Regional airline plans of 3 carriers may not take off

NEW DELHI: At least three companies –– Emric Air, King Air and Jagson Airlines –– seeking to launch regional airlines have been found ineligible. The ministry of civil aviation is unlikely to give them no-objection certificate (NOC) as they have failed to meet eligibility criteria.

While Emric Air has not got security clearance from the home ministry for its board of directors, King Air owes significant dues to airport Authority of India (AAI). Jagson is also being viewed negatively as the carrier once obtained scheduled carrier licence but failed to launch scheduled operations.

“We may not give NOC to King Air as they have not settled their dues with AAI till now. The possibility of allowing Jagson to fly as scheduled operator is also very slim. We had earlier given the permission to Jagson to operate as scheduled carrier but they could not. We doubt their financial health,” an official in the ministry of civil aviation told ET.

“Emric has not yet received security clearance for its board of directors from the home ministry. We would consider their application only after they get the requisite clearance,” he added. Five companies — Air Dravida, Star Aviation, King Air, Emric Air and Trans India Aviation — seeking permit to operate as regional airline had made its presentation to the civil aviation ministry last Friday. The ministry is likely to allow Air Dravida, Star Aviation and Trans India Aviation to operate scheduled regional services.

Delhi-based non-scheduled carrier MDLR Airlines is also likely to get permission to operate as scheduled carrier. “We are convinced of their plans as well as of their financial health,” the official said. The ministry of civil aviation got various proposals from private players to operate as regional airline after the former announced a separate category of airlines.

According to the government’s guidelines for regional airlines and subsequent notification of the directorate general of civil aviation (DGCA), regional airlines may start operation with a start-up capital as low as Rs 12 crore.