http://www.financialexpress.com/latest_full_story.php?content_id=97696

Flying made affordable for U

REUTERS
Posted online: Thursday, July 28, 2005 at 1113 hours IST Updated: Thursday,
July 28, 2005 at 1905 hours IST

NEW DELHI, JULY 28:  The Civil Aviation Policy, which will be discussed by
the Union Cabinet next month, will focus on lowering fares to make aviation
affordable and look at ways to remove price monopolies in turbine fuel,
Civil Aviation Secretary Ajay Prasad said today.


The policy will also look at liberalising the air services agreements and
moving towards an open sky regime encouraging promotion of regional airlines
and the creation of an essential air services fund to provide subsidy
support to essential services, he said.

On the issue of investments by NRIs and people of Indian rigin being treated
at par, Prasad, addressing a seminar organised by aviation and sustainable
development, said this was an issue that would have to be decided by the
Cabinet.

"The policy will not, however, allow foreign airlines to pick up stake in
the domestic airlines at present", he added.

Turning his attention to the development of infrastructure, Prasad said that
apart from ongoing proposed restructuring of Delhi and Mumbai airports, the
government was also taking measures to convert other airports to world class
standards.


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The Civil Aviation Policy was supposed to have been finalised this month.
Now it is postponed till "next month"! This exercise has been going on for
at least 5 YEARS! The Ministry seems to be suffering from "analysis
paralysis".

With regard to infrastructure development it is imperative that the Civil
Aviation Ministry makes a high speed U-turn from its policy of shutting down
civilian flights at military bases as soon as a greenfield airport goes into
operation. It doesnt seem to realise that this kind of approach contributes
to high ticket costs which is what it says it is tryin to alleviate!

Ways must be found to contnue civilian flights at Bangalore and Hyderabad
airports and maybe even revert to them at Kochi naval airstation. Pune's
Lohegaon airport must continue to handle civilian flights even when Chakan
comes up. Ditto for Dabolim when Mopa kicks in.







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