RSS seeks minister’s help in ‘kirpan at airports’ issue
Rashtriya Swayamsevak Sangh’s Sikh wing Rashtriya Sikh Sangat (RSS) has apprised the Union civil aviation minister Mahesh Sharma that Amritdhari (baptised) Sikh officials and employees working at international airports were being stopped from wearing their kirpan (small sword) citing an international treaty about security. It told the minister that Article 25 of Indian Constitution granted the right to Amritdhari Saikhs to carry their articles of faith and the Union government had not framed any law or rules barring kirpans. A delegation of the Sangat, led by its president Gurcharan Singh Gill, met aviation minister Sharma on Monday and demanded his intervention in the issue. The delegation said kirpan-carrying Sikh officials and employees were being barred from wearing it on the basis of a international treaty. “We told the minister that the Article 25 of Indian Constitution gave the right to the Sikhs wear the kirpan. This issue was not just of sentiments of Sikhs but also of their fundamental right. Even after assassination of then Prime Minister Indira Gandhi there was no bar on Sikh officials or employees wearing this article of faith,” said a statement issued by RSS national secretary Avtar Singh Shastry.
India Is The World’s Fastest-Growing Aviation Market – And This MBA Wants A Piece Of It
The Indian aviation industry is taking off. In 2015, domestic traffic soared by more than 20% while international flights increased by over 7%, according to a KPMG study. By 2020, India will become the world’s third largest aviation market after the US and China. Its airports could carry as many as 370 million passengers per year. Atishay Jain is a high-flying MBA student at the George Washington University School of Business, determined to break into the world’s fastest growing aviation market. First, he wants experience working for a major commercial airline. Then, he wants to start his own. Prior to his MBA, Atishay worked for his family business exporting paper and in auditing at KPMG in Mumbai, before getting his first taste of the aviation industry in a business development role at Jet Airways’ frequent flier program JetPrivilege. Competition in his native Indian market is fierce and international airlines are getting involved. Jet Airways partnered with the UAE’s Etihad Airways to secure over 20% of the Indian aviation market and keep up with its big rival airlines, Air India and IndiGo. Yet Atishay is confident that an MBA in the US, is a one-way ticket to success.
India turns ‘no fly zone’ for business jets on weekends
With the government having put ease of doing business in India at the top of its agenda, VistaJet boss Thomas Flohr knows one change he’d like to see happen — get the aviation regulator to work on weekends so that overflight approvals don’t need to take three days. To be sure, the Directorate General of Civil Aviation will approve emergency requests in a matter of hours but for everybody else, the office is shut on Saturday and Sunday. Flohr had wanted to fly from Myanmar to Dubai on Monday, January 4, for which permission was sought on the preceding Friday, New Year’s Day. But VistaJet, the world’s largest operator of business jets, was told it wouldn’t be able to get approval before Tuesday. “I had to be in Dubai on Monday,” Flohr told ETin a recent interview. Circumventing India meant an additional three hours of flying time-—it took him nine hours instead of six to get to Dubai from Myanmar. And it’s not just overflights, even trips to Indian destinations from overseas at short notice, say by a corporate boss in her company jet, risk getting stuck. All foreign-registered aircraft using Indian air space need DGCA approval. While scheduled commercial airlines have a fixed timetable and approvals are obtained in advance, business jets need permission each time they fly into or over India, as do those seeking to fly overseas from the country. Flohr said the regulator can speed up things by hiring a few more people because such delays hurt India’s image when it’s aiming to draw overseas investment. “Aviation is a 24/7 business. How can the regulator not work on weekends?” Flohr said. “The Indian government is trying to improve its ranking in ease of doing business in India. The government can improve it further by hiring five to 10 people who can work on weekends.” The solution may not be that simple though. DGCA didn’t respond to queries but an official who didn’t want to be named said such permission wasn’t just up to the regulator. Apart from emergencies, such applications need to be cleared by the home ministry and other government departments. Indian business jet operators echo the concerns raised by Flohr. International flight plans filed by them also get stuck because of weekends and holidays. “Every Indian business aircraft flying international has to take approvals from the DGCA. These approvals are delayed, as the DGCA does not work on weekends,” said RK Bali, secretary at the Business Aircraft Operators Association, which represents 130 business aircraft operators registered in the country. To be sure, DGCA officials try to be as accommodative as they can. A business aircraft operator said that flight plans have at times been sent for approval to their homes. “They take pride in saying that they are helpful and sign on approvals even when they are off on weekends. But this problem can be sorted completely by hiring people to work on weekends, which they won’t,” said the person, who didn’t want to be named. In the US, once an operator has been approved by the aviation authorities, it doesn’t have to seek permission every time one of its planes uses the country’s airspace. “Why cannot India copy systems prevalent in the US? I do not need a permit to fly to the US because we are approved by them,” said Flohr, whose company has a fleet of 61 aircraft, five of them dedicated to the Indian market. The situation in China was similar to India until five years ago, but that country has now fixed the problem, he said. “Somewhat it’s the same for India. Once these norms are relaxed, it will immensely benefit the country.” Bali also said that the situation is not in sync with the requirements of aviation. “There is a huge gap between aviation’s requirement and regulator’s attitude,” he said.
5/20 rule set to be tweaked: MoS for Civil Aviation Mahesh Sharma
Indicating that the decade-old norm for international operations by the domestic carriers, popularly known as 5/20 rule, is set to be tweaked, Union Minister Mahesh Sharma today expressed hope that the Union Cabinet will give its nod to the revised norm by this month. The rule was a “matter of concern,” and has been addressed (appropriately), Sharma, who is Minister of State for Civil Aviation, said at an event. “(We) have sent the revised 5/20 rule for consultation… it should be back in 10-15 days and then can be taken up by the cabinet anytime,” he told reporters. The existing regulation requires an Indian carrier to have a minimum five years of domestic flying experience and a fleet of at least 20 planes to fly overseas. The issue of 5/20 international flying norm has witnessed extensive debates with legacy carriers opposing any changes to the rule, while start-up airlines – AirAsia India and Vistara – are against continuing with the requirement. Sharma also said Civil Aviation Ministry has already sent the draft aviation policy for inter-ministerial consultation, adding that “it should be taken up by the cabinet anytime.” All issues relating to the aviation sector will be addressed in new policy, he added. Measures suggested in the draft policy, which was unveiled last October, seek to give a boost to the Indian aviation sector, which has a high growth potential, and strengthen regional connectivity. It has suggested tax incentives for airlines, maintenance and repair works of aircraft besides mooting 2 per cent levy on all air tickets to fund regional connectivity scheme. There are other significant proposals such as increasing FDI limit for foreign airlines, setting up of no-frills airports and providing viability gap funding for airlines to bolster regional air connectivity. Sharma said that the Government was open to re-look at taxations on jet fuel for the states participating in the regional connectivity scheme. “We have already proposed a haircut to bring taxation to 1 per cent on the regional connectivity scheme,” he said. On the issue of fixing thresholds for economy class air fares, Sharma said that the “price capping” was being looked at through a consensus method.
Now, AI chief speaks out against watchdogs slowing decison-making
More bureaucrats are now coming out openly to voice their concerns about taking decisions in a government set-up that can later be interpreted any which way by agencies like the CBI, CAG and CVC. Just over a week after coal secretary Anil Swarup voiced resentment in government circles over watchdogs turning roadblocks through a Facebook post, Air India chairman Ashwini Lohani has bared his heart too. “The dilemma of a public sector chief. That too of a complex, decayed yet live wire organisation like AI. Do I set it right even at the cost of self sacrifice…. Do I play safe and let the organisation sink. Or take major decisions and run the risk of being run down myself when my decisions would be dissected in hindsight?…. Perhaps there are no easy answers and I have to depend only on the voice of my conscience,” Lohani said in a Facebook post on Thursday. Earlier this week, Lohani said in his blog: “The role of the check posts, namely the vigilance and audit setups has to be reviewed and drastically curtailed. Malafide has to be handled with an iron hand, mistakes need to be merely glossed over. Trust in human beings has to be brought back…” Senior AI officials working closely with Lohani say private airline managements are able to quickly take decisions. “AI is competing with quick footed people like Naresh Goyal (of Jet), Rahul Bhatia and Aditya Ghosh (promoter and president of IndiGo) who are the big boys of Indian aviation. They take decisions over phone calls and implementation happens soon after. AI, on the other hand like all PSUs, has huge systems to follow. So its decision-making is not fast like the airlines it is competing with,” said an official. Also, bureaucrats running AI — whether in airline management or mandarins of the aviation ministry — are now scared of taking big ticket decisions to to avoid spending their retirement years in Tihar Jail. Most bureaucrats now want to ‘uneventfully’ (read indecisively) complete their tenure to avoid ‘problems’ with the watchdogs. “What really foxes me is the mess and the amount of indecision at all levels that must have gone into almost on a continuous basis to achieve the grand mess that we are saddled with today at the national carrier. Yes it is true that the typical staid way of functioning must have helped a lot, as that alone guarantees maintenance of status quo and hefty premium on non-deliverance,” Lohani’s blog earlier this week said. Sources say the time has come to take some big decisions at AI, like expanding its wide body fleet as the airline has major plans for adding new destinations in Europe, Africa and Americas. The fleet and network expansion will mean employing more people and opening offices abroad. “AI can either continue as it is or take a leap frog under the decisive leadership of PM Modi who has always favoured a strong public sector. Even divesting in AI will mean improving the airline first so that it can attract some buyers. Who will buy it in the current form?” said an employee.
Transport chopper pilots to undergo proficiency check: Govt
Licence holders seeking to become pilot-in-command of transport helicopters will now have to undergo proficiency checks which will be valid for six months. The new norms would also be applicable for co-pilots of transport helicopters as well as that of transport aeroplanes. In this regard, the Civil Aviation Ministry has made amendments to the Aircraft Rules, 1937. This comes at a time when there are efforts to boost overall aviation safety in the country. “In order to act as a pilot-in-command or co-pilot on transport helicopters, the licence holder shall be required to undergo an appropriate proficiency check as specified by the Director General, in respect of the type of helicopter to be flown,” a recent ministry notification said. Directorate General of Civil Aviation (DGCA) would specify the relevant proficiency check and it would be valid for six months.
Campaign rush in poll season leads to windfall at Durgapur airport
Bengal’s sleepy greenfield airport near Durgapur has sprung to life with jet-setting VIP politicians flying in and out in the high noon of poll season. The airport has already earned an additional Rs 1 crore in a fortnight in landing and parking fees. Though commercial operations at Kazi Nazrul Islam Airport in Andal started in December 2015, it has taken off now with 85 chartered flights landing and taking off with the who’s who of politics on board. Prior to the campaign rush, the airport used to handle 10-12 flights in 15 days. From PM Narendra Modi to Congress president Sonia Gandhi, the list of fliers who have used the airport is impressive. Home minister Rajnath Singh, external affairs minister Sushma Swaraj, human resource development minister Smiti Irani, junior information & broadcasting minister Rajyavardhan Singh Rathore, BJP president Amit Shah and Congress vice-president Rahul Gandhi have all used the airport to campaign in Burdwan, Birbhum, Bankura and even Malda and Murshidabad. Trinamool’s Mukul Roy and Dev also used the facility; chief minister Mamata Banerjee did not land there but her chopper refuelled there as tax is not levied on ATF there.
India, U.S. to conclude pact on aircraft carrier cooperation
India and the U.S. may not have signed the Logistics Support Agreement as planned during Defence Secretary Ashton Carter’s visit early this week but both sides are close to finalising an Information Exchange Agreement (IEA) on aircraft carrier technologies, as well as cooperation on air wing operations for carrier Vikrant under construction at Kochi. The IEA will formalise the exact technology that the U.S. will share and at what classification level, design side, operations among other things, a senior U.S. Admiral said. Both sides had already signed the Terms of Reference on June 17, 2015 during the first meeting of the India-U.S. Joint Working Group (JWG) on carrier technology cooperation. “We provided them a draft when I visited them in February and it is going through the necessary channels of the Indian government to make sure you are ok with it. We are very close,” said Rear Admiral Tom Moore in an exclusive interview to The Hindu, in the US capital late last month. He is the U.S. Navy’s Program Executive Officer for Aircraft Carriers, and the Co-chair of the JWG. From the Indian side it is chaired by Vice Admiral G.S. Pubby, Controller for Warship Production and Acquisition. “It is a necessary document to take the next step. We have made a lot of progress over the last year,” he noted.
AAI likely to post all-time high revenue of Rs 10,000 crore
National airports operator AAI is expected to report an all-time high revenue of Rs 10,000 crore, with an estimated flat profit growth in the fiscal ended March 31 this year. The estimated eight per cent growth in the topline which stood at Rs 9,285 crore in 2014-15, is driven by the surge in passenger traffic as well as aircraft movement, particularly from Ahmedabad and Leh airports, a senior AAI official said. The state-run Airports Authority of India (AAI) was accorded ‘Miniratna’ status in 2008, granting it the right to exercise its powers of autonomy in terms of investment in projects and forming joint ventures. Of the 125 AAI airports, currently 95 are operational, with 70 of them having scheduled flights. “While the accounts are still being finalised, we estimate the revenue to touch an all-time high of Rs 10,000 crore in the last fiscal. The net profit during this period is also estimated at Rs 2,000 crore,” the AAI official said.
Will good times continue for the Indian flier?
That the Indian flier is price-conscious is clear from the rapid growth of low cost carriers (LCCs) in the domestic skies. Over the years, LCCs such as IndiGo Airlines, SpiceJet and GoAir gained market share rapidly at the expense of the full service carriers (FSCs) — more than 60 per cent of passengers in the country now fly with LCCs. Also, except Vistara, the new carriers in the Indian skies are all LCCs. Why, even the FSCs such as Jet Airways and Air India often price their economy class tickets around levels similar to those of LCCs. Low fares have invariably attracted the Indian flier, a case in point being the ongoing rapid growth in passenger traffic. Data from the listed airlines — Jet Airways, SpiceJet and IndiGo — shows that ticket fares came down quite a bit last year. For the nine months ending December 2015, the average fare on these airlines fell about 8-14 per cent year-on-year. This is despite the carriers retaining a good part of their fuel cost cut benefit. Many airlines, especially LCCs, have been coming up with flash sales. If you are lucky to get these limited tickets, you could fly quite cheap. Besides, carriers have been introducing special schemes to attract fliers. Not surprising, given the increasing competition; 10 airlines (5 old and 5 new) now jostle for passenger patronage. Jet Airways, for instance, lets you lock in rates for 72 hours, giving time to finalise travel plans. This flexibility costs ?350 on domestic flights and ?700 on international ones. IndiGo lets you cancel or change your booking any number of times, select a seat, and get a meal for an extra ?1,500. SpiceJet, for ?299, guarantees you a flight in 24 hours in case of delays, cancellations or missed flights. Some airlines offer discounts to customers who book tickets on their mobile platforms and apps. Airlines have also been using ‘fare unbundling’ to good effect to let passengers pick and choose services they want.