Question : Operation of Air India Flights

(a) the number of the domestic and international sectors operated currently by the Air India;

(b) the number of sectors out of those running in loss and the names of the sectors which are unable to meet the fuel cost and the total cost;

(c) whether the Government proposes to discontinue operation of flights in those sectors running in loss and also increase revenue, if so, the details thereof;

(d) whether the loss making sectors are likely to be entrusted to the private airlines and if so, the details thereof; and

(e) the steps taken/being taken by the Government to convert them into profitable sectors?

Answer given by the minister

Minister of State in the Ministry of CIVIL AVIATION

(Shri Jayant Sinha)

(a): Currently Air India operates on 118 domestic and 64 international routes.;

(b): The details are given at Annexure.

(c) to (e) : No, Madam. Air India continually monitors the carriage / load factors / financial performance of services on its network and makes efforts to improve their performance. Whenever any services give rise to cash losses, AI analyses the reasons for the losses and based on the strategic importance of such services to its network arrives at a decision whether to continue or withdraw such services. While determining the desirability or otherwise of discontinuing operations of loss-making services Air India takes into account the revenue contributions made by the subject services to its other services by way of feeder traffic. As such non-profitability of any one flight is not taken in isolation as the sole barometer of its financial performance. Major route restructuring was done in winter 15 schedule with an aim to operate point to point flights to / from major hubs thereby increasing availability of aircraft and crew for optimum utilization of available resources for increasing revenue.


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