The Department of Public Enterprises is seeking to develop closer relations between South Africa’s three State-owned aviation maintenance, repair and overhaul (MRO) organisations, Denel Aviation, SAA Technical (SAAT) and South African Express (SA Express) Technical. Denel Aviation is part of the Denel defence industrial group while the other two are part of the South African Airways (SAA) group, SAA being the national carrier.

The objective is to create a “world-class MRO organisation at OR Tambo [International] Airport,” affirmed Public Enterprises Minister Malusi Gigaba at the 2012/13 Denel financial results presentation last month. “I have instructed the [Denel] board to cooperate with SAA. This is part of a policy to push State-owned companies to work together.” All three of these MRO businesses are based at OR Tambo, situated in Kempton Park, east of Johannesburg.

“We had said during the budget voted on May 14 that our key focus was going to be on driving an industrialisation and transformation agenda. “To that effect, we’re looking at synergies between different State-owned companies on a number of programmes that might ignite collaborative efforts that might develop engineering and manufacturing capabilities,” he stated.

There is currently no intention of merging the three MRO operations. “The idea of mergers is still far-fetched – still far from our minds,” he asserted. “But we are looking at synergies, leveraging the capabilities of Denel Aviation, SAA Technical and SA Express Technical. We’re not talking a merger yet. We are talking synergies.” Gigaba reported that the three companies were already talking about such cooperation at CEO and board levels. However, he affirmed that he will drive this process harder. He felt that more urgency was required.

Denel Aviation engages in MRO activities for both civil and military aircraft, fixed wing and helicopter, as well as for mechani- cal, composite, avionics, electrical and oxygen system components and for ground support and test equipment. It is an accredited repair and overhaul centre for Eurocopter and an accredited service centre for Lockheed Martin. It also recently became an MRO Centre for Russian Mil Mi-8- and Mi-17-family helicopters in a joint initi- ative with Russian Helicopters, the Russian State-owned company that incorporates the world- renowned Mil and Kamov brands. (Denel Aviation is also the original-equipment manufacturer of the Rooivalk attack helicopter.)

SAAT can undertake major maintenance (known as C and D checks) on the Boeing 737 (both old and new-generation versions), the 747, and the MD11, and the Airbus A319, A320 and A340 families. It also has the capability to repair and overhaul Pratt & Whitney JT8 and JT9D series engines (both classified as mature designs) as well as Garrett GTCP85 auxiliary power units.

SAAT provides all the maintenance for the aircraft of its parent airline. SAA currently operates Airbus 319, A330, A340 and Boeing 737 aircraft. The airline recently took delivery of its first two Airbus A320s, which will replace the Boeing 737s. SAAT also provides major maintenance for four other airlines and line-maintenance for 25 other local, regional and international airlines. Its clients include Air France, Air Malaysia, Air Namibia, Air Seychelles, Air Zimbabwe, British Airways, Comair (including low- cost carrier Kulula), Lufthansa, Qantas and Rwandair.

Late last year, SA Express was appointed an authorised service facility (ASF) by Canadian aviation company Bombardier. The aircraft SA Express is now approved to service are Bombardier’s Dash 8, Q400 and other Dash 8/Q-series aircraft and CRJ100, CRJ200 and CRJ700 regional airliners. The local company can provide such servicing under the Bombar-dier ASF banner to customers from anywhere in the world, and not just from Africa, provided they receive the the required regu- latory approvals. SA Express oper- ates an all-Bombardier fleet, composed of Q400s, CRJ200s and CRJ700s.