Minister Promises Larger Role For Private Sector In Aviation

Private investment will be welcome in all spheres of civil aviation and measures will soon be announced to kick-start the sector, Union Civil Aviation Minister Ananth Kumar has said in an exclusive interview with Business Standard.

I intend to democratise the (civil aviation) sector, Mr Kumar said. He was holding talks with senior bureaucrats and others connected with civil aviation sector. We shall take a fresh look at all the things. It requires a couple of weeks before we make up our mind, the Minister said.

Mr Kumar said that all issues would be dealt with in a transparent manner. We will be open-minded. We will follow a transparent way of functioning while going in for agreements and contracts so that things are mutually beneficial, he said.

 

In an era of opening up, we welcome private investment, Mr Kumar said when asked whether the new government would allow the Tatas to tie up with Singapore Airlines to float a domestic airline. (But) the question is to what extent. That has to be worked out as a policy of the government.

He said his ministry proposed to unveil measures to increase the air cover in the country by drawing up a blueprint to develop airports in cities which are as important as state capitals.

We have two or three cities in each state which are as important as state capitals. We will strengthen the regional hubs so that through newer spokes, we will reach more sections of the society, Mr Kumar said.

He said he would rather view controversies such as the Tata-Singapore Airlines venture, the Bangalore international airport and the building of new airports, Air Indias fleet expansion and induction of funds into Indian Airlines as lingering issues.

On the question of whether he would effect top-level changes in the civil aviation ministry and in Indian Airlines and Air India and the joint board, Mr Ananth Kumar said there is a lot of scope of improvement in the current set-up.

I feel the present set-up with the right kind of leadership can also face the challenge. But there is a lot of scope for improvement, he admitted.

On the expansion of Air Indias fleet, Mr Kumar said he would take a fresh look into the matter. He said the sinking fortunes of the national flag carrier would see a revival soon. I feel Air India has made up its mind to make a comeback, he said.

On the issue of whether the airline would induct new aircraft into its fleet including medium capacity long range (MCLR) aircraft, Mr Kumar said the airlines plans to make a comeback meant a new look into various aspects.

He said the government was committed to strengthening the national carriers. We will come back to you soon, he said. We are approaching the whole thing in a comprehensive way, he said.

The minister said that it would be his priority to ensure safety and punctuality and have a user friendly airline. He would seek to improve the infrastructure available to aviation. But he saw this as part of a much larger picture.

``Let me not just talk about a specific sector. The Indian economy over the years was not geared to meet competition.

Without a level playing field, some sectors have gone out of gear. It is the priority of our government to set right the imbalance so that the Indian economy can also develop the resilience and not only surive but also compete and excel globally.

My belief is that the transport sector has a critical role to play in the development of countrys infrastructure. Therefore I feel all these issues you have raised so far have to be addressed in a holistic way.