HAL airport must stay: High Court

Mr. Devesh, 

Please do not take this as personal. It is not.

 I am bit puzzled after Going thru your postings on Praja.

1. Devanahalli Vs Bidadi. Your preference seems to be Bidadi.

Any place chosen for BIAL would have been a political one. Isn't it? I will bet, any place chosen for project like airports would have been a goldmine for politicians, bureaucrats, land sharks, mafias and adjacent land owners. If not what was Gowdas love for Bidadi? Is no one would have benefited from the real estate if the BIAL was at Bidadi?

2. North-South discussion.

Can anyone of us think or even imagine that places like airports would be equidistance from all corners of the city and it will be smooth ride for all. Mr. Devesh lets talk practically. Even today can you point me to a public transport service that I can rely on to reach HAL airport from all corners of the city.

 

 

 

Devesh, through out this thread you have been mentioning about cargo business. From what you say, it looks like cargo business is a very profitable business for the city and surrounding industries. It would have been happening at the HAL airport till now I believe. You alo mentioned that this business is being lost to competing airports like Chennai & hyderabad - due to many reasons. If the HAL airport is continued, will Bangalore city be able to atleast retain ALL the cargo business happening now? (increasing if possible) Long time back, i remember reading in the newspapers that BIAL had plans to make bangalore a major cargo hub in South India. Dont know what happened to the plans.

lets wait for the DGCA. it might just be a could it will it kind of report.

Here are my personal observations after looking at responses (or lack of it! Read my earlier posting given at the end which has unanswered questions in it):

1. If at all, its the runway capacity issue that BIA has. Cargo infra. could be another.

2. Connectivity/distance is not the real issue.

3. If HAL stays, it complements BIA and not compete. Even if it competes, it competes for airlines and not for passengers.

4.  There seems to be a hurry to decide to retain HAL. That too, the whole argument started only at the 11th hour.

These lead me to conclude the following:

A. Looking at the tearing hurry and keeping in mind that the whole debate to keep HAL started at 11th hour, there is reason for us to feel fishy. I'm not an expert, but using whatever common sense I have, a one year lead time to bring back HAL into life looks unreasonable. If that is true, that itself partly shows capabilities of HAL.

B. The common man will not gain if HAL is kept open. Infact, there is a chance he'll lose choice to use better services. If you argue that HAL would be cheaper and hence better for common man - consider this: one of the options is to charge the end user a fee at HAL to compensate BIA. Or, since the airlines would have to bid for slots in HAL, generally the price of tickets would be higher, which in turn results in common man having to spend more. This may ultimately result in net costs being same between HAL/BIA. Hence, common man does not gain and might lose.

C. The whole approach to solving problems is concerning. I'm sure we all accept that general approach is: we start with issues, then look for options and then chose the best option. But over here, we are looking at one of the options and citing issues that this option takes care.

D. It is a section of the industry and a handful of airlines which stand to benefit if HAL is kept open. This leads to think that "Keep HAL" lobby is strongly influenced by these.

It might be the right decision to keep HAL ultimately and it might be good to keep the industry happy at the cost of someone else. I'm not talking right or wrong of the final decisions here.

Please note that I'm not making any allegations. I'm no expert. I might be wrong. But given the current arguments, I think I can reasonably say I've not yet been proven wrong.

==========BEGIN (EARLIER POST)================

HAL & BIAL: Why hurry?

Devesh,
Thanks for taking your time to share your views in detail. That really helps.

However, I see there are two completely orthogonal vectors of your argument:

1. Runway capacity: You say runway capacity would be reached on day 1 at BIA, hence HAL should be retained.

2. Competition: On the other hand, You say you want competition and hence HAL should be there.

Now, which one is it? Both? If so, to mitigate runway capacity, HAL has to complement BIA (and not compete), which contradicts point 2.

So is it compete or complement? I'm a bit confused. Earlier I used to read that those who wanted HAL wanted it to complement BIA. Now, if it has to compete in true sense, then it should compete for the following (leaving the connectivity, as its agreed that its not a real issue):

1. International flights
2. Domestic long hawl
3. Domestic short hawl
4. Services to airlines/end users

As s_yajaman rightly pointed out, there won't be true competition from end-user stand point. There would not be real choices to the end user. Given the destination, time of travel and airline, the airport for end-user is fixed. There won't be a situation where a flight starts from HAL and stops over at BIA. So, in effect, there is no real choice for end user. On the other hand, the two airports would have to compete for the airlines. There you go, it could be that the airlines which stand to benefit and not the end user.

This means, its only the real runway capacity that should dictate, if at all, if HAL has to be retained.

Now, lets look at it objectively. Here, we have a problem. Runway capacity at BIA. Lets keep that as the primary issue. Retaining/re-opening HAL is only one of the solutions. While, its good to suggest a solution, its better to have options. What if state/cetre/AAI doesn't want to keep HAL open? What if SC strikes down to keep HAL open? What are the options? I'm sure there are other options. Having only Plan A is not good. We need to have Plan A, Plan B and if possible Plan C. We should see from that angle and not just push HAL. Having HAL as an option to solve a real issue is one thing and pushing HAL citing issues is totally different thing.

Lastly, I guess we all agree that agrument to retain HAL has come at the 11th hour. Lets not hurry. Ultimately running HAL could be the right solution, based on whatever technical details. But it need not be rushed into. What's the hurry? Lets analyze in detail, argue and aim for a more permanent solution. It could mean that HAL would be out of service for a few months. So what? Why are we thinking that its now or never? If, based on technical aspects, it is decided that BIA can't handle that much of traffic, the system (including law) should and will take care of that. Lets have faith in our system.

On the other hand, if we want to hurry into deciding to keep/close HAL now, it gives a feeling that there is a vested interest/political inclination to it, given that elections are round the corner.

==========END===============

I dont agree with your idea of seperation of airlines. Only Kingfisher and Jet have low cost carriers, the rest have no intentions of having LCC and full service airlines (Indigo, Spicejet and GoAir). Air india too is not doing well with Aliance Air/Regional. Secondly LCC's have a lot of passengers per plan, as they dont have business class/add more seats. If you allow all LCCs to ply at HAL, it will lead to congestion. The immigration and customs infrastructure is pathetic at HAL, making it a very unimpressive impression of Bangalore. And international flights are a lot of revenue which BIAL would want after thier investment. Secondly, LCC's have to invest twice for the same city for Ground Handling - are they willing to do so?

If BIAL agrees, and then AAI, and HAL agrees, sure why not.

However I am giving to understand, "persuasion" has been done at seriously high levels, so we Bangaloreans will get taken for a ride with an exclusive BIAL, no matter the soundness of our suggestions.

With regards to MSIL, you are forgetting the JWG terminal which is on the other side of the airport.

I am not on a fault finding mission, but a solution finding mission. I think all of us at Praja should contribute to suggestions, however, we need to see the macro picture when making suggestions.

Just for example, cargo connectivity gets affected by another restriction that is in place for our benefit. No trucks in peak hours. Most exporters prepare their cargo in the morning, and send out to the airport so that customs and security formalities are completed before airlines close their offices at 6pm, and the cargo gets loaded on the night flight. Why else pay air cargo premiums. These trucks then load up imported cargo in the evening that have been cleared through the day, and bring back to customers so that the goods get put in to production, or ready for sale the next morning.

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Regards

Devesh R. Agarwal

Visit my aviation blog at http://deveshagarwal.blog...

 

Dear All

I am going to try and post one reply that addresses the many posts raised.

BIAL is definitely a superior airport to HAL there is no doubt about it. But by no measure is it a "world class" airport.

I am most definitely not against BIAL. I welcome BIAL. However, given the initial capacity constraints at BIAL, and keeping in mind the ridiculously high rate of growth at Bangalore, I am for keeping HAL airport open in addition to BIAL.

Airports in the 20th and 21st century are what railway stations were in the 19th and early 20th century. Major hubs and economic drivers. For too long I have seen Bangalore, its residents and its commerce, suffer due to the lack of capacity at the airport. Now is the time to address the problem. For first time, we have the opportunity to be ahead of the demand curve instead of always playing catch-up.

For those people who say that this is a 11th hour approach, I beg to differ. Industry Chambers have been monitoring the aviation scenario in Bangalore since 2004, before BIAL construction even began.

All along we have persuaded AAI and HAL to invest in HAL airport, despite expecting HAL airport to close. While at the same time, highlighting capacity constraints to MoCA, and pushing them to force BIAL to expand. BIAL did not expand of its own volition.

Just for information, out of the Rs. 2500 Cr investment by BIAL consortium, only about 400 Cr was additional investment to increase capacity, since it was just adding another terminal module. The main investment is in runways and other facilities,

It was only in early 2007, we have observed that actual air traffic will outstrip the capacity of the single runway at BIAL, and this caused us to start discussions and brought this topic to the forefront. Of course the complete lack of progress on the connectivity front just added fuel to the whole fire of urgency.

I am happy to publically admit that all predictions I made about air traffic in Bangalore, since 2004, have been exceeded by actual performance. It is a reflection of suppressed demand and the economic growth of our city. The economic boom all over India has created unanticipated demand, which was just not planned for. Instead of taking a cooperative approach to address the problem, we find BIAL wanting the whole pie, even if cannot cater to it.

Public action was initiated only after more than 6 months of effort at rapproachment. Just Google my name Devesh Agarwal along with the word BIAL and airport, and see how far back, I have raised concerns on airport capacity.

I am not concerned about the terminal, since it people are far more flexible, and I know BIAL can add terminal capacity relatively quickly, if it truly desires.

I have done comparisons with other international airports, including a small airport on the island of Penang. This 5 million passenger airport is not big, but I am willing to bet everyone on Praja, that their computer has at least one IC chip in their computer made in the Bayan Lepas area just adjacent to their airport. Check this story. It explains how Bangalore has been duped of its freedoms in the interest of BIAL. Of course the dupers included our Government. http://deveshagarwal.blog...

There are some stories on my blog, I urge all interested Praja visitors to visit and read. I will welcome your comments on my blog. Of course feel free to Digg, Newsvine, Technorati it.

http://deveshagarwal.blog...

http://deveshagarwal.blog...

http://deveshagarwal.blog...

There are other stories as well. Please take the time to read all of them. Feel free to comment on the stories on my blog. As long as there is no offensive language, I will post it. I do not practise censorship.

I have discussed possible scenarios about how to divide up the pie between BIAL and HAL. The market driven approach is the most fair. The only reason for this approach is to compensate BIAL as a peace offering. Yes, it will make air travel even ex-HAL more expensive, but I do believe it will be less than the Rs. 1500+ additional a passenger will spend for the transport and UDF ex-BIAL.

It is Hobson's Choice. Do we see continued stagnation of air traffic, or go with the shared approach and bring slightly excess capacity to whole of Bangalore, along with a choice.

If BIAL wants to be generous and give up a share of traffic without cost, everyone will be more than happy.

I also believe that AAI Bangalore needs to be given a free hand in upgrading and running the terminal at HAL, or else, get out, and give the operations to some one else, even BIAL.

After travelling from Delhi, Chennai, and Hyderabad, I do not find HAL terminal any worse, with the possible exeption of overcrowding. However, these are issues, also not caused by either HAL and AAI, but by CISF and Customs, by lack of people and XRay machines at security. Yes, Customs is to provide the XRay machine at international incoming baggage.

These are issues that will plague BIAL as well. Terminal beauty is only skin deep.

As a closure, I invite all Praja visitors to read my story http://deveshagarwal.blog.... I am concerned to the point of conviction that the "re-negotiation" as per the direction of the Honourable Court, scheduled for next week, will not be sincere.

There are links in my story to certain Parliamentarians. Praja visitors have the chance to act. Let us put our actions where our keyboard fingers are. 

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Regards

Devesh R. Agarwal

Visit my aviation blog at http://deveshagarwal.blog...

 

My point was, that if we allow all LCC's to fly to HAL, we will end overiding the capacity of HAL, which is why we built a new on in the first place!

Hi Devesh, Could you please take a look at my query regarding air cargo business? It would be great to know what you think about it. (kept your name in the subject line to catch ur attention) Some related news reports for reference: Back in 2006 --> http://www.blonnet.com/20... now in 2008 --> http://www.hindu.com/2008...

Thanks for the reply, Devesh. It cleared many points. We wish a speedy recovery for your mother.

Govt should always honestly try to understand the real problem. But for having a policy, we can take an option from USA and modify it to our needs. Here is Wikipedia extract giving details about such strikes in USA: link: http://en.wikipedia.org/wiki/Strike_action#In_the_USA

In the USA-

The Railway Labor Act bans strikes by United States airline and railroad employees except in narrowly defined circumstances. The National Labor Relations Act generally permits strikes, but provides a mechanism to enjoin strikes in industries in which a strike would create a national emergency. The federal government most recently invoked these statutory provisions to obtain an injunction against a slowdown by the International Longshore and Warehouse Union in 2002. Some jurisdictions prohibit all strikes by public employees (under such laws as the "Taylor Law" in New York). Other jurisdictions limit strikes only by certain categories of workers, particularly those regarded as critical to society: police and firefighters are among the groups commonly barred from striking in these jurisdictions. Some states, such as Michigan, Iowa or Florida, do not allow teachers in public schools to strike. Workers have sometimes circumvented these restrictions by falsely claiming inability to work due to illness — this is sometimes called a "sickout" or "blue flu." The term "red flu" has sometimes been used to describe this action when undertaken by firefighters. It is also illegal for an employee of the United States Federal Government to strike. Prospective federal employees must sign standard form 61, an affidavit not to strike. Postal workers involved in 1978 wildcat strikes in Jersey City and Kearny, NJ, San Francisco, and Washington D.C. were fired under the presidency of Jimmy Carter and President Ronald Reagan terminated air traffic controllers after their refusal to return to work from an illegal strike in 1981.

 

I think it is high time BIAL accept the fact that HAL airport continuing operations is beneficial to public. BIAL also benefits as it doesnot have a second runway presently and can always think of HAL airport as alternate runway in case of emergencies.

BIAL, AAI, Government should positively sit together next week and renegotiate the concession agreement( as per court) considering public in mind. For heaven sake, this meeting shouldnot be another drama and waste of time.

BIAL may ask for a reasonable compensation for allowing HAL airport to continue by means of obtaining additional foreign airlines landing rights to BIAL or similar other grants from the Government instead of thinking of levying additional fees on passengers using HAL airport. I request BIAL to focus also on getting public goodwill in addition to meeting their financial targets.

Rakesh.

Thanks to everyone for their kind wishes.

Back on topic, unfortunately in India, our leadership is too populistic. Whether it be promising free colour TV or cable, or rice, or capitulating to unreasonable threats, which includes strikes.

Our leadership, most especially in the South, does not demonstrate the required strength to take on labour when they are wrong.

Please correct me if I am wrong, a few years ago, CM Jayalalithaa terminated a whole bunch of striking employees, and then the courts made her re-instate all of them. Utter nonsense.

Also, the labour laws in India are so skewed in favour of labour, it is not funny. Essentially in India, an employer has the right to hire, and the employee has the right to walk away, but an employer cannot fire some one.  This situation is so skewed, that India looses far more investment because of this, than if we, say, modified a BIAL contract.

Government employees, some times have genuine reasons to go on strike, but a majority of times, it is to protect their own domain. They have got used to the concept of "lifetime employment" regardless of performance. The net result is that the good guys, land up getting frustrated by the bureaucracy, and leave. This results in a further erosion of talent. 

This is the main reason behind rash driving by BMTC drivers. Cops are frightened of the union's political clout, and don't take them on. In Mumbai, BEST drivers went on strike, and the government terminated a lot of them. If you observe the rash of strikes in Bangalore reduced. Nowadays, if there is a BMTC strike, all Bangaloreans pitch in offer rides, autos pitch in, and the strike gets defeated.

The power is ours, we need to exercise it. Let us elect a government that is strong willed and determined to do something. While I may not agree with SM Krishna, I did admire what he did for urban governance in Karnataka. 

Coming to election blues. I strongly urge the BIAL consortium to stick to its guns on opening date and commence operations. Bangalore sorely needs the additional capacity of BIA and also, summer is a lean period to travel in. It will allow time for things to settle and for problems to be addressed and resolved in time for the winter season rush.

This can become a poll. Do you favour opening BIA on May 11th, without fanfare, or delay the launch to accomodate the fanfare ? 

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Regards

Devesh R. Agarwal

Visit my aviation blog at http://deveshagarwal.blog...

 

Dear Praja Friends

 I have some positive news to report on BIAL. Check the forum http://bangalore.praja.in....

Time to move ahead. 

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Regards

Devesh R. Agarwal

Visit my aviation blog at http://deveshagarwal.blog...

 

  Hi NS

Agreed, but the Court also re-inforced the HC directive for the Centre to re-negotiate the contract. 

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Regards

Devesh R. Agarwal

Visit my aviation blog at http://aviation.deveshagarwal.com

 

Very frankly, I do not believe any one has conducted the study. The focus is not to "protect" the business of A particular business entity or group.

Our concern should be the overall capacity.

Talking about revenue loss, with the UDF being fixed at Rs 675, we are all in for a rough time. 

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Regards

Devesh R. Agarwal

Visit my aviation blog at http://aviation.deveshagarwal.com