Go First's IRP submits 6-month revival plan to DGCA; check details

Domestic airline Go First's interim resolution professional (IRP) has submitted a six-month revival plan to the aviation regulator Directorate General of Civil Aviation (DGCA).

According to a Financial Express report, the IRP informed DGCA that the airline is ready to resume its operations with 26 operational aircraft and 400 pilots on its roll.

As of now, the airline's operations are under suspension till June 4, after it announced cancellation of flights on May 3 for two days, following which the domestic airline filed for voluntary insolvency.

Citing sources, the report added that Go First on May 10 informed DGCA that it has been provided support by the oil marketing companies. It further said that prior to filing for insolvency, the oil marketing companies had put their operation on cash and carry terms, which means they had to clear their dues on a daily basis.

Go First's revival plan has also received support from 15 of the 20 major travel agents in regard to its ticketing services. 

Once Go First's revival plan is approved by the aviation regulator, the airline said it will be able to deploy two aircraft to start Delhi-Srinagar and Delhi-Leh chartered flights immediately. Within the next few days, it will be able to resume scheduled services, mainly on the Pune, Bagdogra, and Goa routes. The airline has said it will be able to deploy eight to ten aircraft for the scheduled services, the report added.

Before allowing Go First to resume its operations, DGCA informed the airline that its preparedness will be audited. 

The carrier, recently, offered a monthly retention allowance of Rs Rs 100,000 to captains and Rs 50,000 to first officers. Currently, the monthly average salary of captains is Rs 530,000.

However, the main challenge before the airline is to retain its aircraft as lessors have approached the aviation regulator, seeking to deregister 45 of these. Though the National Company Law Tribunal (NCLT) and National Company Law Appellate Tribunal (NCLAT) have rejected the plea of lessors, they have moved the Delhi High Court.