Budget carriers SpiceJet and IndiGo have been the biggest beneficiaries of Jet’s closure, with each bagging more than 125 of Jet’s airport slots and flying rights to cities like Hong Kong, Dubai, Dhaka and Abu Dhabi
With no resolution in sight for Jet Airways, the ministry of civil avaition has extended till December the validity of the grounded carrier’s slots and international flying rights allocated to other airlines. The ministry had distributed most of the 766 airport slots and various international traffic rights held by Jet till October-end.
A senior ministry official said the earlier time period had now been extended till December-end. Budget carriers SpiceJet and IndiGo have been the biggest beneficiaries of Jet’s closure, with each bagging more than 125 ex-Jet airport slots and flying rights to cities like Hong Kong, Dubai, Dhaka and Abu Dhabi.
While SpiceJet was allotted an additional 48 domestic and 15 international departure slots in Mumbai and Delhi, respectively, IndiGo got 45 departure slots at the twin metros apart from bagging half of the Jet Airways pool of international traffic rights. Air India, Vistara, GoAir and AirAsia were also allocated domestic slots earlier operated by Jet.
Civil aviation minister Hardeep Puri said on June 26 that domestic airport slots and international flying rights were distributed among local carriers on temporary basis. “The domestic slots vacated by Jet Airways starting from April 2019 have been allocated on ad hoc basis to other Indian carriers. Majority of the international traffic rights of Jet Airways have been distributed amongst the Indian carriers purely on temporary basis till the end of Summer Schedule, 2019 only,” Puri had told Rajya Sabha.
Jet Airways, which was grounded on April 18 due to financial crunch, is facing insolvency proceedings at National Company Law Tribunal, Mumbai, with dues of over Rs 24,000 crore. Jet’s equity partner Etihad Airways and Anil Agarwal, executive chairman, Vedanta Resources, have backed out of the resolution process.