NEW DELHI: India’s aviation regulator DGCA on Wednesday extended its eight-week ban for the struggling airline SpiceJet, under which it is prohibited from operating at more than 50 per cent of its approved capacity. The restriction will continue till October 29, 2022, when the summer schedule ends.
The Directorate General of Civil Aviation (DGCA) had on July 27 ordered SpiceJet to operate a maximum of 50 per cent of its flights, which were approved in the summer schedule for a period of 8 weeks, after the airline was involved in a series of mid-air incidents that raised serious safety concerns.
“...the review has indicated an appreciable reduction in the number of safety incidents. However, as a matter of abundant caution, the competent authority has decided that the restrictions as imposed in the order dated July 27.07.2022 that continue to be in force till the end of the summer schedule (which ends October 29, 2022),” the DGCA said in its order.
As per the order, any increase in the number of departures beyond 50 per cent capacity will be subject to the airline “demonstrating to the satisfaction of DGCA that it has sufficient technical support and financial resources to safely and efficiently undertake such enhanced capacity”. DGCA said during this period the airline would be subjected to “enhanced surveillance”.
The order comes a day after SpiceJet sent nearly 80 pilots on leave without pay for 3 months. The Gurugram-based carrier, which has been making losses for the past 4 years, is scouting for funds to stay afloat.
Its effort to raise fund up to Rs 2,000 crore includes a stake sale by promoter Ajay Singh. In recent months, the airline has faced several headwinds, from aircraft lessers taking back their planes to CFO Sanjiv Taneja leaving the airline.