Straightened air routes, rationalised charges and ATF prices would reduce airline costs
28 Jun 2008
New Delhi: Airlines are trying to get the aviation authorities to weave in some flexibility into the Indian airspace, which would have a ripple effect in terms of reduced costs, specially savings in terms of costly aviation turbine fuel (ATF).
Speaking to the media at a press conference organised by the Associated Chambers of Commerce and Industry (ASSOCHAM), officials from different airlines put forth their case for loosening the rigidity and expanding the condensed airspace that is presently available for civilian aircraft. Airlines are demanding an independent regulator for the aviation industry, and modifications to the Route Dispersal Guidelines that will open up remote areas within India to air transport services.
Jagson Airlines chairman Jagdish Gupta said that non-aeronautical service charges on an airlines are presently excessive, having increased substantially after privatisation of airports. He said there should not be a user fee, and ATF prices too should be rationalised. He said is was surprising that low cost carriers also need to pay identical service charges to full service airlines. Moreover, he said that non-scheduled private operators like Jagson cannot afford the losses, and the government would need to look at this else the airline industry could fail.
Sanjay Bahadur, vice president of Kingfisher Airlines said that his airline could shave 15 per cent off its operational costs if air routes were to be straightened and civilian aircraft are provided more air space. A Jet Airways official too opined that given the severity of losses that the aviation industry is facing, the government should consider introducing some flexibility in the use of airspace to better optimise it for civilian and military aviation needs, along the lines of the recommendations of the Ajay Prasad committee.
According to sources in the ministry of civil aviation, the defence ministry and the Indian Air Force (IAF) had accepted these recommendations, and as a first step, airspace above 29,000 feet could be released to civilian air traffic. Airlines urged the government for a joint review in tandem with the industry.
