Indian Aviation Overhaul: New Bharatiya Vayuyan Vidheyak Bill Aims To Revamp India's 1934 Aircraft Act

Civil Aviation Minister K Ram Mohan Naidu introduced the Bharatiya Vayuyan Vidheyak 2024 in the Lok Sabha on Wednesday (31 July), aiming to overhaul the 90-year-old Aircraft Act of 1934.

The proposed bill seeks to modernise and simplify civil aviation regulations, addressing ambiguities in the existing Act and aligning with international standards.

Rationale Behind New Bill

The Bharatiya Vayuyan Vidheyak 2024 is designed to replace the outdated Aircraft Act, which was originally established during British rule and has undergone 21 amendments over the decades.

Naidu explained that these incremental changes led to confusion and redundancy within the Act. "There’s a lot of grey area and redundancy," he said, emphasising the need for a new principal Act to remove these issues and streamline the regulatory framework.

The bill aims to ensure that civil aviation rules are consistent with International Civil Aviation Organisation (ICAO) guidelines, enhancing ease of doing business and supporting the growth of India's aviation sector.

Impact on Aviation Sector and Financial Implications

The bill aims to provide the central government with expanded authority to regulate various aspects of aviation, including aircraft design, manufacturing, and safety.

It also includes provisions for investigating accidents, addressing public health concerns related to aviation, and managing airport infrastructure.

According to the financial memorandum, the bill will not incur additional costs or require the creation of new bodies. Existing organisations like the Directorate General of Civil Aviation (DGCA) and the Bureau of Civil Aviation Security (BCAS) will continue to operate under the new framework.

The Bharatiya Vayuyan Vidheyak 2024 includes key provisions to enhance aircraft design and manufacturing in alignment with the 'Make in India' initiative. This legislative move coincides with the planned establishment of a new helicopter assembly facility in India by a leading aircraft original equipment manufacturer (OEM).

The bill also addresses the vital maintenance, repair, and overhaul (MRO) industry, which is crucial for the aviation sector. India’s MRO market is currently valued between $1.0 billion and $1.7 billion for commercial aircraft and is projected to grow at approximately 9 per cent annually, reaching $4 billion by 2031.

Currently, only 15-20 per cent of the MRO market is serviced within India, while the remaining 80-85 per cent is managed overseas.

The new bill seeks to establish regulations that will bolster the infrastructure for maintenance, repair, and overhaul services, aiming to enhance domestic support and foster growth within India’s aviation sector.

Controversy Over Nomenclature

The introduction of the bill was met with some opposition, particularly regarding its Hindi nomenclature.

MP N K Premachandran from Kerala questioned the need for changing the title from "Aircraft Bill" to "Bharatiya Vayuyan Vidheyak," arguing that the title change could create confusion and difficulty for those unfamiliar with Hindi, reports Economic Times.

In response, Naidu defended the choice of nomenclature, stating that similar issues had been addressed in previous bills. He stressed that the bill's text remains in English and that the new name is intended to create a distinct identity for India’s aviation sector.