Pointing to irony in official decisions to lobby against duty hikes in the United Kingdom (UK), the head of a local carrier says upcoming tax increases affecting the aviation community will only lead to higher costs for Bahamians. Randy Butler, president of SkyBahamas, said a recent Nassau Airport Development Company (NAD) notification of increasing airport fees at the Lynden Pindling International Airport (LPIA) has once again raised the need for a plan for the aviation sector. "The lack of a plan for the aviation and tourism sector will continue to create ad hoc measurers," he told Guardian Business last week.  "NAD is not so concerned about the development of The Bahamas as they are about the commercial side to make sure they get their money's performance. "The government to this day does not understand the important role that domestic aviation will play in the Family Islands.  The taxes they put on us, we have to pass them on and that is not good." It's an argument that he's made before, but has surfaced as the sector prepares for the increase to landing and other airport fees.  It's part of a plan to doctor in the rates for the industry each year. Just this January, implementation of those taxes included an increase in landing fees by 10 percent and a 3 percent rise in aircraft loading bridge fees, aircraft parking fees and terminal fees.  International passenger fees also went up to $27.50 from $27.00. NAD insists, however, that even with the increases, the modified LPIA fees will still be in line with fees at other airports in the Caribbean. It's also a move to generate more revenue that will help reduce the cost of redeveloping the airport. NAD executives say the fees will eliminate some of the costs airlines previously incurred at the airport and they will end up saving money in the long term. According to NAD Vice President of Marketing and Communications Vernice Walkine, airlines won't have to pay for equipment, counters, boarding pass controls and other items. Butler has said at least 60 percent of an airline's budget is dedicated to maintenence and safety, and there is a possibility that those areas could be impacted along with other facets of operations by the hikes.  He also mentioned that most of the expansion taking place at LPIA is geared towards the international market, while the domestic crowd feels the fee increases the most.  Butler added it was odd how Tourism officials would protest tax hikes that affect them coming from the UK and at the same time go ahead with taxing locally, which could affect the promotion of inter-island tourism. "They will go to London and protest the air passenger duty and on the other side increase duties," he said.  "It's the same thing they are asking the UK to reconsider because it hampers the development of the country. "I don't know if persons understand that the more you tax a sector, the less performance you take out of it." Butler has been calling for greater communication between the government and the aviation sector, and says to this day those important talks have not begun.

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