Commercial/Private Operation
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Join Date: Jun 2005
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Commercial/Private Operation
Here's a question for all you bush lawyers who might be able to make sense of the Oz CARs:
1. Entity A is a State Government Department engaged in a community infrastructure development project - part of which involves conducting an aerial site survey.
2. Entity A has contracted with Entity B to assist with the implementation of the project.
3. Entity A hires a suitable aircraft directly to undertake the aerial activity component. The aircraft only has seating for 5 persons.
4. Pilot X (PIC) and Pilot Y (Safety Pilot) are employees of Entity B and hold private pilot licences. They are also technical specialists in the task and, therefore, it is necessary for them to be on the flight.
5. Employee/s of Entity A will also be aboard the aircraft during the aerial activity.
6. Pilots X and Y are endorsed, qualified and current. As the aircraft being hired has only 5 seats, it would appear to make sense to use Pilots X and Y to fly the aircraft considering the limited number of seats available and the need to include room for employees of Entity A.
7. The aerial activity does not require any special endorsement, approval or maneuvering and requires only normal operation of the aircraft.
8. No extra (or special) remuneration is being paid to the pilots, no charges are being levied on the aircraft occupants and no goods for trade are being carried.
So the question is: Does this constitute a private or commercial operation under the CARs?
1. Entity A is a State Government Department engaged in a community infrastructure development project - part of which involves conducting an aerial site survey.
2. Entity A has contracted with Entity B to assist with the implementation of the project.
3. Entity A hires a suitable aircraft directly to undertake the aerial activity component. The aircraft only has seating for 5 persons.
4. Pilot X (PIC) and Pilot Y (Safety Pilot) are employees of Entity B and hold private pilot licences. They are also technical specialists in the task and, therefore, it is necessary for them to be on the flight.
5. Employee/s of Entity A will also be aboard the aircraft during the aerial activity.
6. Pilots X and Y are endorsed, qualified and current. As the aircraft being hired has only 5 seats, it would appear to make sense to use Pilots X and Y to fly the aircraft considering the limited number of seats available and the need to include room for employees of Entity A.
7. The aerial activity does not require any special endorsement, approval or maneuvering and requires only normal operation of the aircraft.
8. No extra (or special) remuneration is being paid to the pilots, no charges are being levied on the aircraft occupants and no goods for trade are being carried.
So the question is: Does this constitute a private or commercial operation under the CARs?
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If entity A's employees A/1, A/2, A/3 had previously been employed by entity B then surely there is a conflict of interest? Thus pilot X and pilot Y's services may not be required.
However if an agreement could be made with entity C whereby employees B/1, B/2 and B/3 could be made said conflict would be null and void.
Given that pilot X and pilot Y are being paid while flying, they could simply resign from entity B or take anal leave.
However if an agreement could be made with entity C whereby employees B/1, B/2 and B/3 could be made said conflict would be null and void.
Given that pilot X and pilot Y are being paid while flying, they could simply resign from entity B or take anal leave.
My thoughts are that its a commercial operation..a commercial operation can exist even when no money changes hand, its a label, they could have defied it as catergory 1 for RPT category 2 commercial etc.
My reasoning for commercial operation is as follows :
CAR 2 (7) (d) an aircraft that is flying or operating for the purpose of, or in the course of:
(i) the personal transportation of the owner of the aircraft;
(ii) aerial spotting where no remuneration is received by the pilot or the owner of the aircraft or by any person or organisation on whose behalf the spotting is conducted;
(iii) agricultural operations on land owned and occupied by the owner of the aircraft;
(iv) aerial photography where no remuneration is received by the pilot or the owner of the aircraft or by any person or organisation on whose behalf the photography is conducted;
(v) the carriage of persons or the carriage of goods without a charge for the carriage being made other than the carriage, for the purposes of trade, of goods being the property of the pilot, the owner or the hirer of the aircraft;
(va) the carriage of persons in accordance with subregulation (7A);
(vi) the carriage of goods otherwise than for the purposes of trade;
(vii) conversion training for the purpose of endorsement of an additional type or category of aircraft in a pilot licence; or
(viii) any other activity of a kind substantially similar to any of those specified in subparagraphs (i) to (vi) (inclusive);
shall be taken to be employed in private operations.
Subpart (ii) and (iv) would not be valid as the pilot is receiving remuneration.
Subpart (v) would not be valid if "Entity A has contracted with Entity B to assist with the implementation of the project." this implies some consideration (i.e. payment) as that the basis for all contracts.
Subpart (va) would not be valid as the persons on the flight, including the operating crew, do not share equally in the costs of the flight.
Also CAR 5.78 does not allow the co-pilot to act as a co-pilot if he only holds a PPL in a commercial operation.
Looks like aerial work, which is a commercial operation, CAR 206 (1) (a).
Again stressing that a commercial operation does not mean money needs to change hands. Private sector entities, goverment, non-for profit, and non profit organistions all can operate in private, aerial, commercial, and RPT operations.
My reasoning for commercial operation is as follows :
CAR 2 (7) (d) an aircraft that is flying or operating for the purpose of, or in the course of:
(i) the personal transportation of the owner of the aircraft;
(ii) aerial spotting where no remuneration is received by the pilot or the owner of the aircraft or by any person or organisation on whose behalf the spotting is conducted;
(iii) agricultural operations on land owned and occupied by the owner of the aircraft;
(iv) aerial photography where no remuneration is received by the pilot or the owner of the aircraft or by any person or organisation on whose behalf the photography is conducted;
(v) the carriage of persons or the carriage of goods without a charge for the carriage being made other than the carriage, for the purposes of trade, of goods being the property of the pilot, the owner or the hirer of the aircraft;
(va) the carriage of persons in accordance with subregulation (7A);
(vi) the carriage of goods otherwise than for the purposes of trade;
(vii) conversion training for the purpose of endorsement of an additional type or category of aircraft in a pilot licence; or
(viii) any other activity of a kind substantially similar to any of those specified in subparagraphs (i) to (vi) (inclusive);
shall be taken to be employed in private operations.
Subpart (ii) and (iv) would not be valid as the pilot is receiving remuneration.
Subpart (v) would not be valid if "Entity A has contracted with Entity B to assist with the implementation of the project." this implies some consideration (i.e. payment) as that the basis for all contracts.
Subpart (va) would not be valid as the persons on the flight, including the operating crew, do not share equally in the costs of the flight.
Also CAR 5.78 does not allow the co-pilot to act as a co-pilot if he only holds a PPL in a commercial operation.
Looks like aerial work, which is a commercial operation, CAR 206 (1) (a).
Again stressing that a commercial operation does not mean money needs to change hands. Private sector entities, goverment, non-for profit, and non profit organistions all can operate in private, aerial, commercial, and RPT operations.
