Business World reports that the centre might change polices for mandatory and uneconomic air service to NE.
The civil aviation ministry is proposing to modify the much-hated route dispersal guidelines, which force domestic carriers to fly several uneconomical routes in the North-east and certain other sectors in India.
https://www.businessworld.in/issue/news01.asp
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September 12th, 2006 at 11:10 am
A chhiar ve theihloh
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September 12th, 2006 at 2:58 pm
Aviation policy
End of Forced Flying?
ANJULI BHARGAVA
The civil aviation ministry is proposing to modify the much-hated route dispersal guidelines, which force domestic carriers to fly several uneconomical routes in the North-east and certain other sectors in India.
The proposal is to set up some kind of an alternate system so that the pressure can be lifted from the domestic carriers, several of whom do not want to fly any of these routes, or would rather use their small fleet to fly routes that earned them higher revenues. The proposal, if it comes through, will be met with a collective sigh of relief, especially from airlines like Indian, which are forced to do more than their share on these routes as part of their public duty.
“Instead of an executive instruction compelling someone to fly, we are looking at a bidding system by which a route can be allocated to the operator asking for the minimum subsidy,” says a senior government official. It will be almost like a “viability gap funding” of sorts. Aviation ministry sources point out that some of the carriers like the recently-launched Indigo, for instance, did not think that all the routes were uneconomical and had launched operations with its first flight from Delhi to Guwahati and Imphal.
Says a senior aviation ministry official:“There is not enough competition on these routes, so the operator can charge higher fares, and, therefore, the yields are better than the crowded Delhi-Mumbai and Mumbai-Bangalore sectors.”
Political pressure has always ensured that many areas in the North-east are better networked by air than the traffic justifies. Even with this proposal, it’s not as if the North-east would be less well connected. At a time when the aviation ministry is going slow on clearing new airline proposals, it went ahead and cleared the proposal of Sky Airways, based in Meghalaya, for an operation in the North-east sector. The airline will provide a much-needed intra-North-east service with 50-seater aircraft. The guidelines will remain for some routes — the ones that no one bids for.
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September 12th, 2006 at 4:19 pm
In register la, a free.
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September 12th, 2006 at 4:20 pm
Business World in register turing min beisei a, chuan a free in a chhiar theih a. It is not in my interest and ethic to copy it here. I have the printed edition as well.
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