New Delhi, Sept. 10:
Minister for Civil Aviation Ajit Singh said he had written to the Oil Ministry on declaring aviation turbine fuel (ATF) as a notified product.
Speaking to the media on the sidelines of a conference, the Minister said that his Ministry was constantly in touch with State Chief Ministers and with the Finance Minister.
Declaring ATF as a “notified good” will decrease the burden of fuel cost on airlines. At the moment, due to various factors, including States levying a sales tax of between 4 and over 30 per cent, ATF accounts for over 40 per cent of airlines’ expense.
Recently, airlines raised domestic fares citing high ATF prices.
FDI issue
The Minister said no fresh note was being moved by the Government on allowing foreign direct investment in domestic aviation. He added that Trinamool Congress leader Mamata Banerjee, an UPA ally, had neither said “No or yes on the issue.”
He added that the Government was in touch with allies on the issue.
Singh will travel to Kolkata on September 14, en route Kharagpur. An IIT Kharagpur graduate, he is going there for its 75th anniversary celebration.
Asked whether the Government had received any report from the Directorate-General of Civil Aviation on the safety of operations of Kingfisher Airlines and Air India, he said no report had been received by the Ministry as yet.
Questioned on the Finance Ministry opposing a move to give more funds to Air India as part of the turnaround plan, Singh merely said that the matter had been approved by the Union Cabinet.
“This (Finance Ministry raising some issues) is normal. Whenever you go to the Finance Ministry they have questions,” Singh said.
The Minister said no fresh note was being moved by the Government on allowing foreign direct investment in domestic aviation
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