Air India distorted market: Tony Tyler, IATA head

NEW DELHI: International Air Transport Association(IATA), the global association that represents airlines, has accused cash-strapped Air Indiaof distorting the market as it receives financial support from the government in spite of pricing tickets below cost.
Giving the example of the turnaround of Japan Airlines, IATA Director General and CEO Tony Tylersaid, "Government aid must not be a blank cheque. Clear accountabilities and timelines for management, employees (including the pilots) and everybody involved have to be set and transparent disclosure is needed to measure progress."

Blaming high costs, especially rising airport charges, for squeezing the lifeblood out of the airline sector, Tyler said the recent 346% revision in tariffs at the Delhi airport is going to impact travel demand by 5-7%.

"A couple of airlines have pulled out and a few more will do the same. Raising charges by such a magnitude dampens growth, as the airport doesn't get the commercial revenues they were looking for," Tyler said.

He also suggested that the government could plough back the 46% revenue share it is earning from the Delhi airport in order to lower passenger charges. According to IATA estimates, costs for airlines this year will go up by $400 million due to the high airport charges.

"A new airport is needed in Mumbai or economic opportunities will be lost....The 12th Five Year Plan projects 274 million passengers flying in 2017. A 'super-fast track' way forward may have to be developed to meet that expectation," said Tyler.

http://articles.economictimes.indiatimes.com/2012-07-26/news/32869737_1_tony-tyler-airport-charges-delhi-airport

Aboard Air India, without documents

In a serious breach of security, a passenger landed at Indira Gandhi International Airport (IGI) here on board an Air India AI-925 flight from Riyadh on Wednesday without any travel documents, passport or a boarding card, sending the airport officials and security agencies into a tizzy.

Informed sources at the airport told The Hindu that the passenger, who seems to be mentally unstable, has been identified as Mohammad Khalil. “The individual has been giving different names. Sometimes he states he is Mohammad Khalil and sometimes he says he is Ahmed Khalil. We have also checked all the records, including flight records and he figures nowhere.

The gate number 26 CCTV footage viewed by the various agencies indicates that he had indeed disembarked from AI 925 and walked into immigration. There were a total of 86 passengers who had disembarked and 27 were transit passengers. All the 86 boarding cards have been accounted for. Air India and immigration authorities are at a loss to decide further course of action,’’ said a senior airport official, who did not want to be named.

Officials said interrogation of the passenger did not reveal anything significant except for the fact that he boarded the flight in Riyadh.

It appears that the authorities there were not able to detect his entry into the airport and then into the security and boarding area. Similarly, Air India staff also failed to detect him when he boarded the flight.

The authorities on Thursday reportedly called the Saudi Arabia Embassy officials to the airport to identify him. However, they came to the conclusion that he was not a Saudi national.

Similarly, on Friday, the Yemenese Embassy staff were asked to come and identify the individual but nothing much came out of it.

Immigration officials have asked the Air India management to send the passenger back as they had brought him “unofficially” into India.

However, Air India reportedly, refused, stating that it would be imposed a hefty fine by the authorities in Riyadh if they undertook such an exercise.

The matter is still under investigation and the authorities are unable to still establish the “true” identity of the passenger or determine his nationality. A detailed query e-mailed to Air India by The Hindu failed to elicit any response.

http://www.thehindu.com/todays-paper/article3694813.ece

The Hindu

From Riyadh to Delhi without travel documents

In a serious breach of security, a passenger landed at the Indira Gandhi International Airport (IGI) here on board an Air India AI-925 flight from Riyadh on Wednesday without any travel documents, passport or a boarding card, sending the airport officials and security agencies into a tizzy.

Informed sources at the airport told The Hinduthat the passenger, who seems to be mentally unstable, was identified as Mohammad Khalil. “The individual has been giving different names. Sometimes, he states he is Mohammad Khalil, and sometimes he says he is Ahmed Khalil. We have also checked all the records, including flight records, and he figures nowhere.

The gate number 26 CCTV footage viewed by the various agencies indicates that he had indeed disembarked from AI 925 and walked into immigration. There were a total of 86 passengers who had disembarked and 27 were transit passengers. All the 86 boarding cards have been accounted for. “Air India and immigration authorities are at a loss to decide further course of action,” said a senior airport official, who did not want to be named.

Officials said an interrogation of the passenger did not reveal anything significant, except that he boarded the flight in Riyadh.

It appears that the authorities there were not able to detect his entry into the airport and then into the security and boarding area. Similarly, Air India staff also failed to detect him when he boarded the flight.

The authorities on Thursday called Saudi Arabia Embassy officials to the airport to identify him. However, they concluded that he was not a Saudi national. On Friday, Yemenese Embassy officials were asked to identify the individual, but nothing much came out of it.

Immigration officials have asked the Air India management to send the passenger back as they had brought him “unofficially” into India.

Air India’s refusal

However, Air India reportedly refused, saying it would be imposed a hefty fine by the authorities in Riyadh if it undertook such an exercise.

The matter is under investigation and the authorities are unable to establish the “true” identity of the passenger or determine his nationality.

http://www.thehindu.com/todays-paper/tp-national/article3694905.ece

Ministry plans unit to monitor domestic air fares

New Delhi,July 27:  

A new unit may be set up in the Ministryof Civil Aviation to monitor domestic air fares.

Official sources told Business Linethat the proposal is aimed at ensuring greater transparency in the pricingof domestic air tickets.

“Airlines Web sites show the basic fare. But a passenger does not know how much the fare is being increased when priceof aviation turbine fuel goes up or if there is any decrease in fares if the price comes down. The proposed unit will try and ensure that a passenger gets some understanding on how muchof the fare is for the seat, how much is towards the increase or decrease in fuel prices and other charges,” a senior Governmentofficial said.

The tariff unit in the Directorate Generalof Civil Aviation (DGCA) monitors fares currently. The DGCA has a lowest and highest level for the fare which can be charged by domestic airlines.

In case any airline breaches the upper levelof the fare bracket listed by the DGCA, it is warned. The decision has been taken to ensure that there is no profiteering by any airline in peak season or due to sudden withdrawalof capacity by anyof the eight scheduled airlines.

This has become necessary as currently at least one airline – Kingfisher – has seen a sharp decline in the numberof daily flights operated. The airline currently operates about 100 daily flights down from over 400 earlier.

The need for the unit is being felt as currently most airline Web sites show the various basic fare levels which are available and the fuel surcharge which has to be paid for purchaseof the air ticket.

Officials added that proposal was at a very “tentative” stage and no final decision has been taken on the matter.

http://www.thehindubusinessline.com/todays-paper/tp-economy/article3693850.ece

Airlines look at ways to use info-tech to arrest cargo segment losses

Representatives of leading freighter airlines assembled in Singapore last week to share insights and discuss key issues shaping the global air cargo industry.

The ‘Conventus’ conference was organised by the city-based IBS Software Services, a leading IT solution provider to the aviation industry.

PLUNGING PROFITS

Set against the background of plunging profits, the meeting discussed critical challenges and how advancement in technology could be used to tide over them.

Also discussed was the importance of re-defining the relationship between the aviation and the IT sectors to prevent loss in investor returns (yield erosion) and improve sales generated from invested assets (asset utilisation).

Other topics included future proofing air cargo movement; digitisation of the air cargo supply chain; implementing e-freight; and growth through value.

Top officials of the airline industry body, IATA, also participated in the discussion that had over 40 senior executives, including global heads of logistics of freighter airliners, as delegates.

LEADING PLAYERS

Among those represented were Qantas, Lufthansa, South African Airways, British Airways, All Nippon Airways, Nippon Cargo Airlines, Hawaiian Airlines, Indigo, IACT, Malaysia Airlines, Turkish Airways and Bangkok Airways.

During the event, IBS presented ‘iCargo Oscars’ to All Nippon Airways for excellence in IT strategy.

Other winners were Qantas for business transformation and innovation; and Nippon Cargo Airways for pioneering iCargo.

“Such meetings foster shared vision and are critical for redefining industry best practices,” said Mr Sudhir Joshi, IT services and on-line channels, Qantas Freight, and chairman of teh IBS Cargo Forum.

“Participant interest was so overwhelming that we are encouraged to hold these meetings more frequently,” said Mr Sankalp Saxena, President and Global Head, aviation operations services, IBS.

http://www.thehindubusinessline.com/todays-paper/tp-logistics/article3693879.ece