Apocalypse and Tata Airline are the same thing — Indian Airline

NEW DELHI, Aug 15: Ever wondered what would happen if Indian Airlines (IA) was made to face up to genuine competition? While the millions...

NEW DELHI, Aug 15: Ever wondered what would happen if Indian Airlines (IA) was made to face up to genuine competition? While the millions who fly the carrier each year probably feel it’ll force the airline to improve its service, Indian Airlines has a different, if laughable, story to tell.

Much of this is contained in a note prepared by IA some months back — the note has been spruced up a bit, and is once again being vigorously circulated by MPs and other worthies opposing the proposed Tata Airline project. The Tata Airline project has been stalled for several months and is slated to come up again before the Foreign Investment Promotion Board (FIPB) on Monday.

If the proposed Tata Airline, for example, is allowed to come in with its proposed 7 aircraft in the first year of operations, according to IA, life as we know it will come to a near-halt. Its capacity utilisation (load factor, in airline jargon) will come down to 44 per cent this year, from 45 per cent last year — it’s actually 66 per cent rightnow, but so what. And for those not so statistically inclined, it’s explained this in somewhat more creative terms:

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Large portions of the North-Eastern Region, Leh and Andaman & Nicobar islands would cease to be connected by air with Delhi and the rest of the country.

A large number of state capitals would cease to be connected by air to Delhi.

Air services to a number of tourist stations would cease.

There would be no airlines’ presence in Myanamar, Pakistan and Bangladesh.

It would be extremely difficult, if not impossible, for the Government to transport troops, para-military forces, police personnel, and polling parties at short notice.

But doesn’t the aviation policy which permits private carriers, lay down rules that they have to fly certain number of flights to hilly regions, remote areas, and other non-profitable routes etc? Well, yes it does, IA contends, but the private operators don’t usually stick to their promises.

Moreover, IA flies a lot more than theminimum flights they have to make to these regions. So, if you hurt its monopoly, it will not be able to fly these routes.

This, and more, forms part of a note done some months ago by IA when they were asked to give their comments on what the impact of the proposed Tata Airlines would be on its operations. Indeed, Indian Airlines itself has been giving out copies of this note to various mediapersons.

Sources also claim that the original note has been sent by IA chairman P.C. Sen to Civil Aviation Minister Anant Kumar last fortnight. IA, though, denies this. Says its spokesperson: “We wrote no letter to the ministry.

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The comments were sought from us specifically before the ministry prepared its cabinet note. The figures are in accordance with Planning Commission estimates. It is likely that this note is being referred to by the MPs now, but we have not circulated it.”

Interestingly, the first copy of the note, prepared many months back, refers to the proposed Tata Airline as Tata Singapore Airlines(TSA)’. Since the Tatas decided to drop Singapore Airlines from their consortium late last year, and even intimated this to the Government, the updated note — being circulated now by IA — refers to the proposed Tata aviation company as just Tata Airlines’.

Other than that, however, the revised note is just the same as the one made earlier, right down to each word, and each figure. So, according to the note, there is currently an excess capacity of around 19 aircraft. Since the Tatas only propose to fly 7 in the first year of operations, presumably this excess applies to Jet’s 22 planes as well. Interestingly, if taken seriously, the IA note recmmends that all private airlines, including Jet Airways which is the largest private operator currently, should be shut down. So there’s a dissension in the anti-Tata Airline ranks already.