MUMBAI: Disinvestment-bound Air India has approached aviation regulator DGCA for renewal of its flying permit, expiring in June, amid the government scouting for potential buyer for the loss-making carrier, sources said.
A senior official at the disinvestment-bound carrier said that the Directorate General of Civil Aviation (DGCA) has already renewed the Scheduled Operator Permit (SOP) of Air India’s international budget arm Air India Express recently.
“In the case of Air India, it has applied to the DGCA for renewal of its flying permit and the documents pertaining to renewal are being processed,” the official told.
The DGCA has already renewed the SOP of Air India Express, he added.
As per the DGCA, Air India’s flying permit is valid till June this year, while Air India Express SOP was to expire on 21st of this month.
The Civil Aviation Ministry has sought Expression of Interest (EoI) from potential bidders for a 76 per cent stake sale in loss-making Air India as well as divestment of two of the carrier’s subsidiaries, a move that is being opposed by the airline’s unions on grounds that it would result in massive job losses.
On March 28, the ministry came out with the preliminary information memorandum on Air India’s strategic disinvestment.
As per the memorandum, the government plans to offload 76 per cent equity share capital of the national carrier as well as transfer the management control. The proposed transaction would involve Air India, its low-cost arm Air India Express and Air India SATS Airport Services, which is an equal joint venture between the national airline and Singapore-based SATS.