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5/20 rule likely to be scrapped by Union government

Sep 24, 2014 18:30 IST

5/20 Rule: On the verge of being scrapped

5/20 rule prevailing in the Indian aviation industry was in news recently Union government is thinking to scrap the rule fulfilling the demand of few private airlines who were asking to relax the rule.

As per the 5/20 rule, a carrier must be five-year-old and have at least 20 aircraft in its fleet before being allowed to fly abroad.

The UPA-II Government had initiated the process of scrapping 5/20 rule but could not finish the task. Now, the new government called a meet of CEO of all the Indian Airlines to look into the issue.

During the Meeting, the four airlines i.e. Air India, Jet, IndiGo and SpiceJet sought retention of the 5/20 rule whereas the new airlines of Tatas, one with Malaysian low-cost carrier AirAsia and other with Singapore Airlines, sought removal of this rule.

Is this article important for exams ? Yes93 People Agreed
Read more Current Affairs on: 5/20 rule , Indian aviation Industry , private airlines

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