Clearing the decks for grant of air operator permit to Tata-SIA Airlines, aviation regulator DGCA today overruled all the objections raised by Federation of Indian Airlines (FIA) over the application of the start-up carrier.
The DGCA said it does not find any reason for not considering the application of Tata-SIA Airlines for grant of scheduled Air Operator Permit (AOP) as the objections raise have not been "able to make out any case against" and were not sustainable.
"I do not find any reason for not considering the application of Tata-SIA Airlines Ltd, for grant of AOP (Scheduled) after the detailed examination of objections or issues raised in the representations... the response of Tata-SIA Airlines Ltd and various rules and other provisions for issuance of Air Operator Permit," Director General Civil Aviation Prabhata Kumar said in a statement.
FIA is the umbrella organisation of the domestic airlines.
"It is, therefore, decided to consider the application of Tata SIA Airlines Ltd for issuance of AOP (Scheduled) subject to the compliance of various requirements in terms of various rules and circulars. However, this decision shall be subject to any interim or final order of the Delhi High Court," he said.
The Tata-SIA Airline, a 51:49 joint venture between Tata Sons and Singapore Airlines, had submitted its application for AOP in April to aviation regulator DGCA.
The AOP would enable it to provide scheduled air transport services in the country.
After receiving the application, the DGCA had in May issued a public notice seeking objections, if any, to grant flying permit to Tata-SIA.
The aviation regulator received six representations through email and in writing. Of these, two were in support of granting of AOP to Tata-SIA Airlines Ltd while two were regarding issues on the norms of hiring of pilots, which had no relation with the issue of grant of AOP.
One of the other two representations was submitted by FIA which were examined in detail.
Based on the objections, the DGCA sought clarifications from Tata-SIA Airlines on June 20 which were received by the regulator on July 2.
Regarding the objection raised by FIA that FDI by foreign airlines was not allowed in the Greenfield airlines, the DGCA said the issue was already examined by the FIPB at the time of allowing 49 per cent equity participation by SIA in Tata-SIA Airlines Ltd.
The other objection was related to the "Substantial Ownership and