Govt warns pvt airlines against strike

NEW DELHI: Virtually ruling out any bail-out, Government on Saturday asked privateairlines to withdraw their call for suspending flights on

August 18 and warned them of "appropriate action" if flight schedules are disrupted.

"The government reiterates its advice to private airlines against suspending operations on August 18," Civil Aviation Minister Praful Patel said in a statement.

Maintaining that state taxes on aviation turbine fuel had been an issue even before several present carriers came into existence, Patel said that the government cannot be expected to extend financial help to loss-making private carriers.

Patel, who has renewed his appeal to the private carriers for negotiations, also said the Directorate General of Civil Aviation (DGCA) could "take appropriate action" under its regulatory powers to protect passengers' interest.

Official sources said if the airlines do not operate flights on a day, it would mean breaking the schedule, which would go against the laid-down rules and procedures of airline operations. Action could be taken by the DGCA on this count, they added.

Eight major private carriers, under the aegis of their industry body Federation of IndianAirlines (FIA), had yesterday announced their decision not to fly on August 18, protesting the growing aviation turbine fuel prices and taxes on it, besides high airport charges.

The Minister reiterated that the issue of sales tax on aviation turbine fuel, which was a major bone of contention with the airline industry, depended on the state governments that imposed it.

"The tax on ATF has been an issue much before many of the present airlines came into existence," Patel said.

The government understands the problems being faced by the aviation sector; however, it does not support any move that will inconvenience the travelling public in the country, he had said yesterday.

The airlines had also threatened to suspend their services indefinitely if the government fails to "intervene urgently".

The decision was taken jointly by Kingfisher Airlines, Kingfisher Red, Jet Airways, JetLite, Jet Konnect, IndiGo and SpiceJet and GoAir, which had accumulated losses of Rs 2,444 crore in 2007-08.

However, national carrier Air India, although part of the FIA, had made it clear that it would not join other airlines in their protest.

Reacting to the decision of the airlines, Finance Minister Pranab Mukherjee had said that he would talk to Patel about it.