Finance and Economic Opportunities

With regard to the recent announcement of the relaunch of the direct flight service between London Heathrow and the Cape Town International Airport:

[1]   Whether her Department has had any engagements with the Department of Health regarding the risk of the spread of monkeypox along this route; if not, why not; if so, [a] what are the relevant details and [b] what measures are in place mitigate the risk;

Each Airline gets approval for any route, by the National Department of Transport. A bilateral air service agreement is signed. Relating to objection or risks such as a disease, the National Department of Health must object or provide comment to Department of Transport directly. This is not the mandate of Provincial Government or our entities. It has not been flagged as a risk as there are currently numerous flights from the United Kingdom (UK) to South Africa which are operational, and they have not been flagged as high risk in relation to the spread of monkeypox.

[2]   (a) what is the expected number of passengers who will use the route per month,

Based on the announced 7 times per week seasonal service from November 2022-March 2023, there will be an estimated 50 749 two-way international passengers travelling with Virgin Atlantic on the LHR-CPT route.

[2]   [b] how much revenue will it generate for the province,

Based on the announced 7 times per week seasonal service from November 2022-March 2023 an estimated total of R 543 490 958 will be generated in directed tourism spend.

[2]   [c] what is the expected benefit for the province because of the relaunch of this route, and

• In addition to the direct tourism spend referenced above, the addition of a new carrier on the UK to Cape Town route, will introduce competition and choice for travellers. This will assist with more competitive pricing and service offerings from carriers.
• Additionally, based on past previous direct route introductions, there is an estimated 25% passenger stimulation. This would most likely result in an increase in the passenger volumes on the route.
• An additional carrier will also allow for increased belly-freight cargo capacity between the Western Cape (WC) and the UK. As with passenger capacity, this would result in increased competition and most likely more competitive fares for companies both within the UK and the WC.

[2] [d] what role, if any, did the national government play in the relaunch of this route?

The national Department of Transport is responsible for approving new route applications. National Government does not have a direct role within the Cape Town Air Access project. However, South African Tourism is a funder of the project and has representation on our Steering Committee. Our steering committee provides the project with strategic inputs to the operations and objectives of the project.