Indian Aviation Has Come Of Age: Jyotiraditya Scindia
Union Civil Aviation Minister Jyotiraditya Scindia is upbeat on the growth, development and expansion of India’s aviation story. In an interaction with Ashish Sinha of BW Businessworld, Scindia talks about the various aspects of the domestic aviation market and its current and future potential. Excerpts
India's civil aviation sector has been expanding rapidly. Could you share your vision for the development of airport infrastructure and how it will support the growth of the industry in the coming years?
The Indian civil aviation industry is undergoing a paradigm transformation. It is both expanding and advancing. We have doubled the number of airports, from 74 airports in 2014 to 149 airports, waterdromes and heliports currently. The daily domestic passenger footfall has crossed the pre-pandemic levels and touched a high of 4.56 lakh and I expect that these figures may soon cross 5 lakh passengers. Almost all airlines are now clocking higher passenger load factor in the high 90s as compared to the pre-Covidperiod when the average PLF was in the 80s. We are also evolving and advancing towards more sophisticated and ambitious dimensions of aviation -- thanks to our very capable young engineering talent and the leadership of PM Narendra Modi which is forward looking, progressive and proactive when it comes to exploring the unexplored. If you talk about infrastructure development, we have put a target outlay of more than Rs 98,000 crore in the airport sector. More than Rs 25,000 crore capital expenditure is being incurred by AAI (Airports Authority of India) and the remaining by private airport operators/developers. Additionally, we have accorded 'in principle' approval for setting up of 21 new greenfield airports. Out of this, 11 airports have been operationalised. We currently have a total of 149 airports, which we aim to increase to 220 in the next few years.
What about the UDAN scheme’s success and stress on ‘Make in India’?
Connectivity in remote areas is being enhanced through the UDAN scheme. The scheme has been successful in promoting balanced regional growth and making flying affordable for the masses. We have operationalised 509 UDAN routes and served more than 1.3 crore passengers. From Mundra (Gujarat) to Tezu in Arunachal Pradesh to Hubli in Karnataka, RCS-UDAN is connecting 30 states/ UTs across the length and breadth of the country. A total of 75 airports have been operationalised under UDAN. Eight airports have been operationalised in the north-east region. Many airports that were operationalised under UDAN such as Darbhanga, Hubli, Kannur, Mysuru, etc. have become sustainable with many non-RCS commercial flights operating from these airports. Currently, bidding for UDAN 5.2 is underway to further enhance connectivity to remote and regional areas of the country, achieve last-mile connectivity and provide impetus to the tourism sector through small aircraft (less than 20 seats). Our target is to operationalise a total of 100 airports and 1,000 UDAN routes in the next few years. Subsequent rounds of bidding will be conducted in the near future to connect more regional routes.
How do you look at record orders for aircrafts placed by private airlines and the ‘Make in India’ initiative in this sector?
The orders from Air India and IndiGo for nearly 1,000 jets between them have made India a key market for aerospace. We are also focusing on aerospace manufacturing and infrastructure. The first C295 aircraft was recently inducted by the Indian Air Force. In 2021, Boeing announced the addition of a new production line under its joint venture, the Tata Boeing Aerospace (TBAL), to manufacture complex structures for Boeing 737 aircraft. Safran has also invested in multiple ventures in India. Today, every Airbus commercial aircraft, every Airbus helicopter, has technologies and parts designed and made in India.
Aircraft fleet isset to see considerable expansion. Air India has placed an order for a staggering 470 aircraft – 220 from Boeing and 250 from Airbus, while Indigo’s order for 500 Airbus jets is a world record. These deals are not only significant for both the airlines and the Indian aviation market but also serves as a beacon of hope for the global aviation industry struggling in the aftermath of the Covid-19 pandemic. It sends a message to the world that the Indian aviation story has come of age and is ready to compete on a global scale. Both the mega orders also align with the highly reformist and liberalised approach to the civil aviation sector by the Indian government in recent years. Indian carriers are expected to place orders for 1,500-1,700 aircraft over the next 24 months.
The Indian aviation market has seen impressive passenger growth. How does the Ministry of Civil Aviation plan to address the challenges of capacity, congestion and service quality to ensure a seamless passenger experience?
Indeed, the growth that we have registered in the post-pandemic period has been incredible. The total number of domestic passengers in 2014 was 60 million, it doubled to 143 million in 2020 prior to Covid-19. This year alone, we have crossed the mark of 4.56 lakh domestic passengers/day. As a government we have adopted a 3-pronged strategy of creating capacities, removing bottlenecks and simplifying processes, which has helped the sector to leap from 74 airports to 149 airports in the past nine years. I am happy to set a target for the industry that the number of airports, heliports, and waterdromes will grow up to more than 200 in the next three to four years. To ensure a seamless passenger experience, the ministry has launched several initiatives such as the DigiYatraprogramme to provide a seamless and hassle-free travel experience to passengers.
As regards congestion, I am monitoring the issue closely, along with future expansion plans of our metro services for airports. We are already working on measures such as deploying additional CISF personnel, adding more immigration counters and ensuring 100 per cent manning of immigration counters. Greater security infrastructure at airports, additional X-ray machines, check-in counters, and self-baggage drop facilities have already begun to be added. For the upcoming festive season, we have worked with airports to make an airport-wise action plan. Our focus is primarily on six major airports and 10 other airports.
India's drone policy has the potential to revolutionise various industries. When can we expect its implementation and how will it benefit both the aviation sector and other industries like agriculture and ecommerce?
India's drone policy has the potential to revolutionise various industries such as agriculture, mining, infrastructure, surveillance, emergency response, transportation, geo-spatial mapping, defence, and law enforcement. We have been proactively engaging with various Union ministries and state/UT governments across the country to promote drone applications. The government has launched several initiatives to promote the widespread adoption of drones in commercial logistics, agriculture, mining, large-scale mapping, and industrial inspection.The liberalised Drone Rules 2021 will benefit both the aviation sector and other industries. Recently, we also notified the new Drone (Amendment) Rules 2023 for drone pilots. Under this rule, any government issued proof of identity and a government issued proof of address such as the voter ID, ration card or driving license,can now be accepted while applying for a Remote Pilot Certificate if the drone pilot does not have a passport. This policy, along with the production linked incentive (PLI) scheme for drones and components, has been a game changer in promoting the use of drones. For instance, the PLI scheme under which an outlay of Rs 120 crore has been allocated with 20 per cent incentive, is one of the highest amongst all PLI schemes. As of now, 53 drone training schools have been set up across the country, and more than 4,588 drone pilots have been trained. In addition, more than 80 drone manufacturing units have been set up while the revenue of the industry has increased from approximately Rs 88 crore to Rs 319 crore.
Could you provide insights into the government's efforts to modernise and enhance security measures at Indian airports, and how these initiatives align with international aviation security standards?
Aviation security is indeed of paramount importance in today's world. The Indian government has been taking several measures to modernise and enhance security measures at Indian airports, and these initiatives align with international aviation security standards.Surveillance checks conducted by DGCA have increased from 1,982 in 2013 to 4,378 in 2022 showing an increase of 120 per cent thus showing emphasis on ensuring safety checks. ICAO has given India's aviation safety its highest global ranking ever, jumping from 102 to 47 now. This is India’s highest ever EI (effective implementation of critical safety elements) score of 85.49 per cent.I also believe that enhancing our human resource capability can go a long way in making our sector more modern and secure. For this we have the DGCA. A total of 416 new positions have been established in DGCA, which will help the aviation watchdog to provide a safe environment in the sector.A total of 10 new posts have been created within AERA with the constant indulgence of the Ministry of Civil Aviation for expeditious discharge of functions.Keeping the importance of having sufficient ATCOs for the civil aviation sector in the country, 796 positions of ATCOs in the AAI have been created since July 2021 which will ensure safe navigation services in the country.
Tell us about the upcoming airport terminal in Gwalior, Madhya Pradesh?
The project of building a new terminal building of the Gwalior airport is one of key development projects that we are undertaking in Madhya Pradesh. I am delighted to share with you that it will become one of the fastest-built airports of India. Its foundation stone-laying ceremony was done by Home Minister Amit Shah in October 2022 and we are very close to completing the project. The airport is being built by AAI with a cost of Rs 498 crore which includes a new terminal building of 20,000 sq. mts. It will have the capacity to handle 1,400 peak hour passengers and an annual handling capacity of 1.5 million. Along with greater connectivity with the rest of the country, I am confident that the new terminal will also bring more growth opportunities for the youth of the Gwalior-Chambal region.
ashish.sinha@businessworld.in
