Nepali air passengers to get compensation at par with foreigners

Kathmandu, Aug. 23: There is to be a more than five-fold increment in the insured amount of air passengers in about three months.

The Parliament on Thursday approved the proposal for the accession of Montreal Convention 1999 (MC99), known also as the ‘Convention for the Unification of Certain Rules for International Carriage by Air’, put forward by the Minister for Culture, Tourism and Civil Aviation (MoCTCA) Rabindra Adhikari which has paved way for the increment of the compensation as par with the foreign passengers.

Nepali international air passengers are entitled to the compensation of 20,000 US dollars, it will be increased to 113,000 dollars in case of death of the passengers and fatal injuries.

The International Civil Aviation Organization (ICAO)’s MC99 imposes minimum liability of 113,000 dollars, equivalent to Rs. 12.5 million.

According to the MC99, the airlines should bear the liability of 6,580 dollars for delay, 1,585 for damage or loss of baggage and 26.6 dollars per kg for cargo delayed, damaged or lost.

Currently, Nepali airlines companies have the liability of 20,000 dollars per passenger, which was set by the Hague Protocol.

“MC99 is more passenger-friendly than the previous conventions like Warsaw Convention 1929 and Hague Protocol. It has increased the minimum liability of the airlines companies, set rules for the early payment of compensation, and given the passengers a right to choose the court to settle the legal requirements,” said the Ministry.

ICAO reviews the liability limit in every five years to make it relevant and up to date. The minimum liability on the death of a passenger or injuries was 100,000 dollars in 1999, it is increased to 113,100 in 2009.

However, the accession will be activated 60 days after the country deposited the ratification to the ICAO office in Montreal, Canada.

The MoCTCA said that the ratification would be sent to the ICAO at the earliest.

The International airlines companies conducting flight services to and from Nepal should also set the liability for every passenger flying with them.

Among the SAARC member nations, only Pakistan, India and Maldives have ratified and implemented the MC99.

“This latest move of the government will boost confidence in the tourist visiting Nepal and will create positive image of the country in the international tourist source markets,” said the Ministry.

Published in The Rising Nepal daily on 24 August 2018.