As per sources, Till the last moment Thiruvananthapuram was the most favourite destination for the headquarters as five out of nine directors had backed up for the same.
It is mysterious that when engineering base is located at Thiruvananthapuram for whom administrative office is proposed at Kochi..??
Clearly some backdoor political maneouvre has occurred to place the AIE HQ at Kochi in the last minute and further causing loss to AIE due to offices at two locations.
Re: AIE
by samsoninfy on Jan 02, 2011 10:24 PM
Air asia stoppped from tvm, more airlines to stop from tvm due to less patronage and sleepy town . while airlines are competing for kochi. Kochi should be made capital of kerala and kick tha ass of tvm
Re: AIE
by Janarddan on Jan 01, 2011 10:07 PM
Where in the world are you ?
CIAL has paid all its dues to HUDCO !
But HUDCO refused to accept it and instead demanded shares of CIAL. This is the case that is being fought in the court.
50% of traffic of CIAL is from domestic passengers. In Thiruvananthapuram it is about 20% and 80% are Gulf traffic. Look at the number of domestic flights from Thiruvananthapuram. They are mostly AI flights. Exactly opposite to Kochi where it is almost all private airlines. Thiruvananthapuram.
AIX is already on the way of losing its Gulf market too as airlines like Indigo are beginning Gulf operartions. Indigo has completed 5 years of operation and till date they have not flown to Thiruvananthapuram leaving it public sector.
Till date no one from Kochi demanded AIX HQ here, not CIAL not any politician nor any organizations.
From Thiruvananthapuram, I have read 100s of bowls raised for the HQ. It make little difference to Kochi if a sinking ship like AI located one more office in another sinking location - one would have only said "vinashakale vipareetabudhi". But even AI did not repeat its folly of locating anything in a spot from where it has very less revenue. This is partly because it was forced to learn business by the crunch it experienced last two years. Public sector money is not to cater to parochial feelings, it is also meant to earn profit and grow.
Re: AIE
by Janarddan on Jan 01, 2011 09:46 AM
AI was proposing to have a minority stake in engineering base set up by Kochi's International airport. Political pressure forced them to set up base in Trivandrum. Bitter experience resulting from caving in to political pressure made AI realize their folly and this time for once they have made the correct decision of basing their HQ at the biggest International airport of the state from where they have maximum flights and passenger patronage
Re: Re: AIE
by Shaji VK on Jan 01, 2011 01:56 PM
Air India requested for land in Trivandrum, being the fifth declared international airport of the country, to set up engineering base. State Govt. swiftly sprung into action, acquired land on fast track scheme and handed over to Air India. I dont know how anybody can attribute political twists here but only wild imagination.
Whereas it is becoming clear now that AIE hurried decision at the last minute to seperate AIE commercial & administrative wing to Kochi as against its earlier decision wholly to shift to Trivandrum, is due to the political influence by one of the directors of AirIndia who hails from Kochi.
Re: Re: Re: AIE
by Janarddan on Jan 01, 2011 04:31 PM
Maintenance Repair Overhaul (MRO) was proposed to be in conjunction with the MRO set up at CIAL in 2005. Many MPs including NK Premachandran from South openly lobbied for it and govt of Kerala took 15 acres land from a rubber unit near Thiruvananthapuram airport and gave it to Air India. When most number of services of AIExpress and all other airlines are from Kochi it was only foolishness combined with political pressure that forced it to locate MRO at Thiruvananthapuram. This time, after AI learned lessons from the terrible time it has been through last 3 years it has refused to cave in to political pressure.
AI could always chose to use CIALs MRO facility which is four times bigger and set to open in February 2011.
AI has no benefit in setting up MRO in Thiruvananthapuram as Cochin airport handles 4.8 million passengers a year compared to just about 2 million at Thiruvananthapuram. CIAL is the fourth biggest international airport in India and seventh biggest airport, in term sof passenger traffic .
AI had losses due to that decision, as CIAL denied it many lucrative opportunities like anchor airline status which it had been seeking at CIAL for years and membership in director board.
In contrast, Thiruvananthapuram, which is nothing on Indian aviation map, got an MRO at least.
Re: Re: Re: Re: AIE
by Janarddan on Jan 01, 2011 04:44 PM
Meanwhile, Kochi gains nothing significant by this choice of HQ of AIX. It already has a large number of carriers, economy and regulars, ready locate its base.
I am only happy that AI for the first time is placing commercial interest over political interests while making business decisions.
Re: Re: Re: Re: Re: AIE
by Shaji VK on Jan 01, 2011 05:02 PM
CIAL is not paying back debts to HUDCO, a government owned firm, for past many years. HUDCO has filed court case against CIAL for not paying back dues but CIAL declaring dividends every year & cooking books to show as profitable concern. CIAL claims itself to be a private owned company and always boast about higher quality service in private airports and airlines. In the past it used to complain about air India services citing it as a public sector inefficient airline. Now the same CIAL is running with begging bowl after Air India to setup HQ there. What a contradiction?
There is no political lobby for Trivandrum airport till date as it is nobody’s pet airport. Whereas Kochi airport is strongly backed by KV Thomas /PC Chacko/Vayalar ravi etc. and Koxhikode airport by E Ahmed/ MK Raghavan etc. . Trivandrum airport happens to be the first in Kerala and built by erstwhile Travancore Maharaja. Everybody knows who all politicians, businessmen and IAS officers were behind formation of CIAL.
It is foolishness to talk about higher patronage in CIAL because it is the poor Gulf labourers from all districts of Kerala who use Kochi and Thiruvananthapuram airports. Since for some reason (maybe better marketing of CIAL than the Govt. owned Thiruvananthapuram & kozhikode airports) airline fares are always kept lower through Kochi airport than Thiruvananthapuram and Kozhikode, many passengers even as far as from Thiruvananthapuram and Koz
Re: Re: Re: Re: Re: AIE
by Shaji VK on Jan 01, 2011 05:05 PM
It is foolishness to talk about higher patronage in CIAL because it is the poor Gulf labourers from all districts of Kerala who use Kochi and Thiruvananthapuram airports. Since for some reason (maybe better marketing of CIAL than the Govt. owned Thiruvananthapuram & kozhikode airports) airline fares are always kept lower through Kochi airport than Thiruvananthapuram and Kozhikode, many passengers even as far as from Thiruvananthapuram and Kozhikode fly through Kochi.
But if a AIE hub comes to Thiruvananthapuram, CIAL fears that passengers will shift enmasse to Thiruvananthapuram due to the competitive lower fares. Precisely why CIAL lobbied hard to get the HQ offices to Kochi even when engineering base is located at Thiruvananthapuram. Ultimately the loosers are going to be the poor Gulf Labourers from Kerala who will not get the full benefit of a hub in Kerala, due to the dirty political and lobbying games played by vested interests.
Re: Re: Re: Re: Re: AIE
by Shaji VK on Jan 01, 2011 05:06 PM
It is foolishness to talk about higher patronage in CIAL because it is the poor Gulf labourers from all districts of Kerala who use Kochi and Thiruvananthapuram airports. Since for some reason (maybe better marketing of CIAL than the Govt. owned Thiruvananthapuram & kozhikode airports) airline fares are always kept lower through Kochi airport than Thiruvananthapuram and Kozhikode, many passengers even as far as from Thiruvananthapuram and Kozhikode fly through Kochi.
But if a AIE hub comes to Thiruvananthapuram, CIAL fears that passengers will shift enmasse to Thiruvananthapuram due to the competitive lower fares. Precisely why CIAL lobbied hard to get the HQ offices to Kochi even when engineering base is located at Thiruvananthapuram. Ultimately the loosers are going to be the poor Gulf Labourers from Kerala who will not get the full benefit of a hub in Kerala, due to the dirty political and lobbying games played by vested interests.
Re: Re: Re: Re: Re: Re: AIE
by Janarddan on Jan 01, 2011 10:05 PM
Where in the world are you ?
CIAL has paid all its dues to HUDCO !
But HUDCO refused to accept it and instead demanded shares of CIAL. This is the case that is being fought in the court.
50% of traffic of CIAL is from domestic passengers. In Thiruvananthapuram it is about 20% and 80% are Gulf traffic. Look at the number of domestic flights from Thiruvananthapuram. They are mostly AI flights. Exactly opposite to Kochi where it is almost all private airlines. Thiruvananthapuram.
AIX is already on the way of losing its Gulf market too as airlines like Indigo are beginning Gulf operartions. Indigo has completed 5 years of operation and till date they have not flown to Thiruvananthapuram leaving it public sector.
Till date no one from Kochi demanded AIX HQ here, not CIAL not any politician nor any organizations.
From Thiruvananthapuram, I have read 100s of bowls raised for the HQ. It make little difference to Kochi if a sinking ship like AI located one more office in another sinking location - one would have only said "vinashakale vipareetabudhi". But even AI did not repeat its folly of locating anything in a spot from where it has very less revenue. This is partly because it was forced to learn business by the crunch it experienced last two years. Public sector money is not to cater to parochial feelings, it is also meant to earn profit and grow.
Re: Re: Re: Re: Re: Re: Re: AIE
by Shaji VK on Jan 02, 2011 02:29 PM
Oh dear, If so, then why HUDCO filed court case against CIAL in November 2010 for violating agreement ?
CIAL formed due to political pressure from late K. Karunakaran, former CM. Not many were willing to invest in the project then as it was considered politically motivated unviable project. But KK forced Govt. agency HUDCO to shell out a whopping Rs 172 crore ( mind you this amount in 1990’s which is equivalent to present Rs 1000 crore or more) for this project considered economically non-viable!!. Once CIAL operational, it never repaid the loan back instead paid dividends to its shareholders. Finally Debt tribunal ordered CIAL to provide 26% equity share to HUDCO. Some private minority shareholders in connivance with few directors of the company are reportedly taking control into their hands and run CIAL like their family business with corruption/nepotism to the neck. These same people are reportedly opposing 26% share to HUDCO as then CIAL would turn to a public sector company!!
Re: Re: Re: Re: Re: Re: Re: AIE
by Shaji VK on Jan 02, 2011 02:30 PM
In both domestic & international arlines, the lower fares (black magic by CIAL??) from Kochi is attracting passengers in hordes from all over kerala. There are many flyers from Thiruvananthapuram who take taxi to Kochi and fly from there due to the huge difference in airfares. Hence it is unfair to compare the patronage of Govt. run airport with private run airport unless the fares are rationalized. But One thing is for sure, whether the kochi lobby like it or not, with the new world class terminal T3 and engineering base of AI, Thiruvananthapuram is going to be the leading airport of Kerala with two international terminals and a domestic terminal.
Re: Re: Re: Re: Re: Re: Re: AIE
by Shaji VK on Jan 02, 2011 02:29 PM
The irony of CIAL is that they went with a begging bowl to Air India, a public sector airline, & influenced them to set up its HQ at Kochi as against earlier announcement to Thiruvananthapuram . In contrast, CIAL & Kochi lobby always had contempt of and spit venom against anything in public sector!!! One recently become director of Air India, a NRI businessman hailing from Kochi, along with few regional MPs from ruling party succeeded in their backdoor maneouvres thereby thwarting the AIE HQ out of Thiruvananthapuram. The same AirIndia director who hails from Kochi is also in the director board of CIAL which is a clear case of nepotism as far as AIE HQ location choice!!. But for Thiruvananthapuram, the only lone voice was from Shashi Tharoor M.P. ,who requested the AIE base where it deserved to be, after he came to know about the kochi lobby indulging in backdoor maneouvres!!
Re: Re: Re: Re: Re: AIE
by Shaji VK on Jan 01, 2011 05:02 PM
CIAL is not paying back debts to HUDCO, a government owned firm, for past many years. HUDCO has filed court case against CIAL for not paying back dues but CIAL declaring dividends every year & cooking books to show as profitable concern. CIAL claims itself to be a private owned company and always boast about higher quality service in private airports and airlines. In the past it used to complain about air India services citing it as a public sector inefficient airline. Now the same CIAL is running with begging bowl after Air India to setup HQ there. What a contradiction?
There is no political lobby for Trivandrum airport till date as it is nobody’s pet airport. Whereas Kochi airport is strongly backed by KV Thomas /PC Chacko/Vayalar ravi etc. and Koxhikode airport by E Ahmed/ MK Raghavan etc. . Trivandrum airport happens to be the first in Kerala and built by erstwhile Travancore Maharaja. Everybody knows who all politicians, businessmen and IAS officers were behind formation of CIAL.
It is foolishness to talk about higher patronage in CIAL because it is the poor Gulf labourers from all districts of Kerala who use Kochi and Thiruvananthapuram airports. Since for some reason (maybe better marketing of CIAL than the Govt. owned Thiruvananthapuram & kozhikode airports) airline fares are always kept lower through Kochi airport than Thiruvananthapuram and Kozhikode, many passengers even as far as from Thiruvananthapuram and Koz
Re: Re: Re: Re: Re: AIE
by Shaji VK on Jan 01, 2011 05:05 PM
It is foolishness to talk about higher patronage in CIAL because it is the poor Gulf labourers from all districts of Kerala who use Kochi and Thiruvananthapuram airports. Since for some reason (maybe better marketing of CIAL than the Govt. owned Thiruvananthapuram & kozhikode airports) airline fares are always kept lower through Kochi airport than Thiruvananthapuram and Kozhikode, many passengers even as far as from Thiruvananthapuram and Kozhikode fly through Kochi.
But if a AIE hub comes to Thiruvananthapuram, CIAL fears that passengers will shift enmasse to Thiruvananthapuram due to the competitive lower fares. Precisely why CIAL lobbied hard to get the HQ offices to Kochi even when engineering base is located at Thiruvananthapuram. Ultimately the loosers are going to be the poor Gulf Labourers from Kerala who will not get the full benefit of a hub in Kerala, due to the dirty political and lobbying games played by vested interests.
Re: AIE
by samsoninfy on Jan 02, 2011 10:16 PM
Kochi host 80 % of the services, while as trivandrum hs 25 % of services and as a hub airport trivandrum is nothing. Yes the Nair lobby failed in pulling this to TVM . Hooray.
Re: Re: AIE
by josekv on Jan 03, 2011 08:09 AM
Oh, now we know. Last few months AirIndia cancelled many services from Trivandrum citing crew and plane shortage. When protested, they said once crew shortage problem solves, it will be re-instated but never happened.
But simultaneously they added many more services to/from Kochi, there seemed to be no problem of crew or plane shortage whatever.
Eventually the AIE flight figures reached the proportion you say i.e. 80% from Kochi and 20% from Trivandrum. A very planned effort by the Kochi Lobby. Great work, Yusuf Ali and team, keep it up!!
Now we know where the "Chathiyan" mar of Kerala belong to!
Re: Re: AIE
by Shaji VK on Jan 03, 2011 11:21 AM
dear friend, air india landed first in Kerala during 1970's at Trivandrum airport. Air India milked out more than 25% of revenues from Trivandrum airport for past three decades but gave nothing in return. Also they made sure that no foreign airlines landed at Trivandrum till late 1990s. After many protests, they allowed some foreign airlines to operate to Trivandrum but to hold control of this airport traffic they decided to setup base at Trivandrum airport.
But alas, now it is even more disappointing to see that people from our own state colluding with some AI officials also were behind this ugly scenario to deny the Air India base/HQ to much deserved Trivandrum airport. I feel Airindia has never given justice to Trivandrum airport and its users right from 1970's.
