King Tupou VI has sharply criticized the government’s handling of state-owned Lulutai Airlines, raising concerns over transparency and accountability.
In his May 2 speech at the close of the 2023-24 parliamentary session, the king emphasized the need for clarity in managing public enterprises, particularly around the airline.
The king’s remarks come after the nation’s auditor general flagged issues with missing share certificates necessary to complete Lulutai’s annual report. He said, “It cannot just take funds from one institution and put it into another without such bodies or government explaining to parliament and the taxpayers how and why such public monies were spent.”
King Tupou VI also noted that Lulutai Airlines was operating “without qualified professionals.”
In response, Prime Minister Hu’akavameiliku, defended the government’s actions, asserting that Lulutai provides essential services. He added, “If Lulutai withdraws, would there be any airline services for the outer islands?”
Hu’akavameiliku indicated the government would consider divestment if a qualified buyer emerged, mentioning Air New Zealand or Fiji Airways as possible partners. He said, “The government will pull back once we’re more comfortable with good services being provided to all the islands.”
Lulutai currently operates a single aircraft, following damage to a second plane last December, impacting the airline’s capacity to serve outer islands.