US embassy cable - 05BANGKOK5681

UNCLAS SECTION 01 OF 03 BANGKOK 005681 
 
SIPDIS 
 
SINGAPORE FOR IAO/IFO 
 
E.O. 12958: N/A 
TAGS: EAIR, ECON, TH 
SUBJECT: THAILAND CIVAIR: READOUT ON FAA CONSULTATIONS WITH 
DEPARTMENT OF CIVIL AVIATION 
 
REF: STATE 155552 
 
1. (U) SUMMARY: Consultations between a visiting team from 
the Federal Aviation Administration (FAA) and officials from 
the Department of Civil Aviation (DCA) met pursuant to reftel 
and previous consideration of problems relating to the Thai 
carrier Phuket Air on August 13, 2005.  The discussions were 
friendly and the Thais forthcoming on the state of aviation 
safety oversight in Thailand. The issue of safety on Phuket 
Air has resolved itself in that the company has reduced its 
commercial air services down to two little-used routes. 
Nevertheless, serious deficiencies with respect to the 
adequacy and the sustainability of safety oversight in 
Thailand exist, particularly regarding existing law and 
regulations as well as financial resources and numbers of 
inspectors.  Going forward, additional consultations and 
possibly a full safety audit will be required to evaluate the 
level of safety oversight as deemed necessary by the FAA. The 
Embassy views the willingness of the Thais to discuss 
oversight issue candidly as a solid basis for further 
consultations.  The Embassy will continue to monitor aviation 
safety issues and work with all competent authorities to 
facilitate further consultations, technical assistance, and 
other endeavors to ensure that oversight of aviation safety 
in Thailand meets international standards. End Summary. 
 
2. (U) Embassy Civil Aviation Officer and visiting Federal 
Aviation Administration (FAA) team met with Mr. Vichai 
Prateeprecha, Deputy Director General of the Department of 
Civil Aviation (DCA) of the Royal Thai Government (RTG) and 
seven other aviation safety officials in Bangkok on August 
31, 2005.  Representing the FAA were Michael E. Daniel, 
Manager, International Programs and Policy Division 
(Washington, DC), Larry G. Kephart, Division Manager 
(Lawndale, CA), R. Andrew Edwards, Manager (San Francisco, 
CA), and David M. Smith, Manager (Singapore). 
 
PHUKET AIR ISSUE 
---------------- 
 
3. (U) The above meeting was originally scheduled at the 
Embassy's request in response to safety concerns involving 
the carrier Phuket Air, raised earlier in the year. In June 
2005, an interagency committee chaired by the Deputy Chief of 
Mission at the Embassy considered whether to issue a caution 
to US Government employees (and by extension to all American 
citizens in accordance with the "no double standard" policy) 
in view of deficiencies in operations by Phuket Air reported 
by aviation authorities in the United Kingdom and the 
Netherlands. The American Express travel office at the 
Embassy reports that it issued 129 tickets on Phuket Air in 
2004 and 84 tickets for travel on Phuket Air in 2005.  At the 
time the Department of Civil Aviation was closely following 
the matter.  At said interagency meeting, it was agreed to 
defer action because the RTG authorities were responding to 
the concerns that had received widespread publicity in the 
local press.  Embassy officers also wished to consult with 
acknowledged experts in the area of aviation safety at the 
next available opportunity, which was during the visit of the 
above team to Thailand in late August. 
 
4. (U) As events turned, in the days immediately preceding 
the August 31 consultations, the Government of France 
blacklisted Phuket Air and Phuket Air announced that it was 
discontinuing all of its commercial flights, except for one 
flight to Ranong and one flight to Burma. The company 
reportedly plans to lease its aircraft to other carriers such 
as Saudi Arabian Airlines. With the prospect of US Government 
employees traveling on Phuket Air diminished to essentially 
nil, the Embassy interagency committee decided not to issue 
any caution at its follow-up meeting on September 1.  The 
Embassy will continue to monitor aviation safety as a matter 
of course. 
 
CONSULTATIONS ON OVERSIGHT OF AVIATION SAFETY 
--------------------------------------------- 
 
5. (U) In response to reftel, Embassy requested the addition 
of the aviation safety concerns regarding whether Thailand is 
meeting international standards to the agenda for the FAA-DCA 
meeting scheduled to be held on August 31.  The DCA agreed, 
and for the reasons set out above, the majority of the 
90-minute meeting focused on matters of the RTG oversight of 
aviation safety.  The proceedings were friendly.  The Thai 
officials acknowledged problems and responded openly to 
questions.  They also willingly volunteered relevant 
information. 
 
6.  (U) This positive working relationship notwithstanding, 
material deficiencies in RTG oversight of aviation safety 
exist, confirmed by the recent International Civil Aviation 
Organization (ICAO) inspection. DCA officials shared copies 
of appendices 1-4-1 and 1-5-1 on aircraft operations and 
airworthiness of aircraft respectively of the draft Findings 
and Recommendations of said ICAO inspection. 
 
7. (U) Discussion of ICAO findings was detailed and at times 
highly technical.  As the lead agency on aviation safety, the 
FAA will follow up on the team's particular findings in due 
course.  Set out below is a summary of the main issues 
emerging from the bilateral consultations as communicated to 
the Charge during the FAA team's outbrief at the Embassy on 
August 31.  In broad terms, the basic question at issue is 
whether RTG laws, regulations, staffing, financial and other 
resources, and plans going forward provide for a sustainable 
program that meets international standards for oversight of 
aviation safety. 
 
8. (U) A primary area of concern is the adequacy of the 
existing basic aviation law.  The current law dates back over 
twenty years, and as a result the regulations and 
administrative guidance flowing from it are not adequate to 
meet present-day needs.  The law has been under review, but 
at the current pace, revision is not expected for another 
year, possibly two years. 
 
9. (U) The most immediately pressing area of concern is a 
shortage of sufficient financial resources and personnel to 
maintain an adequate regime of inspection and oversight.  In 
recent months the DCA has moved to fill inspector positions 
with temporary personnel, but this move is a stop-gap 
measure.  Improvement in the funding for safety oversight is 
necessary in order to hire permanent inspectors and to train 
them adequately. 
 
10. (U) The FAA will follow closely the RTG's immediate plans 
for action in response to the ICAO study.  At a minimum, 
further consultations of a similar nature may be expected. 
 
11. (U) Some of the morning's discussion focused on concerns 
about safety oversight on the part of Thailand's principal 
carrier, Thai Airways.  Since both Thai Airways and United 
Airlines are members of the Star Alliance and operate in 
Thailand, the FAA plans to consult with United on its 
auditing of safety oversight at Thai Airways.  Embassy 
Aviation Officer communicated this point to the General 
Manager of United's operations in Bangkok on September 1. 
 
12. (U) In view of the positive role that technical 
assistance may have in improving aviation safety in Thailand, 
the FAA team expressed the willingness of the FAA to offer 
technical assistance on a reimbursable basis. 
 
13. (U) In a meeting between the Charge and the Minister of 
Transport Pongsak Ruktapongpisal later in the day on August 
31, the Embassy communicated our concerns via a non-paper. 
The meeting focused principally on the Open Skies 
negotiations scheduled for September 7-8.  The Minister's 
staff accepted the non-paper without comment.  The Embassy 
will highlight the issue of aviation safety at the 
ministerial level at the next opportunity. 
 
EVALUATING OVERSIGHT OF AVIATION SAFETY 
--------------------------------------- 
 
14. (U) Under the International Aviation Safety Assessment 
(IASA) program, the FAA will determine whether a full 
assessment is required in order to evaluate whether 
Thailand's Civil Aviation Authority (CAA) is carrying out its 
obligation to oversee safety of carriers in accordance with 
minimum international standards established by the ICAO, or 
to proceed with further bilateral consultations regarding the 
recent ICAO inspection and the CAA's immediate steps to 
remedy deficiencies. 
 
15. (U) Discussion of whether a given aspect of aviation 
oversight, particularly the number of inspectors, is adequate 
can be highly technical and detailed.  During the meeting, 
Michael Daniels described for the Thais a general criterion 
that may be of use for all concerned when discussing the 
issue with other parties as well.  The essential test of 
whether an oversight regime ensures adequate surveillance and 
certification, he said, is whether there are problems in 
these areas.  If problems recur, then it is inadquate and 
more resources and attention is required. 
 
COMMENT 
------- 
 
16. (U) The Embassy believes that the willingness of the 
Thais to be forthcoming on deficiencies and areas of concern 
affords a very positive basis for future consultations on the 
substantive points at issue.  Owing to both the specialized 
nature of safety issues and the fact of a successful start to 
the bilateral dialogue on aviation safety oversight between 
the competent officials on both sides, the Embassy plans to 
maintain these consultations on their own track going 
forward.  The Embassy is also willing to facilitate technical 
assistance or other cooperative endeavors involving the 
American aviation safety authorities and the RTG as 
circumstances needed to ensure that oversight of aviation 
safety in Thailand is up to international standards. End 
comment. 
 
18. This cable has been cleared by the FAA representatives 
listed in paragraph 2. 
ARVIZU