Aviation Safety and Non-Scheduled Operators in India: Challenges and Regulatory Reforms

After Reading This Article You Can Solve This UPSC Mains Model Questions: 

India’s Non-Scheduled Operators (NSOs) sector has witnessed multiple accidents, exposing systemic safety and regulatory gaps. Critically examine the key issues faced by India’s aviation industry and suggest strategies for strengthening regulatory oversight and regional connectivity. 15 Marks (GS-2, Governance)

Context

• A cluster of recent aviation mishaps, including small aircraft crashes at Baramati (Maharashtra) in January 2026, near Simaria (Jharkhand), and a helicopter crashlanding near Mayabunder in the Andamans, signals deep-rooted safety concerns in India’s non-scheduled operators (NSOs) sector.
• These incidents emphasize that charter aviation requires rigorous regulation akin to scheduled commercial flights, as the sector’s growth heightens oversight imperatives.

Background: The NSO Landscape in India

• Definition of NSOs: Non-Scheduled Operators are entities that provide air transport services (passenger or cargo) without a published timetable, often operating on a charter basis.
• Current Scale: As of late 2025, India has approximately 133 NSO permit holders utilizing a diverse fleet of fixed-wing aircraft and rotary-wing (helicopters) assets.
• Growth Drivers: The expansion of the NSO sector is fueled by the rise in VIP travel, religious tourism (heli-pilgrimage), medical evacuations (Air Ambulances), and corporate logistics, often operating in “uncontrolled environments” or remote airfields where commercial airlines do not fly.

Present Scenario of Aviation Industry in India

• Position in the Global Aviation Market: India ranks as the third-largest domestic aviation market after the US and China, managing about 4.2% of global air traffic. The Indian aircraft fleet constitutes roughly 2.4% of the world fleet, growing rapidly due to fleet expansions and new aircraft orders.
• Growth in Passenger Numbers: Domestic air passenger demand is estimated to reach 715 million by 2030 and is projected to grow to around 1.1 billion by 2040, a six-fold increase from current levels.
• Expansion of Airport Infrastructure: The number of functional airports increased from 74 in 2014 to 163 in 2025. By 2047, the aim is to have 350–400 airports, emphasizing greenfield development and public-private partnership (PPP) models.
• Contribution to the Economy: In 2025, the aviation sector supports over 7.7 million jobs and contributes approximately 1.5% to India’s GDP.
• Regulatory Evolution in Civil Aviation
  • Air Corporations Act, 1953: Nationalised nine airlines, giving government-owned carriers a dominant role until the mid-1990s.
  • Open Sky Policy (1990–94): Allowed private air taxi operators, ending the monopoly of Indian Airlines (IA) and Air India (AI).
  • Bharatiya Vayuyan Adhiniyam, 2024: Replaced the Aircraft Act, 1934, aligning Indian laws with ICAO standards and the Chicago Convention. Supports Make in India and Atmanirbhar Bharat initiatives in aviation, simplifies licensing and regulations, establishes a structured appeals process, and modernises aviation governance.

Regulatory Structure Overseeing Aviation Industry in India

• Policy and Strategic Oversight: The Ministry of Civil Aviation (MoCA) leads overall direction for the sector.
  • It sets national policies like the National Civil Aviation Policy (NCAP) and manages international air service agreements. MoCA drives key programs such as UDAN for regional flights and airport privatization efforts.

• Safety and Operations Regulation: The Directorate General of Civil Aviation (DGCA) handles technical rules and enforcement.
  • DGCA creates Civil Aviation Requirements (CARs) for flight operations, pilot rest limits, aircraft upkeep, and airline standards. It grants Air Operator Certificates (AOCs), approves new planes, and runs safety checks.

• Accident Investigation: The Aircraft Accident Investigation Bureau (AAIB) is a statutory body under India’s Ministry of Civil Aviation, established in 2012 per Aircraft (Investigation of Accidents and Incidents) Rules, 2017, to probe civil aviation accidents and serious incidents independently of regulatory functions.
  • Investigations follow International Civil Aviation Organization (ICAO)Annex 13 rules, focusing only on causes and safety advice. Findings help prevent future risks without assigning blame.
    • ICAO is a specialized United Nations agency that sets global standards for safe, orderly, and sustainable international civil aviation, including safety, navigation, and environmental practices.

• Security Management: The Bureau of Civil Aviation Security (BCAS) ensures protection across aviation.
  • About Bureau of Civil Aviation Security (BCAS): Established in 1987 under Ministry of Civil Aviation, BCAS sets aviation security standards per ICAO Annex 17, overseeing passenger screening, access control, cargo security, and compliance audits at airports.​
    • Headquartered in New Delhi, it operates four regional offices at major international airports: Delhi, Mumbai, Kolkata, and Chennai. Led by a Director General of Police (DGP)-rank officer designated as Commissioner of Security.
    • It conducts mock drills, issues directives, and trains personnel via Aviation Security Training Institute (ASTI) in Gurgaon to counter threats like terrorism in India’s growing aviation sector.
  • The BCAS releases security guidelines for airlines, airports, and ground handling agencies, and works in close coordination with intelligence and law enforcement authorities.

• Key Legislative Measures: Modern laws update old rules for better efficiency.
  • Bhartiya Vayuyan Adhiniyam, 2024 replaces the 1934 Aircraft Act, simplifying DGCA roles, boosting safety checks, and raising fines.
  • Protection of Interest in Aircraft Objects Act, 2025 fixes gaps in global leasing rules, aiding quick plane recovery and lender trust.

• Global Standards and Compliance: India, as a contracting state to the International Civil Aviation Organization (ICAO), must follow its Standards and Recommended Practices (SARPs) covering aircraft certification, airworthiness, safety systems, accident probes, and environmental rules.
  • Compliance with the Chicago Convention shapes India’s global aviation reputation, influencing insurance costs, leasing terms, and trust from other nations for international flights.

Major Challenges in India’s Aviation Industry

• Pilot Training and Skill Shortages: Limited availability of flight simulators, shortage of qualified instructors, high training expenses, and restrictions related to type-rating certification have made pilot supply rigid. The approval of nearly 236 temporary foreign pilots in 2025 reflects dependence on short-term and costly solutions.
• Market Dominance and Systemic Risks: The domestic market is largely dominated by IndiGo (around 63–65%) and the Air India Group (about 27–28%), together accounting for almost 90% of passenger traffic. IndiGo serves as the only airline on nearly 60% of routes, meaning operational disruptions can lead to complete loss of service on those routes.
• Insufficient Operational Buffer: Unlike global airlines that maintain 20–25% standby crew strength, Indian carriers operate at near full capacity utilisation, leaving minimal buffer to manage sudden operational disturbances.
• Regulatory Weaknesses: Almost half of the sanctioned technical posts in DGCA remain vacant, reducing effective oversight. Service disruptions are often addressed through temporary schedule relaxations instead of consistent regulatory enforcement, indicating reactive management.
• High Costs and Fuel Price Fluctuations: Airlines face persistent financial strain due to fluctuating Aviation Turbine Fuel (ATF) prices, which are closely linked to global crude oil rates and U.S. dollar movements, creating cost uncertainty.
• Frequent Airline Insolvencies: The collapse of carriers such as Kingfisher Airlines (2012), Jet Airways (2019), and Go First (2023) underscores ongoing financial instability and structural weaknesses in the sector.
• Increasing Safety and Compliance Risks: Rising air traffic, repeated operational breakdowns, and the issuance of 19 safety violation notices by DGCA in 2025 highlight mounting concerns regarding regulatory compliance and systemic resilience.

Key Strategies to Strengthen Aviation Industry in India

• Shift from Short-Term Fixes to Long-Term Reforms: Replace ad hoc schedule relaxations with institutional strengthening to ensure the aviation system can handle rising passenger demand, projected to reach 715 million by 2030.
• Strengthen Regulatory Supervision: Fill vacant technical positions in the DGCA and implement rule-based and risk-based supervision to improve safety compliance and build regulatory credibility.
• Develop Comprehensive Pilot Training Facilities: Increase simulator availability, strengthen domestic training institutes, simplify licensing procedures, and resolve type-rating constraints to meet future pilot demand and reduce reliance on temporary foreign pilots.
• Institutionalise Crew Reserve Standards: Set minimum spare crew thresholds aligned with global norms (20–25%) to prevent cascading flight disruptions during peak travel or operational shocks.
• Promote Viable Regional Airlines: Go beyond granting NOCs by ensuring effective UDAN subsidies, priority slots at congested airports, and coordinated growth of Tier-II and Tier-III airport infrastructure, reducing dependence on dominant carriers.
• Optimize Aviation Fuel Policies: Consider tax reforms on Aviation Turbine Fuel (ATF) and explore fuel hedging strategies to mitigate global price volatility and currency-linked cost fluctuations.

Conclusion

To ensure India’s rapid aviation growth remains secure, the government must move beyond policy and enforce a “zero-tolerance” approach toward safety violations within the expanding non-scheduled sector. Ultimately, success depends on bridging the gap between commercial interests and safety standards through transparent oversight, better pilot training, and robust institutional support.