KUALA LUMPUR: The BIMP-EAGA member countries will embark on cross-border air service project in an effort to boost trade and tourism activities and development within the sub-region.

Executive Chairman of the BIMP-EAGA Business Council Inc. (BEBC Inc.), Datuk Ahmad Ali Lope, said the council is now in the process of establishing a management company known as the BIMP-EAGA Air Alliance (BEAA Inc.).

He said interested air operators from the member countries would work out the details during the Informal Senior Officers Meeting (ISOM) here next month.

If everything goes as planned, he said the air service would take off in March this year as a BIMP-EAGA flagship project.

"We are hoping to launch the service by March, starting with between Sabah and Zamboanga, Southern Philippines, using low capacity aircraft that can accomodate 30 - 50 passengers," Ahmad told reporters at the BEBC Inc. office here yesterday.

He said the BIMP-EAGA Inc. conducted a review of the cross-border air links last year and presented a report to the senior officers/ministers of the BIMP governments at their meeting in Balikpapan, East Kalimantan, last Nov. 25 on the need to re-organise the services under a wider BIMP-EAGA umbrella more effectively as a BIMP-EAGA flagship project.

He disclosed that ratification had been obtained from the member contries to take up the role as the cross-border air service system implementator and management of the air alliance of small aircraft operators using low capacity aircraft.

"The cross-border air serivces are to be integrated with tourism and trade," said Ahmad, adding that the ratification also includes a responsibility to recommend cross-border air service policy shifts which are appropriate to promote rapid development in the sub-region.

He said the profile for participation by air operators had been distributed to qualified regional air operators for their consideration to join the air alliance scheme, and the response had been encouraging.

"Air operators are expected to indicate their preference for providing cost effective aircraft and a comprehensive routing plan towards the integration execise.

"Preference will also include tourism and trade inputs on desired service points due to be placed by the BIMP-EAGA cluster group handling tourism and trade," Ahmad explained.

The BEAA, he said, is expected to perform all common functions of air operators grouped under the air alliance such as reservations and air marketing grouped under charters, code sharing and aircraft intercharge programs.

"The BIMP governments have stated that the BEAA be run and operated under its own terms as a business entity," Ahmad added.

Taken from The Borneo Post 15th January 2005