Crucial
Reforms to Civil Aviation
The first airline to advertise on
its airplane, Shenzhen Airlines earns 1 to 2 million RMB
yuan annually from advertising. |
After merging and reshuffling Chinese airline
companies into six groups, the Civil Aviation Administration
of China (CAAC) recently decided to close down 23 provincial-level
civil aviation administrations. The administrative responsibility
for some 93 airports was then transferred to local governments.
CAAC officials indicated that the aim of these reforms was to
remove government administration from airport operations, and
separate government trade supervision from asset management.
This move will encourage local governments to take the initiative
in airport investment and make use of this advantage in airport
construction and management. The reforms will also enable airports
to manage themselves independently, sharpen their market awareness
and improve their economic performance.
