Is AI the Future of Safer, Smoother Skies? Exploring Innovations in Indian Air Traffic Management

India's skies are bustling with activity, and the surge in air travel is not slowing down anytime soon. With one of the world's fastest-growing civil aviation markets, India faces the complex challenge of safely and efficiently managing increasingly crowded airspace.

To address these needs, industry leaders and policymakers are now turning to advanced technologies like generative artificial intelligence (Gen AI). During the 40th Asia Pacific Regional Meeting (APRM) of the International Federation of Air Traffic Controllers' Associations (IFATCA), held in New Delhi, India’s Civil Aviation Secretary Vumlunmang Vualnam highlighted the urgent need for adopting innovative technologies to streamline air traffic.

Why India’s Airspace Needs a Tech Upgrade

India's aviation industry is experiencing unprecedented growth, with domestic and international air traffic increasing rapidly. In response, airlines have placed significant orders for new aircraft, and the expansion of routes and networks continues. This growth, however, brings challenges, including congestion and the constant demand for better safety protocols.

Air Traffic Controllers (ATCs) are at the core of managing this busy airspace, but without new tools, they face increasing pressures to balance traffic growth with safety. Secretary Vualnam stressed the importance of proactive measures, highlighting that India's airspace is becoming crowded with “more and more users.”

Exploring New Technologies for Safer Skies

One of the central themes of the APRM conference, hosted by the Air Traffic Controllers' Guild (India), is exploring "Safety in Future Air Traffic Management." Discussions are centered on cutting-edge technologies, strategies, and sustainable practices that will redefine air traffic management, ensuring passenger and crew safety in an increasingly digital world. Generative AI has emerged as a promising tool, with Vualnam encouraging a forward-looking approach that embraces these advancements rather than avoiding them.

Generative AI: Enhancing Air Traffic Control

Generative AI has shown promise in many fields, from healthcare to finance, and its potential applications in aviation are groundbreaking. In air traffic management, Gen AI could help optimize route planning, predict congestion, and minimize delays.

With AI-powered predictive models, air traffic controllers can anticipate and manage potential conflicts, allowing for smoother and safer air traffic movement. This technology could also assist with training ATCs by simulating various traffic scenarios and providing real-time insights, a valuable resource in high-stress situations.

Collaborative Human-AI Approach

While technology is advancing rapidly, the human factor remains crucial in air traffic control. Maneesh Kumar, Joint Director General at the Directorate General of Civil Aviation (DGCA), emphasized the role of human resources in ensuring growth with safety.

Instead of replacing human controllers, Gen AI aims to enhance their decision-making capabilities by providing real-time data analysis, reducing their cognitive load, and improving their capacity to respond to complex scenarios. Vualnam also pointed out that collaboration is key: "Instead of ignoring and closing our eyes, we should collaborate."

Benefits of an AI-Powered Future in Indian Airspace

Increased Safety and Efficiency

Generative AI can predict and mitigate risks before they materialize, helping ATCs make more informed, timely decisions. By identifying potential traffic bottlenecks and suggesting alternative flight paths, AI can significantly reduce delays, minimize fuel usage, and lower carbon emissions.

Improved Training and Simulation

Advanced AI systems can create realistic simulations for training new ATCs, exposing them to a wide range of traffic conditions and emergencies. These training programs can enhance the preparedness of ATCs, making them more equipped to handle real-world challenges.

Enhanced Passenger Experience

Streamlining air traffic not only improves safety but also reduces flight delays and enhances the overall passenger experience. By minimizing the wait times caused by congestion and delays, AI-assisted air traffic management can improve on-time performance and customer satisfaction.

The Path Forward: Challenges and Considerations

While AI technology holds enormous potential, challenges remain. Integrating AI with existing infrastructure and ensuring it operates seamlessly with legacy systems is essential. Additionally, there are concerns around cybersecurity, data privacy, and potential over-reliance on AI, making it crucial to maintain a balance between human judgment and machine-driven insights.

The industry will need to establish robust frameworks for AI integration and set up safety protocols to monitor and manage AI's actions. Furthermore, ensuring continuous training and upskilling of ATCs to work alongside AI will be vital for a smooth transition.

Conclusion: The Future of Indian Skies

As India's aviation sector continues to grow, embracing AI and other advanced technologies is not just beneficial but essential. The potential for AI in air traffic management could revolutionize the industry, making air travel safer, more efficient, and more reliable. With collaboration and careful implementation, India can set a global standard for air traffic management, ensuring that passengers, crew, and controllers alike benefit from a future where humans and AI work side by side to keep the skies safe and open.

Jet Airways, once the jewel of India’s skies, has now officially reached the end of its journey. Following a Supreme Court order on November 7, the airline will enter liquidation, rejecting a long-debated revival bid led by the Jalan Kalrock Consortium (JKC).

With this ruling, hopes for the airline’s rebirth have vanished, delivering a blow to approximately 1.43 lakh retail investors who had bet on its revival despite years of uncertainty. The decision has raised concerns for retail investors, signaling an unfortunate reality that many may face a total financial wipeout.

Retail Investors in Turmoil: Why the Stakes Were High

The airline’s stock, which already witnessed fluctuations over the past few months, fell further after the Supreme Court verdict. Trading at Rs 34.04 on the Bombay Stock Exchange (BSE), the stock was locked in a 5% lower circuit after the announcement.

While retail investors held a substantial 19.29% stake in the airline as of September 2023, larger stakeholders like Punjab National Bank (26%), Etihad Airways (24%), and the airline’s original promoters (25%) were also invested. At the current valuation of Rs 386.69 crore, the retail holding amounts to roughly Rs 74.6 crore, a significant figure that now hangs in limbo as liquidation proceeds.

A Long Road to Liquidation: What Led to the Collapse?

Jet Airways’ troubles began in the late 2010s, plagued by insurmountable debt, fierce competition from low-cost carriers, and escalating operational expenses. By 2019, the airline’s debt had reached a staggering Rs 7,500 crore, prompting lenders, led by the State Bank of India (SBI), to approach the National Company Law Tribunal (NCLT) in a bid for insolvency resolution.

The Jalan Kalrock Consortium later stepped in, proposing a revival plan that received approval from the NCLT in 2021. However, the consortium soon struggled to meet its financial commitments, citing payment schedule disputes with lenders and former employees.

Despite the NCLT’s nod, the plan met repeated setbacks due to missed deadlines and disagreements over payments. This, combined with the consortium’s inability to infuse funds into Jet Airways, led lenders to seek alternative resolutions. Eventually, the Supreme Court deemed JKC’s revival attempt infeasible, setting aside an earlier ruling by the National Company Law Appellate Tribunal (NCLAT) that had upheld the consortium’s takeover bid.

Retail Investors’ Gamble: Hope Against All Odds

Retail investors, who had maintained faith in Jet Airways’ potential comeback, now face the harsh reality of liquidation. Despite the airline’s extended grounding since 2019, investor activity remained strong, with a daily average of Rs 7.62 lakh worth of Jet shares traded on the BSE in 2024.

These trades continued despite warnings and indicators that a successful revival was improbable. For many, the recent Supreme Court ruling feels reminiscent of the DHFL case, where shares were extinguished when Piramal Group acquired the mortgage lender under an insolvency process.

The Future of Public Shareholding: A Grim Parallel to DHFL

The liquidation decision mirrors the outcome for investors in DHFL, whose shares were delisted following a similar insolvency process. Even if the JKC plan had been realized, it proposed to reduce public shareholding from 25% to a mere 0.21%, effectively erasing the stock value of public shareholders. Although this risk was known, many retail investors continued to trade on the possibility of an unforeseen turnaround, highlighting the high-stakes nature of investing in distressed assets.

Jet Airways: A Legacy in Indian Aviation

Founded in 1992, Jet Airways swiftly rose to prominence as one of India’s premier airlines, known for quality service and an extensive network of domestic and international routes. By the mid-2010s, however, mounting competition, financial missteps, and increasing costs left the airline struggling. The airline ceased operations in April 2019, leaving a void in Indian aviation. The latest Supreme Court decision cements its fate, bringing to an end a prolonged, turbulent chapter in Indian business history.

Conclusion: Lessons for Investors

The Jet Airways saga underscores the high risks associated with investing in distressed assets, especially in cases where debt and regulatory complications loom large. Retail investors who held out hope for a revival now face potential total losses as the liquidation process begins. The journey serves as a lesson for investors to remain vigilant and cautious when navigating volatile and uncertain markets. For now, the skies remain clear of Jet Airways, closing the book on an era that redefined air travel in India.

With Inputs from Money Control

In a striking blend of nature, art, and technology, Kempegowda International Airport, Bengaluru (BLR Airport) has introduced a groundbreaking attraction, “Tiger Wings”—India’s largest vertical garden. This lush green marvel, designed in collaboration with world-renowned botanist Patrick Blanc, redefines the airport experience by seamlessly merging ecology with infrastructure. The installation, situated in the newly developed Terminal 2, represents BLR Airport’s commitment to environmental stewardship, cultural homage, and architectural innovation.

A Masterpiece of Vertical Gardens: What Makes “Tiger Wings” Unique?

A Record-Breaking Botanical Installation

Standing at an impressive 30 feet high and spanning 160 feet across two walls, “Tiger Wings” covers a vast 4,000-square-foot area, making it Blanc’s largest project in India. The design is home to over 15,000 plants representing more than 153 plant species, carefully curated from the forests of Karnataka and the Western Ghats. Blanc, a globally acclaimed botanist affiliated with the French National Centre for Scientific Research, crafted this living wall to embody the airport’s ethos of “Terminal in a Garden”—an endeavor to weave nature directly into the airport’s structure.

An Artistic Ode to India’s Wildlife

Inspired by the national animal, the tiger, Blanc’s design incorporates vibrant red, orange, yellow, and white Ixora flowers, mirroring the tiger’s distinct pattern. Asparagus plants elegantly outline the wings of an airplane, paying homage to the connection between travel and nature. This symbolic artistry imbues the installation with a visual narrative, enhancing its appeal to travelers and nature enthusiasts alike.

Technology Meets Sustainability: The Engineering Behind the Vertical Garden

Hydroponic and Soilless Technology

Employing a soilless, hydroponic system, “Tiger Wings” allows a diverse array of plants to grow vertically. Specialized felt, imported from Germany, forms the base layer, providing structural support and a medium for plant roots to thrive, much like they would on a natural cliff or rock face. Blanc’s use of felt layers ensures a minimal yet precise water supply to each plant, simulating the conditions of their natural habitats and promoting sustainable water use.

Water-Efficient Irrigation System

The installation’s advanced irrigation system optimizes water delivery through felt layers, reducing waste and ensuring that each plant receives the right amount of hydration. This method not only conserves water but also mimics the delicate ecosystem found in nature, where plants flourish with limited resources. This eco-conscious design reduces the airport’s carbon footprint and supports BLR’s sustainability goals.

Voices Behind the Vision: Leaders’ Insights on “Tiger Wings”

Hari Marar, Managing Director & CEO of BIAL

Hari Marar, MD and CEO of Bangalore International Airport Ltd (BIAL), highlights how “Tiger Wings” reflects the four principles anchoring Terminal 2’s design: Terminal in a Garden, technology, art, and sustainability. He explains, “We wanted to bring in a fresh perspective to our vision of sustainability, artistry, and technological advancement in a way that resonates with Bengaluru’s essence. Patrick’s innovative approach to designing living walls was precisely what we envisioned for this space.”

Patrick Blanc, Visionary Botanist

Patrick Blanc’s dedication to blending nature with modern architecture has shaped “Tiger Wings” into a harmonious botanical masterpiece. He describes the project as “the realization of a dream where nature and architecture coexist seamlessly.” Blanc’s approach enables plants to flourish in an environment that mirrors natural cliff faces, bringing a living, breathing ecosystem to travelers’ doorsteps.

Environmental Benefits: Enhancing Air Quality and Cooling the Atmosphere

Beyond its aesthetic value, “Tiger Wings” contributes significantly to the airport environment. By increasing the greenery within Terminal 2, the vertical garden enhances air quality, reduces temperatures, and creates a cooler, more refreshing ambiance. As air flows through the wall, it is purified by the plants, which act as natural filters, absorbing carbon dioxide and releasing oxygen. This contributes to a healthier environment, both within the airport and for the surrounding region.

The Bigger Picture: An Eco-Friendly Travel Hub

“Tiger Wings” is more than just an attraction; it represents BLR Airport’s broader mission of harmonizing nature with infrastructure. The project brings Karnataka’s rich biodiversity to the heart of Bengaluru, celebrating India’s wildlife heritage while presenting a futuristic vision of eco-friendly travel. This blend of natural beauty and sustainable innovation exemplifies how airports worldwide can evolve into green, responsible travel hubs.

Experience the Future of Travel at BLR Airport

Travelers passing through Terminal 2 at Bengaluru’s BLR Airport can now witness a breathtaking green wall that goes beyond mere decoration. “Tiger Wings” is a sensory experience, transforming the airport into a sanctuary of natural beauty. It stands as a testament to how modern infrastructure can celebrate and preserve nature, encouraging a more sustainable future for travel and inspiring airports around the world to follow suit.

In a surprising move, low-cost airline SpiceJet has announced that it will hold its Annual General Meeting (AGM) for the financial year ended on March 31 on or before December 31, marking an extension of three months. This decision has raised eyebrows among investors and industry analysts, who are now questioning the reasons behind the delay.

The Extension: What We Know

SpiceJet has obtained an extension of up to three months from the Registrar of Companies under Section 96 of the Companies Act, 2013. This section mandates that companies hold their AGMs within six months from the end of the financial year. However, SpiceJet has managed to secure additional time, pushing the deadline to December 31.

The Ministry's Letter

On August 22, the Ministry of Corporate Affairs (MCA) sent a letter to SpiceJet, reminding the airline of its obligation to hold the AGM by September 30, as per the requirements of Section 96 of the Companies Act, 2013. Despite this reminder, SpiceJet requested an extension, which was subsequently granted.

What This Means for Investors

The delay in holding the AGM has left investors with more questions than answers. Shareholders are eager to understand the company's financial health, operational performance, and future strategies. The extension could indicate that SpiceJet is working on significant developments or addressing critical issues that will be disclosed at the AGM.

Industry Reactions

Industry analysts are closely monitoring the situation. Some view the delay as a sign of potential challenges within the company, while others see it as a strategic move to ensure a more comprehensive and transparent AGM. The aviation sector is known for its volatility, and SpiceJet's decision to delay the AGM adds another layer of complexity.

Looking Ahead

As the December 31 deadline approaches, all eyes will be on SpiceJet. The airline will need to provide clear and concise explanations for the delay and address any concerns raised by shareholders and industry stakeholders. The AGM will be a critical event for SpiceJet, offering an opportunity to reassure investors and outline a path forward in a challenging market environment.

Jet Airways, one of India’s most prominent airlines before its grounding in 2019, has been battling its way through a complex insolvency resolution process. With the Supreme Court scheduled to pronounce its verdict this Thursday on the ongoing dispute over the airline's ownership, the future of Jet Airways hangs in the balance.

The case involves the State Bank of India (SBI) and other creditors challenging the National Company Law Appellate Tribunal (NCLAT) decision to approve the transfer of Jet Airways to the Jalan Kalrock Consortium (JKC). Here’s a deep dive into the case, the challenges at play, and what this decision could mean for the aviation industry and India’s troubled airline sector.

The Legal Battle: SBI vs. JKC

The controversy centers around the resolution plan approved by the NCLAT in March 2023, which transferred Jet Airways' ownership to the Jalan Kalrock Consortium. This decision came after a prolonged insolvency process that began in 2019 when the airline grounded its operations due to a financial crisis.

SBI, Punjab National Bank (PNB), and JC Flowers Asset Reconstruction Private Limited, all major creditors of Jet Airways, have been vocal in their opposition to the resolution plan. The banks argue that the JKC has failed to meet its financial obligations, including the infusion of Rs.350 crore within the stipulated period of 180 days from the effective date, as outlined in the resolution plan. The creditors further claim that the consortium did not fulfill other key commitments, such as paying Rs.150 crore in cash and mortgaging three properties in Dubai, all of which were conditions for the airline’s revival.

On the other hand, the Jalan Kalrock Consortium contends that the lenders are unjustifiably delaying the process and hindering the airline's revival. The consortium argues that the resolution plan was contingent on factors beyond their control, such as security clearances and procedural hurdles, and that they had made all necessary efforts to fulfill their obligations.

The Role of the NCLAT

In its March 2023 decision, the NCLAT upheld the resolution plan and approved the transfer of ownership to the Jalan Kalrock Consortium. The appellate tribunal directed that the transfer of ownership be completed within 90 days and ordered that the Rs.150 crore performance bank guarantee (PBG) provided by the consortium be adjusted against the first tranche payment of Rs.350 crore.

The NCLAT’s decision followed a similar verdict by the National Company Law Tribunal (NCLT) Mumbai in January 2023. The verdict was seen as a significant step forward in the revival of Jet Airways, with the airline eyeing a potential relaunch in 2024.

What’s at Stake?

The stakes are incredibly high for both sides. For the lenders, it’s about ensuring they recover their dues and protect the interests of public and private stakeholders. The banks have voiced concerns over the consortium’s ability to meet the conditions of the resolution plan, especially given Jet Airways’ longstanding financial instability.

For the Jalan Kalrock Consortium, the fight is about taking control of an airline that has been grounded for nearly five years and ensuring its revival. The consortium claims that they have fulfilled their financial commitments and that the delays in the process were due to external factors, not their inability to meet the obligations.

Jet Airways' future rests on the resolution of this dispute. If the Supreme Court rules in favor of the creditors, it could delay or even derail the airline’s revival plans. On the other hand, if the court upholds the NCLAT’s decision, the consortium will likely proceed with taking control of the airline and continuing with its plans to relaunch operations.

Jet Airways’ Revival: A Glimmer of Hope?

Despite the ongoing legal battles, there is still hope for Jet Airways’ revival. The Jalan Kalrock Consortium claims that they have completed a significant infusion of Rs.350 crore, fulfilling their financial commitment as per the court-approved resolution plan. In addition, Jet Airways stated in September 2023 that the consortium had completed an additional Rs.100 crore infusion into the airline.

The revival plan includes plans for Jet Airways to re-enter the aviation market in 2024, a move that could help revitalize the Indian aviation sector, which has faced numerous challenges in recent years. The re-launch would be a significant milestone, not only for the airline but also for the industry, which has been struggling with high operational costs, competition, and a demand for new talent.

The Verdict: What Comes Next?

The Supreme Court’s decision on Thursday will be crucial in determining the future of Jet Airways and its efforts to get back in the air. If the court rules in favor of the Jalan Kalrock Consortium, it could pave the way for a new chapter in Jet Airways’ history. However, if the court sides with the creditors, the airline’s future could be uncertain, with a possible liquidation or further delays to the revival process.

While the legal battle continues, one thing is certain—Jet Airways’ journey is far from over. Whether it takes off again as a new player in the aviation sector or faces a more uncertain future depends largely on the outcome of this critical court decision.

Conclusion

Jet Airways’ long-awaited return to the skies hinges on a critical Supreme Court verdict. As the legal battle continues, both creditors and the Jalan Kalrock Consortium are fighting for what they believe is right for the airline and the industry. The outcome of the case will have far-reaching consequences for Jet Airways, its stakeholders, and the future of India’s aviation market. The coming days will reveal if Jet Airways can reclaim its place in the Indian aviation sector or if it will face another setback.

Akasa Air, India’s newest budget airline, continues to push boundaries and expand its reach, despite significant financial challenges. The airline, backed by the late stock market mogul Rakesh Jhunjhunwala under SNV Aviation, recently released its first full-year financial results, revealing a notable increase in revenue and a doubling of its net losses. In this article, we dive into the factors behind Akasa Air’s financial trajectory, focusing on its rapid expansion, operational strategy, and future prospects.

Rising Losses but Expanding Horizons

In FY24, Akasa Air reported a substantial net loss of Rs.1,670 crore, up from Rs.744.5 crore in the previous fiscal year. Despite this increase in losses, the airline achieved an impressive revenue growth of over four times, reaching Rs.3,069.58 crore compared to Rs.698.67 crore in FY23. This rapid rise in revenue reflects the airline’s ambitious expansion strategy, marking its first full fiscal year since launching operations in August 2022.

Revenue Gains Outpaced by Soaring Expenses

While Akasa Air has shown robust revenue growth, the costs associated with scaling up its network have been significant. Total expenses in FY24 surged to Rs.4,814.4 crore, more than triple the previous year's Rs.1,522 crore. The steep increase in expenses was primarily driven by fleet expansion, brand-building initiatives, and substantial hiring efforts.

In an effort to expand its workforce, the airline onboarded approximately 1,400 new employees, bringing its total staff strength to 3,800. Employee benefit costs surged from Rs.232.4 crore to Rs.774.9 crore, underscoring the airline’s commitment to establishing a strong talent pool for long-term growth.

Increased Financial Obligations Impacting Profitability

Higher aircraft lease obligations and interest expenses also contributed significantly to the airline’s losses. Interest and other finance costs nearly tripled, reaching Rs.406.1 crore from Rs.141.18 crore in the previous year. According to Akasa Air’s Chief Financial Officer Ankur Goel, these rising costs are tied to lease obligations and accounting standards that impact the airline’s balance sheet.

Strategic Growth with Revenue per Available Seat Kilometer (RASK) Gains

Akasa Air's Chief Financial Officer, Ankur Goel, noted that the airline’s capacity tripled in FY24, driving a 10% increase in Revenue per Available Seat Kilometer (RASK), an essential metric for measuring an airline’s revenue performance. He expressed confidence that RASK would continue to grow annually, bolstered by increased internal capabilities, stronger brand presence, and higher airport visibility.

Goel outlined ambitious plans to boost Akasa Air’s fleet capacity by 50-55% in FY25, anticipating a corresponding 50% increase in revenue. This fleet expansion is integral to the airline’s growth strategy, aiming to capture a larger market share in India’s dynamic aviation sector.

Maintaining Liquidity and Future Outlook

The airline’s management remains optimistic about Akasa Air’s future, emphasizing their focus on liquidity and strategic investments. In its annual report, Akasa Air’s leadership team expressed confidence that it would continue meeting liabilities, maintaining asset value, and fulfilling financial commitments as per the projections.

Although losses have surged, the airline’s proactive investments in fleet, workforce, and brand-building initiatives are aimed at setting a strong foundation for sustainable growth. The management’s emphasis on long-term stability indicates that Akasa Air is ready to navigate these turbulent financial phases while remaining focused on capturing opportunities in the rapidly evolving Indian aviation landscape.

Conclusion

Akasa Air’s journey through FY24 reflects both the challenges and the potential of a rapidly expanding airline in a competitive market. While losses have doubled due to increased spending, the airline’s solid revenue growth, strategic investments, and long-term vision suggest a promising future. As Akasa Air continues to expand its fleet and workforce, the airline's leadership believes it is on track to achieve financial stability, positioning itself as a key player in India’s aviation sector. For now, Akasa Air’s ascent is an exciting story of growth, resilience, and determination—poised to navigate the skies of India’s aviation industry with eyes set on success.

With Inputs from The Economic Times