State eyes early launch and LCC concept for ToMontenegro
The Montenegrin government hopes for the country’s new national airline, known under the working title ToMontenegro, to launch before April 1, in time for the 2021 summer season, however, only if it is able to take over commercial agreements, staff and aircraft from the country’s former flag carrier. Otherwise, the process may take up to nine months. Furthermore, the state expects for the new airline to operate under a low cost carrier (LCC) model. “We are looking to transfer everything that we can from Montenegro Airlines into the new company. We are in discussions with Embraer to take over the aircraft which operated at the former airline. In terms of staff, part of them will start work at the new airline, while others will be offered renumeration packages. If we can inherit everything from Montenegro Airlines, including the workforce, interline and codeshare agreements, aircraft and slots, which depends on factors which are out of our control, such as plane manufacturers, then we expect for the new company to launch before April 1”, the State Secretary in charge of Transport at the Ministry for Capital Investment, Zoran Radunović, said.
The Ministry for Finance has issued a public call for experts to submit their CVs in order to be part of the task group which will work on the formation of the new airline. The requirements can be found here. The Ministry has so far held initial talks with two foreign consultants, one of which is believed to be Knighthood Capital headed by former Etihad Airways CEO James Hogan. This week, the government will launch a tender for an external consultant to aid in the set up of the new airline.
There is still a possibility for Montenegro Airlines to restore limited operations in the coming weeks until the new carrier is launched with a final decision on the matter to be made early next month. The carrier’s fleet currently consists of four aircraft, two of which are grounded due to technical issues and two which are operative. Commenting on ToMontenegro’s future operations, Mr Radunović said, “The new company will be based on low cost airline principles, with minimal expenses. Operational staff will be at the forefront, while administrative will unfortunately, for the most part, have to be outsourced”.
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