Expressing concern over aviation regulator ordering a review of the data collection procedure of airlines' on-time performance (OTP) at four airports on IndiGo's complaint, officials from Jet Airways and SpiceJet are expected take up the issue with the DGCA next week.
These airlines allege IndiGo of having "double standards" as the airline marketed itself on its very OTP in the past but when the same started declining, it now says that the system is "flawed," sources close to development said.
Civil aviation regulator DGCA on January 5 set up a panel to look into the procedure of computing of the on-time performance (OTP) data of domestic carriers by the airports following Gurgaon-based carrier IndiGo questioning its accuracy.
IndiGo had approached the regulator in December last, seeking a probe into the data collection method of the GVK-run Mumbai International Airport Limited (MIAL), from where nearly 40 per cent of its flights had failed to either depart or arrive on their scheduled time in November.
As long as IndiGo had the best OTP, the mechanism to calculate on-time performance by the DGCA and airports was perfect. In fact, OTP was their USP and they ran advertisement campaigns like "on time is a wonderful thing" citing this very data, " they said.
"Now, for many months when their OTP has been the poorest, they are questioning the DGCA mechanism to calculate OTP itself, " the sources said.
As long as you were No 1 the mechanism was fine, now it is flawed. These are clear double standards, said an airline official.
The data collection system at airports like Mumbai has been in place for many years now.
Other airlines are worried with the aviation regulator succumbing to IndiGos unjustified demands.
"The haste with which the Directorate General of Civil Aviation has set up the panel to review the data collection mechanism for measuring the OTP of domestic airlines at four airports suggest that it has given in to the IndiGo's demand," sources said.
Senior SpiceJet and Jet Airways officials would meet the DGCA chief BS Bhullar on Tuesday to discuss this issue, they added.
Tomorrow, if an airline questions the passenger traffic data, will the DGCA constitute a committee to investigate that too?" questioned another airline official.
Last month, ICICI Securities, the investment banking arm of the ICICI Bank, had in a report said that IndiGo's OTP was likely to remain under pressure in the current fiscal as it adds more aircraft in the remaining period.
IndiGo witnessed a sharp decline in its OTP from four major airports to 72.4 per cent in November 2016 from 81.2 per cent the previous month, lowest in more than last two years.
"While this could be due to fog related disruptions in the winter, with even higher capacity addition planned during the remainder of FY17, the OTP could remain under pressure for IndiGo and will be keenly watched," ICICI Securities said in its report.
SpiceJet said in a statement "SpiceJet has ensured that it maintains its impeccable operational standards even in harsh weather conditions to continuously emerge as the best on-time performing airline with a record load factor of over 90% for 20 consecutive months in a row," said a SpiceJet spokesperson.
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