South Africa's flag carrier is set to expand its fleet with new Airbus aircraft to relaunch international routes and increase seat capacity for its regional and domestic destinations.
South African Airways (SAA) plans to lease six new aircraft and commence long-haul flights to its previously-served destinations. The Minister of Finance Enoch Godongwana and Minister of Public Enterprises Pravin Gordhan have given the green light for this significant expansion.
Acquiring modern aircraft
In a dry-lease agreement, SAA will acquire one widebody and five narrowbody aircraft by the end of the year. A Request for Proposals (RFP) is currently out for a 36-month operating lease of four Airbus A320 aircraft.
The airline has already secured the other two - an A320 and A330 from the lessor community on the same terms as the one issued in the RFP. The terms and conditions in the new aircraft agreement are along the same competitive, transparent, and cost-effective lines that have characterized the "new" SAA.
SAA Interim CEO Professor John Lamola said that the four aircraft the airline ordered would enter service by September 2023. Domestic and regional passenger numbers continue to increase, so the fleet expansion will help SAA meet the demand for air travel. Lamola added;
"This is a significant boost for the domestic and regional markets and underscores our commitment to expanding our route network and increasing our frequency in the African market. It will also ensure that the equilibrium between the supply of seats and the flow of traffic will benefit our passengers."
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Resumption of operations post-COVID and business rescue
In December 2019, the South African Airways Board of Directors resolved to place the airline into business rescue. This was the most feasible solution to create a better return for the carrier's creditors and shareholders.
Following the outbreak of the COVID-19 pandemic, SAA suspended all international, regional, and domestic flights in line with international travel restrictions. In April 2021, the airline exited business rescue and resumed operations later that year.
In 2021 and 2022, the flag carrier reinstated several regional and domestic destinations and increased its seat capacity. However, in the aftermath of the pandemic, South African Airways did not resume flights on any of its intercontinental routes. Interim CEO Lamola said;
"We are excited, as SAA, to lay the groundwork for the relaunch of our first international route since coming out of business rescue and since the impact of the COVID-19 pandemic. We will announce the new route in the coming few weeks, and we will open commercial marketing and sales for it."
International route resumption
SAA currently has a fleet of seven aircraft, consisting of the six in the lease agreement and an additional Airbus A340. It also operated flights on the A350, which it planned to bring back to serve international destinations.
From its hub at Johannesburg OR Tambo International (JNB), the carrier previously operated long-haul flights to Frankfurt International (FRA), London Heathrow (LHR), and New York John F Kennedy (JFK), to mention a few.
With the delivery of the new aircraft, some of these routes could be reinstated, including flights to Dubai International (DXB), São Paulo Guarulhos (GRU), and Washington Dulles (IAD) airports. SAA's A330 and A320 are part of the most modern and fuel-efficient aircraft families, making them ideal for its long-haul plans.
What do you think of SAA's fleet and route expansion plans? Let us know in the comments!