Page 26 - AAA JUNE - JULY 2017 Online Magazine

FeAture INDIGOAIRLINE

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Change is in the Air

IndiGo signals a change in its operating model with decision to acquire ATRs
By Atul Chandra

indiAn LoW-Cost CArrier (LCC) HAs He also adds that under certain conditions to be built in the coming years and airlines
signalled a shift from its highly successful IndiGo may take delivery of only a certain are to receive financial support and other
LCC operating model with a single aircraft number of ATRs. Commenting on the incentives from the Central Government to
type, which it has strictly adhered to, since new operating structure Ghosh said, make air travel affordable.
its inception in August 2006. In that time, “The turboprop operations will be part
the airline has been wildly successful and of IndiGo but be a focussed division, that A320neo Performance
is now India’s largest airline with a market will have the complete responsibility to IndiGo was also the first airline operator of
share of 41.4 percent as of April. IndiGo run this operation, which will include many the Airbus A320neo and commenting on the
announced its intent to procure 50 ATR 72- autonomous operating functions, that performance of the new type, Ghosh said,
600 regional transport aircraft (RTA) in May will not overlap with the narrow-body “Fuel performance continues to meet our
and the airline intends to make use of the operations.” He stressed that, “HR, Finance targets and giving fuel savings of 15 percent,
Indian Government’s Regional Connectivity and Legal will be handled by current IndiGo compared to the A320 classic.” According
Scheme called UDAN, which seeks to structure – new structure will not add to the airline, there are two significant
improve air-connectivity to India’s smaller complexity to IndiGo’s existing operations.” operational concerns around the GTF engines.
and more remote cities. “We have signed Indigo’s decision to select the ATR-72 “The first issue pertains to the combustor
a term sheet with ATR for the purchase of further enhances the leadership position of chamber and an improved combustor
50 ATR 72-600 aircraft, with the flexibility the ATR Family in India, which is operated chamber is expected to be available in the
to reduce the number of aircraft deliveries, by Jet Airways, Air India and a few smaller 4th quarter of 2017. However, P&W is working
based on certain conditions,” said Aditya regional players. IndiGo’s 50 aircraft ATR- on further design improvements which will be
Ghosh, President of IndiGo, during an 72 600 is valued at over US$ 1.3 billion at retrofitted on the engines later. The second
investor conference call. If all goes to plan, list prices, however, the airline is known concern was the number 3 bearing seal wear,
then IndiGo could have seven ATR-72-600s in to secure substantial discounts on its leading to a chip detector message and P&W
operation by March 2018. aircraft orders. India’s domestic market has come up with an improvement package,
has been steadily growing by more than certified by industry regulators, including
Regional Transport Ambitions 20 percent annually, though large portions FAA and EASA,” said Ghosh. He says that this
“If all goes well we plan to launch ATR of the country and population, remain change, including all the necessary hardware
operations by the end of this year and underserved by commercial aviation. and software changes have been carried out
expect to induct up to 20 ATR aircraft by The Indian domestic aviation market is on all of IndiGo’s A320neo engines. IndiGo
December 2018. There are many unserved slated to become the world’s third largest presently operates a fleet of 135 A320
and underserved cities in India that require market by 2020 and under the Regional jetliners, which will grow to 170 aircraft BY
flights and ATRs will cater to this demand.” Connectivity Scheme, 100 new airports are end 2018 and include 47 A320neos.
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