under the
supervision of GACA, in order to settle them as soon as possible
and avoid further delay in finalizing the contract.
LATEST DEVELOPMENTS OF StB W/G
AND PRESENTATION ON CUSS ACTIVIATION:
Upon request from the meeting
chairman, Dr. Ayed Al-Amri presented a brief review of the StB
initiative launched by IATA two years ago with the aim of
realizing simple and fast travel at lower cost for airlines,
showing that airlines have already started to reap the benefits
of the projects so far implemented, particularly the e-ticking
project which was successfully implemented, saving the airlines
a lot of cost. With the cooperation of IATA and GACA, BARSA has
formed a W/G to follow up the project and speed up its
implementation. Dr. Al-Amri stated the positive experience of
Saudi Airlines in implementing the (Self Service Machines)
project in the Kingdom and its positive results both for the
passenger and the airlines. Other parts of the project are now
under implementation including the Bar Code Boarding Passes
(BCBP), E-freight, Radio Frequency ID, which require full
cooperation from all parties involved to enjoy the benefits of
these projects. He extended thanks to IATA for their assistance
and also to GACA which is keen to achieve successful
implementation of the project.
Eng. Abdulmohsen Alshaikh, Director of Operations at KFIA was
invited to address the attendees on the progress of
implementation of the CUSS project at KFIA which was selected as
a pilot airport for the project. He went through the stages of
implementing the project at the airport and the steps so far
made, calling for operating airlines to extend maximum
cooperation. Also a presentation was made by Mr. Su Chun Yang,
Director of Operations Improvement at KAIA, in which he
highlighted the traffic growth witnessed by the airport and the
number and distribution of the CUSS machines at the airport,
referring to the operational considerations of the project which
is operated using SITA platform. He stressed the need for
airlines cooperation to further push the project on areas such
as back-up counters and visa verifications, in addition to
educating and encouraging the passengers to use the CUSS.
Dr. Ayed Al-Amri thanked Eng. Alshaikh and Mr. Yang for their
valuable illustration of KFIA experience, emphasizing the need
for airline representatives to contact their head offices to
obtain support for the project which should be viewed as a real
investment and not a cost, stating that the airlines which join
earlier will get more benefits in terms of location , publicity,
etc. He invited all airlines representatives to share their
knowledge and experiences and participate in enriching the field
and upgrade the level of performance. He also suggested that
representatives from RUH and JED airports to be invited to learn
about the status of the project and evaluate its benefits.
HIGHLIGHT OF IATA EXPERT
PRESENTATION ON BAGGAGE IMPROVEMENT PROGRAM:
Dr. Ayed Al-Amri briefed the
attendees on the progress of this important project launched by
IATA within the StB initiative, referring to the visit made by
IATA expert to the three airports in RUH/JED/DMM and resulting
reports. He thanked Mr. Naser Alsati, IATA Country Manager
KSA/Yemen and invited him to address the audience on the
subject. Mr. Alsati started by emphasizing the role of the StB
project which in fact has been originally approved and launched
by the airlines themselves as represented in the IATA AGM and
Board of Governors which are comprised of airlines. He gave
detailed description of the joint cooperation between IATA and
the StB W/G of BARSA in regard to fast travel project . Mr.
Alsati made a visual presentation on the Baggage Improvement
Program currently implemented by IATA , stating that KSA
airports were fortunate to be among 200 international airports
selected for a field visit by an expert from IATA to diagnose
the exiting problems and offer solutions. He reviewed the
salient features of the expert's report and the solution toolkit
he provided which comprised of 66 solutions leading to
considerable reduction in baggage mishandling, stating that
hopefully most of the problems will disappear by the end of this
year. The results of the report can be made available for
airlines which are needed to offer maximum support and
cooperation to the project and provide required data to reduce
baggage mishandling and save a lot of cost. Also GACA should be
aware of the report findings.
Mr. Naser Alsati concluded his presentation by asserting that
airlines should review the targets of the projects of StB for
the year 2010 and exert maximum effort to push for successful
1430H Haj Season Feedback by
JED AOC Chairman:
Mr. Shuja Pasha (AF) Chairman of
the JED AOC, presented a detailed report on the outcomes of the
last 1430H Haj season operations. The report listed the major
problems still faced in the last season on top of which comes
the shortage of bays which were drastically reduced to (18) bays
only, creating a real problem to operating airlines in terms of
number and distribution. The report also referred to the need to
improve the professional attitude of PPMDC staff who have
demonstrated lower level of efficiency compared to the situation
when GACA staff were handling operation. A third drawback listed
in the report was concerning restrictions of entry and exit
faced by airlines staff at the gates due to shortage of security
personnel. The report also referred to other problems faced in
the Hajj season such shortages of buses, porters, delays due to
unavailability of security staff, lack of coordination between
agencies, etc. Mr. Pasha concluded that, though some improvement
have been seen in the new terminal in certain aspects, however a
lot of work needs to be done, particularly in the field of
increasing the number of bays and aprons. He called for
cooperation between all parties involved to improve the
situation in future..
Dr. Ayed Al-Amri commented on the AOC report stating that
serious points are mentioned in the report that really raise
concern. He emphasized the fact that serving Hajjees represents
the prime and noble mission of the Kingdom of Saudi Arabia to
which the country deploys all its resources. He stressed that
all these concerns will be communicated to the concerned parties
for necessary solution, and that for this purposes a special
committee will be formed within BARSA to tackle such issues.
The presentation of the AOC report was followed by in depth
discussion on the experiences of airlines during the last Hajj
season operation. The points of concern raised by
representatives of airlines included the following issues:
- Pax stranded at Makka and AL-Madina
and refused to be released due to the flight not shown on the
Crew traveling from Madinah are required by Passport Authorities
to be accompanied by one of the staff.
Unavailability of medical lifts due to monopoly by the
Location and functioning of fuel pumps at the airport.
Need to issue clear instructions regarding handling of visit
visas during Hajj season well before the season.
JED AOC Chairman responded that all the points raised will be
studies and discussed with the concerned authorities for quick
Dr. Ayed Al-Amri raised the point of the importance of
encouraging GACA to develop certain KPI's (Key Performance
Indicators) as a tool of measuring PPMDC performance and
enabling accountability. He also mentioned the need to solicit
the Hajjee feedback, through a survey, and let his voice be
heard to help tackling the problems faced.
PROPOSED NEW POLICIES AND
Procedure FOR BARSA:
Dr. Ayed Al-Amri informed the
attendees about the efforts taken to improve the level of
performance at BARSA and make it more active in discharging its
role and objectives. Several meetings were held in this respect
which materialized in the proposal of formulating the following
two subcommittees in BARSA.:
Subcommittee for GACA-BARSA Affairs: which will be responsible
for handling all the affairs pertaining to the relationship with
GACA as our main partner of BARSA. The Subcommittee will
undertake necessary arrangements to conduct regular meetings
with GACA to discuss and settle issues of mutual interest.
Hajj and Umrah Subcommittee: which will be responsible for
handling all the affairs pertaining to the Hajj and Umrah
operations with the aim of serving the interests of member
airlines and solving operational problems faced. The
subcommittee will be responsible for arranging the annual
meetings of Hajj operation and also the annual meetings of Umrah
which are planned to be initiated in the near future. The
formation of this subcommittee is expected to help in solving
the operational problems mentioned in the AOC report.
The two subcommittees will be open for voluntary contribution of
all BARSA, and airlines will be represented in accordance with
level and type of operation. The objectives, tasks and mode
operand of the subcommittees will be governed by the Charters to
Another aspect of development in BARSA concerns the activation
of joint work in the field of cargo which has been somewhat
neglected so far. Also BARSA plans to enhance the social side
through arranging social events and invite concerned government
authorities to attend, distribute awards and souvenirs, arrange
social welcoming and farewell ceremonies for members, etc. Also
the Secretariat of the Board will launch a campaign to develop
and upgrade the website of BARSA. Finally, BARSA Secretariat
presents the idea of organizing a periodical professional tour
by members to selected international facilities of related
nature with the aim to exchange experiences, enhance networking
and increase awareness of world industry standards and
benchmarking . A proposal in this regard will be shortly
distributed to members for their feedback, comment and approval.
ANNUAL MEMBERSHIP FEES:
Mr. Ahmad Aledresi – BARSA
Treasurer – pointed out that some airlines still did not pay
their dues of the annual membership fees and encourage them to
expedite payment to allow BARSA undertake its duties and
responsibilities. He also requested airlines to deposit their
membership fees to BARSA account directly,
BARSA members inquired about the annual budget of BARSA and Mr.
Aledresi replied that the final accounts for the year 2009 have
been finalized and will be distributed to members.
Responding to a query from LH, Dr. Ayed Al-Amri stated that the
minutes of BARSA meeting are usually sent to the attendees via
email, and also uploaded in BARSA website. The Board Secretariat
will review and update members' email addresses to ensure that
all members receive the minutes.
The next meeting will be called for in due time to be held
within the next two months, prior to the coming Summer season
The meeting was concluded at 13.00 PM.
Dr. Ayed Al-Amri
BARSA General Secretary
Mr. Ayman Omairi
BARSA Vice Chairman
MINUTES OF BARSA MEETING #222
HELD AT JEDDAH HILTON HOTEL
ON 03 OCTOBER 2005 (29 SHA'BAN 1426H)
On behalf of BARSA Chairman Dr
Omar Jefri who was indisposed to attend the meeting due to other unforeseen
commitments, BARSA General Secretary Dr Ayed Al-Amri opened the meeting,
introduced the new members from EK, ET, GF, IY and WY, welcomed the participants
and touched upon the major agenda items for discussion.
following deliberations took place:
This subject was
recognized as a very important element impacting contemporary airline
business. QR suggested all airlines to increase and apply fuel
surcharge at USD 30-40 level and requested BARSA, as a forum with full
coverage of airlines operating in KSA, to make a general
recommendation. GF suggested that region-wise fuel surcharge should be
introduced and monitored for making timely changes. RJ stated that they
are charging USD 25 per ticket and not based on region/destination, and
recommended to have a subcommittee to study this subject and come up
with a joint proposal. EK opined that this subject is apt to be
discussed under the purview of the YIC for uniform implementation and
was accepted as the modus operandi for dealing with this matter will be
discussed in the next YIC meeting scheduled after Ramadan.AF queried
about the status of fuel surcharge for cargo and Mr Saud Arab of SV
responded that the matter was discussed by the YIC and a recent increase
of SAR 0.20 was made to reach the level SAR 0.65 in total. He observed
that unfortunately no uniform application is observed in the market.
AIRPORT FACILITY FOR UMRAH
QR, observing that the new
extension at the South Terminal eased the pressure for SV, asked whether
there is a similar plan for North Terminal used by the other airlines as
it is being suffocated during Ramadan and Hajj due to congestion of
traffic. Prompted by Dr Ayed, the AOC Chairman responded on this issue.
The new master plan for KAIA with one combined terminal for SV and other
airlines will take into account the recommendations for facilities
improvement made by BARSA/AOC in the joint meeting with the
authorities(copy of minutes distributed to the participants). In the
meantime, the Airport Authority has agreed to open all the 8 bays for
Umrah passengers. Bus shortage will be relieved by introducing 5 new
buses. Another batch of 10 buses will be deployed within 90 days for
helping the Hajj movement. He advised each airline to preplan for
projected requirement through the respective handling agent for the use
of remote areas.
KAIA EXPANSION PROJECT
Dr Ayed stated that a
BARSA team was formed, based on PCA request, to participate in the
planning stage of KAIA expansion project and it was agreed to make a
presentation on this subject in the next meeting.
CARGO SECURITY PROCESS
Mr Saud Arab of SV thanked
the airline representatives for raising this issue which is a crucial
problem faced at the airport. He explained that the volume of business
necessitates extra screening work to screen all cargo without exception
as per airport security regulations. He added that the meeting
envisaged to discuss this problem with the authorities could not
SQ stated that this
problem is already a few months old. The two options given were to
screen all cargo or keep for 24 hours, with no facility or resource for
implementation of these procedures.
EK said that the problem
is acute because there is only one screening machine and asked whether
all the airlines should join together to provide the extra screening
machines. Dr Ayed responded that the airlines are not expected to
provide screening machines for passengers or cargo and it is the
responsibility of the Civil Aviation Authorities to whom SV has already
written and their reply is awaited.
QR observed that SV Cargo
Handling is keeping post-screened cargo also in the open and commented
that as SV has the monopoly on cargo handling, SV should take the
initiative for having more screening machines as in the case of handling
agents who provide them at the Hajj Terminal. QR pointed out the live
stock shipments also cause problems. SV responded that cargo on airside
is open but in secure area. SV added that the options of keeping cargo
for 24 hours or airlines jointly purchasing screening machines will be
taken up again with the authorities for their acceptance.
JED AOC Chairman Mr Ahmed
Sheriff highlighted some complaints and requirements from 23 carriers'
Station Managers about SV cargo handling standards and facilities which
SV noted and promised to strive for viable solutions.
RUH AOC Chairman reported
good coordination with the authorities for problem-solving, facing no
serious setbacks. JED AOC Chairman reported of raising 11 items (copied
to BARSA) and their being quickly actioned within a week due to good
rapport with the new Airport Director and his follow-up.
PCA PRESENTATION ON HAJJ
Dr Ayed welcomed the PCA
delegation, introduced the participants and invited them to make the
presentation on the new system for Hajj flights clearance effective Hajj
l426H (2005/2006G) season. The PCA delegation thanked BARSA for
providing this opportunity and made a detailed presentation on their new
web-enabled HCPS (Hajj Clearance Proceeding System) laying down
step-by-step procedure for obtaining clearance for Hajj flights. The new
system has the main objective of reducing the time taken for Hajj
flights approvals while ascertaining compliance with the relevant rules
and regulations on a first-come first-served basis. The deadline for
application is 22 October 2005 (19 Ramadan 1426H) for Hajj 1426H.
Following the presentation, clarifications were made on participants'
queries on the new system (a copy of the presentation will be put on the
Mr Ahmed Hantoush from PCA
stressed the importance of bank guarantee for clearance of Hajj flights.
The airline representatives brought up their experience of levying fines
for flight-delays caused by the lack of facilities available for
handling huge traffic flow and no fault of theirs. Mr Hantoush said
that specific cases could be appealed for review.
The BARSA Treasurer Mr
Abdo Abi Allam requested all defaulting member airlines to promptly pay
their subscription dues in order to facilitate BARSA activities for
MINUTES OF BARSA MEETING # 221
HELD AT JEDDAH HILTON HOTEL
ON 03 APRIL 2005(24 SAFAR 1426H)
On behalf of BARSA Chairman Dr
Omar Jefri who could not attend the meeting due to unforeseen circumstances,
BARSA General Secretary Dr Ayed Al-Amri opened the meeting, welcomed the
participants and introduced the major agenda items for discussion.
The following discussions took
FEEDBACK ON GCC
BAR CHAIRMEN'S MEETINGS
Mr Mohammed H. Sharif and Dr Ayed Al-Amri gave feedback on
the 1st (held in Jeddah) and 2nd (held in Kuwait)
GCC BAR Chairmen's meetings which proved to be a very useful window for
improving communication. Yield improvement, pricing, IATA Agent's
commission, avenues for regional cooperation etc were discussed. Oman
and Bahrain are the only two GCC countries applying 5% IATA Agents'
commission and hence there is a long way to go in this direction. It was
recommended that all should go to 5% by December 2005. AACO plans to
have 0% by 2010. AF has already implemented 0% by 01 April 2005.
Unification of taxes by the Tariffs Committee was recommended. The next
meeting will be held in Bahrain in September 2005.
BSP LINK IN KSA
Mr Akram Farhat of SV gave a detailed presentation on the
status of this subject (copy attached as well as put on the BARSA
Website under Circulars' link). BARSA encourages all airlines and their
agents to join BSP for their benefit as well as that of the airline
community as a whole.
Mr Farhat also briefed the attendees on the importance of
e-ticketing which will be implemented in BSP by December 2005. As such,
the airlines should be ready with their internal infrastructural
modifications for migrating to e-ticketing. Mr Farhat also answered
queries on training and the role of CRSs in e-ticketing. Dr Al-Amri
stated that BARSA could be a forum for exchanging experience on
e-ticketing procedure and evaluating its impact and effectiveness.
IMPLEMENTATION OF CASS IN KSA
Mr Saud Arab of SV gave a brief on the status of
implementation of CASS (Cargo Accounts Settlement System) in Saudi
Arabia. Full implementation was accomplished by 16 March 2005 with only
10 airlines participating at present. Many presentations were made for
airlines as well as IATA and non-IATA agents for creating awareness.
CASS benefits the airlines through improved cash-flow by
prompt payments. Valuable reports are generated with a lot of relevant
information. CASS also accomplishes unification of policies, forms and
procedures. BARSA encouraged all airlines to join CASS to reap benefits
individually and collectively.
Mr Ahmed Sheriff (JED AOC Chairman) and Mr Ahmed M.
Alzahrani (RUH AOC Chairman) briefed the gathering on problems,
activities and outcomes in various facets of airport operation, answered
queries from participants and took note of comments and suggestions for
Mr Mohammed Ali Assiri of SV briefed the attendees on the
status of YIC activities and announced that YIC meetings will be held in
April in Jeddah, Riyadh and Dammam for addressing all concerned issues
and requested attendance.
WY suggested that discussions should lead to constructive
decisions that will make a positive impact in the market. QR said that
the national carrier should lead the YIC initiative and pointed out that
yields have gone down by nearly half from 1999 to 2005, and playing
around with baggage allowance is a significant malpractice. AF suggested
every airline should follow the IATA rules on baggage allowance and was
supported by EK. GF announced their plan to follow IATA free baggage
allowance regulations i.e. 40 Kg for First, 30 Kg for Business and 20 Kg
for Economy classes effective 15 May 2005 to all destinations operated
by GF and requested all airlines to follow suit.
Dr Al-Amri pointed out that short term solutions adopted by
the YIC might have caused problems in the long term and suggested
comprehensive discussion in the YIC meetings to close all gaps.
BARSA FEEBACK QUESTIONNAIRE RESULTS
Dr Ayed Al-Amri gave a presentation on the results of the
feedback questionnaire distributed earlier in 2004. It was observed
that many of the suggestions for improvement like the joint GCC BAR
Chairmen's meeting have already been implemented. This feature of
evaluation of the effectiveness of BARSA and its continuous improvement
through feedback will be maintained through periodic questionnaires to
BARSA SUBSCRIPTION DUES
Only 15 member airlines have hitherto paid their
subscriptions. All the others were requested to expedite payment for
supporting the BARSA activities.
The next meeting will be held in the first week of June
The meeting was held in a very congenial atmosphere and was closed with a
FIRST MEETING OF CHAIRMEN
OF GCC BOARD OF AIRLINES REPRESENTATIVES
The first meeting of the
Chairmen of the Gulf Cooperation Council Boards of Airlines Representatives was
held at the Jeddah Hilton on 05 Shaban 1425 (19 September 2004).
In attendance were :
|Dr Omar Jefri
||Chairman of BARSA in KSA
|Mr Dawoud Al-Dawoud
||Chairman of BAR in KWI
|Mr Mahroos Al-Harthy
||Chairman of BAR in BAH
|Mr Hamad Al-Obaidallah
||Chairman of BAR in DXB
|Mr Khalifa Alrayes
||Chairman of BAR in AUH
|Mr Jaffar Joma
||Chairman of BAR in OMAN
|Mr Baudemont Stevenson
||BAR Representative in
|Mr Hamza Sharif
||Vice Chairman BARSA in
|Dr Ayed Al-Amri
||General Secretary BARSA
|Mr Muteb Al-Ajami
||Sr Mgr Kuwait Airways in
|Mr Mohammed Al-Falasi
||Regional Mgr Emirates in
|Mr Saud Irqsous
||Sr Mgr Pricing & Tariffs
(Pax) Saudia Airlines
|Mr Fahad Al-Sabhani
||Asst General Secretary
BARSA in KSA
welcomed the distinguished participants and wished them a pleasant stay in Saudi
Dr Jefri declared the goals of this meeting as mutual benefit and exchange of
common experience for arriving at a unified standard for the airlines operating
in the GCC. After introductions and greetings the discussion of the topics
suggested by the chairmen followed.
The following recommendations were adopted :
Reduction of IATA Agents
The participants agreed to reduce the Commission
to 5% within the GCC following the global industry trend. Bahrain's initiative
to reduce the commission to 5% effective 15 October 2004 was supported by the
Chairmen and suggested Oman, UAE and Qatar to follow suit. Likewise it was
suggested to study the possibility of following this lead for passengers from
KSA to GCC countries.
Yield Improvement Committee:
The participants agreed on the following :
i) To study and implement the mechanism for yield improvement in the GCC market
and make recommendations for progress including the problems of variable
baggage allowance and focussing on some small carriers causing disturbance of
fares in the market, in the next meeting.
ii) The suggestion of SV to adopt common minimum fares for different sectors
under approval from the GCC Civil Aviation Departments so that no airline will
go below this level, especially the small carriers, to protect safety and
service level from deterioration. This step also would help yield improvement.
Low Fare on Low Cost Carriers
As some of the LCCs are national carriers, they
cannot be stopped from operation and hence the participants agreed to study the
steps to be adopted to prevent their negative impact and make the best
procedure to deal with them.
Passive Segments Bookings and
The participants appreciated the initiatives
already taken by BARSA for dealing with passive segments booking abuse by the
agents which has resulted in positive improvement of yield and the SV
experience in dealing with noshows for decreasing its level helping more
passengers gain seats for travel. However, other carriers need to study the SV
initiative and adopt similar measures.
Insurance and Fuel Surcharge:
The participants agreed to make uniform policy
for such surcharges to be applied within the GCC and discuss in the next
IATA Published Fare:
KU suggestion to make the IATA Published Fare as
the official fare was agreed upon by the participants, as this procedure is
adopted already by some countries within the GCC.
KU welcomed the next meeting to be held and
hosted by them in Kuwait in the last week of February 2005, to which the
MINUTES OF BARSA MEETING #
HELD AT SAUDIA CLUB, KHALIDIYYAH, JEDDAH
ON 19 MAY 2004 (30 R. AWAL 1425)
BARSA Vice Chairman Mr Hamza
Mohammed Sharif opened the meeting on behalf of BARSA Chairman Dr Jefri who was
indisposed due to unforeseen commitments and welcomed the participants (list
appended). He accorded a special welcome of induction to the new
representatives from AI, BA, B8, ET, GF, QR and SQ.
Discussions on the agenda items followed :
PK informed that they are applying fuel
surcharge in the USD 3.00 – 10.00 range depending upon destination. RJ applies
uniform rate for all destinations. BA applies USD 4.00 per sector. KU is not
applying currently, but will follow suit. GF will commence application
effective 01 June 2004.
WY commented that this subject should be thoroughly discussed on the floor to
evolve consensus for uniform application by all airlines. SV also supports
uniform implementation. BARSA Vice Chairman Mr Sharif said that 5% jet fuel
cost increase effective October 2003 justifies the uniform application of fuel
surcharge by all airlines.
RJ queried whether a directive from BARSA will follow specifying the criteria
for application to which Mr Sharif responded that the BARSA Chairman will be
consulted on this matter.
PK applies SAR 50 for low season and SAR 200 for
high season. SV started applying effective 01 May 2004 on the travel agencies
rather than individual passengers and is showing positive impact as reported by
the Yield Management Department. PK added that they are applying to the
passengers and agencies depending upon who is responsible for the event of
generating noshows. PK suggested that noshow penalty could be filed with the
PCA for the legality of application. AI is not currently applying the noshow
penalty. AF feels that as SV has the highest market share of passengers
KSA-wide and the resultant better experience, SV should take the lead as the
Dr Al-Amri invited comments from the floor as to whether the matter should be
left to the individual airlines or be tackled by BARSA. AF prefers a general
resolution with room for flexibility as leaving to the individual airlines
would result in unfair competition. PK feels that the matter should be left to
the individual airlines as a matter of flexible application, as even the extent
of noshows experienced by different airlines are different.
STATUS OF REDUCTION OF IATA
Dr Al-Amri acknowledged that the industry trend
is to reduce the commission from 7-5%, but SV as the national carrier of KSA is
barred from application of any further reduction from 7% until further notice
from the concerned government agency. The travel agencies' resentment triggered
by the earlier reduction from 9-7% and their collective representation to the
government has imposed this constraint on SV. As such, the matter has to be
left to the individual airlines and will be under observation.
PK plans to implement 5% from 01 July 2004. AF said that the French market will
go for the reduction soon and would like to apply to all AF markets and hence
suggests a workshop or subcommittee to study the issue as it cannot be
implemented in isolation. BA informed that their Bahrain experience is
supportive of moving to 5% but for GF's inability to apply the same within the
GCC. MS is supportive of reduction in general, but the 7-5 reduction is not yet
applied in Egypt. RJ has been applying 5% in Jordan for over a year.
The consensus was that communication and mutual understanding between airlines
and travel agencies should precede to generate a conducive atmosphere for
further reduction, as about 65% of the traffic is still generated by the travel
agencies. The airlines do not have enough margin to sustain the higher
commission payment to the travel agencies and at the same time, the agencies'
revenues will not be significantly affected by the reduction, as most of the
commission is passed on to the passengers for competitive edge.
PASSIVE SEGMENTS BOOKING
Mr Abdo Abi Allam (AF) Chairman of the
subcommittee stated that the increase in GDS costs makes passive segments
booking a critical financial issue for airlines. After the awareness seminars
conducted in JED, RUH and DMM, it was decided as the next step that each
airline will monitor the agency activities in order to reduce the costs related
to passive segments booking.
SQ, MH, GA, GF and AI are charging the agents based on the results of
monitoring by the Head Offices. PK stated that they are not facing this problem
as they pulled out from GDSs on account of this problem and hoped that they
would be able to revert to GDSs once the clean-up is effective.
GF stated that GDSs are not willing to waive payments in lieu of passive
segments booking; rather they are encouraging agents to increase passive
segments booking through incentives. MH urged that all airlines should take up
this issue with their agents; otherwise the silent ones will be left to bear
the brunt of enhanced abuse by travel agents.
AF will take the lead in charting follow-up actions through the subcommittee
which will meet soon for this purpose.
Mr Saud Irgsous (SV) gave a briefing on the YIC
activities and meetings held after the last BARSA meeting and announced the
schedule of forthcoming YIC meetings.
BARSA Vice Chairman urged the participation of higher level management like
Sales Managers and Country Managers rather than other staff without
SAUDIZATION OF TRAVEL MARKET
GF brought up the topic of Saudization of travel
market by 35% as a government requirement and elaborated that the Chamber of
Commerce will provide the number of trainees required in various categories
with 75% payment by the government and 25% by the airline/travel agency for one
year of training after which the company has the flexibility to absorb as
regular staff or reject if unsuitable.
QR added that performance and attendance are monitored during the training
period and replacement is possible if unsatisfactory. QR's experience is
positive in this regard. AF stated that they used a lot of resources for
training including abroad, but faced turnover before paying
back the money spent on training and as such contracts should be made for
continued service for at least 3 years after training. AF has positive
experience with native employees with travel agency experience; however, salary
discrimination is necessary to keep Saudi employees which is creating a
GF alerted that the Saudization process started 9 years before and the policy
will be strictly enforced now.
JOINT BAR MEETINGS WITHIN THE
GF suggested to have joint BAR meetings in
different GCC locations in rotation every six months. Dr Al-Amri thanked GF for
this suggestion which was well accepted by the gathering as a means to promote
sharing of knowledge, ideas and experiences.
JED AOC CHAIRMAN'S FEEDBACK
Mr Ahmed Sheriff (GF), the new JED AOC Chairman,
informed that the current priority is to work on improvements in services and
safety. The Airport Authority has approved the renovation of the North Terminal
based on the experience of inconvenience to passengers in general and during
Hajj operation in particular. Mr Sheriff solicited cooperation and support of
all airlines by paying all the outstanding bills in order to facilitate
financing of the improvements. He informed that an updated directory of airport
managers will be published soon, answered queries from airline representatives
and took note of their comments and suggestions for improvement.
A commemorative memento was presented to the outgoing JED AOC Chairman Mr Ahmed
AlIdrissi, currently Area Manager of QR, in appreciation of his excellent
performance during his tenure.
BARSA SUBSCRIPTION FEE
BARSA Treasurer Mr Abi Allam read out the names
of the 18 airlines which have paid the BARSA subscription fees for 2004 and
urged all the others to make prompt payment.
BARSA FEEDBACK QUESTIONNAIRE
In order to evaluate the performance of BARSA
and invite suggestions for further improvements, a questionnaire was
distributed to each participant for completion and return.
The meeting was held in a
very cordial and conducive atmosphere with frank and free exchange of views and
was closed with a prayer/lunch break.
M. Sharif (GF)
Dr Ayed T.
Abi Allam (AF)
Western Saudi Arabia
Manager Western Saudi Arabia
for Kuwait, KSA & Yemen
Manager Saudi Arabia
Manager Saudi Arabia
Manager Saudi Arabia
Marketing & Sales
Adviser Middle East
Manager Middle East
Aboobacker P. Thangal
Spclst. Bil. & Cml. Agrmts