Question: Consider the following statements regarding Vision 2040: Aviation:
1) India’s air passenger traffic is expected to grow six fold to around 1124 million by 2040
2) The Nabh Nirman fund (NNF) with a starting corpus of $2 billion to support low traffic airports in their initial phases
3) The overall CAGR works out to around 9% in domestic and 7% in international traffic during FY 2018-2040
Choose the correct options of the following:
(a) 1 only
(b) 2 only
(c) All of the above
(d) 1 and 3 only
Answer: (c)
Related facts:
- On 15 January 2019, The Ministry of civil aviation revealed the Vision 2040 document, which highlights the growth potential in different sub-sectors of Indian aviation.
- As per the document the total passenger traffic(to, from within India) in India is expected to rise close to six-fold from 187 million in FY 2018 to around 1124 million in FY 2040.
- This includes around 821 million domestic passengers and around 303 million international passengers.
- The overall CAGR works out to around 9% in domestic and 7% in international traffic during FY 2018-2040.
- The government may consider establishing a Nabh Nirman fund (NNF) with starting corpus of USD 2 billion to support low traffic airports in their initial phases.
- This document talks about India having a robust 20-year plan that lays out the targets and path to get there along with time lines and clear accountability.
- Technological developments like artificial intelligence, machine learning, Blockchain, biometrics, composites, super-alloys, biofuels etc. are changing the face of aviation.
- Initiative like Nabh Nirman (for airport capacity augmentation), Digi Yatra (for paperless travel) and Airsewa (for online passenger grievance redressal) are bringing in radical changes.
- The tax structure of Aviation Turbine Fuel (ATF), maintenance, repair and overhaul (MRO), and aircraft leasing may be gradually aligned with leading global jurisdictions.
- The concept of land pooling may be used to keep land acquisition costs low and to provide landowners with high value developed plots in the vicinity of the airport.
- It also provided for DGCA may be converted into a fully independent Civil Aviation Authority, with its own sources of funding and freedom to recruit professional at market-linked salaries.
- Most transactions with DGCA will be automated with minimal human interface.
Links:
https://www.globalaviationsummit.in/documents/VISION-2040-FOR-THE-CIVIL-AVIATION-INDUSTRY-IN-INDIA.pdf
https://economictimes.indiatimes.com/industry/transportation/airlines-/-aviation/indias-air-passenger-traffic-to-touch-1-1-billion-in-2040-ministry-of-civil-aviation/articleshow/67541144.cms
https://www.livemint.com/Companies/AoVmqulNUfJAmeV2gbE02H/Air-passenger-traffic-to-grow-sixfold-by-2040-Report.html
https://www.thehindu.com/business/Industry/indias-air-passenger-traffic-to-cross-a-billion-in-2040-vision-document/article26000317.ece