August 30: The government is preparing to enforce a ban on purchase of aircraft older than 12 years by any commercial airliner.

A draft of the new aviation policy prepared by the Ministry of Culture, Tourism and Civil Aviation states that any aircraft older than 12 years or those with 50 percent economic life or the ones that have completed 35,000 pressurization cycles would not be allowed to operate in Nepal.

Prior to this, the aviation policy of Nepal allowed commercial airliners to purchase aircraft that were manufactured 15 years ago.

Private airline companies of Nepal have welcomed most of the provisions of the new aviation policy but have expressed their reservation regarding the provision to ban the import of aircraft older than 12 years. They are preparing to submit a letter of dissent to the ministry soon.

Managing Director of Buddha Air, Birendra Bahadur Basnet, says that the new provision is unnecessary.

“We do not agree with the provision that bars us from purchasing aircraft manufactured more than  12 years ago because the age of an aircraft depends on its nature and maintenance. Therefore, this provision is not necessary,” says Basnet.

In the new policy, the ministry has proposed exemption of income tax for give years for the investors who invest more than Rs 2 billion in the aviation sector of Nepal.

Likewise, the government has also proposed waiving 100 percent customs duty on the purchase of aircraft manufactured less than five years ago.

Also, the government plans to provide concession in income tax for three years if the airline companies operate new aircraft.

The Ministry of Culture, Tourism and Civil Aviation is seeking feedback from stakeholders regarding the new policy. The government has drafted this new policy after 14 years.