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| Few takers for charters |
| Rajesh S Kurup / Mumbai Mar 30, 2009, 00:22 IST |
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 Shunned by companies and businessmen, non-scheduled carriers that run chartered aircraft services, have found little succour in the general elections. Political parties, it seems, are not too keen this time to charter aircraft for election campaigns.
The reasons vary from the ongoing financial crisis and lack of funds to the eagle eye of the Election Commission on poll expenses. As a result, politicians can be found travelling on scheduled services (regular airlines) these days rather than chartered ones.
Non-scheduled carriers, which have seen about a fifth of their business vanish, had cut prices 13-15 per cent. But even that has not brought them business from the political parties.
In the last general elections in 2004, most of the parties — the Congress, Bharatiya Janata Party, Samajwadi Party and Bahujan Samaj Party — had used aircraft to campaign. This year, the usage is lower.
“Chartering is taking place, but not at the pace it should, considering we are in an election year,” AAA Aviation Director VK Madan told Business Standard. A non-scheduled operator provides aircraft on rent or lease to companies or individuals.
“Most politicians are using scheduled services, and this may be to contain expenditure, especially during the financial crisis. Lease rates for choppers and small aircraft are in the range of
Rs 1.30-1.50 lakh per hour, which could run into around Rs 6.5-7.5 lakh for around five hours. Air tickets come much cheaper,” he said.
According to the Directorate General of Civil Aviation, there are 99 registered non-scheduled operators in the country. Industry estimates suggest that there are around 500 machines — 200 helicopters and 300 small planes (including those owned by flying clubs), which are regularly given on lease.
“There is fall in business by around 20 per cent compared with the same period last year,” according to Sunny Parekh, the proprietor of Siilver Wings Avviation, a charter broking company. “The main reason is that political parties are not providing huge funds to their candidates, while the Election Commission is also keeping close tabs on the spending.”
The Election Commission has mandated that a candidate can spend between Rs 10 lakh and Rs 25 lakh in the Lok Sabha polls and between Rs 5 lakh and Rs 10 lakh for the Assembly polls.
This, said an aviation analyst, could be a blessing in disguise. “The political parties normally don’t pay leases. The winning party never pays, the losing parties claim bankruptcy.”
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