Eight Indian airports incur total loss of Rs 82 cr in 3 yrs

December 1, 2014

Eight airportsNew Delhi, Dec 1: Eight non-metro airports modernised using public money have no scheduled flights operating there, leading them to incur a total loss of about Rs. 82 crore in the last three years.

As government pushes for air connectivity in remote areas, official figures show that these eight airports have jointly incurred a total loss of over Rs. 25 crore in 2011-12, over 27 crore in 2012-13 and almost Rs. 30 crore in 2013-14, official sources said.

Reacting sharply to the "precarious" situation prevailing at these airports, aviation industry experts said only market conditions and operational viability and "not political compulsions" should determine developing airports or creating new ones.

The airports, which were modernised and upgraded by state-run Airports Authority of India (AAI) but have no scheduled flights, are at Akola (Maharashtra), Bikaner and Jaisalmer (Rajasthan), Coochbehar (West Bengal), Cuddapah (Andhra Pradesh), Pathankot and Ludhiana (Punjab) and Puducherry.

Details regarding the cost of modernising these airports were not immediately available. Similarly, the figures on losses of Bhatinda and Jalgaon airports, also modernised by AAI with no scheduled flights operating from there, were also not available.

Asked why airlines were not flying to these places, official sources said it was up to the airline operators to provide air services to such places "depending on the traffic demand and commercial viability", apart from the route dispersal guidelines.

However, industry experts disagreed saying airlines should be consulted first before investments are made for developing airports.

"It is a precarious situation. Airports should not be "It is a precarious situation. Airports should not be developed merely because of political compulsions, but only on the basis of operational feasibility and market conditions.

"Airports do not just mean plush terminal buildings like shopping malls. The apron and the runway are crucial for flight operations," said Debashis Saha, senior executive of professional aviation body Aeronautical Society of India.

Therefore, detailed feasibility studies for short, medium and long term flight operations should be carried out, both for passenger and cargo operations, "before any decision is taken to upgrade an airport or create a new one," he said.

Giving examples of other countries, he said airport operators like Changi in Singapore "attract airlines by offering special schemes including no or low charges and marketing budget".

"Government should make available some funds to attract airlines to Tier-II and III cities at least for three years so as to enable airlines to achieve market capitalisation and help air traffic in these sectors grow," Saha said.

Airlines should be consulted and asked to study the market potential of an airport in a remote or a non-metro city so that they can sustain day-to-day operations, Saha said, adding the airlines should also be asked to commit to launch operations if found viable.

Cost of day-to-day operations include those for maintenance of all technical equipment, the terminal, payment for staff, location of fire and security services.

Saha said the costs incurred in these areas have led to the eight airports to run into losses without having even a single scheduled flight.

Though AAI was providing incentives like no landing or parking charges and priority of slots to flights between Tier -II and Tier-III cities, he said unless the airlines were consulted beforehand, these incentives would not work and "the AAI would continue to incur heavy losses".

Comments

Add new comment

  • Coastaldigest.com reserves the right to delete or block any comments.
  • Coastaldigset.com is not responsible for its readers’ comments.
  • Comments that are abusive, incendiary or irrelevant are strictly prohibited.
  • Please use a genuine email ID and provide your name to avoid reject.
Agencies
June 9,2020

Srinagar, Jun 9: Suspended Jammu and Kashmir DSP Davinder Singh, who was nabbed while ferrying two Hizbul Mujahideen terrorists on the Srinagar-Jammu Highway, moved a Delhi court on Tuesday seeking interim bail.

Besides Singh, two other accused -- Syed Naveed Mushtaq and Imran Shafi Mir -- have also sought bail. The Special Cell of the Delhi Police is probing their role in the alleged planning of a terror attack.

The trio has sought bail asserting that there is no evidence to show that there was any conspiracy to commit an act that would threaten the sovereignty of the country. The court has listed the matter for hearing on Wednesday.

"The accused are wrongly and falsely implicated in the case. There is also no material to substantiate that the accused had the intention or conspired to carry out a terror strike," the plea stated.

Singh is currently under judicial custody at the Hira Nagar Jail in J&K till June 16. Besides Singh, three other accused -- Javed Iqbal, Syed Naveed Mushtaq and Imran Shafi Mir -- are also under custody.

Delhi Police's Special Cell had brought him from Hira Nagar Jail to the national capital in March for interrogation in another case.

The police had earlier told the court that Mushtaq, who was the commander of Hizbul Mujahiddeen in Shopian district, along with other militants were planning to execute a terror attack in Delhi and other parts of the country and targeted killings of protected persons.

In connection with this, the Delhi Police had filed an FIR which stated that the youth of Jammu and Kashmir and Punjab are being trained for carrying out terrorist activities. Singh was taken into custody under this FIR and was also interrogated regarding the Khalistan angle.

Comments

Add new comment

  • Coastaldigest.com reserves the right to delete or block any comments.
  • Coastaldigset.com is not responsible for its readers’ comments.
  • Comments that are abusive, incendiary or irrelevant are strictly prohibited.
  • Please use a genuine email ID and provide your name to avoid reject.
News Network
May 24,2020

New Delhi, May 24: India witnessed the biggest ever spike of 6,767 positive cases in the last 24 hours, taking the total number of COVID-19 cases to 1,31,868, according to the Union Ministry of Health and Family Welfare.

As many as 147 deaths have been reported in the last 24 hours, taking the death toll to 3,867.
Out of the total number of cases, 73,560 are active and 54,440 have been cured/discharged and one migrated.

Maharashtra continues to remain the worst-affected state with 47,190 COVID-19 cases. It is followed by Tamil Nadu (15,512), Gujarat (13,664), and Delhi (12,910).

The nationwide lockdown imposed as a precautionary measure to contain the spread of COVID-19 has been extended till May 31.

Comments

Add new comment

  • Coastaldigest.com reserves the right to delete or block any comments.
  • Coastaldigset.com is not responsible for its readers’ comments.
  • Comments that are abusive, incendiary or irrelevant are strictly prohibited.
  • Please use a genuine email ID and provide your name to avoid reject.
Agencies
July 24,2020

Mumbai, Jul 24: Reliance India Limited (RIL) on Friday overtook ExxonMobil to become the world's second most valuable energy company and 46th among the world's largest companies by market capitalisation.

RIL's market capitalisation stood at Rs 14.16 lakh crore (USD 189.3 billion) at market close on Friday. ExxonMobil's current market value is USD 184.77 billion.

"Reliance Industries, with a market capitalisation of USD 189.3 billion now is the second-most valuable energy company in the world. Reliance Industries now stands at 46th among the world's largest companies by market capitalisation ahead of well-known names like ExxonMobil, Abbott Laboratories, Oracle Corp, Chevron and Unilever Plc, and just below PepsiCo," RIL said in an official release.

RIL continued its rally on Friday, notwithstanding overall weak market conditions.

RIL shares made a new all-time high of Rs 2,163 and were last traded at Rs 2,148.8 on NSE with a gain of 4.4 per cent. The market capitalisation of fully paid-up shares stands at Rs 13.62 lakh crore (USD 182.06 billion), the release said.

Reliance partly paid-up shares gained 9.33 per cent on NSE today to last trade at Rs 1289.95. The partly paid-up shares now have a market capitalisation of Rs 0.55 lakh crore (USD 7.29 billion).

"Reliance's share price had touched a bottom of Rs 867 on March 23, 2020, when the total market value of the company stood at Rs 5.5 lakh crore or $73.5 billion. Thus, RIL has added $115.9 billion to shareholder wealth within just four months - one of the highest value creation feats in the world in such a short time," the release said.

Reliance had earlier raised Rs 212,809 crore through Rights Issue, combined investments in Jio Platforms and investment by bp.

Comments

Add new comment

  • Coastaldigest.com reserves the right to delete or block any comments.
  • Coastaldigset.com is not responsible for its readers’ comments.
  • Comments that are abusive, incendiary or irrelevant are strictly prohibited.
  • Please use a genuine email ID and provide your name to avoid reject.