Millions of dollars in revenue could be generated from the establishment of a Bahamian International Aircraft Registry, according to a prominent aviation attorney.
Callenders and Co. Senior Associate Llewellyn Boyer-Cartwright explained that the creation of such a registry in this jurisdiction could foster a host of related businesses and industries while also creating jobs.
Although The Bahamas already has an aircraft registry, the aviation law expert believes implementing an international registry would open up a number of opportunities to diversify the local aviation sector.
Addressing Rotarians yesterday morning, Mr. Boyer-Cartwright suggested that The Bahamas is losing out on millions of dollars in revenue from aircraft registration fees. He noted the benefits to regional neighbours like Aruba and Bermuda which have an International Aircraft Registry.
“These jurisdictions are well ahead of us in this area,” Mr. Boyer Cartwright said.
“The Bermuda registry, just as an example, has approximately 650 aircraft on its register and expects early next year to surpass 700. They anticipate by 2017, it can generate revenue of $17 to $18 million a year and I don’t think that any government would balk at that kind of revenue.”
But apart from the profits, Mr. Boyer-Cartwright said given the Bahamas’ geographic location and political stability, the industry can spawn several spin offs in other areas, like the financial services industry.
“I’ve been told by several local bankers that they have been asked by clients about aircraft financing and leasing here in The Bahamas. But because it’s not a service that they offer, they probably would have to refer them to maybe another one of their branches in another jurisdiction.”
Another advantage to the creation of such a registry is that it would mark The Bahamas as a stable aviation jurisdiction, solidifying The Bahamas as a recognised destination in terms of safety and maintenance.
Mr. Boyer-Cartwright said establishing a maintenance facility here in The Bahamas could lead to the creation of hundreds of jobs, countless entrepreneurial opportunities and could even boost Family Island business.
He said locating the maintenance facility on an island like Andros, would position that island for a sustainable boost of economic prosperity.
“If we have a fast-ferry service, people can commute to Central Andros where there is maintenance facility, and if you do put a maintenance facility in a place like Andros it’s not only the jobs created by that maintenance facility but now you need to employ people certainly on the outside. If they have children, their children need to go to school. [There will be a need for] medical attention, food and it creates various other businesses. So it’s beneficial to that community as well,” Mr. Boyer-Cartwright said.
In order for The Bahamas to create an International Aircraft Registry, it would have to sign on to the Capetown Convention.
“It’s the convention dealing with moveable international assets. The whole idea behind this registry is that aircraft owners, lenders, leasing and financing companies can register their interest on the international registry and that gives them better protection.”
Mr Boyer-Cartwright is a 29-year veteran commercial pilot and flight instructor.
He is the first Bahamian to be admitted to the Lawyer Pilots Bar Association.
