Jet Airways Faces Downfall: But How Is India’s Aviation Industry Performing?

India’s aviation sector has seen significant turbulence over the last decade and a half, with several prominent airlines failing to survive despite the country’s surging travel demand. On November 7, 2024, the Indian Supreme Court delivered a final blow to Jet Airways, ordering its liquidation. This marks the end of a chapter for the airline that once dominated the skies. The airline ceased operations in April 2019 after battling crippling debt and fierce competition from low-cost carriers. Efforts to revive Jet Airways have encountered numerous challenges, culminating in this court ruling that permanently shuts down the airline.

India’s Aviation Growth Amid Turbulence

Despite the downfall of airlines like Jet Airways, India’s aviation sector has experienced a remarkable transformation over the past decade. Rising demand for air travel, coupled with government-backed reforms, has positioned India as the third-largest domestic aviation market globally, behind only the United States and China. The sector’s growth has been bolstered by a series of strategic initiatives aimed at making air travel more inclusive, affordable, and sustainable.

The Government’s Role in Aviation Transformation

The Indian government has been pivotal in driving the aviation industry’s growth, with numerous policies and initiatives that have strengthened the sector. Prime Minister Narendra Modi, at the 2nd Asia Pacific Ministerial Conference on Civil Aviation in September 2024, emphasized the importance of making air travel more accessible to the general public. He highlighted that India’s aviation sector, once an elite service catering only to the privileged, has now become more inclusive, connecting people across all socio-economic backgrounds.

“Our aim is to bring air travel to the common people. We need to make air travel safe, affordable, and accessible to all,” Modi stated. He also pointed to the rising number of women pilots in India, which stands at 15%—well above the global average.

Regional Connectivity and Airport Growth

One of the key drivers of India’s aviation expansion has been the Ude Desh ka Aam Nagrik (UDAN) initiative, launched in 2016. The Regional Connectivity Scheme (RCS) aims to connect underserved and unserved airports, enabling better access to air travel for people in smaller cities and remote regions. As of August 2024, the UDAN scheme has successfully launched 583 routes and connected 86 airports, including 13 heliports and two water aerodromes.

With more than 1.43 crore passengers benefiting from the scheme, UDAN is not just about improving connectivity but also fostering regional economic development. The government’s focus on boosting infrastructure is evident in the expansion of operational airports—there are now 157 operational airports in India, a significant jump from 74 in 2014. India plans to increase this number to 350-400 by 2047.

Sustainability Efforts in Aviation

The Indian aviation sector is not only growing in size but is also becoming more sustainable. Airports like Delhi and Mumbai have earned Level 4+ Carbon Accreditation, a recognition of their efforts to reduce carbon emissions. The Ministry of Civil Aviation (MoCA) is actively working toward carbon neutrality and net-zero emissions at airports, encouraging developers to prioritize sustainability in new airport projects.

Since 2014, several airports have switched to 100% green energy, and solar power plants are now operational at various locations. The push toward sustainability is expected to continue, with a focus on reducing the aviation sector’s carbon footprint while accommodating the growing demand for air travel.

Key Infrastructure Developments in 2024

At the “Wings India 2024” event held in Hyderabad in January, significant announcements were made to further boost the country’s aviation sector. Notable developments include the launch of the Airbus-Air India Training Centre and a partnership between GMR and IndiGo to promote sustainable aviation training. In addition, Akasa Air announced a massive order of 200 aircraft, signaling optimism about the future of Indian aviation.

The Road Ahead: India as a Global Aviation Hub

India’s aviation industry is on a trajectory toward becoming a global aviation hub. With its strong focus on infrastructure development, regional connectivity, and sustainability, India is well-positioned to capitalize on its rising domestic and international passenger traffic. The government’s commitment to expanding airport networks and increasing access to air travel across the country promises long-term benefits for both the economy and the environment.

Despite the challenges faced by airlines like Jet Airways, India’s aviation sector is set for continued growth. Government initiatives such as UDAN and a focus on carbon-neutral airports have laid a strong foundation for future success. As the country continues to expand its airport infrastructure and embraces greener practices, the future of Indian aviation looks bright, with increased connectivity, economic growth, and sustainability at its core.

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