Tonga Mulls Royal Commission Into $6.25 Million Twin Otter Purchase

The Tongan Government may seek a Royal Commission to inquire into the October 2023 purchase of a DHC-6-400 for Lulutai Airlines.

Minister for Public Enterprises Piveni Piukala says he is unhappy about the performance and ongoing maintenance costs associated with the aircraft, A3-KLT (msn 929), which the Tongan taxpayers purchased from a Chinese operator for USD6.25 million.

Last week, the plane was grounded for 24 hours for maintenance reasons. In April, it is due to have both its engines replaced. The DHC-6-400, better known as a Twin Otter, is the only operational aircraft in Lulutai's fleet.

The airline's Saab 340 crashed into a concrete barrier at Fua'amotu Airport in December 2023 while taxiing and remained inoperable ever since. A Harbin-manufactured Y12, A3-SPV (msn 032), has sat on the ground since December 2024.

Piukala says a Royal Commission would examine how and why the Twin Otter was purchased. The plane sat parked for five years before the Tongan Government bought it. No one from Tonga flew over to inspect it, instead relying on the airline broker (who would only make his commission if the aircraft sold) to give it the all-clear.

Since transferring to Lulutai, the airline has had ongoing problems with the plane and parts. Piukala suggests the aircraft wasn't properly maintained while parked in China and Tonga was dudded in the sale. A Royal Commission may get to the bottom of this but is unlikely to resolve the issues surrounding Lulutai's day-to-day financial performance and reliability challenges. 

Government-owned Lulutai Airlines provides a vital service linking Tonga's islands and is the only scheduled passenger airline to call Tonga home. But the airline says it needs almost USD3 million in funding to keep flying.

Piukala says Lulutai is costing the Tongan taxpayers millions, and he questions whether it is fair to expect them to keep funding the airline.