Government Grants Final Extension

The Union government gave IndiGo a final three-month extension. This is to end its lease with Turkish Airlines, says The Indian Express.

Details of the Lease Agreement

IndiGo runs two Boeing 777-300ER aircraft. These planes are on a damp lease from Turkish Airlines. They fly direct from Delhi and Mumbai to Istanbul.

Here’s how the agreement works:

• Turkish Airlines provides the aircraft, crew, maintenance, and insurance.
• IndiGo manages ticket sales and marketing.

Government’s Decision

IndiGo asked for a six-month extension. But the government said no. This happened amid tensions between India and Pakistan, with Turkey supporting Pakistan.

The three-month extension came just before the agreement ended. A senior official said this was the last extension. IndiGo must end the lease in this time.

Background of the Agreements

The two airlines signed the damp lease agreement in 2023. IndiGo also has a codeshare agreement with Turkish Airlines since 2018.

A codeshare agreement lets airlines sell seats on each other’s flights. This helps them offer more destinations without more planes.

IndiGo’s Stance

With India-Turkey relations worsening, IndiGo says its agreements follow Indian laws. Pieter Elbers, IndiGo’s CEO, said they will adjust if the rules change.

Additional Government Action

On May 15, the government also canceled the security clearance for Turkish ground-handling firm Çelebi in India.