The four-day biennial event ‘WINGS INDIA 2018 jointly organized by Ministry of Civil Aviation and Airport Authority of India and FICCI got underway in Hyderabad today. The theme of the four-day biennial event this year is ‘India-Global Aviation Hub’. WINGS INDIA 2018 is a platform for interactions, forging alliances, investments and air connectivity between the States and the global aviation players & stakeholders. The event was attended by senior ministers of Telangana Government and senior officials of Ministry of Civil Aviation, DGCA, AAI and representatives from FICCI.
Jayant Sinha, Minister of State for Aviation, a private bidder will be allowed to pick up 51 per cent or more stake in Air India. He said the management control will be transferred into private hands. Apart from IndiGo, a foreign airline has sent a confidential letter showing interest in Air India. The Minister declined to from say from which region or part of the world the foreign airline was. The successful bidder will be announced by end June and the entire legal process of privatisation of Air India will be completed by December this year.
Sh. Ashok Gajapati Raju, Minister of Civil Aviation has informed that key revisions in Scheme under 2nd Round of RCS-UDAN covering Priority areas, operational flexibility, Helicopter operations, etc have been made. He informed that, “In pursuance of the Government policy relating to “Ease of Doing Business” and “UDAN- facilitating regional air connectivity by making it affordable for masses”, the following key policy initiatives have been taken under UDAN-2. Sh Jayant Sinha, |MOS, Civil Aviation, Sh Rajiv Nayan Choubey, Secretary and senior officials were also present on the occasion.
With the government taking quick steps for divesting its stake in Air India, Mohnish Pabrai, a leading US based value investor says that a combination of IndiGo and Singapore Airlines would be ideal buyer for the state-run carrier. Civil Aviation Minister Jayant Sinha said that the government is looking to close the stake sale by 2018-end. Sharing his viewpoint on the government’s decision to cap foreign investment into Air India, Mohnish Pabrai said, “I would make it that even a foreign entity can come in and buy 100% of Air India without any issues. I would focus on other pieces which are more important and which is taking care of the people, thus creating an entity that has a strong viable future.
State-owned AAI plans to have a national strategy for airports development and formulation of model concession agreements amid growing passenger traffic, which is expected to touch 322 million in 2018-19, according to its chairman Guruprasad Mohapatra. Pursuing ambitious expansion plans, the Airports Authority of India (AAI) is preparing to commence “mega projects of new terminal buildings” at 14 aerodromes this year. “AAI is deliberating on national strategy for airports development and operations and formulation of model concession agreements.
National passenger carrier Air India is expected to report a net loss of Rs 3,579 crore for 2017-18, Parliament was informed. According to Civil Aviation Minister Ashok Gajapathi Raju, the airline is expected to make a net loss of Rs 3,579 crore as per “(budget estimates) (projected)” for 2017-18 from a (provisional) net loss of Rs 3,643 crore for 2016-17. The minister, in a written reply to question in the Rajya Sabha, said the airline is projected to increase its operating profit to Rs 531 crore (BE projected) for 2017-18 from a provisional operating profit of Rs 215 crore for 2016-17.
Indian airlines are likely to induct more than 900 aircraft in the coming years, with IndiGo alone expected to add 448 planes, according to official data. India is one of the fastest growing aviation markets in the world and most airlines have ambitious expansion plans, especially to tap the potential on regional routes. As per data available with the civil aviation ministry, budget airlines IndiGo, SpiceJet, GoAir and AirAsia are set to significantly expand their respective fleet sizes. Along with other carriers, the total number of aircraft to be inducted by the domestic players would be more than 900.
The Yamuna Expressway Industrial Development Authority (YEIDA) shortlisted the technical bids of 6 companies to prepare the Techno Economic Feasibility Report (TEFR) for the sanctioned international airport at Jewar. One company will be selected from the lot after the financial bids are finalised. According to YEIDA officials, the companies that participated in the bid for the airport included Engineers India Ltd, KPMG Advisory Services Private limited, Jones Lang LaSalle Property Consultancy, Price House Coopers, Deloitte Touche Tohmatsu India Ltd and CBRE South Asia Private Limited.