Air India divestment not possible in near future: Government
New Delhi, July 18 : The Government on Wednesday ruled out disinvestment of Air India in the "immediate near future," though it said it remains committed to completing the process.
Saying that the present environment is "not conducive" for it, Minister of State for Civil Aviation Jayant Sinha told Rajya Sabha that the issue would be revisited once global economic indicators, including oil prices and forex conditions, stabilize.
The Ministry would, in the meanwhile, focus on near and medium-term efforts to "capture operational efficiencies" to improve the performance of Air India, along with "monetising non-core land and building assets", Sinha said.
The government had invited Expression of Interest (EoI) on March 28 this year for disinvestment of Air India including the national carrier's share-holding interest in the Air India Express Ltd. and Air India SATS. But, it received no response till May 31, the closing day.
"The government remains committed to the disinvestment... The Air India Specific Alternative Mechanism (AISAM) has decided that in view of volatile crude prices and adverse fluctuations in exchange rates, the present environment is not conducive to stimulate interest among investors for strategic disinvestment of Air India in the immediate near future," Sinha said.
The government has also decided to separately deal with the mode of disposal of the subsidiaries such as Air India Engineering Services Limited (AIESL), Air India Air Transport Services Limited (AIATSL) and Airline Allied Services Limited (AASL).
He said the probable reasons for the lack of interest among bidders include the government's 24 per cent stake and corresponding rights, a high amount of allocated debt, changes in macro environment, individuals not being allowed to bid, the profitability track record, and bidders not being able to form a consortium within the time-frame.
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CPI(M) inaugurates NH-66 stretch in Kerala ahead of PM dedicates it to nation
Kochi (PTI): The ruling CPI(M) in Kerala on Wednesday inaugurated one of the completed stretches of NH-66, hours ahead of its dedication to the nation by Prime Minister Narendra Modi, in protest against the exclusion of state PWD minister P A Mohammed Riyas from the PM's event.
Riyas, reportedly, will hold a roadshow on one of the completed stretches of the National Highway-66 that is scheduled to be inaugurated by the PM.
The Thalappady-Chengala stretch of NH 66 was inaugurated by CPI(M) MLA C H Kunhambu.
The roadshow by Riyas will be held on the Vengalam-Ramanattukara stretch of the Kozhikode bypass.
Both these stretches, which were upgraded to six lanes and already opened to the public, were set to be inaugurated by the PM at 12.30 pm here.
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According to government sources, Chief Minister Pinarayi Vijayan won't attend the event, though his name is included in the programme schedule. However, no particular reason was cited for his decision to skip the event.
State Ministers M B Rajesh and K Krishnankutty, who have been invited to the PM's event, also said they are not taking part because of personal reasons.
In response to the CM and other ministers' decision, state BJP president Rajeev Chandrasekhar told reporters that, as per protocol Vijayan, being the head of the state, was invited for Modi's official event, and if the Marxist veteran was aggrieved over his son-in-law (Minister Riyas) not being there, that is his problem.
"As head of the state, the CM was invited in accordance with the protocol. It is nowhere said that the CM's son-in-law (Riyas) and other family members also have to be invited. If they have a problem with it, so be it. That is what I have to say," the BJP leader said.
"It was for the CM to decide who should accompany him. Elections will be held in the state in around 30 days. The CPI(M) is trying to create a controversy now as they know that after 30 days, Vijayan will not be CM and Riyas will not be a minister," Chandrasekhar said.
He further said that the CM was aware of the PM's visit 5-6 days in advance, and he did not say anything about who all should be invited.
"Why did he not say anything? This is all an attempt to create controversy. If you (CM) wanted a certain minister to accompany you, it should have been communicated to the government of India in advance. Why did you not do that? From what I know, the CM did not say anything to the Centre," the BJP state president claimed.
