Wednesday,17 March 2010  
 
Wednesday March 17, 2010
 

CIVIL AVIATION

 

            Since the past two years, Civil Aviation in India has made giant strides and is today a major contributor to the growth of the national economy.  Apart from providing connectivity in a large and diverse country like India and serving the transportation needs of the people in a speedy, cost-effective and efficient manner, the aviation sector has also greatly facilitated the development of domestic and international tourism, business, commerce and trade.  During the last two years, Indian Civil Aviation Industry witnessed significant opening up of Indian skies, paving the way for increased international and domestic connectivity. In fact, air travel, for the first time, has become affordable for the common man.

 

Boom in Air Travel

The recent growth in the Civil Aviation Sector has been more than encouraging.  In the first three years of the tenth plan, air transport has grown at an average rate of per cent per annum as against the plan estimate of 5 per cent.  In fact, during the year 2004-05, air transport witnessed a very high growth of above 24 per cent. The Government is, therefore, convinced that an average growth rate of 16 per cent p.a. is achievable by 2010.   Such growth can be achieved with a paradigm shift towards greater liberalisation and significant private sector participation in infrastructure development.

 

             The present macro economic forecast in the country is 6-8 per cent GDP growth rate over the coming years and already India is the fourth largest economy in the world in terms of purchasing power parity with its 300 million strong middle class. The growth of service sector now demands a faster, safer and wider network of air service.  If the present growth trend can be sustained, civil aviation will be the reason for the “take off” of the Indian economy. 

 

             Entrepreneurs, bankers, financiers and investors world-wide are now convinced about the healthy growth prospects for Civil Aviation in India.  Therefore, it is not surprising that a number of new airlines are proposing to enter the market while existing airlines are   going   for   significant   fleet    expansion/renewal.  Five new airlines, viz. 

Air Deccan, Kingfisher, Spice Jet, Paramount Airways and Go Airlines have started operations in past one and a half year or so.  Two more new airlines, viz. Indigo and Indus Airways are expected to start operations shortly.

 

There has also been a significant increase in both domestic and international air traffic as well as cargo in India during the year 2004-05. 

 

Ø       AAI handled 7.3 lakh aircraft movements (12% over the previous year)

Ø       59 million passengers (20% over the previous year)

Ø       1.3 million tones of cargo (22% over the previous year)

 

 
 
 
Traffic trends:

 

Year

Aircraft movements

Passenger movements (in million)

Cargo movements (in tones)

Intl.

Dom.

Total

Intl.

Dom.

Total

Intl.

Dom.

Total

2001-02

107824

402108

509932

13.62

26.36

39.98

560226

294050

854276

2002-03

116442

444208

560650

14.82

28.90

43.72

646137

333222

979359

2003-04

132934

506042

638976

16.62

32.08

48.70

693173

375029

1068202

2004- 05

158191

571827

730018

19.45

40.09

59.54

824876

465036

1289912

 

Liberalisation of Air Services

 Liberalisation of air services in the last one year has created history.  It has increased connectivity and helped in lowering fares.  Under a revised air services agreement with USA, both sides can designate any number of services to any point in the territory of the other country with full intermediate and beyond traffic rights.  Similarly, traffic rights were enhanced with 18 other countries also in order to enable greater connectivity to/from India, e.g. Australia, UK, Germany, China, France, Netherlands, Belgium, Canada, Singapore, Mauritius, New Zealand, UAE etc.  This will lead to more flights and better connectivity from these countries to India providing more commercial opportunity to all operating carriers.

 

Progress in Implementation of ‘7 + 7’ Policy

In pursuance of the policy framework to permit the designated airlines of all countries having Air Services Agreements with India to operate 7 flights/week each to any two international airports in India, the designated airlines of Austria, Finland, Republic of Korea, Maldives, Armenia, Yemen, Ukraine etc. have been offered additional capacity, as requested by the respective Governments, subject to reciprocal rights to the Indian carriers.

 

Opening up of International Routes to Private Carriers

With a view to optimally utilising the traffic rights available to India under various bilaterals, it has been decided to permit Indian scheduled carriers with 5 years of domestic operations and with a minimum fleet size of 20 aircraft, to operate on all international routes except Gulf countries, which have been kept reserved for Air India and Indian Airlines for a period of 3 years.  Jet Airways and Air Sahara have so far been permitted to operate to Sri Lanka, Nepal, Bangladesh, UK, Malaysia and Singapore.  

            The Government has also decided to formulate appropriate measures for establishing improved operational synergy between Air India and Indian Airlines for their mutual benefit.

Consequently, there will not only be more balanced utilisation of traffic rights between Indian and foreign carriers, but also the competition will bring down tariffs, which will benefit passengers directly.  At the same time, there will be an increase in capacity and connectivity that will benefit passengers by giving them more seats and choices.

Policy Regarding Commercial Agreements

The policy of the Government mandated commercial agreements, which is prevalent only in India, has been a point of severe criticism from various quarters, including Ministry of Tourism.  It has been decided that Government will not henceforth mandate any commercial agreement during bilateral Air Services consultations.  Foreign airlines starting new air services, therefore, will not have to pay compensation to our airlines by way of mandated commercial agreements.  This will help to bring down tariffs and increase connectivity, thereby providing direct benefits to passengers.

                                                                       

Limited Open Sky Policy

            Non-availability of seats to and from India during the peak winter season has been one of the major constraints faced by passengers.  In order to ensure sufficient availability of seats, a limited Open Sky Policy was adopted by the Government for the year 2005-06, under which designated foreign airlines have been permitted to mount as many services as they wish to the available points of call subject to the terms and conditions of the existing commercial arrangements between the airlines of both sides for the period December 1, 2005 to January 31, 2006.  Also foreign airlines have been permitted to upgrade their equipment at their existing frequencies during the period November 1, 2005 to  March 31, 2006.

 

Removal of Restriction on Photography

India was among the few countries in the world, which had restrictions on photography by passengers at the terminal buildings of the airports and from inside the aircraft.  These restrictions had outlived their utility and often presented a rather negative image of the country to the foreign travelers, particularly tourists who were accustomed to take photographs at airports and while in flight.  These outdated restrictions have now been removed through amendments in Aircraft Rules to permit photography by passengers of scheduled flights at the terminal buildings of civil aerodromes and civil enclaves at Defence aerodromes.  In addition, passengers are also now permitted to take photographs from inside an aircraft while in flight or landing/take off at civil aerodromes.

 

Amendment in Aircraft Rules

The Aircraft Act and Aircraft Rules are reviewed from time to time and amendments are carried out to keep the provisions abreast with the international standards and development in the civil aviation sector.  As part of this initiative, amendments to Aircraft Rules, 1937 have been carried out relating to removal of restriction on photography by passengers at the terminal buildings of the airports and from inside the aircraft, air fares and relaxation in upper age limit for the pilots from 60 to 65 years, subject to fulfillment of certain conditions.

 

Low Cost Operations by Air India

In what is a boon for expatriate Indians working in the Gulf Region and S.E. Asia, Air India has operationalised “Air India Express”, a new budget carrier under the banner of Air India Charters Limited (AICL), a wholly owned subsidiary of Air India has commenced operation with dry lease aircraft over a period of one year from March, 2005, to April, 2006.  Flights to South East Asia and Gulf (excluding Saudi Arabia) are being operated by this carrier at substantially reduced fares effective summer of 2005.

 

Acquisition of Aircraft by Air India Ltd.

The proposal for acquisition of aircraft by Air India and Air India Charters Limited (a subsidiary of Air India), for acquisition of 50 aircraft, viz. 8 x B777-200 LR, 15 x B777-ER and 27 x B787-8 by Air India at an estimated cost of Rs. 33,197.47 crore and 18 x B737-800 aircraft at an estimated cost of Rs. 4,952 crore, has been accorded approval by the Government.

           

New Stations Connected/Operated by Air India

Air India has started flights to Shanghai and Los Angeles and also introduced terminator flights from Ahmedabad to London.  Air India has identified need for non-stop operations to USA and is tailoring its fleet acquisition accordingly.  Services to the following 12 new destinations have been planned in a phased manner:

            San Francisco, Washington, Houston, Toronto, Manchester, Beijing, Seoul, Taipei, Sydney, Lagos, Mauritius and South Africa.

Refurbishment of Aircraft by Air India

With a view to enhancing passenger appeal, Air India has undertaken major cabin interior refurbishment on its 6 owned B747-400 and 8 owned A310-300 aircraft

.

            On the B747-400 used on India/Europe/USA prime routes, refurbishment will include replacement of seats, toilet modules and provision of state-of-the-art in-flight entertainment system, besides mood lighting and change of interiors and exteriors.

            On the A310-300 fleet, which has a limited residual life, seats, wall panels, galley and toilet exteriors will be refurbished and the cabin provided a more contemporary look with leather upholstery and provision for DVDs in Executive Class for in-flight entertainment.

 

 

 

New International Connection by Indian Airlines

The company introduced services on the following new routes in the international sector:

Winter 2004 Schedule 

            Guwahati-Bangkok v.v.               2 flights/week with A-320

Summer 2005 Schedule

            Delhi-Kuala Lumpur v.v.              Daily flight with A-320

            Mumbai-Bangkok v.v.                 Daily flight with A-320

            Mumbai-Sharjah v.v.                               Daily flight with A-320

            Delhi-Kabul v.v.                          3 flights/week with A-320

            Hyderabad-Singapore v.v.                        3 flights/week with A-320

            Gaya-Yangon v.v.                                   1 flight/week with A-320

            Jaipur-Kuala Lumpur v.v.             2 flights/week with A-320

Winter 2005 Schedule

                  Pune-Singapore v.v.                                2 flights/week with A-320

Foreign Direct Investment (FDI) in Civil Aviation Sector

The Central Government has increased the Foreign Direct Investment limits in “Air Transport Services (Domestic Airlines)” and revised limits are as under 49 per cent through automatic route; and 100 per cent by Non-Resident Indians through automatic route  (No direct or indirect equity participation by foreign airlines is allowed).

     The issue of PIO cardholders being accorded a dispensation similar to NRIs in case of FDI in Air Transport Services (Domestic Airlines) is under examination of the Government.

Acquisition of 43 Aircraft by Indian Airlines

The Government conveyed its approval on September 29, 2005, to Indian Airlines for acquisition of 43 aircrafts, viz. 19 A-319, 4 A-320 and 20 A-321 from Airbus Industrie, all powered with CFM 56-5B engines and related spares, spare engines, equipment etc., at a total estimated cost of approx Rs. 9,888 crore (@ US$ = Rs.46).  Subsequently IAL held discussions with Airbus Industrie and CFM and has signed Letter of Intent (LOI) on December 16, 2005. Delivery of the aircraft would start from October, 2006, and complete delivery of 43 aircrafts is likely to be made by March, 2010. 

 

Cargo operations of Indian Airlines and Air India

            Indian Airlines is into the final stages of examining conversion of 5 B737s into freighter aircraft to use them on a hub and spoke concept with Nagpur as a hub to offer express /retail courier services.

             Air India is planning to significantly expand its cargo operations in a phased manner over the next 2 years.  For this it plans to dry lease 1 A310 dedicated freighter and one B747 dedicated freighter and convert two A310 aircraft into aircraft for freighter services.  Through these measures Air India’s revenues for cargo services increased from Rs. 4,000 crore to approximately  Rs. 6,000 crore in 2005-06.

 

Outstanding Dues of Vayudoot Limited

Consequent upon the decision to merge Vayudoot with Indian Airlines in 1993, it was decided to freeze all outstanding dues of Vayudoot for a period of 5 years and thereafter payment by Indian Airlines in 10 annual instalments.  This period of moratorium was further extended for 2 years i.e. upto May 24, 2000.  In view of its severe financial position, IA had requested this Ministry to provide funds for disposing off the liabilities of Vayudoot.  The matter was under consideration of the Government for quite a long period and it was finally decided to grant Rs.138.33 crore to IA to discharge the liabilities of Vayudoot.  Out of this amount, IAL has disbursed an amount of approx. Rs.135 crore to the various creditors.  Action is in hand to clear the remaining small liabilities.

 

Notification of AAI (Amendment) Act, 2003

The Government  has notified the AAI (Amendment) Act, 2003 on July1, 2004, to enforce the provisions of the said Act, which, inter alia, provides for restructuring of airports through leasing route, exclusion of private airports from the ambit of AAI Act excepting security and ATC functions which will continue to be discharged by AAI and also empowers the Government for levy of Advance Development Fee (ADF) for the development of existing airports and also for the setting up of new airports.

 

Restructuring of Delhi and Mumbai Airports

The International airports in Delhi and Mumbai are being restructured and modernised through Private sector participation.  In the Joint Venture, AAI and other Government PSU will be holding 26 per cent equity.  The strategic partner will hold the balance 74 per cent.  The Foreign Direct Investment (FDI) in this transaction has been capped at 49 per cent. 

 

It has been estimated on preliminary basis that the capital investment to the extent of Rs.7, 961 crore and Rs.6,131 crore will be required for Delhi and Mumbai airports, respectively, over a period of 20 years in 4 stages of 5 years each. The above estimates do not include cost of likely relocation of some of the assets and removal of encroachments. The Operation Management & Development Act was signed by the JV consortium on  April 4, 2006 and the handing over of the airport took place on  May 3, 2006.

 

Bangalore International Airport Limited

Greenfield airport project at Devanahalli, near Bangalore, is being implemented on a Build Own Operate and Transfer (BOOT) basis with Public – Private – Participation (PPP). The government of Karnataka (GoK) and Airports Authority of India (AAI) together hold 26 per cent  equity and the strategic joint venture partners hold the balance 74 per cent.. AAI’s investment in the equity is capped at Rs. 500 million. A Consortium, led by Siemens, Germany with Unique Zurich, Switzerland and Larsen & Toubro India Limited as other members have been chosen as the strategic Joint Venture Partners.  The Shareholders Agreement, the Concession Agreement, the State Support Agreement and the Land lease Agreement have been executed. GoK is extending Rs.3.5 billion as State support and is providing approximately 4,000 acres of land on concessional rent. 

 

The communication Navigation Surveillance / Air Traffic Management Agreement (CNS - ATM) have already been signed.  Operation and  Maintenance Services Agreement, financing Agreements etc. are signed. The approximate cost of the Project Rs.14 billion.  The target opening date of the airport is 33 months from the date of Financial Close. The Financial Close was achieved on June 23, 2005, and the formal implementation of the Project commenced on  July 2, 2005. This project will be ready for operation in April, 2008.

 

Hyderabad International Airport Limited

Another  Greenfield airport is being developed in Shamshabad, near Hyderabad on BOOT basis with Public Private Participation (PPP) by the government of Andhra Pradesh.  The approximate cost of the Project is Rs.17.6 billion. A Special Purpose Vehicle under the name and style of Hyderabad International Airport Limited (HIAL) has been set up.

 

AAI and Government of Andhra Pradesh together hold 26 per cent  equity with AAI’s equity being capped at Rs. 500 million. The balance 74 per cent  being held by the strategic partner, a consortium consisting of M/s GMR Enterprises and Malaysian Airports Holdings Berhard (MAHB).  The Concession Agreement was signed on December 20, 2004, the Shareholder’s Agreement the State Support Agreement, the Land Lease Agreement on  September 30, 2003, and the CNS / ATM Agreement have already been executed. The target opening date of the airport is 36 months from the date of Financial Close. The Financial Closure was achieved on  August 22, 2005.

 

Trivandrum Airport

AAI Board in its 89th Board meeting held on July 12, 2005 and adjourned Board meeting held on July 15, 2005, approved a proposal for construction of a new international terminal building at Trivandrum Airport at an estimated cost of Rs.245.58 crore (Phase-I Rs.165.48 crore + Phase –II Rs.80 crore).

 

In addition to the terminal building, an apron to hold 22 bays 6-E Category (in-contact) 4 D Category (in-contact) + 12 D&C Category (Remote) is also proposed.  In the first phase apron is proposed only for 2 in-contact and 2 remote “E” CAT bays.

 

Planning Commission has since given ‘in principle’ approval to the project. AAI has submitted a PIB Memo for the construction of the terminal building at an estimated cost of Rs.165.58 crore and has sought to obtain the approval of the PIB.

 

Chennai Airport

An ‘in principle’ decision has been given by Prime Minister to modernise Chennai airport through Joint Venture route.  The matter is being processed for obtaining early approval of the Cabinet. Airports Authority of India has been requested to start preparatory work such as collecting information regarding land requirements, additional land, encroachments, traffic projections, capacity assessment, document preparation etc.

 

New Greenfield Airports at Navi Mumbai, Goa, Pune and Ludhiana

A proposal for construction of a new international airport at Navi Mumbai proposed by the government of Maharashtra is under consideration.  The Government has conveyed in principle approval for Airports Authority of India (AAI) to conduct a simulation study through International Civil Aviation Organization (ICAO) to develop procedure for conflict-free operations at the proposed airport and the existing CISI Airport at Mumbai.

 

The Government has approved construction of a new airport of international standards at Mopa in Goa.  The State government has appointed a Technical Cooperation Bureau of ICAO, Montreal, Canada, as consultant for implement the airport project for conducting Technical Economic Feasibility study.

A proposal by the government of Maharashtra to develop an international airport at Chakan near Pune is being processed.  A Technical Economic Feasibility study was conducted by AAI.  A team of AAI is studying the proposal by Ministry of Defence that the orientation of new runways at Chakan should be the same as orientation of runway at existing airport at Pune for safe airspace management and aircraft operations.

The government of Punjab has proposed establishment of a Greenfield Airport near Ludhiana.  The government of Punjab has been advised to get a pre feasibility report prepared and to forward the same to this Ministry, along with State governments’ comments on acquisition of land, connectivity and other utilities like electricity, water etc.  The State government has also been requested to obtain a clearance from Ministry of Defence in view of the close proximity of the proposed site with several defence aerodromes.

Modernisation of Non-Metro Airports

  Apart from restructuring of Delhi and Mumbai airports and Greenfield airports approved to be set up at Bangalore and Hyderabad, Airports Authority of India (AAI) has decided to modernise 35 tentatively selected non-metro airports to world class standards in phases with focus on airside and city side development and enhancement of non-aeronautical revenues with an estimated cost of Rs. 5,000-5,500 crore, excluding the land side development. 

In the first phase, ten airports have been taken up in hand and the remaining in the subsequent phases.

The Global Technical Advisor (GTA)/ Indian Financial Consultant (IFC) have considered various options including Public Private Partnership for development of initially selected 10 non-metro airports.  The joint Venture for modernisation and development of each airport would be one of the options depending upon feasibility and availability of resources.

The Empowered Sub-Committee of the Committee on Infrastructure has set up a Task Force to decide on the financial plan for development of these non-metro airports.

\GPS and GEO Augmented Navigation

Orders have already been placed for supply, installation and testing of the ground network of GPS aided GEO Augmented Navigation (GAGAN).  This would include the hardware for 8 reference stations, master control centre and a part of the uplink station, which will be supplied, installed tested and handed over by the contractor.  This will be integrated to the RF section of the uplink station which is being implemented by ISRO.  The navigation payload of the GSAT-4 Satellite, which ISRO will be putting in orbit for operationalisation of “GAGAN”.  Reference Station and Master Control Station installation is in progress.

Haj Operations

            For Haj 2006, the Government has decided to increase the number of persons performing Haj through the arrangements made by the Haj Committee under the Government subsidy scheme from 82,000 to 100,000.  It has been decided to retain the amount of Rs. 12,000 to be paid by each pilgrim for round trip to Jeddah/Madinah and remaining as subsidy to be paid by Government to airlines.  The outgoing phase of Haj operations 2006, have already commenced from December3, 2005.  There are 15 embarkation points from where the Haj Committee pilgrims will be airlifted to Jeddah.

Augmentation of Fleet by Pawan Hans Helicopters Ltd.

Pawan Hans Helicopters Ltd. had augmented their fleet by inducting two Dauphin AS365N3 helicopters and one light helicopter Bell 407 in 2004. The Company has now signed an agreement for purchase of two Dauphin AS365N3 helicopters on December 5, 2005.  These helicopters are likely to be delivered by May, 2006.  The Company has also exercised the option to purchase one more light helicopter Bell 407, which is likely to be delivered by end of March 2006.

 

Development in North Eastern Region

Indian Airlines and its subsidiary Alliance Air have been taking special measures to ensure connectivity in the North Eastern States.  Indian Airlines/Alliance Air operates 116 flights per week offering 9053 seats and connects 11 stations in the North Eastern states.  Besides, Indian Airlines also links Guwahati with Bangkok on a twice weekly basis. 

The ATR operations of Alliance Air are governed by a Memorandum of Understanding signed between the North East Council and Alliance Air on August 4, 2004, which sets out the detailed objectives and requirements envisaged in connection with the ATR services in the North East.  The Memorandum of Understanding is effective from the financial year 2002-03 onwards for a period of 5 years.

            Besides Indian Airlines/Alliance Air, Jet Airways, Sahara Airlines, Air Deccan and Kingfisher Airlines are also operating scheduled air services to/from different stations in the North East Region.

PHHL have provided helicopters to the State governments in North-East, namely Sikkim, Tripura, Meghalaya, Arunachal Pradesh, which connects 33 destinations, 64 sectors and 156 weekly flights of helicopters operated by Pawan Hans Helicopters Ltd. under the lease agreements.  At present, 4 helicopters are deployed in the NorthEastern sector in the aforesaid manner, excluding the one undergoing overhaul in Russia.  Two more PHHL helicopters are deployed with MHA and NHPC, to provide helicopter services in the North-Eastern sector.  The helicopter operations in this sector are subsidised by the State government as well as Ministry of Home Affairs.

International Air Cargo Facilities at Airports

AAI has established international cargo facilities at four domestic airports, namely Nagpur, Guwahati, Lucknow and Coimbatore.

As far as Indian Airlines is concerned, cargo revenue from April-December, 2004 has shown an increase of over 19.25 per cent, compared to the same period in the preceding year, and Indian Airlines had introduced a new facility called Shipment Notification System to promote export cargo through which shipper will be informed about the status of his shipment ex-inland cargo stations via e-mail and SMS.

As far as Air India is concerned, it has decided to operate dedicated freighters on key cargo routes, i.e. India/Europe/USA, India/Japan, India/Singapore and India/China.  It has proposed to retrofit its older A310 aircraft and sought to dry lease up to 3 AB310 freighters and 1 B747-400 freighter for providing bridge capacity in the interim.

 

Fog Management at IGI Airport, Delhi

IGI Airport, Delhi has been upgraded to CAT III-B.  However, in view of the inconvenience caused to travelling public from December 23-25, 2005, due to cancellation/delay in flight schedules because of fog, Secretary (CA) took a meeting on December 27, 2005, with all the airline operators.  He informed the airlines that the customer care/satisfaction should be foremost in their scheme of things. Towards this end, he asked them to depute their senior officers at airports to handle and pacify passengers in such situations.  He also suggested all the airlines including the low cost that they should provide some refreshment to the passengers in case of delays. 

AAI would provide additional counters for refreshment purposes and also space to accommodate more passengers. He insisted that all airlines should train their pilots to operate in Cat III-B conditions and if they fail to do so it would not be possible to approve their scheduled operations in/out of Delhi for the Winter Schedule of 2006.

Nagpur and Jaipur Declared International Airport

Nagpur airport was declared an international airport on April 8,2005, and re-named as Dr. Ambedkar International Airport.  International flights started at Nagpur with the first flight of Air Arabia landing there on October 16.2005.

International operations have been increased from Jaipur airport after it being declared international airport on December 29, 2006

Contingency Plan for hijack situation

Cabinet Committee on Security(CCS) in its meeting held on August 9, 2005, has approved the Revised Contingency Plan for handling aircraft hijack situation. It has also approved the Coordination Procedures (CP) between civil and defence aviation authorities and Standard Operating Procedures (SOPs) for handling a hijacked aircraft being used as a missile against strategic targets. 

New Scheduled Operators

            Apart from the existing scheduled operators, scheduled operator permits have been given to Air India Charters Ltd., Kingfisher Airlines Ltd., Spice Jet, Paramount airways Pvt Ltd. and Go Airlines in the year 2005.  There are thus, 12 scheduled airlines operating in the country at present viz.     

1.                   Air India Ltd.

2.                   Air India Charters Ltd.(Air India Express)

3.                   Indian Airlines

4.                   Airline Allied Services Ltd.(Alliance Air)

5.                   Jet Airways

6.                   Sahara Airlines

7.                   Deccan Aviation Pvt. Ltd.

8.                   Kingfisher Airlines Ltd.

9.                   Spice Jet Ltd

10.               Paramount Airways Pvt. Ltd.

11.               Blue Dart Aviation (Cargo)

12.               Go Airlines

            Besides, M/s. Inter Globe Aviation Ltd. and M/s Indus Airways Pvt. Ltd. have also been issued NOC by the Government to operate scheduled air transport (passengers) services.

 

New Civil Aviation Policy

The new Civil Aviation Policy is in the final stages of preparation before being sent to the Cabinet for approval.

 

Airport Economic Regulatory

Airport Economic Regulator Authority (AERA) is on the anvil and a Bill to establish the same is expected to be tabled in the Parliament after cabinet approval.

 

Shortage of Pilots/ Flying Training Institute

            With the opening up of the Indian skies, more and more private airlines are either operating air services or are in the process of inducting more aircraft in operations.  This has increased the requirement of pilots. 

 

With a view to provide flight training to aspiring youth, a National Flying Training Institute is being established at Gondia in Maharashtra.  For this purpose, a token provision of Rs. 1 crore has been made in the financial year 2005-06.  A Project Director has since been appointed to initiate Registration to complete formalities / procedures. A detailed project report is also being prepared.  After this report is finalised, the exact estimated cost of the project, the likely date of opening of this Institute and the number of pilots to be trained shall be firmed up.

 

Upgradation of IGRUA

The Government proposes to upgrade Indira Gandhi Rashtriya Uran Akademi(IGRUA), Rae Bareli at an estimated cost of Rs. 57 crore, approximately.  The upgradation includes induction of single engine and multi engine aircraft, rebuilding of helicopters, modernization of runway, construction of additional building for hostel, hangar and office and acquisition of the adjacent Sultanpur airfield.  The upgradation would increase its output from 40 trainees per year to 100 trainees per year.

 

Restructuring of DGCA

A committee set up in August 2005, by the Ministry of Civil Aviation, under the chairmanship of Shri M. K. Kaw, former Secretary (Civil Aviation), to review the role and functions of the Directorate General of Civil Aviation (DGCA), presented its report to Minister for Civil Aviation Shri Praful Patel.

The terms of reference of the Committee were:

Ø       Functions of DGCA as envisaged by ICAO

Ø       Regulations authorising DGCA to carry out its functions

Ø       Comparison of regulations with international requirements

Ø       Organisation of DGCA, its manpower and training requirements

Ø       Procedures adopted by DGCA for

q       Licensing of airlines;

q       Licensing of personnel i.e. pilots, flight engineers, navigators; engineers, flight dispatchers etc.;

q       Examination system; and

q       Clearance of international scheduled and non-scheduled flights

Ø       Administrative and financial autonomy of SDGCA for discharge of its functions.

 

 

Ø       To conduct audit as per ICAO Protocol in preparation for ICAO Audit.

Ø       To advise whether there is a need for converting DGCA into an independent statutory authority/corporation.

The broad recommendations  of the Committee are:

Ø       Government needs to finalise its civil aviation policy and give it a statutory basis in the shape of a new Civil Aviation Act.

Ø       There is no need to create a plethora of regulatory agencies in the field of civil aviation.

Ø       The DGCA should be statutorily notified as the sole apex body for safety and economic regulation of the sector. It should also act as a catalyst for the growth of the manufacturing sector.

Ø       There is no need to convert it into an authority. This might make it commercial in outlook and dent its effectiveness in performing the sovereign function of regulation.

Ø       There should be a National Civil Aviation Advisory Committee to lay down the policy and review it from time to time.

Ø       DGCA should be given a sufficient budget and have clear-cut administrative and financial autonomy through a DGCA Council and its Empowered Committee.

Ø       DGCA should liberalise its regulatory framework so as to give a greater fillip to the already burgeoning civil aviation sector.

Ø       There should be a national training policy, a Central Air University, several State air universities, a DGCA Training Academy and tighter control and supervision over flying training schools and AME training institutions.

Ø       There should be an Indian Civil Aviation Service to man the various positions in the DGCA.

 

*****

 

     
Categorized Search
  Handouts
  Photo
      Freedom Movnt
      Photo-divi
  AV/Webcast
Home
Press Releases
English Releases
Hindi Releases
Urdu releases
Ministrywise Releases
Photogallery
  Today's Photogallery
Photo Archives
Features
English Features
Hindi Features
PIB
  Contact Information
About us
Subscribe PIB Releases
Accredited Journalists
Important Links
President's Office
Prime Minister's Office
Indian Parliament
Media Units
DD News
AIR News
GOI Website Directory
   
Press Information Bureau
"A" - Wing, Shastri Bhawan,
Dr. Rajendra Prasad Road,
New Delhi - 110 001