NEW DELHI: Embattled Jet Airways, which grounded operations last month after running out of cash, is set to lose one of its most valuable assets — international flying rights — as the government plans to allocate these slots to other airlines on a temporary basis.
After meeting the executives of domestic carriers on Friday, Civil Aviation Secretary P S Kharola said the ministry would create a standard operating procedure to transfer Jet’s rights to other carriers. He clarified that the allocation would be temporary and subject to Jet’s revival.
The Centre has already allocated 480 out of the 750 domestic slots that got vacated after Jet suspended its operations, to other airlines.
IndiGo, SpiceJet, Air Asia, GoAir and Vistara are eyeing Jet’s international slots to give wings to their aggressive expansion plans. However, national carrier Air India will get priority, Kharola said.
While the decision was taken in good faith to bring down fares on international routes which shot up after Jet suspended operations, it might put off potential investors.
Already, 85 of Jet’s 119 aircraft have been de-registered; many of these have now been leased to other airlines such as SpiceJet.