MINISTER OF OVERSEAS INDIAN AFFAIRS & MINISTER OF CIVIL AVIATION (SHRI VAYALAR RAVI)
(a) and (b):- The spiraling cost of Aviation Turbine Fuel (ATF) coupled with global
economic slow down and low yield have contributed greatly to losses.
The details of the losses suffered by Air India are as under:
Year Rs. in Crores
2007-08 2226.16
2008-09 5548.26
2009-10 5552.44
2010-11 6865.17
Total 20192.03
Ministry does not maintain record of profit/losses of private airlines.
(c) and (d):- Directorate General of Civil Aviation has ordered financial surveillance
of scheduled airlines from safety perspective in accordance with provisions
contained in CAR Section 3, Series S Part I.
(e):- The Government has constantly been responding to changing scenario and
formulating sector specific policies to facilitate and enable growth of the sector and
to meet global standard and competition. Some of the steps undertaken by
Government are as under:
(i) Easier FDI Policy for airports has been put in place vide which 100% FDI,
through automatic route, has been permitted in Greenfield airports, (ii) FDI
requirements for air transport side of civil aviation have been revised and separate
limits have been prescribed in respect of different sectors such as schedule cargo
airlines, non-scheduled operators, MRO etc.(iii) Relaxed procedure for establishment of
private airports for private use has been announced, (iv) Private domestic airlines have been
permitted to fly osi overseas routes subject to specified guidelines. Further, bilateral
arrangements with other countries have been gradually liberalized to enable better
international connectivity. (v)A new Flying Training Institute has been established at Gondia,
Maharashtra. Further, Indira Gandhi Rashtriya Uran Akademi has been restructured. These
measures would help in putting in place better training infrastructure for skilled manpower
in the aviation sector, (vi) The infrastructure at the airports, Air Traffic Control and
Navigation is being constantly upgraded to meet the future demand of the airlines.(vii) to
create a world class airport infrastructure upgradation/modernization of a number of metro and
non-metro airports have been undertaken by Airports Authority of India (AAI)as well as through
Joint Venture Companies, (viii) AAI has undertaken upgradation & modernization of 35 non-metro
airports in the country in a time bound manner. In addition, 13 more airports have also been
taken up for upgradation. (ix) AAI has also undertaken the modernization and expansion of the
international airports at Chennai and Kolkata.(x) DGCA from time to time reviews and amends its
regulations as per international standards and aviation requirements of the country, (xi) DGCA
itself has been strengthened to meet international safety obligations.(xii) City side
development of specific airports has been undertaken under Public Private Participation model.(xiii) A new policy for green field airports which envisages, (xiv) An Independent regulatory
Authority, namely, AERA has been established 12.5.2009 with the prime objective to create a
level playing field and healthy competition amongst all major airports (Government-owned,
PPP- based, private), regulation of tariffs of aeronautical services, protection of reasonable
interest of users.
