Archive for January, 2010

Some of India’s money-losing private airlines declared soaring profits in the December quarter, beating analysts’ estimates and indicating strongly that the country’s ailing aviation industry is on the cusp of economic recovery after a turbulent year.

Finance commission chairman Vijay Kelkar today pitched for complete privatisation in certain sectors such as airline industry to ensure a level-playing field for all players to equip them face the global competition.

The civil aviation ministry on Wednesday said the merger of Air India and Indian Airlines was irrevocable as this was a collective decision of various government agencies. This is in response to a Parliamentary panel’s recommendation that erstwhile Air India and Indian Airlines operate as separate functional units under the holding company NACIL.

After securing an initial Rs800-crore bailout for Air India, civil aviation minister Praful Patel is hopeful that the government would infuse “more” equity in the national carrier in the near future.

Andhra Congress strongman Y S R Reddy’s chopper crash report promises to open a can of worms by showing how mandatory norms have been violated for years without being detected. The chopper had crashed on September 2, 2009, and it took over 24 hours to locate the debris as its emergency locater transmitter (ELT) was [...]

Despite increased terror threat to aviation, the Bureau of Civil Aviation Security (BCAS), the country’s apex agency responsible for security in the air, has failed to utilise the funds meant for upgrading security infrastructure and equipment.

A decline in airfares is a given with the entry of AirAsia and AirAsia X on the major routes to India, some of which were once tightly held by the incumbent.

The Finance Commission Chairman, Mr Vijay Kelkar, has batted for disinvestment of Air India with an aim to achieve twin objectives — to improve the organisation’s efficiency; and routing the sale proceeds towards areas like rural roads and canals, which call for Government funding.

The United States and India are pleased to announce the formulation of the US-India aviation security working group, a bilateral interagency and inter-ministry working group led on the US side by the US transportation security administration and on the Indian side by the ministry of civil aviation.

The third quarter numbers published by airlines have revived hopes that these companies aren’t too far from a financial take-off.