Financial Daily from THE HINDU group of publications Friday, Feb 27, 2004 |
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Logistics
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Airlines Govt may seek changes in SAARC bilateral air pacts Ashwini Phadnis
New Delhi , Feb. 26 ALTHOUGH the commencement of flights by the private domestic scheduled airlines to most countries in the SAARC region is not expected to face any problems, the Government may have to seek changes and clarification in the existing bilateral air services agreement with Pakistan and Nepal before the operators are allowed to start services to these countries. Official sources told Business Line that they were checking on whether the existing bilateral air services agreement with Pakistan allows multiple carriers to operate. Similarly, in the case of Nepal, the airlines of India are operating more flights than being operated by the airlines of Nepal. In effect, what the move means is that the authorities should have no problem in allowing private sector scheduled domestic airlines to operate to at least four of the six SAARC countries, including Sri Lanka, Bangladesh, Bhutan and the Maldives. The regional grouping consists of seven states, the three others being India, Pakistan and Nepal. The authorities have already started processing the request of both Jet Airways and Air Sahara to operate flights from various Indian destinations to Colombo. However, the Union Cabinet in January this year allowed private sector domestic airlines to fly to all the SAARC nations, including Pakistan. Sources added that the Available Seats Kilometre (ASKM) formula, which is calculated by the number of seats operated being multiplied by the number of kilometres operated, to decide on which airline should operate to which destination abroad will come into play in the "rarest of rare cases."
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