The Hindu Business Line : Govt open to regional airlines flying abroad

New Delhi, Aug. 28 Regional airlines, the new category of airlines created by the Government to promote air travel in smaller cities can also look forward to flying abroad. A senior official told Business Line that the Government wa s open to allowing regional airlines to operate abroad as long as they meet the laid down criterion.

The Government allows airlines having completed five years of domestic flying and having a fleet of five aircraft to operate abroad. At the moment, Jet Airways, Jet Lite and the newly merged state-owned airline, Air India are allowed to operate abroad.

Promoters preference

Regional airlines are likely to be promoted by entrepreneurs mainly using small turbo prop or regional jets such as Canadian Regional Jets, Embraers and the ATR, that carry between 80 and 90 passengers and can land on smaller airfields. Another reason why such aircraft are likely to be preferred by regional airline promoters is that the Government provides incentives to smaller jets not only in terms of waiver of landing and parking charges, but also aviation turbine fuel attracting a uniform sales tax of 4 per cent only throughout the country.

These smaller aircraft can also be used to operate flights between Thiruvanthapuram and Colombo, Kozhikode-Male or Lucknow-Kathmandu provided the Government gives permission.

The regional airline policy, however, does not ban the promoters from using larger aircraft to operate on regional routes which can also be used to operate on international sectors.

While the Government follows strict norms for allowing airlines abroad, some of India’s immediate neighbours have allowed start-up airlines to fly abroad.

The Sri Lankan Government has promoted Mihin Lanka, a low-cost airline which started operations with flights to India.

Similarly, the Thailand-based low cost airline, Nok Air began its first international service to Bangalore in May this year.