Lufthansa:
Lufthansa is all set to launch a direct Mumbai-Munich flight by early next year. This is part of Lufthansa’s strategy to become the most Indian European airline. The airline, currently in the process of finalising details of the direct Mumbai-Munich flight, operates 45 weekly flights from six destinations in India. The airline added Kolkata to its growing network in India on December 1 last year. Lufthansa is also supporting the efforts of India’s national carrier to become a part of the Star Alliance, besides extending bilateral cooperation to Jet Airways.
(12 March 2007)

Cubex India:
The booming aviation industry and shortage of pilots have caught the attention of yet another new player wanting to establish a pilot training school in India. In collaboration with Canada-based Winnipeg Aviation flying school, Cubex India, manufacturer of mining and construction equipment and headquartered in Mumbai is planning to enter the pilot training domain in India. The company has submitted proposals to the state governments of Gujarat, Maharashtra and Andhra Pradesh for acquiring permission to use a private air-strip for the school. The school will offer 50 hours and 200 hours of flying training and has decided on an intake of 34 students in the first batch. After that it plans to ramp up the intake to 50 students subject to approvals. (12 March 2007)

Global Aerospace Hub:
With its inherent advantages, Karnataka has the potential to become a global aerospace hub by 2015, an industry body said recently as it urged the State Government to launch a host of initiatives to make this happen. In a report on the aerospace industry released on the CII Karnataka Annual Member's Day, the body suggested that ITIs (Industrial Training Institutes) specific to the needs of the aerospace industry should be established in Karnataka based on the Public-Private-Participation model. The CII pitched for introduction of diploma courses in aerospace engineering and development of an aerospace engineering institution with the help of indigenous and foreign institutions imparting education in the same field. (12 March 2007)

Dabolim Airport:
The Prime Minister’s recently asked the Indian Navy to transfer 8.77 acres of land for the expansion of Dabolim airport. This land would enhance the facilities for passengers and also avoid congestion. Presently, AAI faces great difficulties in accommodating non-scheduled flights. Most non-scheduled flights are diverted to other airports due unavailability of parking space at Dabolim Airport. (10 March 2007)

Non-metro Airports:
The government would in the next two months come out with proposals for development of non-metro airports across the country. While the air side would be modernised totally by the Airports Authority of India (AAI), the non-aero side of these airports would be developed through private participation, creating shopping malls, food joints and other facilities. The Infrastructure Committee of the Planning Commission was working on a model concession agreement for development of airports through the public-private partnership (PPP) model. (10 March 2007)

Kolkata Airport:
The Airports Authority of India (AAI) has issued global tenders for inviting designs for the new domestic airport at Kolkata. Last year, it had got the plan for international terminal prepared by the renowned Aeroport de Paris which runs airports like Orly, Roissy-Charle de Gaule and Le Bourget in France. The AAI has also issued global design tender for Chennai airport while no final decision has been taken on how it would be modernised by the authority or a private consortia like the ones in Delhi and Mumbai. (10 March 2007)

Corporate Jets:
Pilot shortages are not restricted to airlines only. Even the corporate sector and private chartered operators are feeling the pinch. The number of privately-owned aircraft in the Indian corporate sector have risen from about 50 — two years ago — to 120 currently. Though 600 pilots are required to fly these machines, only 450 are available. Aviation sources say that the scarcity has attracted about 140 foreign pilots to India in the past two years and also sent pilots’ salaries skyrocketing. They are now paid an average monthly package of about Rs 4.5 lakh to Rs 6 lakh. Besides this, concepts like hourly flying rates and “on-demand pilots” are also becoming common. Not surprisingly, both, pilots as well as the aviation companies, are cashing in on the current boom. (9 March 2007)

American Airlines:
American Airlines will shift its Asia Pacific Call Center operations to India from Australia. The company has also entered into an agreement with Bird Information Systems, a provider of automated aviation and travel related software solutions, to provide Call Centre services to its customers in India and Asia Pacific region. Under the contract, BIS would handle its customers request related to travel bookings, reservation, fares and ticketing, including e-tickets, among others. While the outsourced city ticket office operations for the company is carried out in Delhi, Mumbai, Chennai and Bangalore, the Call Center operations run from Delhi.
(9 March 2007)

Airport Modernisation:
The Government appealed to Chief Ministers to join hands with it and share costs for modernisation and upgradation of airports across the country. According to Civil Aviation Minister Praful Patel, the Chief Ministers could help in augmenting Centre's efforts by sharing costs in the exercise of airport modernisation. (9 March 2007)

Airfares Hike:
The government's plans to increase airline charges to tackle congestion at peak hours is not finding takers. The airlines call it congestion charge, which is an attempt to recover Rs. 350 crore lost every year due to the choked airspace. This could go by as much as three times if the Aviation Ministry's proposal to hike airport charges go through. The hike is aimed at reducing traffic during peak hours. But it has miffed many. Delhi High Court has called the congestion charge passenger unfriedly, asking the ministry for an explanation. (8 March 2007)

Continental Airlines:
Continental Airlines will launch a nonstop flight from its New York hub at Newark Liberty International Airport to Mumbai starting 30 October 2007. It will be the Houston-based airline's second nonstop flight to India. The company began operating a nonstop flight between New York and Delhi in 2005. The new service, subject to government approval, will be operated with Boeing 777-200 aircraft with BusinessFirst and economy cabins. Flying times will be about 14 hours and 50 minutes eastbound, and 16 hours and 15 minutes westbound. (8 March 2007)

Kingfisher Airlines:
Kingfisher Airlines has announced a mega offer for all frequent flyers across airlines in India- the Kingfisher Airlines Mega Mile Move (MMM) Offer. The objective of the MMM offer is to encourage a shift over of the most frequently flying members of other airlines’ Frequent flyer programs (FFP) to King Club, with the incentive of providing the frequent flyer with an opportunity to ‘move’ his or her miles from the current FFP to Kingfisher Airlines’ King Club.
(8 March 2007)

A-I, Boeing:
Air-India is considering setting up a joint venture company for pilot training with US-based aircraft manufacturer Boeing. Boeing, as part of the $7.2- billion deal for 68 planes with Air-India, will induct three simulators for pilot training at Air-India premises near Santacruz airport in Mumbai. The airline was exploring options of forming a joint venture for simulator-based training in Mumbai. This simulator is as a part of $75 million dollar commitment by Boeing in India for training as a part of selling 68 airplanes to Air-India. The listed price of a simulator is $14 million. Of 68 airplanes, Air-India has ordered 18 Boeing 737-800W aircraft for its international low cost subsidiary Air-India Express. Boeing will also induct simulators for B777 and B787 shortly. (7 March 2007)

Congestion Fee:
Increasing air traffic and lack of adequate infrastructure leads to congestion in the air. Passengers are already bearing the consequences with delayed and cancelled flights. To add more surcharge over and above the normal fare is clearly “unjust and unjustified”, said senior counsel Anup Bagai. While the Civil Aviation Ministry proposed to double landing, parking and navigation charges during peak hours at Delhi, Mumbai and Bangalore airports, the Delhi High Court took strong exception to congestion charges already being levied by domestic airlines. (7 March 2007)

Penang, Chennai:
Penang Chief Minister Tan Sri Dr Koh Tsu Koon has initiated talks with two airlines to operate direct flights between Penang and Chennai, capital of the southern Indian state of Tamil Nadu. Direct flights between Chennai and Penang would help build trade and business synergies between Tamil Nadu and Penang. Once stabilised, the service could be helpful to people of Penang bound for the west coast of the US. (7 March 2007)

Hike in Charges on Airlines:
Justifying its decision to hike charges imposed on airlines for peak-time operations at three major airports, the government said the burden would be offset by incentives offered during non-peak hours. According to government officials, this is not a permanent measure. It is a temporary step to tide over the problem of congestion till the infrastructure to expand capacity of airports to handle heavy traffic is in place. The ministry is working on a proposal to hike or even double the peak-time navigation and other airport charges to de-congest air traffic over Delhi, Mumbai and Bangalore airports from March 25, the start of the summer schedule. The charges could be halved between midnight and 0500 hours. (6 March 2007)

Idle Airstrips:
In a move that may boost the country’s position on the world aviation map, the government is considering development of over 300 airstrips that are currently lying idle. These airstrips, many of which are in close proximity to important cities, may be developed with private participation. The civil aviation ministry is likely to offer these airstrips in the form of ‘clusters’ to private companies for modernisation. The airstrips shall initially be serviced by smaller aircraft. However, depending upon the need and air traffic, these airstrips may be converted into small airports capable of handling large planes. The civil aviation ministry is also planning to set up a public-private participation cell to attract private investment for city-side development of non-metro airports. (6 March 2007)

HAL airport:
Objecting to what are believed to be very high ground handling rates charged by public sector enterprises at the Hindustan Aeronautic Ltd (HAL) airport in Bangalore, four carriers GoAir, SpiceJet, Indigo Airlines and Paramount Airways, have written to the HAL chairman requesting setting up self handling facilities. The ground handling rates charged by the HAL-Air India joint working group at Bangalore appear to be very high. The rate for per turn charge and the pushback charge of a single aircraft is around Rs 18,000 which is thrice the cost that an airline incurs on either self handling or outsourcing the work to other private players at other airports across the country. (5 March 2007)

Indian, Air India:
According to Civil Aviation Minister Praful Patel, the technical and procedural formalities for the merger of Air India and Indian Airlines would begin immediately. The Minister also added that one company with one name, one brand, one logo, one code and single financials is expected to be in place within the coming 16 weeks. This new airline, with about 112 aircraft with both international and domestic footprint, will set fresh benchmarks for efficiency and reliability, thus benefiting the civil aviation sector in the country, specially the travelling public.
(5 March 2007)

Air India:
Air-India will now have an additional 15,500 salesmen to hawk its tickets. ir-India is planning to introduce a scheme that will allow its employees to sell tickets, besides travel agents. The staff will be compensated for their sales skills with a package to be worked out later. This move is aimed at making Air-India employees participate in the rebranding, in context of the merger with Indian Airlines. A formal announcement on this scheme is expected shortly.
(3 March 2007)

Bajpe Airport:
Air India Express is likely to operate another international flight from Bajpe airport to West Asia from March 25. Presently, the airline operates one service each from here to Dubai and Abu Dhabi-Muscat. Its existing tri-weekly service between Mangalore and Dubai will be converted into five days a week from Thursday, with a change in the present timings. The timings and operating days of Mangalore-Abu Dhabi-Muscat service will also change from March 25. (1 March 2007)

Air India, Indian:
The Union budget for 2007-08 has proposed a hefty increase in allocation for state-owned Indian and Air India and public sector undertakings such as the Airports Authority of India, Pawan Hans Helicopters and Air India Charters Limited. In his budget speech, Finance Minister P. Chidambaram also proposed reduction in tax on aviation turbine fuel for all types of small aircraft and imposed a three per cent duty on private import of planes. The total allocation for all public sector enterprises under the Civil Aviation Ministry is proposed to be increased from Rs. 2,256.36 crore to Rs. 12,192.09 crore with the lion's share earmarked for Indian, Air India and its low-cost subsidiary Air India Charters limited. The increased allocation is meant for the ongoing fleet acquisition plans of the two state-owned carriers. (1 March 2007)

Calcutta Airport:
The Category II Instrument Landing System (ILS), installed at Calcutta airport in December last year to ensure smooth operation of flights in low visibility, will take a few more months to become operational. A recent survey by the Airports Authority of India has suggested a few technical improvements in the system, which will enable flights to land or take off even when visibility is as low as 350 metre. The decision height, from where the pilot makes the decision to land, will also be lowered from 60 to 30 metres. (1 March 2007)