Aircraft Leasing in India: A Strategy to Navigate Global Aviation Challenges
UPSC Relevance
Prelims: Indian Economy (Infrastructure - Aviation Sector, Leasing); National Bodies (DGCA); International Bodies (IATA).
Mains:
General Studies Paper 2 (Governance/IR): The article touches upon the conflict between geopolitical considerations and economic necessities in policy-making.
General Studies Paper 3 (Economy/Infrastructure): Infrastructure: Airports; Indian Economy and issues relating to planning, mobilization of resources, growth, development and employment.
Key Highlights from the News
Directorate General of Civil Aviation (DGCA) has again granted permission to IndiGo Airlines to lease aircraft and crew from Turkish Airlines.
This decision comes amidst a shortage of new aircraft globally.
Leasing an aircraft along with its pilots and crew is referred to as wet or damp leasing.
The primary reason for the aircraft shortage is supply chain challenges post-COVID.
IndiGo grounding 60-70 of its aircraft due to Pratt and Whitney engine issues has also exacerbated this crisis.
This incident indicates that economic and operational requirements can sometimes override political considerations.
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