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AI wants compensation for 787s not delivering 20% fuel savings

Press Trust of India  |  Mumbai 

National carrier Air India has sought compensation from Boeing for Dreamliners not meeting the 20 per cent fuel efficiency claims as the airline could achieve only a tad over 17 per cent fuel economy by its six 787s, an AI source said here today.

"We have already sent a demand notice to Boeing seeking compensation for under-delivery of fuel efficiency as our six Dreamliners on an average gave us only a little over 17 per cent on the fuel efficiency front," the source said, without giving more details.

He, however, was quick to add that the airline is not looking at cash payback from the US company, but reduction in the final pricing of the remaining 21 Dreamliners that will be delivered to it by the end of 2016.

With this, the national carrier's demands for compensation from Boeing in regard to the Dreamliners have gone up to three.

Already, the flag carrier has demanded getting compensated for the long delay in the delivery of these big-ticket aircraft.

After more than three years of delay, last November Boeing delivered the first two of the 27 Dreamliners to AI and since then four more. AI will take delivery of the seventh one later this month under the multi-billion dollar deal.

Media reports had said AI could be seeking at least USD 700 million from Boeing for the delivery delays. But the actual numbers are guarded in mystery.

The other compensation demand is for the commercial loss to the airline after it was forced to ground all the six 787s after as many as 50 Dreamliners around the word reported overheating of their batteries which casued minor fire incidents since the beginning of this year.

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First Published: Fri, May 17 2013. 19:55 IST