City-based MyJet Aviations, plans to launch a private air-charter service in the country by mid- next year and is currently in the process of securing regulatory approvals, a top company official said.
"We are in the process of securing necessary regulatory approvals and expect to launch our private air-taxi service from mid-2009," MyJet Aviations' President and Chief Executive Officer, Sudheer G Nair, told PTI.
The company would offer a new type of air-charter service on the 'per-seat, on-demand' basis, Nair said.
"We expect to make a Rs 700-crore investment in the project, the bulk of which would be for aircraft acquisition over the next three years," he said.
Around Rs 200-crore would come in as equity while the rest would be raised through debt, he added.
'Per seat, on demand' jet service is a new class of transportation for regional travel (under 600 miles) that combines the convenience and efficiency of corporate jets with the affordability of commercial airlines, Nair said.
Per-seat is a "shared ride" service sold to individuals with advance reservations and for which one has to pay only for the seat(s) one requires, rather than the whole plane.
On demand service operates under existing regulations with individually negotiated, non-scheduled service. Under the service, a passenger flies on-demand, according to his or her schedule.
The service does not publish a flight schedule as it operates on the basis of a passenger's schedule.
The model works by matching one customers demand with an existing similar demand and availability of aircraft, crew, facilities and weather to arrive at an appropriate scheduling and pricing in real-time," Nair said.
MyJet proposes to launch the service with five Very Light Jets (VLJs) Eclipse-500 aircraft, Nair said, adding that, "these are a relatively new breed of aircraft that bring together the range and safety of jets to the world of personalised flying."
"However, we will not restrict the type and size of the aircraft and gradually add other makes and models as well" he said.
The company was targetting customers from existing air-charter companies, individuals and corporates which are willing to charter aircraft but do not find suitable operators as well as regular business/high-end travellers, Nair said.
"Now-a-days, the aviation industry is bleeding because of reducing load factors. This means that many companies are using bigger aircraft than what is required. So our model is a larger fleet of small aircraft, so that we can have 100 per cent occupancy," he said.