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New Delhi: The civil aviation ministry is working on finalizing a draft bill that focuses on reforms in the area of business jets, including allowing fractional ownership of operators in India, two officials aware of the development told Mint.

Among on proposed changes, the ministry is working on increasing efficiency in the private jet ecosystem by issuing radio telephony licences via online tests. In aviation, RTR (Radio Telephony Restricted) is a two-way communication between aircraft and stations or locations. The information and instructions transmitted are of vital importance in the safety of operations.

In India, RTR examination is conducted under the provisions of Indian Wireless Telegraphy (Commercial Radio Operators Certificates of proficiency and licence to operate Wireless Telegraphy) Rules, 1954. Hence, the proposed changes are expected to require amendments to both the Aircraft Act, 1934 as well as the Telegraphy Rules, 1954, one of the officials cited above said.

“The proposed changes are being discussed with the ministry of telecommunications and then going forward, the ministry will also seek a legal view from the ministry of law and justice on the draft bill,” he said.

“The aim is to ready the draft bill over the next few weeks so that it can be proposed to the Cabinet and if and when Cabinet approves, it can then be presented to Parliament in the winter session. That is the broad target in terms of timeline,” he added.

The government is also in discussions to allow fractional ownership, a long-standing industry demand.

In 2022, the civil aviation ministry said it will allow fractional ownership of business jets and helicopters to spur growth of non-scheduled operations in the country. This allows owners to fly a fixed number of hours per year based on their investments.

An inter-ministerial committee with members from the ministries of finance and corporate affairs is also in the works to expedite fractional ownership model for private jets.

The fractional ownership model, popular in the US offers benefits to wealthy individuals or companies who might not have an ongoing need for a private jet, but nonetheless are users of the private jet services and sometimes might need multiple such jets at the same time.

This medium also offers the luxury of a wider variety of aircraft, a more favourable buyer’s market, flexible structures, and an increased focus on sustainability.

Separately, the civil aviation ministry has also held meetings with senior officials from the ministry of defence and fetched approvals to allow foreign business jets pilots at defence airports.

“So far, it seems that there are no objections to this from the concerned stakeholders,” a third official said, seeking anonymity.

According to earlier rules, Air Operations Routine Order (AOR) numbers are required to land on any airstrip owned by the defence forces, in addition to the YA clearance, or a landing and take-off permit.

In India, private jets received a boost during the pandemic. The surge in demand for business jets reversed after the pandemic waned, with many returning to premium segments of commercial flights.

Movement of private jets and helicopters fell 5% during Apr-Jun to around 60,000 flights, according to data from the Airports Authority of India. Private jet usage is measured in terms of aircraft movement–one take-off and landing equals two aircraft movements.

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Updated: 09 Aug 2023, 10:49 PM IST

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