Bharatiya Vayuyan Vidheyak Bill, 2024: Key Features and Concerns
The Bharatiya Vayuyan Vidheyak (BVV) Bill, 2024, seeks to revamp India’s aviation regulatory framework while preserving elements of the Aircraft Act, 1934. It retains the Directorate General of Civil Aviation (DGCA), Bureau of Civil Aviation Security (BCAS), and Aircraft Accidents Investigation Bureau (AAIB) under central government oversight. The bill introduces an appeal process for decisions by the DGCA and BCAS, with the central government acting as the final authority.
- Single Window Clearance: One of the bill’s notable reforms is transferring responsibility for Radio Telephone Operator Restricted (RTR) certifications from the Department of Telecom (DoT) to the DGCA. This move aims to reduce corruption and streamline the certification process, ensuring transparency. RTR certification is critical for pilots operating radio communication equipment for air traffic control.
- Aircraft Design Oversight: The DGCA will gain new powers to regulate aircraft design, manufacturing, repair, and maintenance, ensuring robust oversight of the aviation sector.
- Arbitration Powers: The Bill authorizes the central government to appoint arbitrators for disputes related to land acquisition near airports, a provision that has sparked debate over its impartiality.
Concerns Over the Bill
Despite its promising features, the bill has raised several concerns:
- DGCA’s Lack of Independence: By keeping the DGCA under direct government control, the Bill risks potential conflicts of interest. It also lacks provisions defining the qualifications or tenure for the DGCA’s leadership, leaving room for undue influence.
- Arbitration Issues: The provision allowing unilateral government appointment of arbitrators for compensation disputes may undermine fairness, potentially violating Article 14 of the Constitution. Critics argue that bypassing the Arbitration and Conciliation Act, 1996, could lead to inconsistent outcomes.
- Penalty Discretion: The Bill grants the central government discretion in setting penalties for aviation offenses, raising concerns about fairness and uniformity in enforcement.
Implications for India’s Aviation Sector
The BVV Bill, 2024, is expected to have wide-ranging effects:
- Streamlined licensing: Moving RTR certification to the DGCA is anticipated to eliminate delays and curb corruption.
- Enhanced Oversight: Expanded DGCA powers over aircraft design and manufacturing could strengthen safety measures.
- Transparency Challenges: The centralized authority and lack of DGCA independence may hinder regulatory fairness.
- Higher Costs for Airlines: Hefty penalties for violations, including fines of up to₹1 crore and potential imprisonment, could increase compliance burdens for private operators.
India’s Aviation Industry: Rapid Growth and Potential
India’s aviation sector has grown rapidly in recent years.
- Passenger Traffic: Domestic air traffic reached 306.79 million in FY23, a 13.5% year-on-year increase, while international traffic surged by 22.3% to 69.64 million.
- Infrastructure Development: The number of operational airports has risen from 74 in 2014 to 157 in 2024, with plans to expand to 350–400 by 2047.
- Fleet Expansion: Indian carriers added 112 aircraft in 2023, taking the total to 771, with a goal of reaching 1,100 planes by 2027.
- Revenue Growth: Aviation revenue is projected to grow by 15-20% in FY24, with freight traffic also witnessing steady increases.
Government Initiatives in Aviation
India has undertaken several initiatives to modernize its aviation sector:
- Policy Reforms: The National Civil Aviation Policy (NCAP) 2016 and UDAN Scheme have improved regional connectivity, operationalizing 519 routes and benefiting over 13 million passengers.
- FDI in Aviation: The government allows 100% foreign direct investment (FDI) in sectors such as air transport and maintenance, repair, and overhaul (MRO).
- Infrastructure Modernization: Projects like Digi Yatra and NABH Nirman aim to enhance passenger experiences and operational efficiency. By 2023, 21 greenfield airport projects had been approved, with 11 operational.
- Sustainability Efforts: Airports in Delhi and Mumbai have achieved Level 4+ Carbon Accreditation, while 73 airports are now fully powered by green energy.
The Road Ahead
To address concerns about fairness and transparency, experts suggest:
- Transparent Arbitration: Introducing independent third-party oversight for compensation disputes to ensure fairness under Article 14.
- Regulatory Independence: Restructuring the DGCA into an autonomous regulatory body to bolster credibility.
- Fair Penalty Framework: Establishing clear guidelines for penalties to minimize executive discretion.
- Stakeholder Consultation: engaging airlines, personnel, and the public to create practical and effective policies.
The BVV Bill 2024 is a significant step in modernizing India’s aviation sector. However, balancing regulatory efficiency with fairness will be crucial to its success.
