New Delhi: After they were “ill-fated” merger in 2007, former Indian Air and Indian Airlines lost Rs 83,000 Crore.
In 14 years since then, the government is pumped in RS 55,000 Crore as equity and guarantees Rs 50,000 Crore.
Combined with debts and other obligations, said the flight minister Jyotiraditya Scindia, the total AI bill has increased to Rs 2.
7 Crore Lakh with losses to increase Rs 20 Crore per day.
Scindia spoke to TOI about how AI Divesta was achieved and what needed for airlines in India emerged from deep losses was given a high operating cost structure of the country: How did you finally succeed in developing Indian water? It was a huge responsibility to ensure that it was successfully completed today.
All credit goes to PM Narendra Modi Teguh commitment that we can service no longer a loss company such as large and far fried nation’s valuable resources just to ensure we have a government airline.
AI divestment must be made for the nation’s good.
Are there times when you feel AI Divesta may not happen this time too? There are many times when called obstacles appear.
For example, the company is one complex of accounting perspectives.
Therefore, to be able to consolidate the entire bookkeeping, close them and come up with the final number for the auditor to take a lot of diligent work.
I thank all AI officials, the Ministry of Aircraft and Finance and Dipam.
We succeeded because of the very open nature and consultation process.
Has it been indicated if they will have one mega flight or separate cheap and full service operator? I am very confident that tatas’ in various fields.
They will take rights (call for AI).
It is their prerogative right.
Under them, it will get a share of confiscating from the sky once more.
I congratulate them.
While AI has been sold, every airline in India is making a big loss.
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We have been through very difficult time because Covid.
Jet fuel accounts for 38.9% of the total cost structure of an Indian airline and takes the same percentage of their income.
Since taking over in July 2021, I have worked with countries to reduce their VAT on airline turbine fuel.
When I took over, 12 states and UTS had VAT over ATF in the range of 1-5% and 24 in the range of 1530%.
I am happy to report that numbers have changed.
Now 23 countries / UTS has VAT over ATF in the range of 1-5% and 13 in the range of 15-30%.
Other countries will also be lower VAT after they understand the benefits that will be obtained in terms of increasing revenue through a higher increase.
When it can be scheduled international flights continue? I hope in the future, Omicron recedes.
Domestic and international civil aviation must return to normal.
I am very interested in ensuring we return to100 capacity%.
I observe the situation every day.