Us Attacks Big Blow To Jet Airways

Passenger volumes of Jet Airways have been the dealt a big blow in the aftermath of the terrorist attacks in the US. Post September 11, 2001, the private carrier has reported a 20 per cent drop in passenger load factors (PLF).

In the case of the national carriers -- Air-India and Indian Airlines -- traffic volumes (PLF) have shrunk by 10 per cent and 2-3 per cent, respectively, during the last month.

As a result, the airlines have sought certain tax benefits, in addition to a guarantee for third-party insurance cover from the government.

The government has received requests from the airlines for waiver of sales tax on aviation turbine fuel, international travel tax and relief in landing and navigation charges levied by the Airports Authority of India (AAI). The carriers have also sought a relaxation in the mandatory 10 per cent services that are required to be provided to the non-economic sectors including the north-east.

Top officials said Jet Airways has submitted to the government that it has seen its PLF go down by almost 20 per cent during September. Citing the drop, they have sought the waivers, they added. Jet Airways could not be contacted for comments.

They said that the matter would be taken up with the finance ministry after the insurance and surcharge related issues of Air-India and Indian Airlines are settled. The plea from Jet Airways for government guarantee towards third party insurance cover would also be looked at shortly, they said.

A senior civil aviation official had said last week that minister Shahnawaz Hussian would be taking the matter up with the finance minister Yashwant Sinha.

IA has reported a passenger load factor of 58-60 per cent for September. The PLF for September 2000 was 63.5 per cent.