The Naresh Goyal -promoted Jet Airways has reason to cheer, as the
civil aviation ministry might give it permission to join the Star Alliance simultaneously with state-owned
Air India. Earlier, the government wanted the Star Alliance, comprising 27
airlines across the globe, to decide positively on AI’s membership first.
Last
year, Star Alliance had snubbed Air India. Despite the process of admission
being in the final stages, the airline’s membership was put on hold because it
did not meet certain conditions and all members of the Star Alliance had not
approved Air India’s entry.
About Jet’s
entry in Star Alliance, Ajit Singh, civil aviation minister, said in an interview
with Business Standard , “We may consider about Jet’s entry in Star
Alliance simultaneously with Air India. We will also be working on Air India’s
entry in Star Alliance.”
ON BEING A
STAR ALLIANCE MEMBER
|
Star Alliance
|
Benefits
|
Aviation
experts said for AI’s entry in Star Alliance, the government can lean heavily
on German carrier, Lufthansa, one of the founding members of Star Alliance. The
ministry has also indicated that a lot of favours have been doled out to
Lufthansa. In the Economic Editors’ conference held in September, Singh had
said, “A lot of facilities have been given to Lufthansa to get AI into the Star
Alliance. We almost made India an open-sky (operation) for them. Now, we will
ask them to facilitate AI’s entry into Star Alliance.”
A
senior ministry official told Business Standard, “Swiss and Austrian Airlines,
Lufthansa’s partner airlines, which had earlier been acquired by Lufthansa,
continue to function under bilateral agreements signed between India and the
two respective countries. Lufthansa has not given the ownership figures for one
of these airlines to the government.”
Lufthansa,
the mentor airlines in Star Alliance for Air India, has maintained that more
than one airline from a country can become a member of the Alliance, as was the
case with airlines from China, Africa and Brazil.
Air
India had earlier opposed Jet Airways’s proposed entry into the Alliance, alleging
Lufthansa did not favour the state-owned airline, which the German airline
denied.
An
aviation analyst said, “If Jet Airways becomes a member of Star Alliance before
Air India, it is likely to negatively impact the market share of Air India on
international routes.”
Air
India and Jet Airways are already neck-and-neck in the international skies. In
the first part of FY13, the national carrier and Goyal’s airline had 15.80 per
cent and 14.30 per cent market share, respectively.
Before
Air India’s application was put on hold, it had paid ^10 million (about Rs 69
crore) since May 2008 to Star Alliance, as part of the joining fee.
Star
Alliance is the largest of the three airline alliances in the world. The other
two are SkyTeam and Oneworld. Star Alliance includes Deutsche Lufthansa, Air
Canada, Singapore Airlines and Thai Airways International. A membership in the
group ensures shared benefits to members and seamless travel to passengers.
Facilities for Star Alliance member airlines are located close to each other at
airports.
Common
airport facilities, coordinated schedules, and a range of new technologies are
also available to member airlines
http://www.business-standard.com/india/news/jet-might-get-nod-to-join-star-alliance/493672/
No comments:
Post a Comment