The Prime Minister's Office today clarified that there is no question of either backtracking from or disowning the proposed Rs 2,058-crore Jet-Etihad deal.
There is absolutely no disagreement within the Government or between the Ministers and Prime Minister on the matter of India-UAE Bilateral Air Services Agreement, the PMO said in a press statement.
The Air Services Agreement (ASA), which saw a quantum jump in flights that airlines could operate between India and Abu Dhabi, was exchanged between India and the UAE soon after the deal between the two airlines was announced.
The timing of deal and the exchange of ASA have raised the hackles of many, including some MPs.
A long clarification from the PMO came after media reports suggested differences over the ASA. Some of the reports also inferred that the PMO is playing a role in the Jet Airways-Etihad proposal.
On the Jet-Etihad proposal, the PMO said: “This is a matter between private parties which needs to be approved by the concerned agencies as per the policies and laws in place. This is not an agreement between Governments. There is no question either backtracking from or disowning this proposal as this is not an agreement with the Government.”
The PMO acknowledged that some letters had been received complaining against the deal. However, it neither specified the names of the persons who wrote the letters nor the content. “Matters relating to the the Jet Airways-Etihad equity stake were referred to the Ministry of Civil Aviation, Department of Industrial Policy and Promotion, Department of Economic Affairs, and the Ministry of Corporate Affairs for examination and appropriate action, as they were concerned with various aspects of the complaints,” it said.
Ministry on offensive
Earlier in the day, Civil Aviation Minister Ajit Singh lashed out at politicians who have been attacking him over the deal. “The deal is still going through a regulatory process. After they follow all the rules and regulations and concerns are addressed, the FIPB will give them clearance if concerns of the Ministries of Civil Aviation and Corporate Affairs are addressed,” Singh told newspersons.
Ajit Singh pointed out this was unlike some other agreements concluded earlier. Etihad is the national carrier of Abu Dhabi and the sole airline of that country, unlike India which has several carriers operating abroad.
“They have provided gauge change facility, which Emirates and Qatar had refused to give earlier. This means that Indian carriers can go beyond Abu Dhabi. They can change the plane there and take passengers to international destinations,” the Minister said. Ajit Singh pointed out that the Indian side agreed to give an additional 36,000 seats though Abu Dhabi wanted 55,000.