PIA facing resistance on proposed rise in Hajj fare

[Abbas Ali]

BY MUSHTAQ GHUMMAN

ISLAMABAD (June 25 2007): The Pakistan International Airlines (PIA) is facing stiff resistance from the Religious Affairs Ministry on proposed increase of 25 percent in Hajj fare, it is learnt reliably.

However, Defence Ministry is of the view that the airline should be allowed to increase 10 percent Hajj fare because the cost of acquiring aircraft for Hajj operation on wet lease had reportedly gone up by at least 10 percent.

The final decision would be taken by the federal cabinet, in its meeting on June 27 to be presided over by Prime Minister Shaukat Aziz. Sources said the Religious Affairs Ministry had invited the PIA chairman to discuss Hajj operation 2007 especially fare on May 7.

The PIA chief stated that in recent months fuel prices have started increasing and estimated cost projected for Hajj December-2007 period is $71 per barrel. It was proposed by PIA to increase Hajj fare by 25 percent.

The ministry argued that last year PIA expected increase in oil prices up to $70 per barrel and sought increase in Hajj fare by more than 40 percent. The matter was taken up by the prime minister and fare was fixed in the meeting presided over by him. Consequently, fare for Hajj December-2006 was increased by 21 to 23 percent.

The perception of the PIA was not correct and oil price did not reach the extent it was apprehended. Thus PIA would not have suffered losses during last year Hajj operation.

PIA has now again predicated increase in fuel prices in the coming Hajj season up to $71 per barrel. The demand for enhancement of 25 percent fare against the estimated increase of only $1 per barrel against the last year's projected price of $70 per barrel is not logical, the sources quoted the ministry as saying.

Sources said the PIA chief was told that it would not be a desirable proposition to increase the Hajj fare consecutively for two years. The public perception is that the government would decrease Hajj fare for the forthcoming Hajj owing to decrease in the oil prices.

The standing committees of Senate and National Assembly on religious affairs have also recommended reduction in the air fare for Hajj December-2007. "The increase in Hajj fare will be criticised by the people at large and the situation could be exploited against the government by vested interests," the sources maintained.

They also said that rates of the building/hotel accommodation in Makkah have increased manifold due to demolition of buildings within the vicinity of Haram Sharif for expansion in the prayer area.

In these circumstances, the ministry is facing difficulty in selecting accommodation according to requirement. But the ministry has decided not to increase the ceiling and manage the affairs through other discourse, the sources continued.

Sources said the ministry is of the considered opinion that the increase in the air fare consecutively for two years is in no way justifiable. It will invite criticism from the public and tarnish the image of the government.

It has been suggested that PIA may reconsider its proposal to increase the air fare during Hajj December-2007 and manage the fiscal deficiency, if any, through professional and managerial competence.

Meanwhile, the Defence Ministry has also opposed any increase in Hajj fare assuming that there would be no change in oil prices in the international market, but at the same time it recommended 10 percent increase in fare on account of aircraft to be acquired on wet lease for Hajj operation.

Source: Business Recorder

[Abbas Ali]

10 percent increase in Hajj fare has been approved by federal cabinet meeting chaired by Prime Minister Shaukat Aziz today (June 27).

[Abbas Ali]

Hajj fare

ISLAMABAD, June 27: The federal cabinet on Wednesday rejected PIA’s proposal for raising Hajj fare for this year by over 23 percent and decided that no more than a 10 percent increase would be allowed.

Some ministers proposed to consider for Hajj operation other airlines which were ready to operate on the present fare. But the cabinet approved Defence Minister Rao Sikandar Iqbal’s proposal to raise the PIA fare by up to 10 percent.

Source: DAWN

[Abbas Ali]

ISLAMABAD, Jul 12 (APP): The designated branches of banks will start receiving applications from the intending pilgrims under the government scheme from July 16 to 31, Minister for Religious Affairs, Muhammad Ejaz-ul-Haq announced here Thursday.

“The applications will be received through designated branches of HBL, UBL, NBP, MCB and ABL,” he said addressing a press conference here.

The Minister informed that a total of 159,588 pilgrims will perform Hajj from Pakistan this year out of which 79,500 will be sent for pilgrimage under the government scheme.

Ejaz ul Haq said there will be two White and Green categories of accommodation in Makkah based on distance from Haram Sharif and condition of building.

The White category buildings will be at distance of upto 1500 meters with rent ceiling of SR 1800 while Green category buildings will be at distance of 1300 meters with rent ceiling of SR 2500, he added.

He clarified that there is acute shortage of Green category buildings in the vicinity of Haram Sharif in the present rental ceiling.

However, the distance limitation of Green category has been extending upto 1300 meters.

The Minister said that accommodation at Madina will be hired from accommodation groups at the flat rate of SR 300 per pilgrim to be paid on actual occupancy basis within 700 meters and in exceptional cases upto 770 meters.

Regarding airfare, he said it has been increased by 10 percent so that airfare from Karachi/Quetta will be Rs.38,500 and from other stations Rs.46,200.

He pointed out that no change in any other charges except airfare is being suggested.

He said the total Hajj dues of white category from Karachi/Quetta will be Rs.118,650 and from other stations Rs.126,350 while total dues of Green category from Karachi/Quetta will be Rs.130,750 and from other stations Rs.138,450.

About personal exchange quota, he said the quota of US$ 1300 for pilgrims of white category and US$ 1500 for Green category will remain the same as of last year.

He said the pilgrims will be allowed to carry 10 litre cans of Aab-e-Zam Zam on their own. PIA will arrange free wrapping and free transportation.

PIA will provide Ahram to male pilgrims and gown to lady pilgrims of government Hajj schemes, he added.

Link to complete news report: Banks to receive Hajj applications under govt scheme from July 16

[javed]

ISLAMABAD, Jul 12 (APP):
Regarding airfare, he said it has been increased by 10 percent so that airfare from Karachi/Quetta will be Rs.38,500 and from other stations Rs.46,200.

He said the total Hajj dues of white category from Karachi/Quetta will be Rs.118,650 and from other stations Rs.126,350 while total dues of Green category from Karachi/Quetta will be Rs.130,750 and from other stations Rs.138,450.

This is rip-off. Pakistanis should also be allowed the facility to travel for Hajj/Umra on ground like every other country on the planet. I have seen people from as far as Tataristan and Kazakhistan travelling on buses for Hajj. PIA and Religious minitry are minting fortunes from sincere pilgrims with the connivance of royal family.

Services rendered by PIA as well as the ministry cotinue to stink year after year.