US embassy cable - 04PRETORIA5072

UNCLAS SECTION 01 OF 02 PRETORIA 005072 
 
SIPDIS 
 
STATE FOR AF/EPS AND AF/S/TCRAIG AND KGAITHER 
DEPT FOR EB/TRA/AN/CDEMARS, LFAUX-GABLE 
TRANSPORTATION FOR SMCERMOTT, KBHATIA, GRETCH 
COMMERCE FOR 4510/ITA/IEP/ANESA/OA/JDIEMOND 
TREASURY FOR GCHRISTOPULOS, LSTURM, AND AJEWELL 
DEPT PASS USTR FOR PCOLEMAN, WJACKSON AND CHAMILTON 
 
SENSITIVE 
 
E.O. 12958: N/A 
TAGS: EAIR, ECON, ETRD, SF 
SUBJECT: SAG OFFICIALS INTEREST IN OPEN SKIES 
 
REFTEL:  PRETORIA 4786 
 
(U) Sensitive But Unclassified. Not for Internet 
Distribution. 
 
1.  (SBU) SUMMARY.  Econ Minister Counselor and Econoff 
gauged interest in a potential Open Skies agreement between 
South Africa and the United States in separate meetings with 
Commissioner Seboseso Machobane from the South Africa Civil 
Aviation Authority (CAA); South African Airways Executive 
Manager for International Affairs Oosha Chirkoot and Manager 
for International Affairs Darren Hay; and Department of 
Transport Director for Aviation Regulation Godfrey Selepe. 
The parties said that Africa's immediate priority is to 
liberalize air transport within Africa.  Selepe suggested 
that the United States and South Africa look at a Cargo Open 
Skies agreement and incrementally liberalize the passenger 
side by removing restrictions such as the existing 
limitation on domestic codeshare points.  Selepe is 
tentatively planning a trip to the United States and Canada 
in July 2005 with officials from the Department of 
Environment and Tourism, SATourism, and interested airlines. 
He said he would welcome formal or informal engagement with 
a U.S. team prior to his trip, but said that a ministerial 
meeting between Radebe and Mineta before any such engagement 
might be most productive.  Selepe also listed a number of 
stakeholders with an interest in a U.S.-South Africa Open 
Skies agreement.  END SUMMARY 
 
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SOUTH AFRICAN AIRWAYS 
--------------------- 
 
2.  (SBU) Econ M-C and Econoff met with South African 
Airways (SAA) Executive Manager for International Affiars 
Oosha Chirkoot and Manager for International Affairs Darren 
Hay on November 17.  Chirkoot said that from SAA's 
perspective, South Africa's first priority is to liberalize 
air transport within Africa.  She said that SAA would be 
interested in opening route schedules and increasing the 
number of allowable codeshare points between the United 
States and South Africa, however, SAA was not ready for full 
Open Skies.  Chirkoot said that if South Africa were to 
enter into an Open Skies agreement with the United States, 
it would be compelled to consider Open Skies agreements with 
the U.K. and others.  Chirkoot also cited concern for what 
an Open Skies agreement might do to South Africa's secondary 
carriers. 
 
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DEPARTMENT OF TRANSPORT 
----------------------- 
 
3.  (SBU) On November 22, Econ M-C and Econoff were 
scheduled to meet with Department of Transport Director 
General Wrenelle Stander, but she was replaced at the last 
minute by Director of Aviation Regulations Godfrey Selepe. 
Selepe, who attended the Montreal meeting between Secretary 
Mineta and Minister Radebe, said that it's "not a matter of 
if, but how we go about liberalization."  He said that South 
Africa is pursuing a "managed liberalization" approach to 
opening its skies.  Selepe expressed disappointment that the 
U.S. negotiating team in 2000 had little flexibility to 
negotiate anything other than an Open Skies agreement.  He 
suggested that the United States and South Africa look at a 
Cargo Open Skies agreement and incrementally liberalize the 
passenger side by removing restrictions such as the existing 
limitation on domestic codeshare points.  Selepe expressed 
skepticism about arguments for expanded air services to 
support growth in tourism.  He argued that airline passenger 
figures did not support the high growth figures cited by 
tourism officials.  He acknowledged, however, that a more 
liberal agreement would provide airlines with greater 
operational control in the context of an expanding or 
contracting economy. 
 
4.  (SBU) Selepe is tentatively planning a trip to the 
United States and Canada in July with officials from the 
Department of Environment and Tourism, SATourism, and 
interested airlines.  He said he would welcome formal or 
informal engagement with a U.S. team prior to his trip, but 
said that a ministerial meeting between Radebe and Mineta 
before any such engagement might be most productive.  (NOTE: 
Selepe referred to his negotiating team as "young and 
inexperienced.") 
 
5.  (SBU) According to Selepe, the following groups would 
have a stake in an Open Skies agreement between South Africa 
and the United States:  Department of Environment and 
Tourism, Department of Foreign Affairs, Department of Trade 
& Industry, CAA, Airports Company South Africa (ACSA), 
SATourism, SAA and other interested airlines, and possibly 
the Department of Public Enterprises. 
 
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CIVIL AVIATION AUTHORITY 
------------------------ 
 
6.  (SBU) In September, Minister Counselor for Economic 
Affairs and Econoff met with Commissioner Seboseso Machobane 
of South Africa's Civil Aviation Authority (CAA).  Machobane 
said that bilateral agreements are mostly dealt with at the 
Department of Transport.  He suggested that it might be more 
productive to approach higher rather than lower level 
officials to discuss an Open Skies agreement.  Machobane, 
educated in the United States, appeared receptive to the 
concept of an Open Skies agreement with the United States, 
but noted that South Africa's immediate priority is to 
liberalize aviation regulations with its African neighbors 
as expressed in the Yamoussoukro Decision. 
 
FRAZER