Big blow to Air India… Pakistani airbase will be closed to cause loss of 5000 crores! Help sought from the government

New Delhi: After the Pahalgam terrorist attack, tension has increased between India and Pakistan, due to which India and Pakistan have closed their airspaces. Now Air India fears that if Pakistani airspace remains closed for 1 year, it may have to bear a huge loss. Air India claims that it may have to face an extra cost of about 600 million dollars (5053 crores rupees) in 1 year.

According to Reuters, the company has appealed to the central government to compensate for this loss. According to Reuters, in a letter sent by Air India to the Civil Aviation Ministry on April 27, the airline had demanded a ‘subsidy model’ from the Indian government in proportion to the economic loss, estimating that it would lose more than 50 billion Indian rupees (591 million dollars) every year due to the airspace ban.

The government had asked the airlines to make an assessment
Air India’s letter said that subsidy is a good, variable and reasonable option for the affected international flights. The subsidy can be removed if the situation improves. The report says that Air India has sent this letter after the government asked Air India officials to assess the impact of the airspace ban on Indian airlines.

According to the report, sources said that many airlines including Air India, IndiGo and Spicejet have given their inputs and suggestions to the Civil Aviation Ministry on the impact of the closure of Pakistan’s airspace after the terrorist attack in Pahalgam on April 22. 26 people were killed in this attack. He said that the ministry is assessing the situation and considering possible solutions to resolve the issue.
The ministry recently held a meeting with several airlines to discuss the issue of closure of Pakistan’s airspace and sought their suggestions to deal with the situation. Pakistan closed its airspace for Indian airlines on 24 April.

What will be the impact of closing the airspace?
The extra cost for international flights operating from North Indian cities is likely to be Rs 77 crore every week, as fuel consumption will increase and flight duration will also increase due to the ban on airspace. Analysis of calculations done by PTI on the basis of number of foreign flights and increased flight duration and estimated expenditure has shown that the additional monthly operating cost for Indian airlines could be more than Rs 306 crore.