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Time not ripe for `open sky policy', says Aviation Minister

By Our Special Correspondent

HYDERABAD SEPT. 2. The time is not appropriate for introducing an "open sky policy'' as major commercial interests vis-a-vis the national carrier are involved, the Union Minister of State for Civil Aviation Minister, Rajiv Pratap Rudy, said here on Tuesday.

Addressing a press conference, he said: "We cannot have an open sky policy providing free right and access to all airlines.'' He said that bilateral issues and major commercial interests, vis-à-vis, the national carrier were involved. In some cases permission was given depending upon rush.

Replying to a question on the demand made by the Andhra Pradesh Chief Minister, N. Chandrababu Naidu, for an open sky policy, he said the Centre had to look into the matter from a wider national perspective while the State Governments had the right to demand from their viewpoint as it generated tourism and employment. Stressing the need for making air travel more accessible and affordable to the common man, he said that a committee headed by the former Union Cabinet Secretary, Naresh Chandra, to draft a civil aviation policy was expected to give its report by October next.

The policy would enunciate the civil aviation mandate for the next few decades and deal with the whole gamut of issues, including creating world class airports and hubs, competitive environment and level-playing field, taxation on aviation turbine fuel which was acting as a major deterrent for the industry.

He said foreign airlines were paying Rs.1,100 per kilolitre of aviation fuel while their Indian counterparts were being charged Rs.25,000 per kilolitre. The sales tax levied on aviation fuel by various State Governments ranged from four per cent in Karnataka to 39.5 per cent in Kerala with the average being 25 per cent.

Besides sales tax, Central excise was around 16 per cent.

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