Management extends contingency plan till June 1
New Delhi, May 22:
A question mark hangs
over when Air India will take delivery of the first of the 27 Boeing 787
Dreamliner aircraft.
Initially, the Union
Civil Aviation Minister, Mr Ajit Singh, was to travel to Seattle at the end of
the month to attend a function for the induction of the first B 787 into the
Air India fleet. But on Tuesday, the programme was called off. While declining
to give details on why the Ministerial trip was being postponed, officials said
it will be wrong to say that the aircraft delivery has been delayed.
Indian officials
conceded that there were some issues connected with the interiors of the first
Boeing 787 aircraft that Air India was to receive that promoted cancellation of
the Ministerial visit. But they added that there was still a chance that the
aircraft will be delivered as planned. Officials did not specify the date on
which the aircraft will be delivered to AI.
In-flight entertainment
Sources indicated that
there were some issues with the in-flight entertainment systems and the cabin
interiors, which needed to be sorted out before Air India accepts delivery of
the aircraft. Officials claimed that the new aircraft is air worthy and has all
the certification to fly.
Industry analysts
point out that another reason the aircraft is not being delivered as earlier
planned is because the issue of compensation to be paid to Air India is yet to
be decided. The aircraft was initially supposed to be delivered in 2008.
Officials confirmed that some legal issues were holding back deciding on the
compensation amount.
Any delay in taking
delivery of the aircraft could also cost the airline. Globally, the final sale
price of an aircraft is decided on the first of every month, after taking into
account escalation. Therefore, Boeing will be well within its rights to seek a
higher price for the aircraft if delivery is pushed to June instead of the end
of this month, sources indicated.
Strike by pilots
The new aircraft has
been caught in the eye of a storm with sections of pilots going on an
agitation, against the management decision to allow pilots from erstwhile
Indian to get trained to fly the B 787.
The 19-day-long
ongoing pilot agitation has seen Air India curtail its long-haul international
operations. The agitation is leading to a daily revenue loss of between Rs
12-15 crore for the airline.
Meanwhile, to combat
the pilot agitation, the airline has extended the contingency plan for
operating international flights till June 1. The earlier plan was in place till
May 25.
“Till June 1 the
airline will only accept booking on international flights that are scheduled
under the contingency plan,” an official added.
http://www.thehindubusinessline.com/industry-and-economy/article3446486.ece
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