Serukka’s name alongside those of six other board members, were submitted for approval to the cabinet meeting that sat on March 7.  An accomplished management expert who holds several board chairs, Serukka will lead a team that includes Samson Rwahriwe, Herbert Kamuntu, Patrick Ocailap, Namugambe Barbara, Moding Abdi Karim and Ebrahim Kisoro Sadrudin.

The nominees include at least one unknown quantity and at least two people with industry experience. Although he lists a degree in aeronautical engineering as one of his qualifications; in everyday life, Herbert Kamuntu is known better as the managing Director of Bweyogerere based Kachain Logistics – a beverage distribution firm founded in 2008. Not much is known about his engineering practice.

Namugambe Barbara an Under Secretary in the Office of the Prime Minister and Deputy Secretary to the Treasury Patrick Ocailap represent the principal shareholders while Captain Ebrahim Kisoro Sadrudin is a Canada based recently retired airline Captain, who has flown widebody aircraft for airlines such as Ethiopian, Etihad, Saudia and Singapore International Airlines among others. He is a stickler for rules and in the 1990’s fell out with the defunct Uganda Airlines after he pointed out management lapses.

Moding Abdi Karim is the Uganda Country Representative and Senior Field Engineer for air transport industry IT backbone provider SITA.

While Serukka’s management experience and academic credentials stand her in good stead to take on the fundamentals of overseeing the national carrier’s finances and management, she is not adequately backed on the team with members that have specific airline experience.

Her board ends a 9-month vacuum at the carrier after the former board led by Perez Ahabwe was given the sack by President Museveni last May. Nominees from the Ministries of Works and Transport as well as Finance and the office of the Auditor General have been filling the gap left by the former board’s abrupt departure.

The appointment of the new board team comes after the former board and senior airline executives that were affected by President Museveni’s suspension order, entered a sweetheart deal with the principal shareholders under which they will be compensated for the full term of their appointment and the allegations against them withdrawn.

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The A320 and similar sized aircraft would address the 100-200 seat gap in the fleet which will become critical as the airline expands its network into central and west Africa. Uganda Airlines current serves 11 destinations but as travel restarts, officials are looking to ramp up route development to reach the initial target 19 routes during the first phase.

Uganda Airlines Chief Executive Jenifer Musiime aboard the carrier’s A330 on static display at the Dubai Airshow

Speaking on the sidelines of the Dubai Airshow, where Uganda Airlines became the first African customer to sign up to Airbus’ Flight Hour Services covering the A330-800, interim chief executive Ms Jenifer Musiime, told 256BN confirmed that talks on near-term fleet growth with the European airframer had started.

A decision was tending towards the A320neo because of its’ range and ability to carry a full load out of Entebbe, which is a hot and high airport. Ms Musiime says that while the CRJ has the range to reach most of the destinations planned for the intra-African network, it was weight limited and would impose a trade-off between range and the number of passengers on board.

“We are already experiencing something like that on the Entebbe-Kinshasa route,” Musiime revealed.

Although the new-mint A220-300 also has the range to reach virtually all intercontinental destinations non-stop from Entebbe, it is not a candidate for now because its seating would max out 150 passengers in a two-class configuration. That would still leave a gap of 80 seats unaddressed between it and the 230-258 seat A330-800.

Uganda Airlines sees the larger A320 as a low-risk growth aircraft that provides the flexibility for substitution with the A330 on routes such as Mumbai during low season or frequency growth. The aircraft is also attractive because of the flexibility it provides for cabin-layout. The aircraft can accommodate lie-flat seats in the business class, or even premium-economy, which would permit product commonality between it and the A330.

Musiime did not indicate the number A320’s under consideration or the timeline for the acquisition but analysts believe a minimum of two would be required initially.

At the show, Musiime also signed cooperation agreements with Pakistan International Airlines and Sri Lanka Airways. The two tie-ups further underwrite the planned service to Mumbai by raising the potential for connecting traffic.

The airline has so far been shunned by its peers in the region such as Air Tanzania, Kenya Airways and Rwandair, who have refused to enter interline agreements with it. Industry analysts says this could be the result of a wait and see attitude given relative youth of the airline and the fact that is yet to embark on the IATA Operational Safety Audit -IOSA, a critical endorsement for safe operations by the industry.

Uganda Airlines launched its first intercontinental service to Dubai on October 4 and now awaits approvals to commence services to London, Mumbai, Guangzhou and Shanghai. To feed the service, the airline needs new connections to central and west Africa which will need aircraft with sufficient capacity for passengers and cargo.

The Dubai Airshow opened on November 14, to a massive 255 order for Airbus aircraft by Indigo Partners, signaling the rising optimism about prospects for an air transport industry that has been battered by the Covid-19 pandemic. Additional orders for 16 A220’s by Nigeria’s Ibom Air, 20 A320 and A321 neo’s by Jazeera Air and 111 eleven aircraft order by Air Lease Corporation covering the A220, A320/A321, A330 and A350 freighters, saw Airbus’s order tally at the show soar past 400 orders and commitments.

Airbus’ US rival Boeing had by Tuesday logged 82 orders including a pair of B737-Max and a single unit each for the B787 and Boeing 767 by Air Tanzania. The 767 will be a dedicated freighter while the 787 will join the existing fleet of two Dreamliners.

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However, it was not immediately clear if  besides the static display, the aircraft will engage in any demonstration flights. The Dubai Airshow is the first in-person international air display  since Covid-19 disrupted the global economy, forcing the cancellation of last years edition of the Farnborough Air Show in the UK. All factors remaining constant, the next big event will be the Paris Airshow, next June.

Uganda Airlines was the first customer to commit to the long-range jet, that was designed as a replacement for the A330-200 (ce0) current engine option. The Uganda flag carrier operates two of the jets that it intends to use of routes to London, Guangzhou, Mumbai and some intermediate routes within Africa.

So far, only Dubai is operational with London set to commence in the next couple of months following Uganda’s removal from the UK’s red list. Guangzhou and Mumbai will also launch as travel restrictions ease in those markets.

The A330 family has logged 1818 firm orders since it first took to the air in November 1992. About 340 of that number belong to the A330-Neo range which comes in two variants, – 900 and the -800. Although the bulk of new orders have been for the larger -900 variant, it is believed that is because of the relatively young fleet of  A330-200- ceo’s whose replacement cycle is expected to gather steam mid-decade.

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The airline which has been operating a single flight daily to Nairobi has rebounded to its original double daily frequency as part of efforts to expand travel options between the busiest city pair out of Uganda. Nairobi remains the top destination out of Entebbe with a combined total of 42 flights scheduled for this week.

The service to Bujumbura will also be revived this month bringing to five the active services since Entebbe reopened on October 1.

Officials say plans to launch a service to Kinshasa are also at an advanced stage with commencement expected towards the end of November. In is understood that the three times weekly service, will initially be operated using a Bombardier – now Mitsubishi CRJ-900 before passing the baton to the Airbus A330-800 neo after transcontinental services commence.

Uganda Airlines is set to receive the first of a pair of A330-800’s it has on order early December, setting the stage for a rapid ramp up of the regional feeder network, to support intercontinental operations.

The initial service to Kinshasa will be targeting both traffic terminating in Uganda and onward traffic to the regional destinations the airline is so far serving.

Soon to be added also are Johannesburg and Lusaka on which Uganda Airlines  will be the sole operator offering a direct service from Entebbe.

Entebbe handled 42,633 arriving and departing passengers during October, reflecting the impact of flight restrictions which limited each airline to a single daily frequency to each destination. Traffic was 26pc of the average 165,000 monthly passengers that the airport handled during 2019.

While the Tanzania and Kenyan markets have experienced a slow start for Uganda airlines, the carrier is reporting a 100pc cabin factor on the services to Juba and Mogadishu.

The airline that returned to the regional skies in August 2019, had carried 75,000 passengers before the government suspended all flights mid-March, as part of efforts to nip the Covid-19 pandemic in the bud

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Despite the hassle and additional cost of having to undergo Covid-19 testing prior to travel, the first day saw twelve scheduled departures and arrivals. The sharp contraction in deployed capacity occasioned by the limitation of operators to a single flight per destination, saw them enjoy above average load factors.

National carrier Uganda Airlines achieved load factors of 50pc and 70pc on its outbound and inbound services on the Entebbe-Nairobi route according to officials. The service to Mogadishu had a cabin factor of 90pc while the service to Juba which resumed today was 100pc booked. That gave Uganda Airlines an average cabin factor above 70pc across the available network.

Entebbe will be operating a limited schedule up to the end of the year as systems are aligned and stress-tested for operations under Covid-19. Starting January2021, airlines will be allowed to double frequencies with a full return to normal operations envisaged from  April.

The Civil Aviation Authority says the special repatriation flights were an opportunity for the airport to get an accurate picture of Entebbe International’s Covid-19 preparedness with the thermal scanners showing a 99pc accuracy level.

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The President’s directive comes two weeks after the Uganda Civil Aviation Authority met with airline representatives to harmonise positions around a thin schedule that will guide operations between October 2020 and January 2021.

Mr. Roger Wamara, the Commercial Director at one-year old carrier Uganda Airlines, confirmed plans for resumption of services.

“We cannot just sit back and wait until things get right, we will be starting small at maybe 40pc of capacity and then see where the curve goes from there,” he told 256BN.

Wamara is banking on pent-up demand within the travel bubbles in countries such as Kenya and Tanzania which opened up their airspace earlier. He did not provide any guidance on  how the routes will be prioritised.

Uganda Airlines which had been aloft for only 6 months before Uganda went into total lockdown, had carried just over 75,000 passengers. Before the lockdown, the airline which will be taking delivery of its first long-haul aircraft in December 2020, was on course to grow the number of destinations to 19 before its first birthday.

According to the interim schedule the UCAA shared with airlines earlier in the month, each operator will initially be allowed just one flight per day. Arrivals will also be spaced two hours apart to minimize congestion as passengers go through port health and immigration.

In a televised address Sunday, Museveni said the country was now open to inbound tourist and business traffic through Entebbe International Airport and the land borders to visitors. Returning citizens and residents would also be able to skip the mandatory 14- day quarantine period on arrival, provided they bear a negative result for a Covid-19 PCR test taken within the preceding 72 hours.

The caveat for tourists is that they would not be allowed to mix with the local population although they could choose to arrive by air through the international airport or one of the entry points at the land borders.

The President was however, mute on whether outbound Ugandans would be allowed to travel. Unlike other countries that have listed permissible destinations, Museveni did not indicate if Uganda was open to arrivals from all over the world, including countries that are still considered high risk.

Limited opening of learning was also announced starting with candidate classes and tertiary institutions on October 15.

Museveni said continued closure of schools, many of them privately run was would be expensive and catastrophic.

Congregation in places of worship was also partially allowed provided a maximum of 70 people attended service at a time. But this would be allowed during regular prayer sessions Friday and Sunday.

Open air sports activities will also be allowed provided there are no spectators and the players are tested for Covid-19, 72 hours prior to meetings.

However, indoor sports activities, including gyms, remain closed just as are pubs, Casinos, gaming centres and cinemas although hotels will continue to operate along SOPs agreed with the Ministry of Health.

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Under the revised schedule, the second aircraft would follow in November in time for launch of the first intercontinental route in December 2020.

According to usually reliable sources, the airline is now weighing the cost implications of deferring the deliveries and parking the fleet at Entebbe International Airport. While it would be cheaper than leaving them with the manufacturer, it is understood that the airline management is conscious of the negative comments that followed the five months hiatus between the arrival of the first Bombardier CRJ 900 NextGen in April 2019 and the first commercial flight in October that year.

Sources add further that the airline is not facing any financial pressures, having received all the money needed for this phase of its development plan. Payments for the widebody fleet are up to date with a final payment of just $17 million pending for the two aircraft.

The COVID-19 crisis has impacted global air travel as countries shut their airspace and impose internal lockdowns. Uganda airlines which needs a minimum of 17 routes for the current fleet of four CRJ-900 aircraft to be optimally utilised, was planning to launch another nine routes between March and October, to complete phase one development. These included Kinshasa and Johannesburg in April followed by Lusaka, Harare and Goma. Lagos and either London or Guangzhou, would follow to launch the second phase, once the A330’s arrived. It also is understood that Uganda is trying to secure rights to Heathrow for the London flights. Should the sought slots be allocated, Uganda Airlines would be the other carrier in East Africa, after Kenya Airways, to offer direct flights to London Heathrow.

A source close to the airline says the carrier has become well-resourced after President Museveni made it clear to reluctant ministry of finance technocrats, that he would not entertain any financial hurdles in the way of the comeback flag carrier. It is reported that in one meeting last year, Museveni told officials to put his Gulfstream GV presidential transport on the market, if they could not find money for the national carrier within the budget.

The only problem for the airline management now is the uncertainty surrounding the market, since it is not known when the COVID-19 crisis will ease and travel restrictions lifted. Even then, it would be a while before traffic and the global economy recover to precrisis levels. The process of securing flight approvals and recruitment of representatives in the different markets has also been impacted as a result.

Uganda Airlines is the second operator in East Africa to have ordered Airbus’s revamped A330 twinjet. Rwandair has a pair of the larger -900-neo on order but has not given any reason for putting off the deliveries that were due in 2019.

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Uganda Airlines will operate a mix of A330neo’s for the long haul network and shorter range Bombardier CRJ’s for the regional feeder network

January 5, 2019 – Uganda and European aerospace giant Airbus, have converted an MoU for a pair of A330-neo aircraft into a firm order.

256BN has been told that confirmation of the order, first announced during last years’ edition of the Farnborough Air Show, took place in Entebbe just before Christmas as the parties sought to beat a December 23, deadline.  The order is however, yet to be reflected in Airbus official order and deliveries table. There has also been no official communication about the development by both parties.

Failure to confirm the order by that date would have led to forfeiture of the $800,000 deposit Uganda placed on the two airframes when it signed the MoU for purchase rights for two A330-800 twinjets. Other penalties would have involved loss of delivery slots and price escalation.

It is understood that Uganda paid a top-up on the first deposits and signed a purchase agreement. Delivery dates remain December 2020 for the first aircraft, followed by the second one and final delivery in April 2021.

The first A330-800 prototype is now in flight testing having made a maiden flight on November 6. The type will undertake a 300 hour flight test campaign to certification in 2019.

The A330-800 has so far secured commitments for ten aircraft from Uganda Airlines and Kuwait Airways which recently signed up for eight in October.

The -800’s larger family member the A330-900 achieved joint certification by European and US authorities and was handed over launch customer TAP Portugal on November 26.

Dubbed the A330-neo, both variants feature an improved wing and new generation Trent 7000 engines which combined with aerodynamic improvements to the airframe, deliver a 14pc fuel burn advantage over the baseline A330.

Launched in July 2014, the neo’s two versions – the A330-800 and A330-900 – are nominally designed to accommodate 257 and 287 passengers respectively in a three-class layout. They come fitted with the new “Airspace” cabin that features a flat ceiling and larger luggage bins.

Uganda Airlines which is slated to take delivery of the first of four Bombardier CRJ-900’s on February 23 expects to start commercial operations in April 2019.

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CAA Uganda airworthiness inspectors pose by the first example of a CRJ-900 due for handover in February. Courtesy photo

December 10, 2018 – Delivery of Uganda Airlines first CRJ-900 airframe has slipped to February 2019 after Ugandan authorities delayed to appoint a Designated Manufacturing Inspection Representative (DMIR) to oversee the assembly of the aircraft.

A DMIR is an individual consultant or organisation that is employed by the purchaser to make sure that the assembly of an aircraft conforms to standard manufacturing processes.

Images of Uganda’s first CRJ-900, registration 5X-KOB emerged last week showing the aircraft in the paint shop at the manufacturers facilities in Mirabel, ahead of engine mount and cabin installation. The images were later sources to a team of inspectors from the Uganda Civil Aviation Authority that were in Montreal to conduct airworthiness inspections ahead of putting the type on the Uganda register.

Uganda airlines had been scheduled to receive the first aircraft in January 2019 but delays in selecting a financier impacted the appointment of a DMIR. First delivery is now set for February 2019 and sources familiar with the Uganda Airlines project say the launch of commercial operations in April 2019 has not been impacted.

Sources further reveal that Kampala has so far deposited 35 percent of the purchase price for the CRJ’s and has tentatively reached agreement with AFRIEXIM Bank to finance the balance. Uganda is insisting on full purchase because it wants to have the certificates of ownership for the aircraft.

“Given the levels of mistrust around public procurement in Uganda and especially the speculation around this project, as well as the Kenya Airways debacle, we did not want to be in a situation where the public will have doubts about the ownership of these assets,” says a source involved in the procurement.

The source adds that while AFRIEXIM Bank had been selected as the financier, cabinet was lobbied by competing but lesser known funds that were offering a lower interest rate. A cabinet meeting subsequently tasked the Financial Intelligence Authority FIA, to conduct fresh due diligence on the Funds before the AFRIEXIM offer could be signed off.

That was in mid-November and 256BN is yet to get the latest status on this development.

The FIA’s executive director, Mr. Sydney Asubo, confirmed receiving the brief but said he was constrained to comment.

“Unfortunately I am not at liberty to answer those questions. My reports to the Ministry of Finance on this subject are confidential,” he said in response to our questions.

The parallel procurement for the long range Airbus A330-800 for which the carrier signed a purchase MoU last June is proceeding more smoothly. The manufacturer has offered export credit from agencies in the UK, Netherlands and France.

Uganda Airlines CRJ’s will be among the first to feature Bombardier’s ‘Atmosphere’ cabin while the A330-800’s will offer Airbus advanced Airspace cabin, the first aircraft cabin with a flat ceiling and near straight wall panels.

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Uganda Airlines will operate a mix of A330neo’s for the long haul network and shorter range Bombardier CRJ’s for the regional feeder network

October 16, 2018 – Uganda is racing towards a February 2019 target to achieve a Uganda CAA Air Operators Certificate AOC, after securing an Air Services Licence ASL, from the regulator at the start of September.

The comeback flag carrier was one of several applicants whose application for an ASL was the subject of a public hearing on August 23.

A source close to the project says the CAA provisionally issued the ASL as the regulator and the Ministry of Works, mull over whether Uganda Airlines is subject to depositing a $30,000 performance bond since it is a public project.

The carrier expects delivery of its first aircraft mid-January 2019 by which time it expects to have made progress on the five step process towards being issued with an AOC.

“Securing the AOC is a technical process that involves the CAA reviewing and validating the applicant’s operational manuals and internal processes which define the pre-application phase,” adds the source.

In Uganda Airlines case, this will involve the scrutiny of some 19 operational manuals, operational controls, maintenance plan and conducting a type certification of the intended fleet. Because Uganda is buying directly from the manufacturer, this will be done at a state to state level with the CAA directly working with Transport Canada.

Once these formalities have been cleared and the first aircraft delivered, Uganda Airlines will then lodge a final application for an AOC and carry out a demonstration to one of its listed scheduled destinations for the CAA to make a final decision.

The source adds that the process has somewhat been held back by the absence of the five key post holders who must be in place during the certification process. This was been partially addressed after the airline put out adverts for different jobs last month.

To fast-track procurement the Ministry of Works has applied to the Public Procurement and Disposal of Public Assets Authority PPDA to give the Uganda Airlines Project special accreditation as a way of avoiding the timely delays that have been characteristic of public procurement in the past.

Procurement of aircraft which had been vested in the Ministry of Finance has been delegated back to the project team which now expects to conclude review of finance bids ahead of the January 2019 delivery of the first unit.

The team was flooded with offers for finance after it emerged that the Canada Export Credit Agency would not be financing the acquisition of Bombardier aircraft. Some bids by individuals offering ridiculously cheap money have been thrown out after the Financial Intelligence Authority suspected they were tied to dirty money.

“Some were offering very cheap money but they appeared to be more interested in securing Ugandan sovereign bonds which could then be used by them in other ways. The government of Uganda has long stopped issuing sovereign bonds so they were disqualified,” says the source.

A final choice of financier is expected on October 18, when the team sits down to review term sheets with the shortlisted candidates.

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