Peru to liquidate TANS

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Peru’s Government has opted to liquidate the military-controlled civil airline Transportes Aereos Nacionales de Selva (TANS), grounded since January over a failure to comply with safety regulations.

It says that there is no need for a costly state-funded carrier because there are other airlines operating within Peru.

The Government’s decision comes as the Peruvian air accidents investigation agency releases its report into the August 2005 fatal loss of a TANS Boeing 737-200, a report which heavily criticises the jet’s crew for failing to observe standard operating procedures.

[TANS] is economically and financially non-viable as it produces a high cost load for the state,” says the Government’s decree.

A source at the Peruvian civil aviation administration says: “There are four private airlines which more than adequately serve Peruvian domestic routes.”

The source says that this situation “makes a state-owned airline unnecessary”.

Since the grounding TANS has claimed repeatedly to be close to recovering its operations with new operations oriented towards public service to remote areas.

But the administration of Peru’s newly-elected President Alan Garcia has clearly indicated that loss-making state companies will not be maintained in sectors where private operations can meet demand.