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Domestic airlines set to get stronger wings

This article was posted on Jan 15, 2014 and is filed under Market News

Govt preparing Cabinet note to lift restriction on international operations

Ahead of the launch of two start-up aviation ventures – Tata-SIA Airlines and Tata-AirAsia – the government is looking at lifting restrictions, such as the minimum fleet size requirement and operational experience, for domestic airlines to launch international services.

Under the existing rules, the Indian carriers wanting to fly on international routes need to have a fleet of at least 20 aircraft and must have operated for at least five years. Civil Aviation Minister Ajit Singh on Tuesday said his ministry was in the process of framing a Cabinet note to seek government approval for “scrapping” the regulation within a month.

“The 5/20 norm for flying international will be completely abolished. We are preparing a Cabinet note on this. Since everything needs to be completed before February-end (when the code of conduct for the general elections comes into force), we will do it before that,” Singh said.

For more visit: Business Standard

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