Indian airlines are still battling the issue of aircraft supply, and the rising demand for air travel is forcing the Directorate General of Civil Aviation to streamline regulations on the wet-leasing of planes. This will help in the oversight and ensure safety in wet-leased aircraft operations, especially when airlines seek quick expansion of their fleets to accommodate growing passenger demand.
What is Wet-Leasing of Aircraft?
The airlines have most of its fleets established on leasing for getting the desired fleets. There are wet and dry leases under various types of classifications of aircraft leasing. Wet Lease It is the aircraft leasing along with crew, all their maintenance charges, and with insurance support. This is operations managed by the lessee operator but over whose civil aviation laws the leased aircraft stands under a foreign operator in the case.
Now, dry-leasing is a situation where there is a leasing of aircraft without crew, and in the given case, there is no liability of operational control. It will be under the control of airline itself in respect of its own crew and operational matters.
Why Streamline Wet-Leasing Regulations?
This is where the need for wet leasing has risen even more for IndiGo and SpiceJet, which have faced supply chain issues and aircraft delivery delay. Wet leasing enables an airline to put aircraft directly into service while waiting for new deliveries or for grounded aircraft, such as those IndiGo faces with Pratt & Whitney engines.
The DGCA is in the process of revising CARs about wet and damp leasing operations for hassle-free and effective safety oversight of the operation.
These changes intend to enhance the regulatory frameworks and improve the process in order that the airlines may begin flying the planes on lease without many hurdles.
Challenges Faced by Airlines in Wet-Leasing
Airlines prefer wet-leasing when they face a shortage of aircraft due to delayed deliveries or grounded planes. For instance, IndiGo has some of its aircraft grounded due to engine issues, though the number is gradually decreasing. Wet-leasing is the temporary solution that can be availed in such cases so that airlines do not face the loss of their operations due to the increase in travel demand.
However, problems in wet-leasing have regulatory control issues. Wet leased aircraft are not fully vested in the DGCA; certain restrictions exist as to the use of wet leased aircraft. Wet leased aircraft cannot be used for a newly or additionally awarded route. Such restrictions make it slightly difficult to enjoy the full advantages of wet-leasing for Indian carriers.
Changes proposed in Wet-Leasing regulations
The DGCA recently brought out a draft for public consultation on the CAR for wet/damp lease operations. The draft has been produced with one of the major objects of safety and regulatory oversight of wet leased aircraft. This should make the proposed amendments efficient, so that the airlines are well placed to fulfill their short-term fleet requirements.
Some of the major changes in the revised CAR are:
- Removal of Restrictions: Some restrictions on wet-leased aircraft would be removed to promote the aviation sector, and it will make it easier for airlines to lease more planes into their fleet for new routes.
- Mandatory Reporting: Flight and maintenance records of the wet-leased aircraft would have to be submitted by airlines to the DGCA, which would provide better oversight and transparency.
- Pilot Regulations: International wet-lease operators will be subject to the rules of their respective civil aviation authorities, including FDTL. Other crew members will be sourced from the airline’s own resources.
- Safety Standards: Wet-leasing shall be allowed only from countries that have a safe oversight system in place. The DGCA would ensure that the leasing country adheres to the ICAO standards, and an effective implementation score of at least 80% must be achieved in critical areas such as personnel licensing, airworthiness, and operations.
The Future of Wet-Leasing in India’s Aviation Sector
It’s likely that such new rules may have a marked impact on flexibility and efficiency while in the process of wet leasing as it will enhance airlines’ fleets in a manner that is effective in expansion but in a secure manner. Giving airlines more alternatives through wet-leasing will then help them adapt to increased demands for air traveling and other chain supply problems.
These changes also reflect the trends worldwide in aviation as most airlines opt for wet leasing as a respite whenever there is a temporary shortage of fleets. This will ensure that Indian carriers can continue responding to air transport demand without trading off on issues of safety or operational standards while the DGCA looks to ease those regulations.
Conclusion: A Step Forward for India’s Aviation Industry
Efforts made by DGCA to liberalize wet-leasing regulations have given a befitting answer in response to problems created by Indian airlines. Such change will reduce not only operational challenges but also add to improved oversight of safety with the expanding aviation sector of India. This has stripped away the erstwhile restrictions over the past decades and better fitted with the much safer adaptation towards a new international safety standard; hence, the reforms should be expected to aid India’s aviation market in continued growth.
This will enable airlines to have more flexibility in responding to passengers’ needs, improve their operational efficiency, and thus lead to better experiences for the passengers. With these changes in place, the aviation industry in India looks good enough to make for a healthy recovery and growth in the days ahead.
Refer :
Indian Express, Link to article
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