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Journalism of Courage
Jet Airways only has 28 aircraft in its fleet now, compared with a peak of 119 after the airline grounded the remaining of its planes due to expiry of leases and non-payment of lease rentals.
On Tuesday, Jet Airways informed the exchanges that it has grounded 15 planes due to default on lease rentals. A curtailed fleet has even prompted the aviation safety regulator to clear only a part of the airline’s summer schedule for 2019.
In a statement, the Directorate General of Civil Aviation (DGCA) said that Jet Airways continues to fly 28 aircraft as of date. Earlier on Wednesday, Civil Aviation Secretary Pradeep Singh Kharola said that the government would look into Jet’s eligibility to fly internationally. The current policy stipulates a minimum of 20 aircraft deployed on domestic routes for an airline to commence international operations.
On March 25, Jet Airways board had approved a resolution plan formulated by State Bank of India-led domestic lenders, under which had agreed to infuse an emergency funding of Rs 1,500 crore into the airline, and convert the same into equity worth 50.1 per cent for a notional value of just Re 1 each share.
The National Civil Aviation Policy 2016 did away with the 5/20 rule that did not let fledgling airlines in India fly overseas before they completed five years in operations and had at least 20 aircraft deployed on domestic operations. Jet’s current situation brings to the front a unique situation where an airline that has cleared the minimum requirements could fall below the stipulations — given the continued grounding of its aircraft. The government has said that it would be examining the eligibility of Jet Airways as an international operator and this could set the precedent for other incumbent airlines as well.
However, it does not throw light on cases where eligible airlines fall below the capacity of 20 aircraft. The exact number of aircraft deployed by Jet Airways on domestic routes could not be ascertained but industry watchers noted that a majority of the 28 were being used for domestic operations. In Jet Airways’ schedule cleared by DGCA for the month of April, the airline has been scheduled to fly to Doha, Dubai, Singapore, Bangkok, London and Amsterdam among other destinations.
“Jet Airways would like to clarify certain speculative media reports with respect to the airline’s ability to operate on international routes. As informed to the regulator, the airline is operating a curtailed schedule with sufficient number of aircraft and is compliant with applicable guidelines,” an airline spokesperson said in a statement.
