Friday, March 22, 2019

Tell us about your dues, DGCA tells government agencies as Jet's lessors flock to repossess

New Delhi: Inform us about your dues before we allow unpaid lessors to repossess aircraft and fly them out of India, aviation regulator told government agencies.
 The Directorate General of Civil Aviation (DGCA) on Friday asked stakeholders like airport operators, fuel vendors, services tax, customs and income-tax departments to “notify DGCA regarding any dues which may be required to be paid off by the lessor/owner/operator before export permission is granted by DGCA.”
 The move comes as several dozens of Jet Airways aircraft have been grounded by unpaid lessors. Many of these planes are the Boeing 737 NG (new generation, not MAX that are currently not allowed to fly anywhere globally due to safety concerns).
The grounding of 371 B737 max globally has pushed up demand for the earlier or pre-MAX versions of the B737. While a few lessors are in talks to lease the B737s to SpiceJet, other want to fly them out of India to rent them to other airlines globally. Monthly lease rentals of about a decade-old B737 NG is between $200,000 and $250,000 month, which has risen by about 10% after the Max crisis. Clearly, keeping them on ground is significant revenue loss for lessors in the current situation and now they quickly want to repossess the planes, fly them out and rent them to other airlines.
 “All such entities which may have any interest in such aircraft need to refer DGCA website from time to time for such proceedings and other procedural requirements... This is issued for interest of government entities/public service providers, who may be involved or may have interest when deregistration of an aircraft and export,” the DGCA notice issued on Friday said.
22/03/19 Saurabh Sinha/Times of India