Global compliance: Cabinet panel approves changes to airports law

ISLAMABAD: The Cabinet Committee on Legislative Cases (CCLC) has approved amendments to the Pakistan Airports Authority Act, 2023, to align it with international standards, as the existing structure has not been viewed favorably by international fora. According to sources, the Ministry of Defence recently noted that the CCLC that the Pakistan Civil Aviation Authority (PCAA) was established under the Pakistan Civil Aviation Authority Ordinance, 1982, and derives some of its powers from the Civil Aviation Ordinance, 1960. Taken together, these laws envisaged that regulatory, service provider, and air accident investigation functions related to civil aviation would be performed by the PCAA. This arrangement created a conflict of interest and was viewed unfavorably by the International Civil Aviation Organization (ICAO), the UK Department for Transport (DfT), and the European Union Aviation Safety Agency (EASA). PAA inks $15mn deal to strengthen Pakistan’s airport security To address this issue, Parliament enacted the Pakistan Civil Aviation Act, 2023, the Pakistan Airports Authority Act, 2023, and the Pakistan Air Safety Investigation Act, 2023. Under the new framework, the PCAA is responsible solely for regulatory functions, service provider functions are performed by the Pakistan Airports Authority (PAA), and aircraft accidents are investigated by the Bureau of Air Safety Investigation of Pakistan. The CCLC was further informed that the erstwhile Aviation Division was merged into the Defence Division in February 2025; however, the Aviation Division/Ministry was still reflected in the Pakistan Airports Authority Act, 2023. The Pakistan Airports Authority Board is being reconstituted, and a provision for decision-making through circulation with a higher majority threshold has been added to address unforeseen circumstances and emergencies. It was also noted that the existing provision regarding the appointment of the Director General of PAA (DG PAA) was restrictive, as it allowed only public servants or PAA officers to be appointed. It was proposed to expand eligibility to include candidates from the private sector, given that the PAA awards contracts worth billions of rupees, allocates airline slots, and performs other significant commercial functions. In the absence of robust conflict-of-interest provisions for in-service officers and a cooling-off period after service for PAA officers and decision-makers, new provisions have been introduced to address these gaps. Additionally, certain patent errors and typographical mistakes identified in the Act are to be corrected. The CCLC was informed that the draft amendment bill had been vetted by the Law and Justice Division. A certificate signed by the Secretary Defence, confirming the incorporation of the proposed amendments along with the statement of objects and reasons for the draft Pakistan Airports Authority (Amendment) Bill, 2025, was shared with the competent forum. In the final draft of the Pakistan Airports Authority (Amendment) Bill, 2025, duly vetted by the Law and Justice Division, it was proposed that the bill be approved by the CCLC and recommended for Cabinet approval and introduction in the National Assembly. After detailed deliberations, the Cabinet Committee on Legislative Cases approved the summary, subject to the condition that the proposed amendments be incorporated into the draft bill by the Law and Justice Division before it is submitted to the Cabinet for final approval. Copyright Business Recorder, 2025