Cabinet turns down move to increase Haj airfare

The total cost of operation for Haj 2007 is estimated to be around Rs 519 crore. With the pilgrim’s airfare remaining at Rs 12,000, an amount of Rs 132 crores will be received from the pilgrims taking the Government subsidy to around Rs 387 crores.

Air India and Saudi Arabian Airlines will together be managing the air transportation of pilgrims for Haj 2007 operations. Out of the projected 1.1 lakh pilgrims, around 59,000 would be flown by Saudi Arabian Airways (SAA) at a return fare of USD 772 for Mumbai, Delhi, Ahmedabad and Hyderabad and USD 849 from Chennai and Bangalore plus insurance surcharge of US$ 10 per pilgrim from each station for each return seat. The rest of the pilgrims would be transported by Air India from Lucknow, Kolkata, Calicut, Nagpur, Aurangabad, Patna, Guwahati, Jaipur, Srinagar and Varanasi.

Due to capacity constraints, Air India proposes to undertake Haj operations through wet leasing of aircraft. The national carrier has entered into an agreement with SpiceJet to get two of its Boeing 737-800 aircrafts on wet lease for operating daily flights between Lucknow, Varanasi, Jaipur and Nagpur and Jeddah to carry the pilgrims. During the term of the agreement, SpiceJet will operate around 120 flights and is expected to carry around 20,000 Haj pilgrims.

Even as efforts are being made to minimise the cost of operations, the estimated per pilgrim cost in respect of Air India operations is expected to be US$ 1,535 for Haj 2007. The subsidy amount will be reimbursed to Air India by the Centre.

Other Cabinet decisions

font color=”#CC0000″>•The Union Cabinet today gave an in-principle approval to the project taking up

river management, flood control, anti-erosion works, drainage development, flood proofing, flood prone

area development programme and restoration of damaged flood management works in the country.

•The Cabinet also accorded approval to pursue the National Jute Board Bill, 2006 in Parliament and to move official amendments in this Bill at the time of consideration and passing in the Lok Sabha.

•The Cabinet also gave its approval for introduction of a Bill in Parliament after incorporating a provision of laying the annual Report and audited accounts before both the Houses.