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India will find it difficult to revise the bilateral air services agreement with United Arab Emirates signed earlier this year, as any change could be seen as a violation of its international commitments, a senior official of the Ministry of Civil Aviation said.
The agreement was for increasing the number of seats to 36,670 a week from 13,000 seats a week that airlines from both countries could operate between India and Abu Dhabi.
A bilateral agreement is signed between two sovereign countries and any major change in it can have serious implications for India in the international community, the official said, adding that India also risked being taken to the International Court of Justice in case major changes are made to the finalised agreement.
The official declined to get into what would constitute ‘major changes’ except for saying that it would be difficult to decrease the number of seats which each airline had been allowed.
The Ministry will, however, give a detailed response to the issues flagged by the Prime Minister’s Office (PMO), including the sequence of developments leading to the agreement being finalised.
The response, which is expected to be sent to the PMO this month, will focus on the economic benefits of the enhanced bilateral agreement with Abu Dhabi for passengers, business and international trade.
An air services bilateral allows designated airlines to increase the number of flights operated between two countries. The agreement between India and UAE was signed hours after Jet Airways sold 24 per cent equity stake to Etihad Airways in a deal valued at over Rs 2,000 crore.
Etihad is the only airline from Abu Dhabi which can utilise the enhanced bilateral rights. From India, Jet Airways, Air India, SpiceJet and IndiGo can fly to Abu Dhabi.
The timing of the stake sale and exchange of bilaterals between India and the UAE had prompted a number of Members of Parliament to call for a review of the agreement, pointing out that it could affect India’s security interests as most Etihad employees are Pakistani nationals.
However, officials maintain that the bilateral pact with the UAE was much needed.
“We have no hesitation in saying that this agreement is good for India. In the next seven years, the number of people flying abroad will double to 80 million. Except for Jet Airways and Air India, no other Indian carrier has large aircraft for carrying passengers to destinations in Europe, the US, Canada, Australia and Africa. Nor have the Indian carriers announced plans to acquire large aircraft. In such a situation, should Indian passengers and its economy suffer due to lack of adequate international air connectivity?" the official asked.
ashwini.phadnis@thehindu.co.in
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