Aviation ministry seeks uninterrupted ATF supply for Air India

New Delhi: Coming to the aid of Air India, the Civil Aviation Ministry has sought uninterrupted supply of jet fuel to the cash-strapped carrier, saying steps were being taken to ensure regular payments to the oil companies.
Days after a meeting, Civil Aviation Minister Vayalar Ravi had with his Petroleum counterpart S Jaipal Reddy, Civil Aviation Secretary Nasim Zaidi sent a note to this effect to the Petroleum Ministry on Friday, official sources said.
The Ministry has said that oil supplies should not be disrupted in case of delay of a day or two by Air India in making daily payments, as the airline could face problems releasing funds on a day-to-day basis due to cash crunch, they said.
Maintaining that abrupt stoppage of fuel supplies led to flight disruptions causing hardship to air travellers, it also assured that Air India, which has been put on a cash-and-carry mode since December seven, would inform the oil PSUs in advance if it feels that it would face such problems in the near future, they said.
14/08/11 PTI/Economic Times

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Categories: Air India Aug 2011