New Delhi: The fortunes of Air India could be changing.A combination of the airline’s Board’s decision to lease 19 Airbus A-320 aircraft and the reintroduction of the newest civilian aircraft – the Boeing 787 – could prove to be a game changer for the State-owned airline.
The A-320 aircraft being replaced are over two-decades-old that have outlived their economic life.The aircraft were part of the deal that the then Indian Airlines had signed with the European aircraft manufacturer, Airbus, in 1989.
Introducing newer aircraft and phasing out the old ones will mean savings in fuel costs for Air India.
With fuel costs shooting up because of various factors, any reduction in costs here is bound to help the national carrier. Another plus for Air India will be that the leased capacity in the A-320s will also help it compete in the domestic market as these aircraft will have an all economy seating.
20/05/13 Ashwini Phadnis/Business Line
