Cabinet clears proposal to replace DGCA with new regulator

The union cabinet today approved a proposal to replace the Director General of Civil Aviation (DGCA) with a new regulator - the Civil Aviation Authority or CAA - which will have full operational and financial autonomy.

The proposal was cleared at a meeting of the union cabinet held today, a government official who declined to be named said.

The Civil Aviation Authority (CAA) will administer and regulate civil aviation safety and manage safety oversight over air transport operators, air service navigation operators and operators of other civil aviation services.

Civil aviation officials pointed out that the DGCA had limited delegation of financial powers and was ''incapable of making adequate structural changes'' to meet the demands of a dynamic civil aviation sector.

The CAA would have more administrative and financial powers to deal with the fast-changing aviation scenario, they added.

Besides dealing with matters relating to financial stress of airlines and safety of air operations, CAA would also deal with issues relating to consumer protection and environment regulations in civil aviation, according to the draft legislation.

The CAA is designed to meet the standards set by UN's International Civil Aviation Organisation (ICAO) and will be on par with aviation regulators in other countries like the Federal Aviation Administration of the US and the UK's CAA.