Media background note: Bharatiya Vayuyan Vidheyak, 2024 by Poonam Verma Sengupta
- In a historic move, on 05.12.2024, Parliament has passed the Bharatiya Vayuyan Vidheyak, 2024 ("2024 Act") to replace the colonial period legislation i.e. Aircraft Act, 1934 ("Aircraft Act") with an aim to modernise India's aviation sector and to enable ease of doing business in the sector. The 2024 Act retains the regulatory structure qua (i) Directorate General of Civil Aviation (DGCA) – for performing regulatory functions and overseeing safety; (ii) Bureau of Civil Aviation Security (BCAS) - for overseeing security, and (iii) Aircraft Accidents Investigation Bureau (AAIB) – for investigation of aircraft accidents.These authorities will continue to operate under the Central government's supervision.Key highlights of the 2024 Act are as follows:
- Expands the scope of regulation under the Act to include aircraft design, manufacture, and maintenance: Clearly defines terms like "design," "maintenance," and "manufacture" clearly (was not defined in Aircraft Act). Terms 'design' 'maintenance' being used for the first time. This creates regulatory certainty for MRO sector thus, leading to more investments and creating a foundation for an atmanirbhar Bharat.
- Streamlines license process for aviation personnels: Radio Telephone Operator Restricted certificate (RTORC) and licence testing process which was earlier conducted by Department of Telecom (DoT), will now be conducted by DGCA. This Certificate/ license process is required to be undertaken by aviation personnels including aircraft maintenance engineers, flight despatchers and pilots to operate all radio frequencies and equipment on an aircraft. This will ensure a single-window clearance process as aviation personnel can now secure all their certificates (including this one) from one authority.
- Alignment with international conventions: Central Govt. is empowered to makes rules on matters relating to implementation of Convention on International Civil Aviation,1944 and on (RTORC) and licences under the International Telecommunication Convention. This ensures that best global aviation practises are followed in India and at the same time also enhances India's reputation in the international aviation community.
- Introduces second tier of Appellate mechanism: Presently, decisions of Adjudicating Officer re. disputes/ penalties under the Act may be appealed before an Appellate Officer (appointed by Central Govt.). 2024 Act adds an additional level of appeal against the decisions of the First Appellate Officer – which will now lie before the Second Appellate Officer. This ensures transparency and compliance of principles of natural justice.
- Appeals against orders of DGCA and BCAS: 2024 Act adds thatappeals against an order of DGCA or BCAS will lie before the Central Govt. No further appeals against Central Govt. Orders. This again ensures transparency and compliance of principles of natural justice.
- New penalties for dangerous flying & offences: Violation of Rules prohibiting slaughter and deposit of rubbish near airports will be punishable with imprisonment up to three years, a fine up to one crore rupees, or both. Central Govt. given discretion to the central government to specify civil or criminal penalties for violation of Rules concerning re. regulation of activities related to aircrafts such as design, manufacturing, use, and trade, implementation of international convention etc. This is line with the objective of ensuring safety & security for passengers.
- Economic and Fare Regulation in line with interests of consumers: 2024 Act provisions for economic regulation, including fare regulation, ensure a fair and competitive market for air transport services. This helps to preventing unauthorized operation and protects consumers from exploitation while maintaining the financial viability of airlines.
- However, in view of the recent developments in the 2024 Act there are concerns re. the autonomy of regulatory authorities as there is still extensive control/ power that remains with the Central Govt. under the 2024 Act:
- DGCA continues to remain under Govt. supervision/ control. The 2024 Act proceeds one step ahead from the Aircraft Act and increases the powers available with Central Govt. It permits the government to unilaterally appoint arbitrators in compensation disputes. This is conflict with principle as decided by Supreme Court [Perkins Eastman Architects DPC & Anr. vs. HSCC (India) Ltd. (2020) 20 SCC 760] i.e. power to unilaterally appoint an arbitrator for one party is violative of right to equality under Article 14 of the constitution.
- Central Govt. is given powers to decide the criminal penalties leviable as well adjudicate on such disputes involving parties. Therefore, there is no separation of powers.
- Appeals from Orders of DGCA and BCAS (who are already under direct Govt. Control) will lie before Central Govt.
- All this is going to impact the independence of such agencies. Independence of the authorities is important order for any sector to flourish (Ex. other niche areas/ sectors like energy, telecom – all evidence that. Where Appeals from regulatory bodies decision lies with independent regulators).
- Overall, 2024 Act offers progressive and an ambitious step forward for the India's aviation sector. It not only strengthens the safety standards but also aligns with national initiatives like 'Make in India' and international best practices. However, its success will depend primarily on effective implementation, investment in the sector and ability of regulatory authorities to be able to function independently while before under direct control of union government.
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