NEW DELHI: The formula for distributing the foreign flying rights of the grounded Jet AirwaysNSE 7.87 % has led to a schism in the airline industry, with IndiGoNSE -1.72 % on one side and its rivals on the other, government officials told ET. State-owned Air India has first right of refusal — and will get about half of them on high-demand routes — and the remaining entitlements are given out in proportion to a carrier’s domestic flights, which would give IndiGo the most, since it’s market leader.
SpiceJet, Vistara and GoAir objected to this at a meeting convened by aviation secretary Pradeep Singh Kharola on the grounds that this would create a “monopoly,” said one of the persons cited above.
