Nirmala Sitharaman on Saturday in while announcing the third economic relief package said that the Centre is now working to rationalise the use of the airspace.
It means that the airspace in India is not optimally used. As the finance minister said, only 60 per cent of the airspace is being used for now.
So, the flights are actually taking longer routes to reach the destinations while there are shorter routes but those are either not available or not explored.
The Centre will now explore those routes and rationalise the use of the airspace to save both time and fuel.
This is also an environment-friendly move, Sitharaman said.
The announcement comes at a time when the domestic aviation sector is looking at a gradual opening of the operations as the lockdown enters its phase 4.
The aviation industry is witnessing a daily net loss of Rs 75-90 crore during the lockdown, reports said.
Finance Minister Nirmala Sitharaman also announced;
- Airports Authority of India has awarded 3 airports out of 6 bid for operation and maintenance on Public-Private Partnership (PPP) basis.
- Additional investment by private players in 12 airports in first and second rounds expected around Rs 13,000 crore.
- The tax regime for the MRO ecosystem has been rationalized.
- Aircraft component repairs and air frame maintenance to increase from Rs 800 crore to Rs 2,000 crore in 3 years,” the minister added.
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