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Low-cost carrier GoAir is set to purchase 72 Airbus A320 aircraft for $7.2 billion (Rs 32,400 crore). This is the second largest aircraft order in the domestic industry after IndiGo said in January it has ordered 180 A320s at $16 billion.
Mr Jeh Wadia, Managing Director, GoAir, said the delivery of the A320s with the new engine option (NEO) will start from 2015. “These new aircraft will be delivered over 5-7 years … we will receive about 15 aircraft every year. The purchase will be financed in a combination of equity and debt. These are all firm orders,” he said. The A320 NEO offers 15 per cent savings on fuel burn and 11 per cent reduction on operating cost per seat, which will enable the airline reduce fares, Mr Wadia said.
GoAir will decide by 2012 whether to opt for Pratt & Whitney or CFM engines for the new planes. “Till a few weeks ago Pratt & Whitney engines were better, but CFM is developing new engines with better technology… we may opt for that,” said Mr Giorgio de Roni, GoAir's new CEO. The latest order supplements an ongoing expansion plan, under which 10 A320s will be delivered over two years.
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