Public service providers have demanded for financial support from the government amid Covid-19 pandemic saying they will be unable to pay salaries to their employees otherwise.
Incomes of government service providers – including Bangladesh Road Transport Corporation (BRTC) and Civil Aviation Authority (CAA) – have dropped due to their limited scale activities during April to May months, said an official of finance division who is involved in budget management.
Officials said the government has already provided fund for public service providers to keep afloat during pandemic. Finance division has already paid Tk 4 crore credit support to BRTC employee salaries because of loss of income of Tk 4 crore.
According to income analysis of BRTC earning, in 2019-20 fiscal year BRTC earning was only Tk 6 crore or 40% drop of earning. Its earning was Tk 10 crore the previous year.
Additionally, the pandemic has caused a reduction in revenue for CAA from all airports in the country. The six-month income analysis from January to June 2020 shows a slight decline in the first two months, but from April to June, the income fell by 46 to 88 percent.
According to the Civil Aviation and Tourism ministry, this year earning from June is only Tk 35.22 crore which was Tk 138.14 crore previous June.
There are two parts to CAA income. Aeronautical income and non-aeronautical income. On the one hand, the income comes from the airspace charges at the airports, ground handling charges, etc. These are aeronautical income. On the other hand, income comes from renting or leasing shops, stalls, lounges, ponds, car parking spaces, farmlands etc. These are called non-aeronautical income. Leases are usually given during July-June, on the basis of one financial year.
The Ministry of Civil Aviation and Tourism on July 22 decided to provide at least 25 percent waiver of the lease price to the individuals and organizations who have leased from CAA. However, in order to waive the lease, the approval of the Finance Division of the Ministry of Finance is required.
The Ministry of Civil Aviation and Tourism has therefore sent a letter to the Finance Division seeking approval for the waiver. The finance division received the letter last Sunday and is said to be examining the rationale for the waiver.
Chairman of CAA, Air Vice Marshal Md Mafidur Rahman has painted a disappointing picture of his organisation earnings over the last six months. He said the annual income from Hazrat Shahjalal International Airport is only around Tk 120 crore. The income from other airports is another Tk 20 crore. Pandemic has caused a massive reduction in these incomes. For instance, income in April reduced by 88 percent.
However, chairman of BTRC Ehsan Elahi said the Corporation earning will be normal after the government has allowed free public movement after reduction of Infection of coronavirus.
ask/zn/nm
