Will the Air Kerala dream be fulfilled?

Dissatisfied with the negative approach of Air India towards the Kerala State in providing proper flight schedules to the Gulf NRIs and the unjustifiable air fare hikes, Kerala government is contemplating a planto starta separateflight service in the brandname ‘Air Kerala’. The proposed project is planned as a Public-Private Participation venture (PPP) like the Cochin International Airport Limited (CIAL). The obvious support from the dominant NRI businessmen of the state has so far boosted government's confidence.

Air Kerala was state's dream project, first floated at the Pravasi Bharatiya Divas in New Delhi, five years ago. The company had also been registered duringthat period. But the then Aviation Ministry insisted that only a company with a fleet of 20 air craft would be allowed to operate international services. Such an international servicecould be permitted only after the completion of a five-year domestic service. Due to thesestringent conditions,the plan was shelved automatically.

The recent dramatic resignation of the well-known NRI Malayali business tycoon, M.A. Yusuf Ali, from the director board of Air India is seen definitely as a strong gesture to the revival of the Air Kerala project. The EMKE group chairman strongly criticized Air India’s poor functioning.“Many of the NRIs, most of them Keralites, have beensufferingfromfrequent flight cancellations and setbacks of services. Fare hikes during the peak seasonsare also a regular practice ofAir India. I tried my best to make the needful changes. But the non-cooperative stance of certain sections was ahindrance to its healthy functioning. I was so dispirited. So I decided to step down,’’ Yusuf Ali said.

According to reports, the zealous non-resident Keralites’ (NRKs) rallyingbehind the projectredoubled the government confidence. The full credit of the reinforcement of the project goes to the NRKs. The NRKs of UAE and the other Gulf countries stand firmly behind this PPP project. Yusuf Aliasserted that the project would be presented in the upcoming Emerging Kerala Meet to be organised in the mid September by the State government.

Whenboth the governmentand the private sector are confident on the project,many are doubtful on the truthful execution of the project. Many consider it as quite unnecessary. According to them, the government is not sure on the economic viability of the project. “It has to face the fate of Kingfisher and Air India. The loss will have to be suffered by the tax paying common people,” Nandakumar Menon from Kuwait says.

Even though many welcome the idea, quite a few fear that it may face the fate of other paper projects which had been announced, but remain unfulfilled. Those who know the fate of the earlier government announcements of Kunjali Marikkar’sBMW plant, Italian Fashion City, express highway project and high speed corridor project, are sceptical of the new project.

Thewavering of the previous LDF and incumbent UDF governmentson themegaSmart City project are also cited as a good example of the governmental indecisions on the fulfilment of the developmental projects of the state. But Yusuf Ali turned a a mediator with the Gulf investors and the Smart City project got the green signal under the current UDF Government.

The UDF is very optimistic about the Air Kerala project. “The Airline project is ready. The chief ministeris talking with aviation ministry. We are awaiting the nod of the Central Government,’’ MP E.T.Mohammed Basheer said.

Even though the government has declared the proposal of the new airlinesin a PPP scheme, the blue print has not yet been drafted. The final decision will be taken only after the Centre’s nod.