The government is likely to consider a proposal this week to replace the DGCA with a new aviation regulator with full operational and financial autonomy.
The proposed bill seeks to establish the new regulator, to be called the Civil Aviation Authority (CAA), which would replace the Directorate General of Civil Aviation (DGCA) and administer and regulate civil aviation safety and manage safety oversight over air transport operators, air service navigation operators and operators of other civil aviation facilities.
The proposed CAA, like the DGCA, would also deal with matters relating to financial stress on safety of air operations, as witnessed in connection with the bankrupt Kingfisher Airlines in October last year.
Issues relating to consumer protection and environment regulations in civil aviation sector would also be addressed by the CAA, according to the draft legislation.
The CAA is being established to meet the standards set by UN's International Civil Aviation Organisation (ICAO) and in line with aviation regulators in other countries like the US' Federal Aviation Administration and UK's CAA.
Noting that DGCA had limited delegation of financial powers and hence was "incapable of making adequate structural changes" to meet the demands of a dynamic civil aviation sector, sources said this necessitated its replacement with CAA that would have more administrative and financial power to deal with the fast-changing aviation scenario.
