Special Riigikogu committee analyzes Estonian Air report

At the press conference informing the public of the cessation of operations of Estonian Air. Ahti Kuningas of the Ministry of Economic Affairs and Communications, Estonian Air CEO Jan Palmér, Minister Kristen Michal (Siim Lõvi/ERR)
5/30/2016 9:25 AM
Category: News

The Riigikogu’s State Budget Control Select Committee will begin looking into the National Audit Office’s report on the circumstances of national carrier Estonian Air’s demise and the development of the new state-owned airline company NAG/Nordica.

The National Audit Office stated in its report of May 24 that the European Commission’s decision not to let state help extended to Estonian Air pass could have been avoided had the government followed the purpose and intention of the State Assets Act and made sure that state support of the airline was purposeful, economical, expedient, and lawful.

The report also stated that the government’s only base for its decisions was the conviction that the country needed a Tallinn-based airline of its own to guarantee satisfactory connections to other cities.

The government had failed to look into other available options, and none of the strategies of Estonian Air, of which there had been four and all had been unsuccessful, had ever been submitted to the judgment of an independent expert.

Moreover, the report found that the information based on which Estonian Air’s supervisory board and the government made their decisions did not match. It also stated that the members of the government and public servants involved often made rash decisions based on too little information.

Among others, Minister of Economic Affairs and Infrastructure Kristen Michal (Reform) will attend today’s public session of the committee.

Editor: Dario Cavegn

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