Cabinet likely to consider new aviation policy tomorrow
The Union Cabinet is likely to consider a policy that suggests relaxation of norms to allow domestic carriers to fly abroad.india Updated: Jun 13, 2007 20:20 IST
The Union Cabinet is likely to consider a policy on Thursday which, among other issues, suggests relaxation of norms to allow domestic carriers to fly abroad.
However, such relaxation proposed in the policy - Vision 2020 - would be done on a "need-based" manner.
If the new guidelines are approved by the Cabinet, the Civil Aviation Ministry would be able to take decisions to allow private domestic carriers to operate on international routes as and when required and on whichever route the demand exists, official sources said.
But the long-awaited policy is unlikely to recommend any changes in the norm to allow Foreign Direct Investment in the sector, which stands at 49 per cent, they said.
The Cabinet has already approved 100 per cent FDI in the operation of sea-planes, helicopters and greenfield airports.
Sources said the ministry's proposal to allow domestic carriers fly abroad would not be a blanket opening of the international routings.
Existing norms mandate airlines to complete five years of operations on domestic routes and have a fleet of 20 planes to be eligible for launching international flights. Airlines like Kingfisher are demanding relaxation of this norm.
Sources said there would be no specific proposal to reduce the five-year norm in the new norms.