SpiceJet, the Indian affordable airline is poised for a major overhaul after securing IN ₹3,000 crore in funding. This financial capital aims to reinstate all grounded planes within the next 18 to 24 months, marking a strategic recovery plan for the airline.
How Is SpiceJet Planning to Reactivate Its Grounded Fleet?
The Directorate General of Civil Aviation (DGCA) was recently informed by SpiceJet about its detailed strategy to resume operations of its fleet. The airline has allocated IN ₹400 crore, especially for spare parts, maintenance, and engineering, which is crucial for the reactivation of its grounded planes. According to SpiceJet’s engineering team, seven of the grounded planes are expected to be operational again by the end of this year.
SpiceJet faced difficulties prior to securing this finding, as over 50% of its fleet was grounded. As of June 30, 2024, out of 64 aircraft, 36 were non-operational. The situation had left only a handful of the 28 airworthy planes still flying. With the new funding, SpiceJet’s CMD Ajay Singh revealed an ambitious plan to expand the fleet to 100 aircraft by the end of 2026.
What Are SpiceJet’s Plans for Fleet Expansion?
SpiceJet has made a significant decision to boost its operational capabilities by planning to increase its fleet by 10 aircraft by next month. The first of these new planes is expected to join the fleet on October 10. The airline will acquire seven of these aircraft on lease, while three previously grounded planes will be reintroduced into service.
According to Planespotters.net, a live aircraft fleet tracking website, SpiceJet currently operates only 19 aircraft, while 36 are grounded as of October 8. The airline’s decision to induct additional planes is aimed at bolstering its service capacity amidst rising air travel demand.
How Will Recent Funding Impact SpiceJet’s Operational Recovery?
The IN ₹3,000 crore funding marks a crucial turning point for SpiceJet. The funding allows the airline to recover its lost operational capabilities. It also helps in preparing itself for future expansion. Additionally, SpiceJet is set to receive IN ₹736 crore from a previous funding round, which will bolster its financial stability.
SpiceJet’s CMD Ajay Singh stated that all seven leased aircraft are expected to be fully inducted by November 15, with two of them already arriving in India. This operational ramp-up is crucial for SpiceJet to address the rising demand for air travel and enhance its operational efficiency.
What Challenges Does SpiceJet Face in Its Comeback Plan?
SpiceJet continues to encounter challenges despite recent improvements, particularly in maintaining operational standards and ensuring passenger safety. The DGCA is currently finalizing the winter flight schedule. SpiceJet’s timely reintroduction of grounded aircraft will be critical to align with this schedule.
Moreover, the airline’s comeback plan relies on effectively implementing its maintenance and operational strategies. The phased reactivation of grounded planes is crucial. The first three are expected to resume service before the end of November.
SpiceJet’s recent funding and strategic initiatives signify a crucial turning point in its operations. The airline aims to reactivate grounded aircraft and enhance its fleet. The airline is not only looking to recover but also for growth in a competitive market.
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Mallika Sadhu is a journalist committed to revealing the raw, unfiltered truth. Mallika's work is grounded in a dedication to transparency and integrity, aiming to present clear and impactful stories that matter. Through comprehensive reporting and honest storytelling, she strives to contribute to provide narratives that genuinely inform and engage. When not dwelling in the world of journalism, she is immersed in the colors of her canvas and pages of her journal.
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