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No more Airline Permits in India....?

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No more Airline Permits in India....?

Old 5th Jan 2013, 09:17
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No more Airline Permits in India....?

The plans of the father of low-cost air travel in India, G.R. Gopinath, to re-launch a national airline and the Cochin Airport’s move to launch Air Kerala could be non-starters, senior Government officials have said.
Gopinath sold Air Deccan to Kingfisher Airlines in 2007. The sale agreement between the two airline promoters put a five-year restraint, which expires this month, on Gopinath from starting a national airline.
While officially the Government is “considering” Gopinath’s proposal, unofficially, senior officials point to a variety of reasons for not giving the nod, including slowdown in the industry, which has seen a fall in the number of passengers flown by domestic airlines, and the track record of the promoter in other aviation ventures.
“This is an industry that requires deep pockets. In the current scenario, a detailed analysis will have to be done to see whether another national airline is required,” a senior Government official said. Gopinath was not available for comment.
In the case of Air Kerala, the Government norms of an airline having to complete five years of domestic operations and having a fleet of 20 aircraft could derail the project. While earlier the Government was looking to tweak these norms, that proposal seems to have been put on the back-burner for now, sources said.
The Kerala Government was keen to start an airline that would operate between the State and the Gulf, thereby providing a cheaper alternative for people working in West Asia.
Minister of State for Civil Aviation K.C. Venugopal recently told Parliament that Cochin International Airport Ltd had worked out a project for starting Air Kerala as its subsidiary, as informed by the Kerala Government. He added that no formal proposal had been received by the Ministry.

Gopinath project, Air Kerala unlikely to get Govt nod
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