"BACK TO DEMOCRACY FOR FIJI"

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Permalink Reply by philisher mataka on December 7, 2009 at 3:12pm

bula..MIS FANNY

AU KAYA MADA NA PROMOTION...QO...
ENA QAI KIDA MAI O BAI SA BERA..ERA SA PASI TAKI KOYA TALE O RAU NA NONA CHOIR BOYS...

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Permalink Reply by Kuna Osea Malamalanitabua on December 9, 2009 at 2:54pm

Indians have a long history of enslavement by the Mogul Empire.For the GIRMITEERS who arrive in Fiji was akin to Paradise and having free from there bondage they worked extremely hard for their living.As tenant farmers land was a golden gift and their dream of owning or leasing arable lands became a reality.From sunrise to sunset they grow enough for home use and the surplus were sold in markets.Making money became a new way of life and living in Fiji was the best gift that anyone could ever receive from their Gods.Over the years young Indo-Fijians were taught to work hard and appreciate their new found wealth.In return the taukei receive the lease money and most were happy to receive such income bi annually without hardwork.Their discipline life and hard work shaped Fiji's economic development and status.Business and Commerce was mostly owned by them and the taukei began to learn how land into cash and start their own business.The arrival of the Girmiteers was a mana and all of us should appreciate the huge contributions that they had made in Fiji.The real wealth of the nation is slowly eroding and since the first coup the Indo-Fijians have been forced to leave and a great human lost to Fiji and a big gain to the countries that have accepted them as new immigrants.Today they feel like second class citizens and for the last 20 years the real threat is rearing its ugly head.We are guilty of casting the pearls into the swines where they will be lost forever.

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Permalink Reply by Suliasi Daunitutu on December 6, 2009 at 7:48pm

Road User Levy to be used for road maintenance

The Land Transport Authority has stressed that the Road User Levy money is only being collected and kept, which will be used for road maintenance in the future.

LTA spokesperson, Ratu Eroni Volavola reveals the money has been deposited in a separate bank account from January this year.

He said LTA is running on a government grant and not using the money for its operation.

Ratu Eroni said they cannot use that money as government has not issued any directive on who should be using this money.

The Transport Ministry Spokesperson Sainiana Waqainabete had earlier revealed that money from the levy is currently being used for LTA's operational cost.

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Permalink Reply by Loruama Tawawili on December 6, 2009 at 9:04pm

Pakistan: Right to Self Determination
Monday, 7 December 2009, 2:07 pm
Press Release: Asian Human Rights Commission

Pakistan: Sindh And The Right Of Self Determination

As we all know that Pakistan is not a naturally grown country, rather a man-made state that came into existence through a contract between different people. And that contract, everyone knows, is the 1940 Lahore resolution; also called the Pakistan resolution.

In civilized world, for different peoples to live together, a social contract happens to be the guiding and binding force. And to work together, make progress and live in peace and harmony that social contract is mandatory to be followed while in a country like Pakistan that itself came into existence through a contract, strict compliance to this social contract becomes even more important and necessary.

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But regretfully, it is to be said that the Pakistani state has traversed in wrong direction since day one. In fact the story of Pakistan is a story of violations, breaches, and betrayals. The first and foremost violation came with regard to the ‘Pakistan Resolution’ of 1940 when the new state was created as per 1935 India Act. After few days that (1935) Act also stood violated. 1956 constitution was imposed arbitrarily wherein, negating all the arithmetic of the world, 54 percent population was made equal to 46 percent. Only after two years this ‘holy book’ was also buried thanks to the first of the many Martial Laws the country has seen. Designed to suit the whims and wishes of a general, the so-called constitution of 1962 was enforced only to be scrapped with the help of second Martial law. At this stage the most motivated and freedom-loving nation of the subcontinent, the Bengalis, decided that ‘enough is enough’ and an independent country of Bangladesh came into being.

On the other hand, a unilateral declaration of coining ‘New Pakistan’ was made without consulting the national units (Sindhis, Balochs and Pakhtoons) who had originated the ‘Old Pakistan’. In the new constitution (1973) of the new Pakistan, new promises were made though this was the most centripetal of all the constitutions through which all the rights of the federating units were usurped in the name of centre. No need to say that from day one the state of Pakistan has been dominated and monopolized by Punjab, so the 1973 constitution strengthened Punjab’s hold, in the name of centre, over the rights and resources of Sindh, Balochistan and Pakhtoonkhawa. Even this constitution was changed and altered, by civil and military dictators, as frequently as they would change the servants of their house. The biggest violation that comes in the range of a betrayal, committed during Pakistan’s life was when the very identity of the national units, to whom this country owes its existence, was erased in the name of national solidarity.

In short it can be said that the arbitrary, dictatorial and domineering mode of governance has rendered Sindh to the status of a colony and Pakistani has been turned into a colonial state, the way Britain ruled India.

All the natural resources and the sources of income of Sindh have been appropriated by the central government, every possible action is taken to wipe out Sindhi Language, culture and history, the process of bringing people from other provinces and other countries and settling them in Sindh to convert Sindhis into minority on their own soil and keep them in permanent subjugation is underway through state patronage in the same way as the occupying forces did in Palestine, Fiji, Northern Ireland and Western Sahara. And the most importantly Sindh’s political autonomy and the will & decisions of Sindhi people have been thrown in the mud. The status and standing of Sindh Assembly is lower even to that of the local council of a sovereign and democratic state and the laws and resolutions passé by this assembly have been thrown in dustbin like tissue paper by the little people sitting in the big houses of Islamabad. The Capital City Karachi has been made, for all practical purposes, a no-go-area for Sindhis. The writ aid control of Sindh government over the institutions based in Karachi is zero and in order to get education, employment and abode in Karachi, the indigenous people are made to seek certificate from those coming here as refugees.

An idea of the status of Sindh and the authority of Sindhi People in the state of Pakistan can be had from the statement of Sindh’s elected Chief Minister where-in he said that Sindh gives country 67% of the revenue but we have to beg from the central government for every small thing. On raising voice for the restitution of their rights sindhis were branded anti-state and anti-islam. Some rulers ridiculed their culture by declaring it as that of camel and donkey graziers, while others called them uneducated and ignorant.

This situation can only be described as nothing but colonialism and colonialism is neither acceptable nor bearable to sindhis in any case, at any cost. In fact for their national emancipation Sindhis have made great sacrifices and paid heavy prices and are ready and willing to do so again. During their 5000-year long history Sindh has been occupied many a time but sindhi people have never surrendered to the fate. We struggled against the British colonialism and servitude not for becoming subjugated by their lackeys. We don’t want to live as beggars and dependants. We are ready and willing to live with all the nations as equals and as partners.

On the other hand the state of Pakistan, owing to continuous breaking of promises and consistent violations of the (social) contracts, its arbitrary, dictatorial and domineering way of governance and its colonial character, has lost legal political and moral justification to rule over Sindh and sindhis. Now we are being ruled on the force of gun. Twenty first century is the century of peace, freedom and equality. Hence it is time to change the colonial structure of Pakistani state and end its imperialistic role-character.

Sindh is not an occupied territory. Sindh had opted to join Pakistan on the basis of 1940 Lahore Resolution, with its free will where-in it was unequivocally declared that Constituents Units shall be sovereign and autonomous. Sindh had decided to share its sovereignty with the neighbouring nations of the region in order to work jointly for peace, equality, progress and prosperity in Sindh, in Pakistan, in the region and in the world as whole. But the 62 years rule has resulted in war, terrorism, inequality, discrimination, domination, exploitation, poverty, beggary and national insult. Therefore, Sindhi People want to restitute and reestablish their sovereignty so that they can be able to decide their destiny with their free will. Jeay Sindh Mahaz considers it their foremost duty and historical responsibility to stand by Sindhi People in their struggle to achieve this goal. Hence Jeay Sindh Mahaz and its workers pledge to expend all their time, all their abilities, all their energies and all their resources to help Sindhi People get and use their universality recognized inalienable right of self determination.

At the same time we call upon the democratic and progressive people from Punjab to break their silence and strengthen our voice as in a Pakistan-like multinational country national question happens to be the prime question of democracy. Also we hope and expect that peace-loving, humanist, secular, progressive and enlightened people of the world would extend their political and moral support to our cause.

About AHRC: The Asian Human Rights Commission is a regional non-governmental organisation monitoring and lobbying human rights issues in Asia. The Hong Kong-based group was founded in 1984. The above statement has only been forwarded by the AHRC.

ENDS

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Permalink Reply by Loruama Tawawili on December 6, 2009 at 9:34pm

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EDITORIAL: Fiji needs some powerful persuasion


December 7th, 2009



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Digg this Post to del.icio.us Post to Stumble Upon Post to Facebook FIJI is in danger of becoming the basket case of the Pacific as it continues to reject democracy and thumb its nose at its former international partners.


Unemployment is up, earnings are down and tourism once its biggest revenue source is drying up as countries and travellers shun its sun-drenched shores. The island's self-appointed prime minister Frank Bainimarama has refused to heed Australia and New Zealand's advice and return the country to democracy before his chosen election date of 2014 and the Commonwealth Heads of Government Meeting in Trinidad last week confirmed that Fiji was banned from next year's Commonwealth Games in India.
It has also been expelled from the pacific Forum and has had its European aid severely cut back.
The 30 per cent drop in tourism can only be partially blamed on the global financial crisis and the January floods; neighbouring countries have all reported increased tourism as travellers boycott the rogue state.
In the face of mounting international pressure, CHOGM refused to consider Fiji's re-entry to the Commonwealth until the restoration of constitutional civil democracy and the protection of fundamental human rights.
Bainimarama refuses to countenance any backdown and continues his autocratic rule with the help of the armed forces and the belief that he is ruling in the best interests of the country. His bullying of the media has helped stifle any concerted voice of dissent. The Fiji Times, has been closed down, re-opened, its journalists threatened, arrested and harassed and writers of letters criticial of the regime have been brow beaten and threatened. Australian and New Zealand correspondents have been deported for reports critical of the government.
It is in the Pacific area's best interests to have a vibrant, active and democratic Fiji back working within the various Pacific rim forums and the Commonwealth. Ostracism benefits no-one and the CHOGM intent to leave the door open for Fiji to resume some sort of contact is a welcome one.
The catalyst for that change has to come from within, perhaps with the persuasion of fellow island nations in the area.
Following the sacking of the judiciary last April, Australian Foreign Minister Stephen Smith promised sanctions if order was not restored. The suspension from the Commonwealth in September seems to have done nothing to change Bainimarama's stance and, despite the official CHOGM open door, there is a real need to apply further sanctions.
This is about the rights of the Fijians and the future of the country and only the restoration of democracy can bring that about.



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Permalink Reply by Loruama Tawawili on December 6, 2009 at 9:37pm

Does the military have a role in Fiji’s deadlock?
Sai's Comments:
This is an excellent piece and coming from an ex-military officer who is well schooled in the military tradition and its proper role in a civilised nation.
Imagine what Fiji's military status would have been if led by Baledrokadroka?
Spoken by one who also have the brains unlike the current crop of officers in the RFMF who have been promoted by default and well in contravention with their level of competence as Baledrokadroka so accurately noted.
The truth is we must hold on to this notion that there is just no place for the military in Fiji's politics. The sooner this gem of wisdom percolates into the brain of Voreqe and his military council the better it would be for them and people of Fiji and Fiji's standing in the eyes of the world.
Well done Jone Baledrokadroka and the RFMF desperately missed people like you.






Does the military have a role in breaking Fiji’s political deadlock?


December 6, 2009


Posted by Rawfiji news


Jone Baledrokadroka
On this day the Third anniversary of the 2006 military coup, Fiji’s military regime will no doubt be spinning its own mangled propaganda as to its social and economic “achievements” in its “new legal order”. It is as if the military coup d’ etat has become an integral part of Fiji’s political system, rather than an aberrant event.

If we accept coups are an aberration, then Fiji’s political deadlock the last three years marked by human rights abuse, international isolation and social and economic decay, undoubtedly created by the Military, can only be unlocked by the military relinquishing its self assigned political role.

As it is the military blames everyone else for Fiji’s problems- politicians past and present, colonial policies, regional neighbours, the global economic crisis, the Fiji rugby teams failure to do the cibi etc etc but itself.

The military intervention into politics that began in 1987 with the Rabuka coup has spawned the present crop of senior military officers who despite having been given the best international training in the democratic “objective civilian control” theory of civil-military relations choose to flout it. The present military command clique who obviously are overly promoted beyond their level of competence because of the purging of dissenting senior officers, have again since Rabuka and his coup tarnished the honourable profession of arms by pretending to be both soldiers and politicians.

Their claims to be implementing a historical mission and to impose a transcendent virtually sacred ‘common good’ will economically and socially ruin the nation. Regime Propaganda aside, the figures just do not stack up, Fiji with its small economy and ever dwindling skilled human resources, simply needs its larger neighbours.

The Bainimarama cleanup coup of 2006 heralded by the ‘guardians of democracy’ as defending the permanent interests of the nation is incompatible with democratic politics. Under the present circumstances ostensible compliance with democratic procedures, including elections, open rigourous debates, judicial deliberation, media reporting and normal government business masks the permanent threat of ‘veto’ by the guardians’ swords via draconian decrees and a pliant judiciary.

Indeed Fiji has become a ‘Protected Democracy’- an idea dating from the first Spanish American democracy after independence from Spain and resurrected for the ‘transitions’ of democracy in the 1980s and 1990s. In Latin America-indeed a region familiar to Bainimarama having circumnavigated that continent with the Chilean Navy- it meant despite replacements of military regimes by elected civilian governments, there remains the threat of military veto if civilians behave ‘imprudently’ or threaten the nations permanent interests and the institutions bequeathed by the authoritarian regimes of the 1960s and 1970s. This scenario for Fiji’s political future is not as far fetched – I have posited since January of 2006 that Fiji was set to enter a protracted decade of militarized Protected Democracy, Latin American fashion, if the people of Fiji remain docile.

The Military vs SDL government standoff of 2001-2006 and the 5th Dec 2006 coup is the example of this militarized political phenomenon. The threat and execution of military intervention by the ousting of the legitimate SDL Coalition government was premised on the vague notion that the people must be protected from themselves allegedly from government’s ethno nationalism and systemic corruption that might subvert the existing democratic political order. Unfortunately the 2000 coup was the trigger for this unfolding Protected Democracy concept. The promised 2014 elections is a mirage judging by what Attorney General Aiyaz Sayed-Khaiyum said in the heavily censored media this week that the regime “has put land reform down in its 10-point plan, a schedule of what it wants to achieve by 2020”.

As Alexis de Tocqueville put it with reference to the French revolution, when the “state” personified by public officials, (or a ruling party, the armed forces, or a moralizing faction) presumes a directive and moral mission rather than the more humble task of representation and stewardship, “it is not the people who predominate but those who know what is good for the people, a happy distinction which allows men to act in the name of nations without consulting them and to claim their gratitude while their rights are being trampled underfoot” .

As for the Fiji military regime, it is indeed a discovery of modern days that there are such things as legitimate tyranny and lawful injustice, provided that they are exercised in the name of the people.

How do we get back to liberal democracy in Fiji? The Military officers have to understand in today’s world it is not their place as a profession to run government. The quicker Fiji’s military elite find this out what past military regimes in Turkey, Thailand, Pakistan and Indonesia have found out after decades of military dictatorship, the better for everyone.

More so the past traditional Fijian idiom of “keda nai Taukei e rauti keda ga na veiliutaki kaukauwa kei na kana kuita”- (we Fijians respond to authotarian rule and the fear of punishment), currently the rallying lore of the military elite, is feeble as fantasy, and false discipline to say the least.

Unfortunately this outdated native mantra has been embedded in the thinking of the senior officers who implicitly have confused the people to accepting that they have the right to elect government and the military the right to ousting them when it determined it suited the people. And that sovereignty lies in the military and its regime installed President and not the people.

In fact what has unfolded in the last three years is a reinvention of Fijian Chiefly rule through the military. And the selective use of the old elitist hierarchy with a smattering of right and left wing coup apologists, of whom some have fallen by the way side.

So to somewhat agree with Sir Michael Somare who asserted that Fijian dictatorship is quite unlike Western style dictatorship-Yes, just a good old fashioned Fijian elite power reassertion –if you may.

This assessment may come as a surprise to those victims of past coups who with a vengeance feel that Fijians and their chiefly elites per se deserve to be couped and see the coupists as their hero. In fact quite the opposite is unfolding given that the regime is propped up by a 99% Indigenous Fijian Military.

To my former colleagues in the RFMF you will have to reconcile Bainimarama’s long term personalist rule agenda as documented in April 2004 as RFMF Administration Instruction ‘Military for Life Concept’ and the reality of his misgoverning, cronyism, nepotism and corruption of his regime.

Your gravy train will end and you will be accountable. The Fiji National Provident Fund is the only cash cow that is propping you through your huge military budget which is way beyond a credible threat assessment and force structure analysis in order to buy your loyalty.

To the regime we say, as emphasized by Loveman, in the book, ‘To Sheath the Sword’, “Constitutional and legal reforms will not end militarism or guarantee consolidation of democracy. Such developments depend on many international and domestic factors, long term strengthening of political institutions and changes in military professional socialization’. Your lack of legitimacy to rule has exacerbated your record of failures the past three years which will only be compounded with its lack of political vision.

With the upcoming February 2010 national dialogue forum, the true test for moving the country forward is for all credible participants with the courage of their democratic conviction to call for the Fiji military to sheath the sword and return to barracks for the good of the nation.

We reiterated our call in our first democracy movement meeting this year- history has taught that power will not be relinquished freely by oppressors –it has to be demanded by the oppressed. It is for those participants of the forum to say enough of this cruel hoax such as quixotically unfolding and return the country to liberal democracy.




Posted by Sai Lealea at 11:50 AM
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Permalink Reply by Mike on December 6, 2009 at 9:00pm

COVER STORY: AIR WAR OVER NADI

Will Air Pacific be the casualty in V Australia and Jetstar battle?

That African proverb—when the mighty elephants fight, the little grass gets hurt—will come true for Air Pacific when Australian carriers V Australia and Jetstar begin flying into Nadi as early as next month. Air Pacific—experts have told Fiji Business—must get ready to take the fall when the clash of the Australian titans extends over to its air space.
From December, V Australia will take over the Sydney to Nadi route from its sister company, Pacific Blue, using its bigger long-haul aircraft, the Boeing 777.
Straight away, V Australia will double the daily capacity to Nadi, from the 180-seat Boeing 737 used by Pacific Blue to the 361 seats available on its Boeing 777-300 aircraft.
There is one catch however, and this Fiji Government officials say will offer some relief to its national carrier.
Under the air services agreement between the two countries, Australian designated airlines can fly up to 5000 people to Fiji in one week. Air Pacific, on the other hand, has a quota of 6000 seats per week.
For now, the Australian Government’s International Air Services Commission (IASC) has put a cap at around 1760 seats a week for Australian airlines that fly to Nadi.
Out of this, it has offered V Australia 907 seats and QANTAS 852.
By opting to use a bigger aircraft and keeping within its assigned quota, it means V Australia will be flying half empty planes to Nadi daily. But for people in the airline industry, they say V Australia’s interest in Nadi is not borne out of commercial reasons only. Most of it, they say, is due to technical considerations.
“In between their daily Trans-Pacific flights [between Australia and the United States], V Australia will need to utilise its fleet of Boeing 777,” a source in the aviation industry told this magazine.
“A parked aircraft is a very expensive aircraft and that is why Pacific Blue has vacated the Sydney-Nadi route to make way for its sister company to make use of its bigger jets.
“Nadi just happens to offer the right turn-around time for the aircraft, so it is very convenient for V Australia.”
The Fiji service also allows the new airline to meet technical requirements of the aircraft as well as that of its pilots and inflight crew.
Pilots of Boeing 737 need to clock up certain flying hours before they could join the bigger Boeing 777 crew and V Australia will also need to utilise the many senior pilots they have hired on temporary contracts for their training programmes, so the Fiji service will meet those requirements perfectly.
This source believes that to make the Sydney-Nadi route viable for itself, V Australia will most probably look at the business travel market and air freight.
“With the Boeing 777 aircraft, over 70 of its seats are either in business or premium economy so one would imagine the airline is going to market those seats vigorously,” our source said.
“They will have to find ways to make use of their flat beds (in business and premium economy) in the short-haul daily flights to Nadi.”
In its presentation before Australia’s IASC this year, V Australia identified lower airfares and freight capacity as its target for the Fiji service.
“The introduction of V Australia will enable the Virgin Blue Group to maintain the competitive pressure which has led to substantially reduced leisure-sector tariffs on the route, to introduce real competition in the premium market, and significantly increase air-freight capability and competition,” the company said in its submission.
“The lower unit cost of the Boeing 777-300ER will enable V Australia to operate a virtual low-cost cabin in the aircraft that will not only match fares already introduced by PBA [Pacific Blue] but also provide the opportunity for tariffs even lower than those currently available in the market.”
How low would the price of air tickets dip? Some experts believe it could drop as low as A$50 one way, as has happened in other routes Virgin or Jetstar had battled.
Commercial proposition: Great news for air travellers, but not so much for Air Pacific, this magazine has been told.
Even before V Australia flies in, our national carrier had suffered the first blow—its strategic partner for over 20 years QANTAS announced it wants to bail out.
Fiji’s Director of Civil Aviation Akuila Waradi insisted that QANTAS’ decision was purely a commercial proposition, unrelated to the politics of Fiji or Australian governments.“
You see the current global financial crisis has forced major airlines and companies to review their operations and tighten up their finances,” Waradi told FIJI BUSINESS.
“Altogether some 40 airlines around the world had collapsed because of the financial crisis.
“Like other airlines, QANTAS wants to concentrate on its core business and therefore had taken the decision to sell its shares in Air Pacific.”
Waradi said QANTAS CEO Alan Joyce personally conveyed the airline’s intention when he came to Fiji last August to attend a shareholders’ meeting of Air Pacific.
Sources in QANTAS confirmed Waradi’s assertion that the Australian airline's withdrawal from Air Pacific is purely for commercial reasons.
“Its shares in Air Pacific were one of the least performing investments of QANTAS, and it is for this reason that the airline decided to divest its shares,” this magazine was told.
“QANTAS is also divesting its shares from a courier company it co-owns in Australia so the withdrawal from Air Pacific is purely commercial in nature.”
It is also strategic, another source told us. Angered by V Australia’s move into Nadi, QANTAS felt its budget subsidiary, Jetstar, must counter its competitor by mounting flights into Fiji as well. And it won’t be able to compete effectively if QANTAS continues to hold shares with another airline that serves the same route.
This source also told us that since December 2006, relations between the two main shareholders of Air Pacific—the Fiji Government and QANTAS—had been anything but “warm.”
During his tenure as interim finance minister, Fiji Labour Party leader Mahendra Chaudhry accused QANTAS for the “inertia” performance of Air Pacific, saying it was hardly posting profits and hasn’t’ secured new destinations for over a decade.
Other members of the regime wanted a review of the shareholders' agreement between the two major parties and formed a cabinet review team as a result.
Waradi said QANTAS wanted to sell its shares as soon as possible.
A committee, he said, has been established to oversee the sale and agreeing to a term of reference will be one of its priorities.
Shares: How much the shares are worth is an interesting question, the senior civil aviation official said.
“A guide on this will be the last time shares were sold in Air Pacific,” said Waradi.
“This happened in 1998/1999 when QANTAS bought more shares from the Fiji Government for F$3.70 a share.”
Given the state of the airlines around the world and the downturn brought about by the world financial crisis, the Fiji Government is hoping QANTAS would divest at a rate lower than $3.70.
The word, however, from QANTAS is that it would not let go of its shares cheaply, so the Fiji Government will have a fight on its hand.
In a story our sister publication ISLANDS BUSINESS published in June 2008, it said that the Fiji Government’s 51% shares on Air Pacific was worth around F$240 million.
If this figure is correct, then that would put QANTAS’ 47% shares at about F$221 million, the kind of money we have been told the Fiji Government clearly does not have.
So which airlines would be potential buyers? Sources in the industry rule out airlines in Australia, New Zealand, the United States and Europe.
Most of these are struggling in their own ways, and even QANTAS has been talking about merging with other big operators to weather out the sluggish international air travel market.
The name of Emirates airline has been floated, although one of our sources said he will be surprised if the Dubai carrier does buy into Air Pacific.
Emirates had been hit badly by the global recession and its only strategic partnership with Air Sri Lanka didn’t quite work out.
Fiji civil aviation officials had been in talks with Dubai but this was over an air services agreement between the two countries.
One source told us the airlines to watch out for as potential Air Pacific partners would be those in Singapore, Malaysia, China and Hong Kong.
No one proposed Pacific Blue, although the possibility of it buying into Air Pacific could not be ruled out altogether.
It already enjoys a similar partnership with the Government of Samoa over Polynesian Blue.
On its own though, how will Air Pacific fare when the sky war between V Australia and Jetstar shifts over to Nadi?
Air Pacific—a FIJI BUSINESS knows—is working on several scenarios.
If the aerial war is brief, then the national carrier would be able to survive. Already Air Pacific is a lean and mean operator.
In other words, compared with other airlines around the world, Air Pacific is a safe airline operating with very low costs.
But with airfares out of all Australian destinations dipping as low as A$50 one way, Air Pacific—like any other airline—will suffer. Part of the problem is the inherent limitation in the market.
Figures sighted by this magazine show that the Australia-Fiji route have been growing on average at 3.5% per annum.
In dishing out extra seats to both V Australia and Jetstar, Australia’s IASC had artificially grown the market by more than 37%.
Possible scenarios: This decision basically means that to survive, the two airlines together with Air Pacific will have to poach each other’s passengers, something that is discouraged in the two countries’ ASA.
“In order to survive the intense competition, the national carrier will have to rein in costs,” this magazine was told by an aviation expert.
“Therefore, first in its list would be to terminate loss making routes and that will mean withdrawal from Los Angeles and also Hong Kong.
“Once you do that, Air Pacific will realise it needs to sell off its bigger aircraft like its two leased Boeing 747, its Boeing 767 and even the eight Boeing 787 that are being ordered from Boeing.
“Air Pacific will have to revert to being a small regional airline content with operating the smaller Boeing 737 and ATR aircraft.”
This, the expert said, is not the worst case scenario. The worst case option will see the national airline going belly up, declaring bankruptcy.
Over the last financial year, this happened to about 40 airlines worldwide.
The worst thing about this is that the Fiji Government can do nothing to stop V Australia or Jetstar from flying Air Pacific’s most lucrative route. Actually, Suva has that option of banning both Australian airlines from using Nadi International Airport.
But experts say this will be an exercise in futility as it would only trigger a tit-for-tat reaction from Canberra and Air Pacific would find itself banned from flying into any Australian cities.
The pressure from V Australia and its sister carrier Pacific Blue—FIJI BUSINESS is told—is relentless. Now, it’s demanding that its Australian flights to Nadi should be given rights to continue onto New Zealand, which apart from Australia is another money-making route for our national carrier.
Air Pacific and its key shareholder the Fiji Government it seems, are fast running out of rooms to manoeuvre.
As way back as 2007, the national airline had warned about the push by Australia to saturate the Fiji market and jeopardise in the process the viability of Fiji’s national carrier.
Canberra was a big proponent of the Pacific Islands Forum’s free sky policy under the Pacific Islands Air Services Agreement (PIASA), which Fiji had refused to sign until 2007.
AusAID funded a New Zealand consulting company to promote the advantages of PIASA, and this report did make the assertion that Fiji would still make money even if Air Pacific collapses due to competition from other airlines.
Extracts of that story first published in the June 2000 edition of ISLANDS BUSINESS is reprinted here:

FIJI REGIME PROBES NATIONAL CARRIER

Future of Air Pacific hangs in a balance
Somewhere in the Ministry of Civil Aviation is a document that will provide good background reading for the [cabinet] review team.
The document was submitted by Air Pacific as its formal rebuttal to an AusAID-funded study on introducing a free sky policy in the Pacific through the Pacific Islands Forum sponsored Pacific Islands Air Services Agreement, PIASA, for short.
The study by McGregor Consultants of New Zealand had made the assertion that even if Air Pacific was to go out of business because of competition brought in by PIASA, Fiji would still benefit in the long run.
The McGregor Consultants report estimated a loss of US$31.5 million annually to Fiji if Air Pacific is closed, yet the benefits from other airlines flying into the island nation will bring US$32.3 million, a net benefit of US$0.8 million.
Air Pacific, however, rejected this notion, saying the report has conveniently forgotten that Air Pacific is Fiji’s biggest business and its closure will be a huge blow to the country’s economy with losses expected to accumulate into hundreds of millions of dollars.
“McGregor Consultants have got it wrong when they reported that the loss to Fiji would only be US$31.5 million—there are significant flow-on effects not taken into account and significant impacts at socio-economic and political levels not even considered,” said a formal rebuttal from Air Pacific.
“Air Pacific is Fiji’s biggest business (in terms of revenue) and it is unreasonable to assume that it is immediately replaceable, nor take into account the ramifications of a country losing its biggest generator of cash reserves and catalyst, and biggest supplier for its biggest industry, tourism.
“There is no mention of how the net liberalisation benefit of US$32.3 million is derived.
“In any case, if this and the derivation of the loss of Air Pacific (US$31.5 million) is plausible, McGregor Consultants are telling Fiji that it is worth allowing its aviation and tourism industry to go under in order to gain a mere US$0.8 million.
“The reality is that Fiji will lose substantially instead of gaining US$0.8 million.”
This rebuttal document outlined several items the McGregor Consultants report failed to identify as sources of huge losses to the Fiji economy if Air Pacific is closed for business.
These included the immediate loss of up to 22% of the country’s cash reserves and 17% to Fiji’s Gross Domestic Product.

Other losses the report excluded, according to the airline included:

• Loss of the Fiji Government’s share of its assets in Air Pacific amounting to F$240 million or 51% of the balance sheet.
• Fiji Government will have to meet all outstanding liabilities not covered by the sale of Air Pacific assets, including the purchase of eight B787 aircraft valued at F$2.4 billion.
• Losing benefits of QANTAS partnership including its enormous marketing machine. Tourist numbers to Fiji should drop as a result.
• Fiji will become a costly and less convenient travel destination because new operators won’t take up all direct routes that were operated by Air Pacific and yet were not profitable. These included Japan, USA and Canada. Only rival destinations like Bali, Phuket and the Caribbean will benefit.
• Local suppliers to Air Pacific will be forced out of business. Major suppliers include Airports Fiji Limited, Air Terminal Services and JUHI fuel.
• No replacement to the full magnitude of marketing and sponsorship dollars spent by Air Pacific on promoting Fiji. The national carrier spends three times more than the Fiji Visitors Bureau.
• Fiji Government will lose out in taxes, dividends, FNPF and consumer spending (VAT) from Air Pacific’s 800 plus employees as well as the countless others in dependent businesses and suppliers.

Taxes and dividends to the Fiji Government averaged F$10 million per annum in the last five years.
Said the Air Pacific document: “If these significant impacts were taken into account, who would benefit from Fiji’s acceptance of open skies? Certainly not Fiji.
“The report admits that PIASA’s success is dependent on Fiji and French Polynesia becoming parties to it.
“In fact PIASA’s success is dependent on Fiji and French Polynesia subsidising other members’ ailing aviation industries and eroding our own for the benefit of the region.
“We suspect that French Polynesia understands this as well, hence their resistance to participate.”
PIASA is the acronym for Pacific Islands Air Services Agreement, an initiative for a free sky policy being advocated for the islands of the Pacific by the Pacific Islands Forum Secretariat.
Fiji’s national carrier says the McGregor Consultants report did not appreciate the economic benefits Air Pacific provides for Fiji.
It simply presents Air Pacific as a business entity that is expendable and can be replaced by some foreign airline or airlines immediately and very easily.
“This is actually far from reality as foreign airlines will not take over all Air Pacific routes nor will they do so at once.
“It appears the report did not fully discuss or take into account the real cost to Fiji of the demise of Air Pacific.
“It merely used as a simplistic approach based on Air Pacific’s balance sheet figures to assess the loss to Fiji.
“This is not entirely surprising as McGregor was sponsored and funded by AusAID on behalf of the Forum, both of whom have been promoting and lobbying for Fiji to accede to PIASA. This (McGregor) report supported that lobby.”

WHAT ASPA SECRETARY-GENERAL GEORGE FAKTAUFON SAYS:

Competition can be good for a country, particularly one that relies much on tourism, because cheap fares definitely will attract more people to want to fly.
On the other hand, competition, if unchecked, can lead to the demise of airlines, as we have witnessed all over the world, even in our region. This is how it works. In the battle to capture customers, airlines use a wide range of tactics to ward off competitors. Increasingly, price is the weapon of choice and frequently the skirmishing degenerates into a price war. Creating low-price appeal is often the goal, but the result of one retaliatory price slashing after another is often a precipitous decline in industry profits. Looking back at the airline price wars of 1991/92, when American Airlines, Northwest Airlines and other United States carriers went toe-to-toe in matching and exceeding one another’s reduced fares, the result was record volumes of air travelers – and record losses. Some estimates suggested that the overall losses suffered by the United States airline industry in those two years exceeded the combined profits for the entire industry from its inception.
In the Pacific islands region, there is often a conflict between the objectives of the tourism sector and those of the airlines. The national tourism offices, hotels and tour operators want as much airline capacity to be provided at the lowest cost. On the hand, the airlines would prefer as many people to travel at the highest possible yield.
Many Pacific Islands governments now believe that airline competition will generate more inbound tourism and is good for the region. Governments argue that competition will encourage the efficient provision of airline services at the lowest possible cost and price. But the competitive model relies on existing carriers challenging each other in an attempt to improve their position in the industry and on new entrants exploiting the opportunities and preventing established carriers from excessive profiteering in the market place.
Of course, there are a number of barriers to competition which hinder this process. Lack of sufficient tourism infrastructure is clearly a major problem. In many Pacific islands countries, there is a shortage of good quality hotels. There is also the clear seasonality where there are highs and lows in demand from our traditional source markets. In these situations, a price war is likely to lead to a fight for market share rather than increasing the number of inbound tourists.
Competition relies on the ability of the airlines to compete and to challenge one another continuously. Although passengers benefit in the short-run from lower fares and high frequencies while the battle is taking place, they will suffer from four possible harmful effects in the long-run.
First, if the loser is more efficient than the competitor but is forced out of the market for whatever reason, competition will jeopardize the tendency towards innovation and efficiency in the industry. Secondly, if the price war leads to the demise of the competition, this can lead to higher prices and lower frequencies in the medium to long-run as the survivor seeks to recoup the short-term losses incurred during the price war. Thirdly, there will be the tendency for carriers to withdraw from routes that are essential but not profitable.
Lastly, if the loser happens to be the national carrier, which is so vital for the nation’s long-term goals and tourism objectives, then you are left at the mercies of foreign carriers.
It is important for policymakers to understand that price wars can create economically devastating situations that take an extraordinary toll on carriers and their viability. No matter who wins, the combatants will all end up worse off than before they joined the battle.
In the case of Fiji, Air Pacific has proven its reliability and commitment to Fiji’s tourism industry over the years. Although competition has brought some benefits to the tourism industry since Pacific Blue entered the market, the additional competition when Jetstar and V-Australia enter the Australia-Fiji route will definitely have a tremendous negative impact on the economic viability of the national carrier. The challenge for Fiji is whether the additional benefits resulting from the competition can more than offset the impact on the national airline but more importantly on the future stability of the tourism industry. A stable tourism industry requires a stable and viable air transport system. The government therefore needs to monitor these developments closely to ensure that Fiji does not suffer in the long run, by using the bilateral system to its advantage, a tactic often used by Australia to protect the “National Interest”.

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Permalink Reply by Loruama Tawawili on December 6, 2009 at 10:41pm

The Santa Rosa Meeting.

As President of the USA Branch of Democracy and Freedom for Fiji Movement I would like to take this opportunity of thanking all who came to The Flamingo Hotel for the meeting of the said movement.
It was a very successful meeting because at the end of which there was the formation of a steering committee to continuie with the goals and aspirations of the said Movement.
These are the people in the streerring committee of the DFFM

Chairman Loruama Tawawili
V/Chair Tevita Korodrau
Members Apolosa Gucake'
Mrs Vakarewakobau
Mrs Kasanita Lindewll
Mr Naca.
Mr Sekope Tauyavu
Mrs Tepola
Thje concensous at the meeting was
1. Remove Bainimarama from the PREMIERSHIP OF fIJI.
2.fIND WAYS TO END COUP CULTURE IN fIJI
3.Find other affiliations for fostering our cause
4. Funding to help us stay afloat
5. Get non profit Org to help us


The meeting was funded by the folowing Individuals

Te Korodrau $400.00
L Tawawili $200.00
Mrs Tepola $200
The next Steering Committe meeting will be on the 15th of Jan at the same venue.
Once again my heart felt thanks for all who attended the meeting.

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Permalink Reply by Suliasi Daunitutu on December 7, 2009 at 12:29am

Great work gang, looking forward to working with you guys in trying to restore democracy to our beloved Nation.

Vinaka Mr. President, Vice, ladies and all who attended. Sega ga nai taba me da sarava, kei na so na ka sa veivosakitaki rawa.

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Permalink Reply by Apo Gucake on December 7, 2009 at 1:37pm

Malo a bula Suli, Mrs Samisoni, Serene, Malevani, NZ et all. Our meeting in Santa Rosa went well given the teething, mechanical and nuances of understanding and coming to terms with how org. are started in the US. It was a learning experience for Loru and Te-when in Rome do as the Romans applies since we live in this great democracy called the US of A, but the work carries on, the dream lives on. I must admit that we all agree on one thing i.e. the restoration of democracy and rule of law back home despite the prevalent structural and house keeping issues we needed to attend to i.e. 1) formation of 501(c) 3 non-profit, 2) database of members and overall # of Fiji islanders in the US, petition letters to be sent to our respective congress reps in our various jurisdiction including engaging the US Permanent Sect to the UN (Susan E. Rice) since the US contributes slightly more than a quarter of the annual costs for UN backed peacekeeping operations which includes FJ and 3) seek funding sources from various grants like the Carnegie Foundation, etc that support human and civil rights globally.

Our work is cut out for us, but it is a challenge that we will not back out from given the current juncture and fork in the road we have come to. I believe that we are at a point in our history that will define the future of our land. Soft sanctions have not worked and it is time to consider other options given the plight our country is headed-economically, fiscally and morally.

A quote came to mind given the magnitude of work we have at hand. "All that is necessary for evil to triumph is for good men to do nothing"-Edmund Burke. Let the annals of history be rewritten for FJ that we who love our country shall never let the dictates of a few determine the course of our struggle, that freedom shall be triumphant and that the people shall be given their God given right to determine their own destiny, however the dictates of their heart, governed by the majority and blessed by the land, chiefs and our forebearers. We have started to run that first 100 yards of the marathon, we will stay the course, never quiver nor fail. Failure is not an option for the stakes are too high for our children and future posterity. God bless Fiji and may the love of Christ make our hearts warmer this festive season as we contemplate our own "personal Gethsamane" and what it would take to free our country from the woes of corruption, decree, human rights and press restrictions in place. The battle has to be fought from the outside in.

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Permalink Reply by STEE on December 7, 2009 at 2:37pm

"Learning experience for Te and Loru.." ..??? These two guys happened to have done a lot for the groundwork of this movement, and we would appreciate it if you exercise more respect and be a little more discreet, for these two gentlemen, Apo Gucake. Stop encouraging this bad blood amongst this movement, and it would be wise to remember at this stage, that no one is indispensable..!! As we have always said, this is not about our personal popularity, or trying to fulfill your habitual urge to lead.. This fight is about our people back home. Sega soti ni vinakati tiko na mai veisisivi vuku, vosavosa vakamaqosa..kei na vosa veibeci e mai tau sabalia tiko ( even at the meeting..!!)

POWER TO THE PEOPLE...!!

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Permalink Reply by Apo Gucake on December 7, 2009 at 7:17pm

Stee: you're missing the whole point bro. This thing is never about me, its the cause. Why don't you ask Tevita and Loru how the mtg went? You might be surprised at what you learn. What is said on cyberspace, blogs and the net are just that bits and pieces of information which needs to be vetted to the reality of situation on the ground i.e. at the meeting and that was what happened last Saturday. As for your assumption, that I am trying to sabotage, or encourage bad blood is further from the truth. I am not trying to lead this effort either as I have enough on my plate but I will hold our leaders accountable to the community we serve, in this case the Fijian community in the US. If this comes thru to you as veibeci, viavia vuku, etc then maybe you are taking this thing too personal bro. Then maybe that's what sets us apart. I have every right to say whatever damn thing I can say on this blog. That's the great thing about America bro, we can agree to disagree but at the end of the day the work still gets done. Look at the big picture Stee you wanna talk sense how about a little courtesy put a face to the picture meda veivosaki vakatamata. Long story short Stee is you will never understand why I am being so critical because you have never walked my path. Peace.

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