Thursday 9 December 2021
- Advertisement -
HomeEconomyPrabhu makes a free-market statement in times of socialism

Prabhu makes a free-market statement in times of socialism

'It is our endeavour to support the industry. However, we cannot interfere in day-to-day operations of airlines,' Suresh Prabhu said

New Delhi: Efficient operations and financial performance are individual responsibilities of carriers, and the government cannot interfere in their day-to-day operations, Civil Aviation Minister Suresh Prabhu said amid Jet Airways crisis and turbulent times of the domestic airlines’ industry.

In view of intense competition, rising costs, shortage of pilots and grounding of planes hurting many domestic carriers, the minister also said the government has been constantly responding to industry conditions and cited measures taken, as seen in the reduction in central excise duty on jet fuel to 11% from 14%.

Cash-strapped Jet Airways has been forced to ground planes, cancel flights and delay payments, including salaries to pilots, while Air India continues to grapple with financial woes. On March 25, the board of ailing Jet Airways cleared a debt resolution plan whereby lenders would take control of the carrier.

Prabhu for policy support to industry, against committing taxpayers’ money to sick companies

Against this backdrop, Prabhu said that each airline prepares its own business plan on the basis of its own market assessment and financial resources.

“Based on its business plan, the efficient operations and financial performance are the responsibilities of each individual airline and its shareholders.

“However, the government has constantly been responding to industry conditions and undertaking specific measures to facilitate and enable growth of the sector,” he said.

Prabhu said the airline industry is a dynamic industry which requires continuous adjustment according to global and domestic needs.

“It is our endeavour to support the industry, however, as stated we cannot interfere in day-to-day operations of the airlines,” he noted.

Related

जेट एयरवेज के पतन के 10 क़दम, सरकार की आपात बैठक

About Air India, the minister said a revival plan has been prepared for the national carrier that focuses on various aspects, including a comprehensive financial package and transferring non-core debt and assets to a special purpose vehicle.

The revival plan also focuses on a higher level of operational efficiency by strengthening management and implementing best practice business processes and robust organisational and governance reforms, he added.

Debt-laden Air India is staying afloat on taxpayers’ money and an effort for its strategic disinvestment did not take off in May 2018.

0 views

Sirf News needs to recruit journalists in large numbers to increase the volume of its reports and articles to at least 100 a day, which will make us mainstream, which is necessary to challenge the anti-India discourse by established media houses. Besides there are monthly liabilities like the subscription fees of news agencies, the cost of a dedicated server, office maintenance, marketing expenses, etc. Donation is our only source of income. Please serve the cause of the nation by donating generously.

Support pro-India journalism by donating

via UPI to surajit.dasgupta@icici or

via PayTM to 9650444033@paytm

via Phone Pe to 9650444033@ibl

via Google Pay to dasgupta.surajit@okicici

#ShivSena Could Even Join UPA, Party's Sanjay Raut Hints In NDTV Interview

Read more: https://www.ndtv.com/india-news/told-rahul-gandhi-make-upa-active-senas-sanjay-raut-to-ndtv-2642881

Centre revises Guidelines for procurement, allocation, distribution and disposal of coarse grains

Distribution period of Jowar and Ragi is increased to 6 & 7 months respectively from the earlier period of 3 months

Details: https://pib.gov.in/PressReleseDetailm.aspx?PRID=1779711

@fooddeptgoi @AgriGoI

#NewDelhi: The Centre asked the states and Union Territories to maintain adequate buffer stock of the eight critical drugs identified for treatment of new #Covid19 variant #Omicron.

Read further:

This site uses Akismet to reduce spam. Learn how your comment data is processed.

- Advertisment -

Now

Columns

[prisna-google-website-translator]
%d bloggers like this: