Question NW2413 to the Minister of Transport

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31 August 2017 - NW2413

Profile picture: Lees, Mr RA

Lees, Mr RA to ask the Minister of Transport

(1)Does the Air Traffic Navigation Services SOC Ltd (ATNS) provide its services to SA Airways (SAA) on an equal basis as it does to all other airlines; if not, why not; if so, what are the relevant details; (2) what are the relevant details of (a) each service that ATNS provides to (i) SAA and (ii) each other airline, (b) the rates that are charged for the specified services, (c) the payment terms given and (d) total amounts owed as at 31 July 2017 and (e) age analysis of the amounts owed as at 31 July 2017 in each case; (3) whether ATNS made any changes in the payment terms given to the SAA from 1 April 2017 up to 31 July 2017; if so, what are the full details of the changed payment terms

Reply:

Air Traffic and Navigation Services SOC Limited (ATNS)

1. ATNS provides its services equally to all airspace users, and our credit terms are 30 days from date of invoice. SAA has from 01 April 2017 to date been settling their invoices on average 45 days after due date and as a result ATNS has been charging SAA interest due to late payment.

2. (a)(i) ATNS provides air traffic control services, air traffic flow management services, aeronautical information management services and alerting services to SAA and (ii) similarly to all other airspace users, (b) the rates charged are as per government gazette no 40552 dated 20 January 2017, Notice 29 of 2017, (c) ATNS credit terms are 30 days from date of invoice and this applies to SAA as well, (d) The total amount owed by SAA as at 31 July 2017 was R 65 610 477, (e) The below table is the age analysis as at 31 July 2017:

Customer Name

Customer Balance

Current

31 - 60 Days

61 - 90 Days

91 - 120 Days

121 & Over

SOUTH AFRICAN AIRWAYS

65,610,477

33,278,543

32,158,541

173,394

-

-

3. ATNS never extended/agreed to change its payment terms to SAA, from 01 April to 31 July 2017, SAA has not adhered to ATNS credit terms and as such ATNS charged SAA interest on late payments.

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