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Six months after starting operations on the Kolkata-Durgapur-Delhi route; Air India has decided to discontinue services citing “operational reasons”. The last flight will take off on June 17.
AI had thrice a week flights – Monday, Wednesday and Friday – from the private airport at Andal in Burdwan (also called Kazi Nazrul Islam Airport), some 180 km from here.
Extended routeThe national carrier had launched services along the Kolkata-Andal-Kolkata route with a 44-seater ATR aircraft in May 2015. Later, in December, it extended the route to Delhi after introducing a 122-seater Airbus 319.
“Due to operational reasons, we have decided to stop the flight services. Passengers, who had bookings after that, will get full refunds or will be accommodated along Kolkata-Delhi routes,” an AI spokesperson said.
The airlines did not officially elaborate the reasons behind discontinuing the service. However, sources said, non-viability of the route forced AI to take the call. The average daily passenger load was around 50 and in single digits for the Kolkata to Andal leg of the route.
A senior official pointed out that the Kolkata-Durgapur-Delhi sector was a “no profit, no loss route” as Air India and Bengal Aerotropolis Projects Ltd (BAPL) – the promoters for the airport – had worked out a viability gap funding (VGF) option. Singapore’s Changi Airports has a stake in BAPL. Under the VGF option, BAPL would be paying the airlines for the vacant seats on every flight. However, dues to the national carrier are pending.
BAPL clarifiesMeanwhile, BAPL officials cite high cost of operations of AI as the reason for the route being unsustainable.
“For any other private airline operator, the cost of operations/VGF would be almost half of Air India. The high cost of operations makes even a lucrative market like the Durgapur-Asansol region, unsustainable,” BAPL said in a statement.
Opting for VGF was “not because of a dearth of demand, but because BAPL did not have the data to assess the market potential.”
“On operation of flights, it was proved that the catchment area has enough demand and high purchasing power,” the statement said.
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