RP wants answers about AirNam

REPORTS that Air Namibia is once again in financial crisis have sparked political pressure for answers.With the National Assembly approving millions of dollars to the airline each year and the failure of audit reports to reach the House, concerns have once again been sparked that all is not well with the airline’s books.

Yesterday the Republican Party’s Henk Mudge fired off a barrage of questions to Finance Minister Saara Kuugongelwa-Amadhila to determine whether the airline’s financial position was indeed worsening and what the reasons were for this. Mudge asked whether and when Kuugongelwa-Amadhila had informed Cabinet of the situation.He also asked whether the Cabinet technical committee appointed to direct the airline’s turnaround strategy still met and whether it was considering what was currently happening at the airline.Finance Permanent Secretary Calle Schlettwein is reported as having acknowledged that Air Namibia’s management was called in to his ministry this week to explain their financial situation.In the 2004-5 National Budget, Government approved N$116 million to the airline.Over the last five years, it has received N$1,5 billion in Government support.Mudge also wants to know from the Minister what airline or aviation experience the Chief Executive Officer, senior management and board members have.With Air Namibia’s General Manager for Operations and Technical Services André Compion having resigned, Mudge wants to know why the airline is willing to let him leave.A year since Kosmas Egumbo was appointed as CEO, Mudge is also questioning why he was chosen over former CEO Gernot Riedel.Riedel is set to leave the airline at the end of the year, when his one-year contract expires.Government appointed Compion and Riedel on a temporary basis in 2002 to carry out a turnaround plan and oversee the transition of the airline to a new company.Compion was appointed permanently in the post last year, while Riedel was retained in an advisory capacity for a year.When she tabled the National Budget in May, Kuugongelwa-Amadhila said “reform efforts” at the airline were yielding results.According to that document, another N$66 million is expected to fly Air Namibia’s way in the next two financial years.Mudge asked whether and when Kuugongelwa-Amadhila had informed Cabinet of the situation.He also asked whether the Cabinet technical committee appointed to direct the airline’s turnaround strategy still met and whether it was considering what was currently happening at the airline.Finance Permanent Secretary Calle Schlettwein is reported as having acknowledged that Air Namibia’s management was called in to his ministry this week to explain their financial situation.In the 2004-5 National Budget, Government approved N$116 million to the airline.Over the last five years, it has received N$1,5 billion in Government support.Mudge also wants to know from the Minister what airline or aviation experience the Chief Executive Officer, senior management and board members have.With Air Namibia’s General Manager for Operations and Technical Services André Compion having resigned, Mudge wants to know why the airline is willing to let him leave.A year since Kosmas Egumbo was appointed as CEO, Mudge is also questioning why he was chosen over former CEO Gernot Riedel.Riedel is set to leave the airline at the end of the year, when his one-year contract expires.Government appointed Compion and Riedel on a temporary basis in 2002 to carry out a turnaround plan and oversee the transition of the airline to a new company.Compion was appointed permanently in the post last year, while Riedel was retained in an advisory capacity for a year.When she tabled the National Budget in May, Kuugongelwa-Amadhila said “reform efforts” at the airline were yielding results.According to that document, another N$66 million is expected to fly Air Namibia’s way in the next two financial years.