ISLAMABAD:
The government has dropped the idea of setting up a transport division by merging different entities under its rightsizing programme.
According to sources, the proposal was discussed in a recent high-level meeting, chaired by Prime Minister Shehbaz Sharif.
The meeting was informed that the committee on rightsizing had discussed in detail the idea of creating a transport division by merging the Aviation, Railways and Communications Divisions.
However, it was felt that such an arrangement could create complexity and disperse focus.
It was also observed that the merger of the Aviation Division with the Defence Division offered a neater and more strategically synergistic option, especially since aviation was a subject of the Defence Division until 2013. Institutional arrangements evolve with the emerging requirements and any future institutional configuration will be shaped by the imperatives of the time. Accordingly, the committee on rightsizing agreed with the proposal of merging the Aviation Division with the Defence Division.
The committee had received a reference on January 10, 2025, which proposed the merger of Aviation and Defence Divisions.
With emphasis that it was a strategic initiative aimed at reducing the financial burden and enhancing the efficiency of the federal government, it was argued that the proposed merger would eliminate redundancies in administrative costs such as salaries, office maintenance and operational expenses.
It will integrate aviation-related budgets into a broader framework, avoiding duplication of resources while promoting efficient financial management. The merger will remove the overlapping functions in policy formulation and regulatory oversight, yielding significant cost savings aligned with the federal government’s goal of fiscal prudence.
Additionally, the merger will bridge the gap between civil and military aviation and enhance synergy in airspace management and operational coordination. It will also enhance civil-military cooperation in overseeing functions like air traffic control, airport security and aviation safety.
The restructuring of the aviation wing will focus on catering to the needs arising after the creation of Pakistan Civil Aviation Authority and Pakistan Airports Authority.
The meeting was further informed that bureaucratic delays would be reduced to enable faster implementation of the aviation policy and directives, and greater compliance with the international standards set by the International Civil Aviation Organisation (ICAO) would be achieved to strengthen Pakistan’s global standing in the aviation sector.
It was highlighted that the merger was in line with the national security objectives and supporting disaster response, international negotiations and the development of comprehensive policy frameworks. A rationalised organogram was included with the reference along with details of expected savings of up to Rs145 million per annum as a result of the merger.
It was proposed that the administrative, human resources and financial rearrangements entailed by the merger may be worked out by the Defence Division in consultation with the Establishment and Finance Divisions. Following approval of the proposal, the cabinet may also approve the issuance of a Statutory Regulatory Order (SRO), subject to vetting by the Law and Justice Division.
Accordingly, the approval of the cabinet was solicited for the proposals. During discussion, the cabinet observed that pursuant to the proposed merger, the Defence Division may be renamed appropriately.
The cabinet considered the summary titled “Recommendations of the Committee on Rightsizing of the Federal Government – Merger of Aviation Division with Defence Division,” submitted by the Cabinet Division, and approved the proposal with the observation that the Defence Division may be renamed appropriately.
