With existing 17 underperforming, Plan Panel tells PM ‘no need for more world-class airports’

Priyadarshi Siddhanta | New Delhi | November 19, 2014 8:52 am

Summary Airports at Bhopal, Raipur and Indore would have to wait longer to get ‘world class’ tag, Planning Commission has told the PM.

Mumbai, Delhi, 

 

Chennai, Kolkata, Bangalore and Hyderabad airports only would be developed as major international hubs in future. (Express)

 

The airports at Bhopal, Raipur and Indore would have to wait longer to get the ‘world class’ tag as the 17 existing international airports are nowhere near realising projected traffic volumes, the Planning Commission has told the Prime Minister.

In a presentation to Narendra Modi on Wednesday on the achievements vis-a-vis targets for the infrastructure sectors so far, the panel said that adding three more to that list is needless.
“Out of 17 international airports, five have only a small volume of traffic. Airports with adequate traffic potential only will be made into international ones. These three are not being declared as international airports,” according to the presentation made to the Prime Minister.

The aviation ministry had told the Lok Sabha on July 14 that, Bhopal, Raipur and Indore would be developed as world-class airports. So Delhi, Mumbai, Chennai, Kolkata, Bangalore and Hyderabad airports only would be developed as major international hubs in future.

Of the airports to be developed through operation, maintenance and development (OMD) model, he commission said Ahmedabad and Jaipur are to be developed through the public private partnership (PPP) mode while Kolkata and Chennai to be developed through management contracts.

“The Request For Qualification (RFQ) will be issued by December 31, 2014,” the planning body told Modi.
Contracts have been awarded for only five of the 50 Tier-II and Tier-III cities targeted by the civil aviation ministry. They are Hubli, Belgaum, Kishangarh, Jharsuguda and Tezu. “The aviation ministry is re-considering the need for other airports in these cities,” the panel told the Prime Minister.

In its presentation the Commission argued that the prices of aviation turbine fuel (ATF) is as high as 40 per cent due to high rates of sales tax and value added tax (VAT), which is as high as 29 per cent in some states. “It is therefore proposed that sales tax and VAT on ATF be reduced to 4 per cent when Goods and Services Tax is implemented,” the commission said.

Endorsing the commission’s contention, civil aviation minister Ashok Gajapati Raju on Monday said the government has been asking the states to lower taxes as fuel costs are close to 40-45 per cent of an airline’s total operational cost, given that petroleum prices are on the decline globally.

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 FACTORS EFFECTING CONSUMER PREFERENCES IN AIRLINE INDUSTRY

    Dr. Irfan Hameed
    Uploaded by
    Dr. Irfan Hameed
    top 1%
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Far East Journal of Psychology and Business Vol. 7 No. 1 April 2012
63
FACTORS EFFECTING CONSUMER PREFERENCES INAIRLINE INDUSTRY

Yasir Ali Soomro
 PhD Scholar & Lecturer, Iqra University

 Business Administration Department, Main Campus, Karachi, Pakistan
E-mail: yasir.soomro@hotmail.comTel: +92-345-356-43-85
Irfan Hameed
PhD Scholar & Lecturer, Iqra University

 Business Administration Department, Main Campus, Karachi, Pakistan
E-mail: irfan_h144@yahoo.comTel: +92-333-550-30-36
 Rehan Shakoor
 Lecturer, Iqra University

 Business Administration Department, Main Campus, Karachi, Pakistan
 Atif Shahab Butt
 Assistant Director, Quality Enhancement Cell, Iqra University

 Business Administration Department, Main Campus, Karachi, Pakistan
 Sana Abbas Kaim khani
 Research Scholar

ABSTRACT

This research paper is an attempt to study and identify the factors such Boarding
and clearance time, Ease of E-ticketing and luggage capacity and their effect on
Customer Preference in the airline service industry of Pakistan. To carry out this
research questionnaire survey was conducted on the sample identified through un-restricted non probability sampling technique to generalize the results on the
population of the air industry. Regression Analysis and descriptive statistics were
applied on the response collected through the questionnaire instrument. Empirical
results showed that Boarding /clearance time and Ease of E-ticketing have
significant impact on customer preference and positively lead to purchase
intention of service offered by the airline companies in the market.

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