Aviation News

Civil aviation ministry is likely to complete the process of privatizing six major airports -Chennai, Kolkata, Ahmedabad, Jaipur, Lucknow, and Guwahati- before the 2014 general elections, said Civil aviation secretary KN Shrivastava. Shrivastava added that the ministry would incorporate valid suggestions by stake holders and change accordingly the requests for qualification(RFQ) and other documents so as to avoid issues later.

Thousands of Airports Authority of India employees across the nation have started a three-day long hunger strike against government's move to privatize six airports. Calling it a completely unwarranted move that would destabilize AAI employees, BS Ahlawat (General Secretary, Airports Authority Employees' Union) warned to intensify their action if the government did not listen to them.

Jet Airways, India's second biggest carrier by market share, reported its worst quarterly loss of Rs 891 crore for the second quarter ending on Sept-30, against Rs 99.7 crore loss in the same quarter a year ago. However, Jet reported a 1% year-on-year growth in sales to Rs 4,607 crore and 12% rise in total number of passengers in Q2.

Airfares in India have witnessed a 35 to 40% rise in the current festive season as compared to the same period last year and are expected to go up further in the coming days till the peak season ends in mid-January. High jet fuel prices and hefty airport fees are deemed to continue rise in airfares.

SpiceJet, India's fourth biggest airline by domestic market-share, on Thursday posted a record quarterly loss of Rs.559 crore in its second quarter of this fiscal till September-30, as compared to a net loss of Rs.164 crore a year earlier. Controlled by billionaire Kalanithi Maran's Sun Group, SpiceJet attributed the record loss mainly to higher fuel prices and a weak rupee.

Paving way for closure of the long-pending Jet-Etihad deal, the Competition Commission of India on Tuesday approved the proposed acquisition of 24% stake in Jet Airways by Abu Dhabi-based Etihad airline for Rs 2,058 crore. The clearance by CCI was among the last regulatory approvals for this deal, which is the first-ever foreign direct investment (FDI) in an Indian carrier.

Following a similar move by the US, the European Aviation Safety Agency (EASA) has permitted the use of smartphones and tablet computers during entire flights. The European Commission explained it saying, it has authorized the use of mobile spectrum for 3G and 4G communications, which allows users to surf the web and send email, when aircrafts are flying above 3,000m.

In a serious violation of DGCA rules, two Jet Airways management pilots have been found continuing as examiners despite a lapsed validity of their mandatory standardization check. A RTI query revealed that the checks of Captain NT Malkani (Boeing 737) and Captain Shain (Airbus 330) were done in 2011 and they lapsed in January and July this year, respectively.

Malaysian budget carrier AirAsia's tripartite joint venture with Tata Sons and Arun Bhatia might get a scheduled air operator's permit in January, nearly a year after announcing the joint venture. The airline plans to keep its operational centre in Chennai and aims at operating only in Southern India initially. The airline has currently hired 300 people for starting its operations.

As part of celebrations of its fifth anniversary in the country, Kula Lumpur-based budget airline AirAsia has announced a campaign with three million promotional seats. Passengers will be able to travel from May-5, 2014 to January-31, 2015 under the "free seats" campaign. The bookings for the promotional seats with zero base fare are available from Monday till December-1.

In order to raise about $840 million, National carrier Air India has planned to sale out and leaseback its seven Boeing 787-8 Dreamliner planes. Proceeds will be utilized to fund loans and operational requirements. "We expect to raise funds to the tune of $770-840 million as the airline is likely to get around $110-120 million per plane," AI source said.

According to International Air Transport Association (IATA), increasingly expensive airports and poor infrastructure are acting as deterrents to the growth of the civil aviation sector in India. "We have seen a 346% increase in charges at Delhi, 164% increase in aeronautical charges in Mumbai, 219% in Kolkata, and a 269% hike in Chennai," said IATA director general Tony Tyler.

Abu Dhabi-based Etihad Airways and its Indian partner Jet Airways are in touch with Air India pilots who fly wide-bodied Boeing 777 aircraft, and are offering them up to double their current compensation. Jet Airways vice-president had individually invited 140 AI commanders in November. Etihad's Rs.2,058 crore infusion into JA for a 24% stake was cleared by government last year.