Indian Air Force procures 6 HAL Dornier aircraft for INR 667 crore

The defence ministry on Friday, March 10 sealed a deal with Hindustan Aeronautics Limited (HAL) to procure six Dornier aircraft for INR 667 crore for the Indian Air Force.

The addition of the six aircraft will further bolster the operational capability of the IAF in remote areas, the defence ministry said announcing the contract.

https://twitter.com/DefenceMinIndia/status/1634168024273137665

The Dornier-228 aircraft is a highly versatile multi-purpose light transport aircraft. It has been developed specifically to meet the manifold requirements of utility and commuter transport as well as for maritime surveillance. The aircraft will have an upgraded fuel-efficient engine coupled with a five-bladed composite propeller.

"The Ministry of Defence, on March 10, signed a contract for procurement of six Dornier-228 aircraft for the Indian Air Force from Hindustan Aeronautics Limited (HAL) for INR 667 crore. The aircraft was used by IAF for route transport roles and communication duties. Subsequently, it has also been used for training of transport pilots of the IAF," it said.

The aircraft is ideally suited for short-haul operations from semi-prepared and short runways of the North East and island chains of India.

ALSO READ - Union Cabinet approves buying 70 HAL HTT-40 basic trainer aircraft for IAF

The Dornier order for HAL comes on the back of an INR 6,838-crore contract awarded to it by the defence ministry for 70 HTT-40 basic trainer aircraft. The new trainer aircraft, a longstanding need, will provide a boost to the ab initio training of air force pilots. Basic trainers figure on the long list of weapons and systems that India has imposed an import ban on during the last 30 months. HAL will supply the Hindustan Turbo Trainer-40 (HTT-40) planes to IAF over six years.

Currently, ab initio training of all rookie pilots is carried out on Swiss-origin Pilatus PC-7 MkII planes and Kiran Mk-1/1A trainers. Those training to become fighter pilots further train on the British-origin Hawk advanced jet trainers.

All seven Adani airports saw an increase of 92% in domestic and 133% in international travellers. Similarly, there has been a rise of 58% and 61% in the number of domestic and international flights respectively.

Air traffic jumped by around 100% compared to the previous year, taking the number to pre-pandemic levels with more than 14.25 million passengers using these airports over last year.

According to a spokesperson of Adani Airports Holdings Ltd, this upward trend is expected to continue, and it is anticipated that the number of trips people will take in a year will increase. One of the factors driving this growth is the restart of tourism after the pandemic.

Being the second busiest airport in the country, Mumbai's Chhatrapati Shivaji Maharaj International Airport (CSMIA) recorded nearly 8.44 million passenger movements in January-February 2023. CSMIA witnessed nearly 2.22 million international and 6.22 million domestic passengers.

7 Adani airports handled record 14.25 million passengers in 2022

The first two months also saw a huge rush at Sardar Vallabhbhai Patel International (SVPI) airport, Ahmedabad. It had 1.74 million domestic passengers flying in and out of the airport. It recorded 283,379 international travellers.

Jaipur is the 11th busiest airport in the country. Jaipur International Airport (JIAL) recorded nearly 0.95 million passenger movements. Exhibiting significant growth, JIAL witnessed nearly 69,300 international and around 0.88 million domestic passengers.

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Being the busiest airport in Uttar Pradesh, Lucknow's Chaudhary Charan Singh International Airport (CCSIA) recorded nearly 1.04 million passenger movements in both months. CCSIA witnessed a fruitful first two months with nearly 136,880 international and around 9.03 lakh domestic passengers.

Considered the gateway to Northeast India, Lokpriya Gopinath Bordoloi International (LGBI) Airport (Guwahati) has flights to and from 32 domestic and two international destinations. It recorded a footfall of 902,694 passengers, witnessing a sharp increase from the corresponding months last year.

Thiruvananthapuram Airport recorded 299,850 and 299,770 domestic and international footfalls, respectively. The airport has connectivity to 10 domestic and 12 international destinations. Mangalore Airport saw increased traffic of 209,713 national and 84,356 foreign travellers.

ALSO READ - Mumbai International Airport sets a new record, handling 1.50 lakh passengers in one day

Both CSMIA and CCSIA handled record passenger movement on a single day. While Mumbai recorded around 1,51,543 travellers on February 25, 2023, Lucknow witnessed over 18,000 passengers on January 31, 2023, transiting through the airports.

The traffic growth is evidence of Adani Airports’ attempts to promote passenger confidence through initiatives like e-gates, barcode scanners, friendly and cooperative ground staff, Pranam Service, free WiFi, retail and F&B stores, and automated parking system, etc. for a better customer experience and safety standards adopted across all airports.

This rise was driven by positive sentiments among air travellers and a strong surge due to the festive holiday season. The operator is well aware of both the challenges and opportunities that come with high passenger volumes, particularly during holiday seasons, because these may vary daily or even hourly depending on the schedule of flights.

India's per capita air passenger traffic (ie., total air passengers/total population) stands at 0.12. It is 2.7 (22x) for the United States and 0.31 (2.5x) for China, indicating the massive potential for Indian aviation.

India is expected to have 1 billion passengers by 2040 and the expected CAGR (compound annual growth) for the next 20 years is 8.5%. As many as 31 cities are expected to have dual airports system while Delhi-NCR, Mumbai metropolitan region and Bangalore will potentially have three.

The number of operational airports is expected to cross 200 with total capex requirement exceeding USD 100 billion (including landside developments). The number of Adani airports serving over 10 million passengers in a year will zoom from 7 to 47.

ALSO READ - Adani pays AAI INR 2,440 crore to take control of six airports

U.S. planemaker Boeing has partnered with India's GMR Aero Technic for setting up a facility in the Asian nation that will convert passenger aircraft into freight planes, to tap surging global demand for cargo. Boeing and GMR will start the freighter conversion line in Hyderabad.

Freight operations in India will support domestic and global demand. GMR Aero Technic is the first Boeing supplier in India that will have the capability to support future conversions of both domestic and foreign aircraft, according to a media release.

Boeing India President Salil Gupte told reporters in New Delhi that the time has come for the cargo market. "Our cooperation with GMR Aero Technic is not only a testimony of the maturation of Indian MROs in the country to support the vision of Aatmanirbhar Bharat but also supports the anticipated growth of the cargo sector in the region," he said in the release.

https://twitter.com/Boeing_In/status/1634088237429039105

Salil Gupte, president of Boeing India, said there was a demand to convert more than 1,700 passenger planes globally into freighters over the next 20 years, with about 600 coming from Asia.

The facility will add to Boeing's USD 1 billion supply chain sourcing from India and will help support India's ambitions to become a global cargo hub, Reuters cited Chief Strategy Officer Marc Allen. He did not give any details about when the facility will be set up or the size of the investment.

GMR Aerotechnic chief executive Ashok Gopinath says that India’s MRO sector has seen rapid growth given the expansion of India’s airline sector. Establishing a local freighter conversion capability is also in line with the country’s “Make in India” policy - a key priority of prime minister Narendra Modi.

Boeing & GMR collaborate to build freighter aircraft conversion line in Hyderabad

Boeing does not state the type of aircraft to be converted, but an image of an executive signing ceremony is backdropped by a picture of a 737-800 – a type frequently converted for cargo use. Boeing also does not state when the line will start operating, or the level of investment.

Cirium fleets data indicates that there are 14 main deck freighters in service in India. The main freighter operator is Blue Dart Aviation with six 757-200PCFs. SpiceJet operates three 737-700BDSFs, Quikjet two 737-800BCFs, IndiGo two A321P2Fs, and Pradhaan Air Express a single A320P2F.

According to Boeing's Commercial Market Outlook, India's air cargo growth is expected to average 6.3 per cent annually, driven by the country's manufacturing and e-commerce sectors, including its Make in India initiative. Boeing forecasts demand for more than 75 freighters, including production and converted freighters.

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Boeing, through its partners, already has a significant presence in Hyderabad. In February this year, Tata Boeing Aerospace Limited (TBAL) shipped the first vertical fin structure for the Boeing 737 aircraft from its facility in Hyderabad. The vertical fin was meant for the Boeing manufacturing facility in Renton, WA, for integration into the final Boeing 737 aircraft.

ALSO READ - Boeing launches Global Support Centre and new Logistics Centre in India

In February, Boeing said that it expects India's new and converted freighter market to grow to 80 aircraft by 2041. The aviation behemoth has stepped up its focus on India. In February it announced plans to invest USD 24 billion to set up a logistics centre for airplane parts. Air India also placed a record order for about 500 jets, worth more than USD 100 billion at list prices, with both Boeing and Airbus.

ALSO READ - From A350s to B777Xs, Air India finalizes the Historic 470 Aircraft deal with Airbus & Boeing

Directorate General of Civil Aviation (DGCA) on Thursday, March 9 deregistered two Boeing 737s leased to SpiceJet per the terms of Irrevocable De-registration and Export Request Authorizations (IDERA).

A senior official from the regulator confirmed and said, "Under the provisions of Irrevocable De-registration and Export Request Authorisations (IDERA) it has happened." According to an investigation, the aircraft's registration was revoked at the request of two lessors with offices in Dublin: Wilmington Trust SP Services and Aircastle (Ireland).

According to a SpiceJet representative, the deregistration of the aircraft "would not impact" the carrier's operations. "This won't impact our ops. One aircraft was grounded for a long period & was to be returned. The other one was returned due to engine issues. Both aircraft are being returned consensually," the representative said.

2 SpiceJet aircraft were deregistered by the DGCA upon the lessors' request

In the event of missed lease rental payments, an aircraft lessor may unilaterally invoke IDERA to deregister and seize the aircraft from the lessee (in this case, SpiceJet). The DGCA now has five working days to deregister the jet by the guidelines.

IDERAs have been used against the carrier previously, thus this is not the first time. Due to claimed payment failures by the airline, two foreign-based lessors, Alterna Aircraft BV and AWAS, a division of aircraft leasing behemoth Dubai Aerospace Enterprise (DAE), applied to India's aviation authority to deregister one SpiceJet aircraft each. Three of these wore registrations VT-SYW, VT-SYX, and VT-SYY and were ex-Jet Airways aircraft acquired by SpiceJet after the former ceased operations in 2019.

The airline then said this was part of a plan to send back old planes as it gets new ones.

The low-cost carrier had 2017 ordered 155 Boeing 737 MAX with an option for 50 more. It had 13 B737 MAX when the type was grounded globally in March 2019. While the aircraft resumed flying in India and most other countries by late 2021, Boeing has not delivered even a single new MAX to SpiceJet in the last four years. The airline takes aircraft on lease to meet its requirement.

ALSO READ - SpiceJet to de-merge cargo arm, convert Carlyle’s debt to 7.5% equity & raise funds via QIP

Last month, the no-frills carrier said it has restructured over USD 100 million outstanding dues to aircraft leasing firm Carlyle Aviation Partners, into equity shares and compulsorily convertible debentures (CCDs). The Board of Directors of SpiceJet Ltd on February 27 approved issuing fresh equity shares of USD 29.5 million (INR 244.28 crore) to Carlyle Aviation Partners at INR 48 per share or the SEBI-determined price, whichever is higher, the company had said.

ALSO READ - SpiceJet Q3 net profit jumps 160%; shares fly high

Following this transaction, Carlyle Aviation Partners would have over 7.5% equity stake in SpiceJet Ltd. Moreover, the transaction would retire over USD 100 million debt of SpiceJet, thereby strengthening its balance sheet for future expansion.

Indian carrier Go First is planning to take US aerospace firm Raytheon Technologies to court, The Economic Report (ET) reported. The firm is the maker of Pratt & Whitney engines. It has come to light that PW-1100G geared turbofan (GTF) engines are facing reliability issues. This has resulted in half of Go First's fleet being grounded.

Citing sources, the report said that while Go First asked for compensation for the malfunctioning engines that resulted in business losses, PW refused to pay the money, which resulted in a violation of the contractual agreement.

Reportedly, Go First had signed a billion-dollar deal to purchase PW engines for its A320neo aircraft in 2019. The deal came with a comprehensive service agreement, which talked about compensation from the manufacturer for any maintenance issues.

Go First plans its next step against Pratt & Whitney amidst aircraft grounding

Go First may be forced to ground 8-12 more aircraft in the next 6-12 months if Pratt & Whitney does not fulfill its contractual obligations and provide the airline with spare engines.

Speaking about the issues with PW's engines, a person with Go First said, "Over the last two years, all the engines had to be removed from the wing before an average of 7,000 hours, which is way lower than the projected life of 12,000 hours. Problems have repeatedly surfaced, which has resulted in the unscheduled removal of engines, leading to severe disruptions in operation and business."

ALSO READ - How Bad is IndiGo’s and GoFirst’s A320 Engine Problem?

IndiGo is the only other Indian airline that operates GTF engines, and it also had to ground 35 of its aircraft, but Indigo is getting compensation for the same. IndiGo CFO Gaurav Negi said, "We are working with engine makers to get some relief. Some of the compensation has already come in this quarter. We continue to keep working with them to get adequately compensated."

The months of April and June are usually busy for airlines. Industry sources said that Go First will have to operate at 40% capacity this year due to engine issues, the ET report added. This may result in a substantial revenue loss.

ALSO READ - Go First grounds over a fifth of its fleet due to delayed deliveries of engines by Pratt & Whitney

Other experts from the industry have said that Go First's engine issues have to do with the carrier's financial limitations. Go First deferred maintenance work during Covid which may have been a cause for the problems in the engines, the report said.

Industry experts also blamed India's humid and dusty environment for the faster degradation of the combustion chamber of jet engines.

Last month, Raytheon Technologies said that the availability of complex metal components used to produce aerospace turbofans will likely remain constrained through most of 2023.

More than 50 aircraft of Go First and IndiGo had been grounded due to a lack of engines and spare parts in November. P&W provides engines to about 200 Airbus A320neo aircraft flown by Go First and IndiGo. Its engines also power turboprop aircraft such as the ATR-72 and Bombardier Q-400 flown by Alliance Air, IndiGo, and SpiceJet.

Both airlines had to ground their aircraft due to delays in engine deliveries on account of significant supply chain disruptions, according to reports in November. IndiGo has gone down the leasing route to meet demand, while Go First is struggling to meet capacity and maintain its schedule.

ALSO READ - Pratt & Whitney top executives visit India to address engine supply chain issues

In November, senior P&W executives including president Shane Eddy and Rick Deurloo, president of the company’s commercial engines division, met top officials of Go First and IndiGo to discuss ways to resolve engine supply issues in India. The executives said P&W is working aggressively to address the supply chain disruption and would be in much better shape by the end of 2022.

(With Inputs from The Economic Times and MoneyControl)

Expressing concern over the rising number of instances involving unruly behaviours by passengers, Air India CEO Campbell Wilson has called for concerted industry efforts to contain the problem.

Recently, Wilson informed that incidents surrounding unruly behaviour by inebriated passengers are quite frequent, adding that the airline has now got strict and is reporting all such cases of unruly behaviours.

Wilson had said that the airline has learnt lessons and it could have reacted better to the issues surrounding the 'peeing' incident which occurred in November last year.

The Air India CEO said that the airline has realised the importance of reporting all such incidents. Stating that Air India is now investing more in technology, the CEO had told the media that there are many instances where the airline's crew is at the receiving end when a drunk passenger misbehaves.

Air India CEO urges coordinated action to reduce disruptive passenger behaviour

The airline has since set up new processes to monitor as well as deal with the problem of unruly passenger behaviour. It recently selected the UK-based Ideagen’s enterprise cloud software application, Coruson, to further enhance end-to-end safety management, including real-time intelligence, reporting and status of inflight incidents. 

The safety data software application, which will be online with effect from May 1, will ensure automated processes relay critical information to key personnel and authorities without delay, leading to timely action. The airline is separately engaged in procuring iPads for pilots and crew members and when introduced, Coruson will be available on these devices as well.

Talking to Business Today, Wilson said that in the last six weeks alone, Air India had witnessed four incidents where people have either assaulted or threatened to physically assault its crew, and the airline is taking a zero-tolerance line on that.

He said that a rise in such cases globally had led even the industry body, International Air Transport Association (IATA), to take a serious view of the situation and call for industry-wide action to stem it.

ALSO READ - Air India passenger incident: What? How? When?

In the instance of the 'peeing' incident onboard AI-102 operating between New York and Delhi on November 26, 2022, the concerned cabin crew and one pilot have been issued show-cause notices and were de-rostered pending investigation.

ALSO READ - DGCA rejects Air India pilot’s appeal to revoke suspension in urination case

In 2022, 4,242 such incidents were reported by member airlines, which was significantly lesser than the 5,672 incidents reported in 2021, according to data shared by IATA. However, there has been a sharp spike in these occurrences since the onset of the Covid-19 pandemic in 2020, when only 2,688 incidents were reported globally. This increase was initially driven largely by non-compliance with face mask requirements.

While addressing a virtual conference last week, the Air India CEO said that the airline has enormous potential and efforts are on to make the group a significant international player.

ALSO READ - From A350s to B777Xs, Air India finalizes the Historic 470 Aircraft deal with Airbus & Boeing

Wilson said that Tata group-owned Air India's order for a record 470 aircraft from Airbus and Boeing will be worth nearly USD 70 billion. The CEO also said that the process of integration of Vistara with Air India is underway and is now awaiting approval from the regulatory bodies.

(With Inputs from Business Today)