India’s largest airline IndiGo will sacrifice capacity growth in the face of regulatory uncertainty over Pratt & Whitney (P&W) engines in the Airbus A320 and A321 aircraft.
Softness in airfare and zero-aggressive capacity plan from the other big daddies of Indian skies give IndiGo the edge. The airline had pared its capacity growth forecast by almost 7 per cent for the fourth quarter (Q4) of 2019-20 (FY20) and by 3 per cent for the entire year.
“The Directorate General of Civil Aviation (DGCA) order is likely to have an impact on future capacity. Expect a year-on-year capacity increase of 15-20