Business
Air India no longer loss-making: Government
New Delhi, May 3
Efficient functioning and reduction in operational costs has helped national carrier Air India turn from a loss-making airline into an "operational profit unit", the Lok Sabha was informed on Tuesday.
The government also asserted that with regard to safety issues for air travellers, it will be the endeavour of the government "to keep our airports and skies absolutely safe" through foolproof adherence to prescribed international standards.
"By cutting its operational expenses by almost 11 per cent, Air India has turned from a Rs.2,636 crore loss making unit in 2014-15 to a Rs.8 crore operational profit unit in 2015-16," Civil Aviation Minister Ashok Gajapathi Raju said while replying to the debate on demand for grant for his ministry.
He also pointed out that Air India joined Star Alliance in 2014, "which has helped it to integrate better with the international civil aviation market".
The minister also recalled the unique contribution of Air India in the "hour of crisis -- evacuating about 6,000 nationals from Yemen, 1,300 from Iraq and Libya and 17,500 passengers from quake-affected Nepal".
The minister told members that by 2020, Air India's fleet size is likely to grow, by about 100 aircraft to about 232, and of this 28 more aircraft will be added by January 2018.
Responding to members who during the debate on Monday raised issues concerning air passengers, the minister said the Directorate General of Civil Aviation has decided to use technology as an "enabler" and that a comprehensive e-governance project will be launched to offer 160 services online to stakeholders.
"This system will promote transparency, increase efficiency and service delivery, leading to greater ease of doing business. The first set of such services will be launched in May 2016," Raju said.
Among other innovative schemes, the minister said Cochin airport has become the "first in the world to exclusively run on solar energy with a total installed capacity of 12 megawatt".
Delhi and Hyderabad international airports also have eight and five megawatt solar plants respectively.
With regard to safety issues, Raju said it will continue to be the endeavour of the government "to keep our airports and skies absolutely safe through foolproof adherence to prescribed international standards".
He said there was a "high degree of satisfaction" that in a very recent survey it was found that passenger and cargo security satisfaction level were assessed to be 99.25 per cent against a world average of 66 per cent.
To a specific issue raised by Congress member K.C. Venugopal on the fate of the request by Kerala government for an airline between Kerala and the Gulf countries, the minister said, "It (such a demand) is an imagination. No government or any airline in the name Kerala Airline has applied with the government of India."
"I tried to make my enquiries and no airline of Kerala government is pending with the
government of India. They have not even applied," he said amid repeated interruptions from Congress members including Venugopal.
The minister's contention was supported by Bharatiya Janata Party (BJP) member Dushyant Singh, who also said the Kerala government has not made any such request to the centre.
At one point Venugopal was heard asking the minister and the treasury bench, "what happened to you, it is my right to ask the question".
The minister said all registered airlines will have to follow the Indian rules and the Route Dispersal Route guidelines.
The demand for grant was later passed by voice vote after the cut motions were either rejected or withdrawn.
The government also asserted that with regard to safety issues for air travellers, it will be the endeavour of the government "to keep our airports and skies absolutely safe" through foolproof adherence to prescribed international standards.
"By cutting its operational expenses by almost 11 per cent, Air India has turned from a Rs.2,636 crore loss making unit in 2014-15 to a Rs.8 crore operational profit unit in 2015-16," Civil Aviation Minister Ashok Gajapathi Raju said while replying to the debate on demand for grant for his ministry.
He also pointed out that Air India joined Star Alliance in 2014, "which has helped it to integrate better with the international civil aviation market".
The minister also recalled the unique contribution of Air India in the "hour of crisis -- evacuating about 6,000 nationals from Yemen, 1,300 from Iraq and Libya and 17,500 passengers from quake-affected Nepal".
The minister told members that by 2020, Air India's fleet size is likely to grow, by about 100 aircraft to about 232, and of this 28 more aircraft will be added by January 2018.
Responding to members who during the debate on Monday raised issues concerning air passengers, the minister said the Directorate General of Civil Aviation has decided to use technology as an "enabler" and that a comprehensive e-governance project will be launched to offer 160 services online to stakeholders.
"This system will promote transparency, increase efficiency and service delivery, leading to greater ease of doing business. The first set of such services will be launched in May 2016," Raju said.
Among other innovative schemes, the minister said Cochin airport has become the "first in the world to exclusively run on solar energy with a total installed capacity of 12 megawatt".
Delhi and Hyderabad international airports also have eight and five megawatt solar plants respectively.
With regard to safety issues, Raju said it will continue to be the endeavour of the government "to keep our airports and skies absolutely safe through foolproof adherence to prescribed international standards".
He said there was a "high degree of satisfaction" that in a very recent survey it was found that passenger and cargo security satisfaction level were assessed to be 99.25 per cent against a world average of 66 per cent.
To a specific issue raised by Congress member K.C. Venugopal on the fate of the request by Kerala government for an airline between Kerala and the Gulf countries, the minister said, "It (such a demand) is an imagination. No government or any airline in the name Kerala Airline has applied with the government of India."
"I tried to make my enquiries and no airline of Kerala government is pending with the
government of India. They have not even applied," he said amid repeated interruptions from Congress members including Venugopal.
The minister's contention was supported by Bharatiya Janata Party (BJP) member Dushyant Singh, who also said the Kerala government has not made any such request to the centre.
At one point Venugopal was heard asking the minister and the treasury bench, "what happened to you, it is my right to ask the question".
The minister said all registered airlines will have to follow the Indian rules and the Route Dispersal Route guidelines.
The demand for grant was later passed by voice vote after the cut motions were either rejected or withdrawn.
20 hours ago
Trump bets on drug prices to win midterms
20 hours ago
Trump declares US will take over Hormuz as US territory ‘pretty soon’
20 hours ago
Mary Millben hails India’s unity, PM Modi
20 hours ago
Trump vows to abolish US sanctuary cities
20 hours ago
Trump claims historic fall in US violent crime
20 hours ago
Prudential Center in Boston glows in Indian tricolour
20 hours ago
Trump says US will claim Strait of Hormuz
20 hours ago
‘Stronger than ever’: US Secretary of State Marco Rubio extends Independence Day greetings to India
20 hours ago
Israel’s Prez congratulates President Murmu, PM Modi on 80th I-Day
20 hours ago
'Our children now fight for their rights,’ says Kejriwal on Independence Day
20 hours ago
Kharge, Rahul Gandhi skip Red Fort I-Day celebrations for second consecutive year
20 hours ago
Prez Murmu, PM Modi extend Navroz greetings, hail Parsi community's contributions
20 hours ago
Amit Shah's two-day Rajasthan visit begins today, Rs 667 crore to reach 66.74 lakh farmers
