In a move that has brought relief to least 80 airline companies with 4,000 jobs between them, the aviation regulator Directorate General of Civil Aviation (DGCA) has backtracked on its recent proposal that airlines have at least three aircraft in their fleets.
DGCA had in the last month given small airlines one year to boost their fleet to three aircraft.
WERE SAFETY CONCERNS BEHIND DGCA'S EARLIER MOVE?
DGCA sources said that the aviation regulator had been contemplating the amendment in the rules because of safety issues. DGCA believed that many small operators with one or two aircraft did not had enough funds to maintain their aircraft. DGCA was of the opinion that any operator with enough finances to operate at least three aircraft would be able to take care of safety issues better.
However, private aircraft operators said that DGCA wanted the amendment because it does not have enough staff to do safety checks, and cutting the number of operators or aircraft would reduce DGCA's workload.
WHY DID DGCA MAKE A U-TURN?
DGCA's u-turn came after an industry association approached it with the argument that its decision would lead to the closure of at least 80 operators out of a total 120, with over 4,000 jobs. Further, industry representatives added that there would be a shortage of small aircraft in the commercial category. International companies would take advantage of the shortage and dominate the charter business in India, the industry association said in its response sent to DGCA on Wednesday.
Rohit Kapur, President, Business Aircraft Operator's Association (BAOA) said he welcomed DGCA's rollback of its proposal. “Such a step would have severely affected the industry, making operations unviable for more than two-third of the existing operators. We look forward to working along with the DGCA in order to increase its safety oversight and the overall operational environment for non-scheduled operators in India.”
HOW MANY AIRCRAFT WOULD HAVE BEEN AFFECTED?
BAOA's letter cautioned DGCA that its decision would hit 150 helicopters used for charters, tourism, travels of political leaders during election time, emergency medical services, and disaster management responses.
BAOA's letter also said that the decision would go against the regional air-connectivity policy of the government, as there are many remote regions where only a fleet of one or two aircraft is commercially viable. Inducting more aircraft would make operations non-sustainable and eventually lead to the closure of the operator, the letter said.
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