Business News of Wednesday, 24 September 2014

Source: B&FT

Africa World Airlines: The journey so far

On September 21, 2012, an ambitious airline officially commenced operations in Ghana with a maiden flight from Accra to Kumasi.

In an industry that was dominated by the three existing domestic carriers at the time -- Antrak, Fly540, and Starbow -- the entry of this new airline, Africa World Airlines, generated new excitement among the travelling public and stirred interest in air travel.

The airline's entry into the market brought a lot of competition that led to a significant drop in air fares. Fares fell significantly to as low as GH?70 on the Accra-Kumasi route.

The founder of the airline, Togbe Afede XIV, the Chief Executive Officer (CEO) of Strategic African Securities (SAS), also President of the Asogli State Council, said the strategic geographical position of Ghana and the potential in the industry informed the decision to establish an airline.

“Given the strategic location of Ghana, I realised that we can be a good link between Europe and Latin America, and also provide the best of service on the African continent. So we decided to establish an airline to tap into that potential,” he told Journalists shortly before the maiden flight.

Armed with two Embraer ERJ 145LR aircraft that can seat 50 passengers, the airline soon increased its flight frequency between Accra and Kumasi in ensuing months.

Barely a year after it commenced its operations, the airline offered chartered services to the Liberian President Ellen Johnson Sirleaf from Accra to Sierra Leone, enabling her to attend the swearing-in ceremony of the Sierra Leonean President Ernest Bai Koroma who was re-elected to another term in office.

The airline also provided chartered services to the Canadian Governor General, David Lloyd Johnston, and his wife during a visit to the country.

The northern regional capital Tamale was next. Africa World Airlines (AWA) later introduced five-times-a-week morning flights from Accra to the Northern Region capital, Tamale, in August 2013 to offer more options to the travelling public.

As part of its commitment to the Accra-Tamale route, the airline opened an office in the Tamale metropolis to facilitate its operations as well as enable it to tap into the growing airline market in that region.

"We believe that we must first act locally. We intend to build an effective and strong partnership with the city of Tamale that will ensure a win-win situation for the city and Africa World Airlines. Tamale is ready for the next big thing and AWA will work with the city,” said Mr. Apiigy Afenu, Chief Operating Officer (COO).

West Coast operations, which were central to the airline's future plans from the on-set, is the next step for the airline. On December 2013, it commenced its much-anticipated regional operations with a maiden flight from Accra to Lagos, Nigeria.

What next after two years? Mr. Apiigy Afenu, the Chief Operating Officer of AWA, in an interview with the B&FT said the airline is strategically positioning itself to operate flights to most of the countries in the West African sub-region next year.

AWA is expected to take delivery of an Airbus A319 as it prepares to operate flights from Accra to and from Sierra Leone, Liberia, Abuja and Port Harcourt in Nigeria, Dakar, and Guinea, among others.

Indeed, the delivery date for the Airbus A319 was delayed till February next year as a result of the outbreak of Ebola disease in the West African sub-region.

Mr. Apiigy Afenu told the B&FT that the new aircraft will give the airline impetus needed for success in its West Africa operation.