Saturday, July 13, 2013

AirAsia India to circumvent 5/20 rule for domestic airline

New Delhi: AirAsia India may not have to wait for five years to fly international routes if the news that the Indian government is looking at bending this requirement materialises.
During his recent visit, AirAsia Group chief executive officer Tan Sri Tony Fernandes called the rule as bizarre. reported quoting a senior official in the Civil Aviation Ministry as confirming that the government was looking at relaxing the 5/20 rule for domestic airlines to fly abroad.
In India, the 5/20 rule makes it mandatory for any domestic airline to have a fleet size of at least 20 aircraft and a record of five years of domestic operations before it can be allowed to fly overseas.
The report also said AirAsia may be the intended beneficiary of any change in the 5/20 rule because Air India, IndiGo, SpiceJet and Jet Airways have crossed the threshold and are flying overseas.
13/07/13 Borneo Post