Letter: OAI informed all new sub-lease fees will attract 10% charge to GL&SC


Dear Editor,

I write on behalf of Ogle Airport Inc (OAI). The Managing Director of Air Services Limited, Capt A Mazahar Ally, has, once again, written a rambling, incoherent letter of complaint to the media, about the administration of the Eugene F Correia International Airport (EFCIA) by Ogle Airport Inc, which makes little or no sense.

Ogle Airport Inc (OAI) has always considered and approached the management and development of the Airport as a Public Private Partnership with public aviation facilities regulated by the Guyana Civil Aviation Authority (GCAA). In fact, the Airport’s obligations and responsibilities are clearly defined in the lease Agreement for the Management, Operation and Development of the Airport with the Government of Guyana and which include the right of the Airport Operator to lease space on the Airport for purposes clearly set out in the agreement, approved in advance by the Government, in accordance with an Airport Development Plan.

The Airport had also entered into a lease of Government land for commercial purposes, issued by the Guyana Lands & Surveys Commission (GL&SC), which sets out the boundaries of the Airport, which was regularised and finally settled in 2008 under the Public Corporation’s Act for 407.8 acres and, in 2018, the Guyana Lands & Surveys Commission issued a lease for “commercial purposes establishing and maintaining an aerodrome” for a period of fifty (50) years which was registered and adjusted to 401.89 acres.

There is absolutely no legal restraint to the renewal and extension of these lease agreements at a time and for a period mutually agreed between the Government and OAI.
The land lease also provides that “the Lessee may sublet its interest in the lands comprised in this lease or any part thereof in accordance with the provisions of the State Lands Regulations for the time being enforced”.

When OAI entered into this agreement, it committed to and has completed financing all of the infrastructure and equipment at the Airport. Capt Mazahar Ally is well aware of these facts.

Consistent with directives of the Guyana Lands & Surveys Commission, both from the previous and current Government, OAI has informed the lessees that all new sub-lease fees will attract an additional 10 per cent charge to the GL&SC which will be reflected in their new lease rates and, given the fact that the Airport now has a new lease, all sub-leases are required to be informed accordingly.

It is surprising that Capt Mazahar Ally is unhappy with the new and extended lease since, as a lessee, his company is a direct beneficiary, vastly increasing the value of their investments in the Airport.

Nevertheless, Air Services Limited retain the option of not extending their original lease and avoid paying the new lease charge which will apply only to renewed leases.

It seems hardly necessary to point out that Ogle Airport Inc is in partnership with the Government of Guyana and, therefore, not only complies with the requirements of the Government of the day in office at the time but keeps the Government updated and informed. In this regard, Ogle Airport Inc’s management have long since met with the new President, Vice President, the Minister of Public Works and the Minister within the Ministry of Public Works with regards to the future development plans for the Airport.

Yours sincerely,
Kit Nascimento
Public Relations
Ogle Airport Inc