Minimum Requirements for Grant of Air Operator Certificate to Operate Scheduled Air Transport Services (Passenger)

GOVERNMENT OF INDIA OFFICE OF THE DIRECTOR GENERAL OF CIVIL AVIATION TECHNICAL CENTRE, OPP SAFDARJUNG AIRPORT, NEW DELHI CIVIL AVIATION REQUIREMENT SECTION 3 AIR TRANSPORT SERIES ‘C’ PART II ISSUE II, 19th APRIL, 2022 EFFECTIVE: FORTHWITH File No.: AV.14027/09/2021-AT.1 SUBJECT: Minimum Requirements for Grant of Air Operator Certificate to Operate Scheduled Air Transport Services (Passenger). 1. INTRODUCTION Sub-rule 1 of Rule 134 of the Aircraft Rules, 1937 specifies that no person shall operate any Scheduled Air Transport Service from, to, in, or across India except with the permission of the central government, granted under and in accordance with and subject to the provisions of Schedule XI to the Aircraft Rules, 1937. Accordingly, DGCA grants an Air Operator Certificate to operate Scheduled Air Transport Services in pursuance to sub rule (1) of Rule 134 of Aircraft Rules, 1937. This Civil Aviation Requirement contains the minimum requirements for grant of Air Operator Certificate to operate Scheduled Air Transport Services (Passenger). These requirements are complimentary to the requirements of ICAO Annex 6 Part I & Part III, as applicable. This CAR is issued under provisions of Rule 133A of the Aircraft Rules, 1937. 2. DEFINITIONS ‘Air Operator Certificate (AOC)’ means certificate authorizing an operator to carry out specified commercial air transport operation ‘Operator’ means a person, organisation or enterprise engaged in or offering to engage in aircraft operation and includes an AOC holder as well as an applicant for grant of AOC for undertaking scheduled air transport service. ‘Scheduled air transport service’ means an air transport service undertaken between the same two or more places and operated according to a published time table or with flights so regular or frequent that they constitute a 1CIVIL AVIATION REQUIREMENT SECTION 3 AIR TRANSPORT SERIES ‘C’ PART II 19th APRIL 2022 recognizably systematic series, each flight being open to use by members of the public. 3. ELIGIBILITY REQUIREMENTS 3.1. Air Operator Certificate (AOC) for operating Scheduled Air Transport Services shall be granted only to a person or a company or Body Corporate meeting the requirements specified in Schedule XI to the Aircraft Rules, 1937, as amended from time to time. 3.2. The applicant shall meet the paid up capital requirements as prescribed below: 3.2.1. Airlines operating with aircraft with maximum certified take off mass equal to or exceeding 40,000 kg. a) upto 5 aircraft – Rs 50 crores b) for each addition of up to five aircraft, additional equity investment of Rs 20 crores will be required. 3.2.2. Airlines operating with aircraft with maximum certified take-off mass not exceeding 40,000 kg. a) upto 5 aircraft – Rs 20 crores b) for each addition of up to five aircraft, additional equity investment of Rs 10 crores will be required. Note1: A Certificate indicating the paid-up capital of the company/entity, issued by Chartered Accountant and countersigned by Company Secretary, or by the CMD/MD of the company where the provision of Company Secretary is not applicable shall be submitted. Note2: Full equity as required shall be available with the Company at the time of application for NOC from MoCA in order to demonstrate their commitment, seriousness and genuineness. There may be no need for further enhancement of equity, if the paid up equity/reserves of Rs 100 crores is available with the airline. 3.3. The Applicant/Company and its Board of Directors shall be required to be security cleared from Ministry of Home Affairs (MHA). The positions of the Chief Executive Officer (CEO) and/or Chief Financial Officer (CFO) and/or Chief Operating Officer (COO), and /or any other similar Designation(s) exercising management control, if held by foreign nationals, would also require security clearance from MHA. 3.4. The provisions of FDI policy from Government of India and guidelines from Ministry of Civil Aviation in this regard shall be followed for any foreign direct investment (FDI). 3.5. The applicant shall obtain No Objection Certificate from Ministry of Civil 2CIVIL AVIATION REQUIREMENT SECTION 3 AIR TRANSPORT SERIES ‘C’ PART II 19th APRIL 2022 Aviation (MoCA) as per provisions of Schedule XI of the Aircraft Rules, 1937. 4. SECURITY CLEARANCE 4.1. Grant and continuation of AOC is subject to security clearance from MHA. Denial/Withdrawal of Security Clearance by MHA at any stage will lead to rejection of the application for AOC, and AOC if already issued, shall be liable to be cancelled/withdrawn. 4.2. Ministry of Home Affairs (MHA) is the competent authority for grant of Security Clearance. The request for grant/renewal of security clearance shall be submitted to the Ministry of Civil Aviation though eSAHAJ portal (https://esahaj.gov.in/). Ministry of Civil Aviation shall convey the decision on security clearance based on inputs from MHA. 4.3. The validity of security clearance for the Company and Board of Directors shall be co-terminus with the validity of AOC, and a fresh security clearance shall be required for renewal of AOC. 4.4. Any change in the Board of Directors of the Company, or induction of foreign national as CEO/COO/CFO/ any other similar Designation(s) exercising management control at any time shall not be effected unless approved by Ministry of Civil Aviation and the security clearance has been obtained from MHA through MoCA. 4.5. Any change in the shareholding pattern of the Company involving a change of 10% or more shall not be effected, unless the security clearance is obtained from Ministry of Home Affairs through Ministry of Civil Aviation. 4.6. The Applicant/AOC holder shall provide information to Ministry of Civil Aviation and DGCA regarding criminal case(s), if any, registered against the company, owner, promoter or any of its Directors at any point of time. 4.7. Induction of Directors or other management personnel requiring security clearance, or changes in shareholding pattern, without prior security clearance shall invite penal provisions as per para 16 of this CAR. 5. NO OBJECTION CERTIFICATE (NOC) FROM MINISTRY OF CIVIL AVIATION 5.1. An applicant desirous of obtaining an AOC for undertaking Scheduled Air Transport Services shall apply for No Objection Certificate (NOC) to the Ministry of Civil Aviation, New Delhi, in the proforma prescribed in Annexure-I, along with a fee of Rs. 2,00,000/- (Rupees Two Lakh only) to be paid in a manner as prescribed by Director General in favor of the Pay and Accounts Office, Director General of Civil Aviation, Ministry of Civil Aviation, New Delhi. 5.2. The application shall contain information on the following aspects: a) Details of the proposed operations b) Copy of application for security clearance submitted through eSAHAJ 3CIVIL AVIATION REQUIREMENT SECTION 3 AIR TRANSPORT SERIES ‘C’ PART II 19th APRIL 2022 portal c) Project feasibility report for the routes proposed for operation as per Annexure II of this CAR. d) Proposed financial structure e) Acceptable proof of the ability of the applicant to run air services on a sustained basis f) Ownership pattern of the applicant, including FDI, if applicable g) Time frame in which the applicant proposes to operationalise the various stages of the project h) Aircraft type to be used and its suitability for passenger services i) Human resources and maintenance support j) Any other information that may be required by the Ministry of Civil Aviation 5.3. An applicant shall be required to furnish full and detailed information with regard to the shareholding of any airline in the foreign investing institution/entity, if any, and composition of the Board of Directors and senior management of the said foreign investing institution/entity, and shall submit information of changes, if any at later stage. 5.4. While the foreign investing institution/entity including foreign airlines, which seeks to hold equity in the company/entity undertaking Scheduled Air Transport Service may have representation on the Board of Directors of the Company, such representation shall not exceed 1/3rd of the total. 5.5. A company/entity undertaking Scheduled Air Transport Service shall not enter into an agreement with a foreign investing institution or a foreign airline, which may give such foreign investing institution or foreign airlines or others on behalf of them, the right to control the management of the domestic operator. 5.6. A company/entity undertaking Scheduled Air Transport Service may enter into financial arrangements with a bank and/or other financial institutions including foreign airline for the purpose of lease-finance, hire purchase or other loan arrangements. 5.7. All foreign nationals likely to be associated as a result of investment by foreign airlines shall be cleared from security view point before deployment. 5.8. An applicant who seeks permission for undertaking Scheduled Air Transport Service will be required to give a declaration that he fulfills all the eligibility requirements contained in this CAR. 5.9. An applicant which furnishes wrong information in respect of any of the above prescribed requirements at any stage shall be liable for suspension/cancellation of his AOC. 5.10. After such scrutiny as is considered necessary by the Ministry of Civil Aviation and approval of the competent authority, applicants who fulfil the basic requirements shall be issued the NOC by MoCA to undertake Scheduled Air 4CIVIL AVIATION REQUIREMENT SECTION 3 AIR TRANSPORT SERIES ‘C’ PART II 19th APRIL 2022 Transport Service subject to any conditions that the competent authority deems fit to impose. 5.11. The NOC shall be valid for a period of three years from the date of issue and shall stand automatically cancelled if the applicant does not take effective steps to obtain the AOC for Scheduled Air Transport Services within this period. 6. APPLICATION FOR GRANT OF AOC 6.1. Based on the NOC granted by the Ministry of Civil Aviation, the applicant shall take necessary steps in accordance with Air Operator Certification Manual (CAP3100) for obtaining Air Operator Certificate for Scheduled Air Transport Services. 6.2. The applicant shall submit a formal application to DGCA as per CAP 3100, along with a fee of Rs 20,00,000/- (Rupees Twenty lakhs only) as prescribed in Schedule XI to the Aircraft Rules, 1937, and requisite manuals/documents. Note: The above mentioned fee shall be paid in the manner as prescribed by Director General in favor of the Pay and Accounts Office, Director General of Civil Aviation, Ministry of Civil Aviation, New Delhi. 6.3. As part of the formal application for grant of AOC, the applicant shall be required to present, to the satisfaction of DGCA, an adequate organization, method of control and supervision of flight operations, training programmes as well as ground handling and maintenance arrangements consistent with the nature and extent of the intended operation. 6.4. The applicant shall ensure compliance of all the applicable regulatory requirements in the various operations, maintenance and safety related manuals/documents. A para wise compliance of all the applicable CARs/Circulars/Regulatory requirements as per Appendix C of CAP3100 shall be submitted. 6.5. The applicant shall obtain approval of their security programme from Bureau of Civil Aviation Security (BCAS) and submit the same to DGCA for issuance of AOC. 7. AIRCRAFT REQUIREMENTS 7.1. As prescribed in Schedule XI of the Aircraft Rules, 1937, only multi-engine aircraft with maximum certified take off mass of not less than 5700 Kilograms in case of aeroplanes and 3175 Kilograms in case of helicopters shall be used to undertake scheduled air transport services, and the aircraft shall meet the requirements as may be specified by the Director-General, from time to time. 7.2. The applicant shall have a fleet of minimum 05 (five) aircraft either by outright purchase, or, through commercial dry lease. The aircraft shall be registered in India and holding a Certificate of Airworthiness in Normal Passenger category. 5CIVIL AVIATION REQUIREMENT SECTION 3 AIR TRANSPORT SERIES ‘C’ PART II 19th APRIL 2022 7.3. Notwithstanding the requirement under para 7.2 above, in order to facilitate the start of the operations, the applicant will be permitted to start the operation with one aircraft and meet the requirement for a fleet of 05 (five) aircraft within a period of one year from the date of obtaining AOC. 7.4. For import/ acquisition of aircraft, the applicant shall obtain permission from DGCA. 7.5. The aircraft proposed to be imported for undertaking Scheduled Air Transport Service shall meet the age related requirements as specified in CAR Section 2, Series ‘F’, Part XX. 7.6. The applicant shall ensure that aircraft : - i. has a type certificate issued/validated/accepted by DGCA; ii. is maintained in an approved maintenance organization and certified by licensed personnel; iii. continued airworthiness is managed by an approved Continuing Airworthiness Management Organization(CAMO); iv. remains airworthy during its operation and complies with applicable Aircraft Rules, 1937 and Civil Aviation Requirements; v. is fitted with appropriate instruments and equipment suitable for the type of operations in which it is engaged. 8. ORGANIZATION AND PERSONNEL 8.1. The applicant shall have an organisation to the satisfaction of DGCA, which shall be adequately staffed with qualified and trained personnel to conduct operations safely and regularly as per applicable regulatory requirements. 8.2. The applicant shall appoint an Accountable Manager, who has corporate authority for ensuring that all the operations of the operator can be financed and carried out to the standard required for the issue of an Air Operator Certificate. 8.3. The Accountable Manager shall nominate suitable persons serving full time in the organisation for post holder positions as per requirements given in Annexure-III to this CAR. Such persons shall be accepted/approved by DGCA. 8.4. The applicant must state in the general policy provisions of the operations manual as per applicable CARs and regulations, the duties, responsibilities and authority of such post holders. The names and business addresses including email & contact number of the post holders shall be listed in the operations manual. 8.5. The applicant shall have on his regular employment sufficient number of flight crew and cabin crew but not less than three sets of crew per aircraft. The flight 6CIVIL AVIATION REQUIREMENT SECTION 3 AIR TRANSPORT SERIES ‘C’ PART II 19th APRIL 2022 crew should hold current licenses issued by DGCA with appropriate endorsements of the type of aircraft operated. The cabin crew should have appropriate authorization/endorsements competency cards as per the requirements of DGCA. Note: DGCA may, permit a few appropriately qualified foreign licensed pilots to fly Indian registered aircraft after validation of their foreign licenses for a limited period to enable the operator to recruit and train Indian pilots for them to acquire aircraft type endorsement on their licenses. However, foreign cabin crew shall not be permitted. 8.6. The applicant shall have technical personnel to oversee the Continued Airworthiness and Maintenance including contractual maintenance, as required under CAR M. Note: - DGCA may allow, with the approval of the competent authority, a few appropriately qualified and licensed foreign engineers to carry out and certify maintenance work of Indian registered aircraft for a limited period to enable engineers of the operator to acquire necessary maintenance experience for acquiring the type endorsement. 8.7. The operator shall ensure that both operational and ground staff dealing with passengers, baggage, and cargo undergo initial and recurrent Dangerous Goods training programme in accordance with CAR Section 11 Series C Part I. 9. FACILITIES 9.1. The operator shall have an approved main operational base which may be supported by sub-bases commensurate with scale of operations. The main base shall have appropriate mechanism to supervise and monitor the entire operations. 9.2. The operator shall have adequate arrangement for ground handling, preparation of load and trim sheet, flight dispatch and passenger/cargo handling. The staff should have undergone the training and checks as specified by DGCA. The requirements specified in this regard as per applicable CARs under Section 8 (Aircraft Operations) shall be followed. Further, the operator shall also maintain any other such facilities that may be required as per applicable CARs under Section 8. 9.3. The operator shall have appropriate arrangements for ensuring Continuing Airworthiness as per requirements contained in CAR-M, as well as maintenance arrangements in consonance with the requirements contained in CAR 145. 9.4. The operator shall have facilities for conducting breath-analyzer examination of its aviation personnel as specified in CAR Section 5 Series F Part III. 9.5. The operator shall have suitable arrangements for examination of its aviation personnel for consumption of psychoactive substances as specified 7CIVIL AVIATION REQUIREMENT SECTION 3 AIR TRANSPORT SERIES ‘C’ PART II 19th APRIL 2022 in CAR Section 5 Series F Part V. 9.6. The operator shall have approved arrangements/ facilities and manpower for imparting training (including refresher training) to their flight crew, cabin crew, flight dispatchers and other operational staff. 9.7. The operator shall implement flight data analysis program as per requirements laid down in DGCA CAR Section 5 Series F Part II. 10. DOCUMENTATION 10.1. The operator shall ensure that the Continuing Airworthiness Management Exposition (CAME), Maintenance programme requirements, maintenance record-keeping, modification and repair data approval requirements, AMO and maintenance release requirements specified in the Aircraft Rules, 1937 and Civil Aviation requirements are compiled, and the aircraft remains in a safe condition throughout the operational life of the aircraft and continues to conform to the approved design data. 10.2. The operator shall ensure availability of all necessary operational documents and publications for reference by its personnel. 10.3. The operator shall establish an effective Flight Safety Documentation System for use and guidance of its personnel. 10.4. The operator shall have a Flight Safety Manual laying down his policies and procedures for ensuring safety of operations, emergency response, investigation of occurrences, implementation of safety recommendations, accident/incident prevention programmes and safety enhancement measures. Proactive safety measures should be adopted to the maximum extent. 10.5. The operator shall establish Safety Management System as per CAR Section 1 Series C Part I. 10.6. The operator shall have adequate setup for crew scheduling and also have a computerised system to maintain their flying record and monitor compliance of Flight Duty Time Limitation (FDTL), currency of licenses, medical and proficiency checks, and refresher courses done/due etc. 10.7. An operator shall have a Ground Handling Procedures Manual which explains in sufficient details verifying that the lines of responsibilities are clearly defined for Ground Handling functions and associated with the following when applicable both at Home Base and proposed destinations of operations, a. Ramp Operations b. Passenger Services c. Baggage Services d. Cabin Services e. Weight & Balance Control 8CIVIL AVIATION REQUIREMENT SECTION 3 AIR TRANSPORT SERIES ‘C’ PART II 19th APRIL 2022 f. Ground Support Equipment g. Fuel Services Note: Guidance on preparation of Ground Handling Procedures Manual is given in Air Transport Circular 1/2022. 10.8. Ground Handling Procedure Manual shall also contain; ground handling training requirements, subcontracting policies, handling processes, procedures and practices for all ground handling operations. 10.9. Ground Handling Procedure Manual shall include procedures for informing passengers as to the types of goods which they are forbidden from transporting aboard an aircraft as provided in the ICAO Technical Instructions (DOC 9284). 10.10. All operators of passenger aircraft shall provide passenger safety information briefing card at every passenger seat location. 10.11. The Operator shall submit the description of aircraft livery. The livery shall be in accordance with Sub Rule (2) of Rule 37A of the Aircraft Rules, 1937. 11. GRANT OF AIR OPERATOR CERTIFICATE 11.1. The Air Operator Certificate for Scheduled Air Transport Services shall be granted upon successful completion of the process as contained in Air Operators Certification Manual (CAP3100) wherein the applicant would be required to demonstrate, to the satisfaction of DGCA, an adequate organization, method of control and supervision of flight operations, training programmes as well as ground handling and maintenance arrangements consistent with the nature and extent of the intended operation. 11.2. AOC shall be issued along with the Operations Specifications for Scheduled Operations stipulating any conditions, if considered necessary. 11.3. The Air Operator Certificate shall be initially issued for a period not exceeding one year. The AOC may be extended further for the remaining period not exceeding five years provided the aircraft fleet has been augmented to minimum of five aircraft as per paras 7.2 and 7.3 of this CAR. For extension of validity of the AOC beyond one year, the Operator shall submit application as per Para 15 of this CAR no later than 15 days before the expiry of the AOC. No fees and security clearance shall be required in such cases. 12. FLIGHT SCHEDULE AND ROUTE DISPERSAL GUIDELINES 12.1. Prior to commencement of operation, the AOC holder shall get their flight schedule approved by DGCA at least 30 days in advance and operate services in accordance with the flight schedule so approved. 12.2. The operator shall operate services on routes and in different regions 9CIVIL AVIATION REQUIREMENT SECTION 3 AIR TRANSPORT SERIES ‘C’ PART II 19th APRIL 2022 of the country in accordance with the orders No. AV 18011/1/2016-DT dated the 8th 10August 2016 and 25th July 2017 issued by the Ministry of Civil Aviation (Annexure IV). Note - The term ‘North-Eastern region’ used in the annexure to the said Order under Category II shall be construed to cover the entire region of ‘ADIZ East’ as defined in the Aeronautical Information Publication (AIP) India RAC 8-5, i.e., the entire Indian airspace north–east of the shortest line through Kishanganj (N2605 E08755) joining the borders of Nepal at N2623 E08735 and Bangladesh at N2555 E08806 including Bhutan. 12.3. The operators, who do not have ILS Category III compliant aircraft in the fleet together with appropriately trained/ rated pilots, shall plan their Winter Schedule so as to avoid disruption to approved flight schedule due to low visibility conditions. 13. SCHEDULED INTERNATIONAL OPERATIONS 13.1. For undertaking scheduled international operations, the AOC holder shall obtain a formal designation and traffic rights from Government of India as per AIC 10 of 2022 and in accordance with the provisions of the Air Services Agreement (ASA). 13.2. On receipt of the formal designation and traffic rights, the AOC holder shall apply to DGCA for obtaining permission for operating to the new international destination at least 30 days prior to proposed date of commencement of scheduled international operations along with compliance of Annexure V of this CAR. 14. GENERAL REQUIREMENTS AND CONDITIONS FOR OPERATION 14.1. The AOC holder (the Operator) shall carry out operations in accordance with the scope of the AOC and the Operations Specifications. 14.2. The AOC holder shall ensure continued compliance with all the requirements applicable for issuance of AOC. 14.3. During the validity of AOC, the AOC holder shall comply with all applicable regulations for operation, airworthiness, and any other directions issued by Director General from time to time. 14.4. Prior permission from the Ministry of Civil Aviation shall be required for: a) Change in management of the Company arising out of changes in the equity holdings of the Company; b) Merger, Acquisition or Amalgamation of the company; c) Changes in the equity holding of 10% or more including preferential shareholders of the Company. 14.5. Prior permission from DGCA shall be obtained for any changes in the name of the Company. Revision1, 12th June, 2023 1114.6. The AOC holder shall ensure that before deploying an aircraft for operations, the aircraft has been endorsed on the AOC and Operations Specifications for the aircraft have been issued by DGCA. 14.7. The AOC holder shall ensure that operations are conducted only to/from airports suitable for the type of aircraft. For operations to Defence airfields, requirements stipulated in CAR Section 3 Series D Part I shall be complied with. 14.8. The AOC holder shall ensure that all flight operations are conducted as per approved flight schedule to/from airports duly licensed/approved for public use under Rule 78 of the Aircraft Rules 1937. 14.9. The AOC holder shall ensure that all the security requirements stipulated by Bureau of Civil Aviation Security are strictly followed in respect of their operations at all airports. 14.10. The AOC holder shall ensure compliance of requirements related to security clearance as specified in para 4 of this CAR. 14.11. For carriage of Dangerous Goods by air, the provisions of the Aircraft (Carriage of Dangerous Goods) Rules, 2003 shall be complied with. 14.12. Arms, ammunition, munitions of war, explosives etc. shall be carried only with the written permission from DGCA and subject to the terms and conditions of such permission. 14.13. The Air Operator Certificate shall be displayed in the office of the Accountable Manager. 14.14. A copy of the AOC along with the Operations Specifications shall be carried on board the aircraft. 14.15. The operator shall ensure that the information given in the manuals is maintained up-to date and is in conformity with the rules and regulations and all concerned personnel are kept familiar with the relevant contents of the manuals. 14.16. Scheduled operators can conduct Charter/ Non-Scheduled operations provided such flights do not affect their normal approved flight schedule. 14.17. The operator shall submit to DGCA, statistical data regarding their operations such as capacity deployed, passengers carried, aircraft hours flown, cargo carried etc. as per the prescribed proforma (Annexure VI) on a monthly basis so as to reach DGCA office before the tenth day of the next month. 14.18. The AOC holder shall issue passenger tickets in accordance with the provisions of the Carriage by Air Act, 1972 and any other requirements which may be prescribed by DGCA. The tickets shall stipulate the conditions of carriage including the liability of the operator. 1214.19. The operator shall maintain a current insurance for an amount adequate to cover its liability towards passengers and their baggage, crew, cargo, hull loss and third-party risks in compliance with the requirements of the Carriage by Air Act, 1972, or any other applicable law. 14.20. The operator shall intimate slots and/or flights not operated for a considerable period to DGCA and all concerned agencies every month. 14.21. The Operator shall obtain necessary approval from all concerned agencies before combining/ re-routing any flight under normal conditions of operation. However, no prior clearance will be required for re-routing of flights on account of conditions stipulated in CAR Section 3 Series F Part I. 15. RENEWAL OF AOC 15.1. The validity of security clearance is co-terminus with the validity period of AOC. The operator shall submit the request for renewal of security clearance of the company/organization and its board of directors, through ‘e-sahaj’ portal 180 days prior to expiry of AOC. 15.2. The operator shall apply for renewal of AOC at least 90 days prior to expiry along with the following: (i) Duly filled Appendix L of CAP3100 along with requisite supporting documents. (ii) Copy of e-sahaj request for renewal of security clearance. (iii) Fee for renewal Rs. 10,00,000/- (Rupees Ten lacs only) to be paid in a manner as prescribed by Director General in favor of the Pay and Accounts Office, Director General of Civil Aviation, Ministry of Civil Aviation, New Delhi. 15.3. The operator shall demonstrate continued capability to conduct the operations authorized under the Air Operator Certificate as per process laid down in CAP3100. DGCA may carry out an inspection of the operator’s facilities and operations, if considered necessary. 16. AMENDMENTS TO AIR OPERATOR CERTIFICATE 16.1. Addition of same type of Aircraft 16.1.1 The operator shall ensure the compliance of paid-up capital requirements commensurate to the type and number of aircraft as laid down in para 3.2 of this CAR. 16.1.2 The request for addition of same type of aircraft shall be submitted along with following documents: i. Duly filled Appendix M of CAP3100, ii. Copy of valid C of R, C of A, ARC, Noise, Weight Schedule. 13iii. Insurance coverage for Aircraft, Passengers & Cargo, Third Party liabilities, Crew members. iv. Requisite supporting documents along with approvals for the Operations Specifications proposed to be endorsed for the aircraft. v. Any other document which may be required by DGCA. 16.2. Addition of new type of Aircraft The operator shall submit a formal application with dully filled Appendices A/B/C of CAP3100, along with updated manuals for the purpose of certification for the new type of aircraft as per Air Operator Certification Manual. 16.3. Foreign Registered Aircraft on Dry/Wet/Damp Lease 16.3.1 An operator may operate a civil aircraft which is leased to it without crew and is registered in a country which is a party to the Convention on International Civil Aviation and meets the requirements specified in CAR Section 3 Series C Part XIII. 16.3.116.3.2 An operator may also operate foreign aircraft on wet/damp lease from a foreign operator subject to compliance of requirements specified in CAR Section 3 Series C Part I. 16.4. Removal of Aircraft from AOC 16.4.1. The operator shall ensure that the aircraft which have been deregistered are removed from the AOC. Request for removal of any aircraft from the AOC shall be submitted along with the copy of certificate of de-registration in respect of the aircraft. 16.4.1.16.4.2. Any of the aircraft endorsed on the AOC which has not been utilized for scheduled operations for a period of one year, or is likely to be grounded for a period beyond one year shall be removed from the AOC, unless a permission has been obtained from DGCA to retain any such aircraft on the AOC. However, the operator shall remain responsible for regulatory compliances in respect of such aircraft as long as the aircraft is not de-registered. The aircraft so removed can be added back to the AOC after complying the applicable requirements for addition of aircraft. 16.4.2.16.4.3. DGCA may also remove any such aircraft from the AOC, where the aircraft has not been utilized for scheduled operations for a period of one year, or it is reasonably expected that the aircraft is likely to remain grounded for a period beyond one year due any reason, or the operator does not have the required crew/personnel/resources for operating such aircraft/fleet. 16.5. Changes in Operations Specifications of Aircraft The request for change of Operational Specifications shall be submitted with Appendix M of Air Operator Certification Manual along with a copy of requisite approvals for the revised Operations specification elements. 1417. PENAL PROVISIONS Any violation of applicable regulatory provisions of the Aircraft Act, 1934, the Aircraft Rules, 1937, or Civil Aviation Requirements, Circulars, Orders/ Directions issued under the said act or rules and as amended from time to time, may invite disciplinary/penal action including but not limited to: a) Variation, suspension or cancellation of the Air Operator Certificate. b) Partial/total withdrawal of approved flight schedule. c) Reduction in airline entitlements on international routes. (Arun Kumar) Director General of Civil Aviation 15ANNEXURE I APPLICATION FOR GRANT OF N.O.C. TO OPERATE SCHEDULED AIR TRANSPORT SERVICES 1. Applicant's details A. In case of an individual a) Name b) Nationality c) Address in India with Telephone, Telex, Fax numbers B. In case of a company or a corporate body a) Name of the company/corporate body with details of registration b) Address with telephone, telex, Fax numbers of the registered office c) Address of principal office of business, including operations and maintenance bases d) Full details of any other business the company is engaged in. e) Names and nationality of the Board of Directors and Chairman/ CEO. f) Details of the share holding of the company g) Percentage share of foreign nationals or company, if any, in the capital of the company h) A copy each of the certificate of incorporation and Memorandum and Articles of Association i) State whether air transport operation is one of the objectives of your company and enclose a copy of Certificate of Incorporation. j) Details of experience in civil aviation field/activities 2. Financial resources a) Authorised equity capital b) Subscribed equity capital c) Other resources (attach supporting documents such as balance sheet, bank certificates etc.) 163. Details of Organisation a) Overall set up including details of operational, management, engineering quality control set up, flight safety cell etc. b) Proposed maintenance facility with details of organisation, equipment and approved program. c) Staff strength of the proposed maintenance personnel and plans of their training d) Number of flight crew with details of their licences and plans of their training for each type of aircraft in the fleet e) Sources of pilots and engineers f) Main maintenance base and operational bases g) Place(s) where the aircraft will night stop with Number of aircraft at each place. 4. Details of aircraft proposed to be operated a) Whether the aircraft is acquired on outright purchase or dry lease or lease finance b) Name and address of Owner /Lessor for the purpose of registration of aircraft. c) Number and type of aircraft. d) Passenger capacity of each type of aircraft. e) Maximum all up weight f) Whether the aircraft is type certified to FAA or JAA requirements g) Arrangements for ground handling equipment at each airport of proposed operations. h) Details of personnel to handle dangerous goods 5. Details of routes proposed to be operated with the type of aircraft. 6. Potential need for the proposed services 7. Projected profitability (a copy of feasibility study as given in Annexure-II may be enclosed) 8. State if the applicant has at any time contravened any provision of the Aircraft Act, 1934, and/or the rules made thereunder. If so, give details. 179. Particulars of fees (enclose payment receipt) 10. By what time the operations are proposed to be started. 11. Any other relevant information. 12. Enclose point wise compliance of requirements of para 3, 4, and 5 of this CAR, along with supporting documents wherever necessary. Certified that the statements made/information given in this application are true. (Signature of the applicant/authorised signatory.) Note : Eight copies of the application are required to be submitted to the Ministry of Civil Aviation. All copies of the application should be supported by documents wherever necessary. 18ANNEXURE-II PROJECT FEASIBILITY REPORT I. The applicant's project feasibility report should clearly indicate the following:- i) The applicant's background and credentials. ii) Estimates of market demand. iii) Proposed route pattern. iv) Aircraft type, number and source including aircraft lease/purchase terms. v) Source of crew and technical personal. vi) Source and deployment of funds. vii) Profitability projections. viii) Details of Foreign investment/equity participation and parawise comments on AIC No. 12/2013. ix) Arrangements for maintenance and training of aircraft maintenance engineers and crew. II. Other details should include:- i) Ownership pattern and proposed financial structure. ii) Acceptable proof of the applicants activity to run air transport services on a sustained basis. iii) Time-frame in which the project would be operationalised, schedule of activities and time frame for each activity. 19Annexure-III NOMINATED POST HOLDERS – EXPERIENCE AND QUALIFICATION REQUIREMENTS 1. Accountable Manager Responsible for the overall functioning of the operation and has the corporate authority to ensure that all operations and maintenance activities can be financed and carried out to the standards required by the DGCA. 2. Nomination of Post Holders 2.1 The applicant shall nominate persons having required qualification and experience for the post holder position as given in Para 3. 2.2 The nomination for a post holder position shall be submitted along with duly filled Performa (CA Form 4) given as attachment to this Annexure. 2.3 Any change in post holder or any vacancy in position listed in Para 3 shall be notified to DGCA in writing, not less than 30 days of the intended change/vacancy along with duly filled prescribed Performa for acceptance/approval of DGCA. 2.4 The persons nominated for Post Holder positions given in Para 3 must: a) Be qualified and experienced for the said position; b) To the extent of their responsibilities, have full understanding of the following with respect to the AOC holder operations: i) Aviation safety standards and safe operating practices. ii) Applicable Regulations and CARs. iii) Operations specifications and relevant manuals. iv) Discharge their duties to meet applicable legal requirements and to maintain safe operations. 3. Post Holder Positions: FLIGHT OPERATIONS: 3.1 Director Flight Operations (DFO) The person so nominated should have the following qualifications and experience:  Having or have held an Indian Pilot License with rating(s) appropriate 20to the proposed category of operation with managerial experience.  Minimum 2000 hours flight time including 1000 hours in command experience on the type/ similar type of aircraft proposed to be inducted/operated Note: Type of aircraft here refers to whether the aircraft is wide body/ narrow body/ turbo-prop. 3.2 Director Training The person so nominated should have the following qualifications and experience:  Having an Indian Pilot License with rating(s) appropriate to the proposed category of operation.  1000 hours in command experience of aircraft on the type/ similar type of aircraft proposed to be inducted/operated  Shall be or had been a TRI/DE. 3.3 Chief Pilot The person so nominated should have the following qualifications and experience:  Should hold a valid Indian Flight Crew license/authorization and current Type Rating for at least one of the aircraft being operated.  500 hours in command experience of aircraft on type of aircraft proposed to be inducted/operated 3.4 Director Cabin Safety This post holder shall function under the authority of the Director Flight Operations. The person so nominated should have the following qualifications and experience:  Two years’ experience in an airline as a manager in In-flight services section; or  Five years’ experience as an instructor handling cabin crew in an airline. 3.5 Cabin Safety Training Manager The holder of this position should be accepted by DGCA and it must be filled with the person who satisfies the requirements as stipulated in CAR 7/M/I. 3.6 Head of IOCC (Integrated Operations Control Centre) The person so nominated should have the following qualifications and experience:  Valid ATPL / Flight Dispatcher authorization (Indian or ICAO-equivalent) or demonstrable equivalent experience in operations control. 21 Minimum 10 years’ experience in airline operations, flight dispatch, crew scheduling/control or operations control environment, of which at least 2 years in a supervisory or management role.  Demonstrated experience in handling irregular operations/disruption management, schedule integrity, crisis response, and cross-department coordination.  Thorough understanding of Indian aviation regulations plus international frameworks (ICAO standards, etc).  Professional degree in Aviation Management, Airline Operations, Business Administration or related field is desirable. 3.63.7 Director Ground Operations Responsible for ground handling activities. The person nominated shall have basic knowledge of the following:  SMS programme of the airline  Passenger and baggage handling  Cargo/Mail handling  Aircraft handling and load control  Ground handling arrangements AIRWORTHINESS 3.73.8 Continuing Airworthiness Manager (CAM) CAM is responsible for the management and supervision of continuing airworthiness activities. The holder of this position should be accepted by DGCA and it must be filled with the person who satisfies the requirements as stipulated in CAR M. 3.83.9 Quality Manager (QM) QM is responsible for the quality standards of continuing airworthiness management organisation. The holder of this position should be accepted by DGCA and it must be filled with an officer who satisfies the requirements as stipulated in CAR M. FLIGHT SAFETY 3.93.10 Chief of Flight Safety (CFS) CFS responsibility and qualifications are stipulated in CAR Section 5 Series F Part I. 3.103.11 Safety Manager (SM) 22SM shall be responsible for the implementation and maintenance of the Safety Management System (SMS) and shall meet the requirements as stipulated in CAR Section 1 Series C Part I. SECURITY 3.113.12 Chief Security Officer Responsible for compliance of security requirements as specified by Bureau of Civil Aviation Security (BCAS).  As required and acceptable by Bureau of Civil Aviation Security (BCAS). Note – It is not obligatory to use the titles above; however, the offices responsible for the duties listed in paragraph above must be clearly identified. 23ATTACHMENT CA FORM 4 DIRECTORATE GENERAL OF CIVIL AVIATION MANAGEMENT PERSONNEL REQUIRED TO BE ACCEPTED 1. Name: 2. Designation: 3. Qualification relevant to the item (2) designation: 4. Work experience relevant to the item (2) designation: Signature……………………………... Date……………………………………… On completion, please send this form under confidential cover to DGCA. DGCA USE ONLY Name, Designation and Signature of DGCA Official Accepting this person: Signature……………………….…..... Date …………………….………………. Name…………………………………. Office …………………………………… 24ANNEXURE-IV F.NO. AV-18011/1/2016-DT Government of India Ministry of Civil Aviation New Delhi, dated the 8th August, 2016 ORDER In exercise of the powers conferred by sub-rule (1A) of rule 134 of the Aircraft Rules, 1937; the Central Government with a view to achieve better connectivity of air transport services and taking into account the need for air transport services of different regions in the country and in compliance with National Civil Aviation Policy 2016 (NCAP) has revised has revised the extant Route Dispersal Guidelines (RDGs) as Annexed for appropriate action. 2. This has the approval of the Competent Authority. -S/d- Usha Padhee Joint Secretary to the Government of India 25F.NO. AV-18011/1/2016-DT Government of India Ministry of Civil Aviation New Delhi, dated the 25th July, 2017 ORDER In partial modification to this Ministry’s Order of even number dated 08.08.2016, the Central Government has decided to amend the following para of the revised RDG, in exercise of the power conferred under Sub-Rule (1A) of Rule 134 of the Aircraft Rules, 1937 The Para “The operator will deploy at least 10% in Category-IIA of the Capacity deployed on Category II routes” May be read as “The operator will deploy at least 1% in Category-IIA of the Capacity deployed on Category-I routes.” 2. The order dated 08.08.2016 stands modifies to that extent. The revised RDG is enclosed. 3. This has the approval of the Competent Authority. -S/d- Rubina Ali Director 26PROVISION OF SERVICES OF DIFFERENT CATEGORIES OF ROUTES UNDER ROUTE DISPERSAL GUIDELINES (RDGs) (including the Orders Dated 8th August 2016 and 25th July, 2017) Category-1 1. Mumbai-Delhi 11 Bangalore-Mumbai 2. Delhi-Bangalore 12 Delhi-Kolkata 3. Mumbai-Chennai 13 Delhi-Chennai 4. Hyderabad- Delhi 14 Mumbai-Kolkata 5. Bangalore-Kolkata 15 Chennai-Kolkata 6. Bangalore-Pune 16 Ahmedabad-Delhi 7. Delhi-Patna 17 Mumbai-Jaipur 8. Mumba-Cochin 18 Delhi-Pune 9. Mumba-Chandigarh 19 Delhi-Goa 10. Mumba-Luknow 20 Chennai-Pune Category-II Routes connecting station in North Eastern Region, Jammu and Kashmir, Himachal Pradesh Uttarakhand, Andaman & Nicobar and Lakshadweep. Category-II-A Routes within the North Eastern Region, Jammu and Kashmir, Himachal Pradesh, Uttarakhand, Andaman & Nicobar and Lakshadweep and Cochin-Agatti-Cochin. Category-III Routes other than those in Category-I, II & IIA. Anyone who operates scheduled air transport services on one or more of the routes under Category-I shall be required to provide such services in categories-II, IIA and III as indicated below:- (i) The operator will deploy atleast 10% in categories-II of the capacity deployed on the categories-I routes. (ii) The operator will deploy atleast 1% in categories-IIA of the capacity deployed on categories-I routes. (iii) The operator will deploy atleast 35% in categories-III routes of the capacity deployed on categories-I routes. Withdrawal or revision of the domestic operations to and within Northeast region, Island territories and Ladakh subject to full compliance with RDG can be done under prior intimation to ministry of Civil Aviation and DGCA atleast 3 months before the withdrawal or revision of the service. Routes under different Categories will be reviewed by Ministry of Civil Aviation once in every five years from the year of issue of the RDG or as and when required on need basis. Note 1 : A service operated on Category-I route as a part of international air service 27will not be reckoned for the above purpose. Note 2 : Capacity deployed will be reckoned in available Seat Kilometers (ASKM). For the purpose of meeting the RDG requirements. The scheduled airlines (both air transport operators and commuter operators) are permitted to trade available seat kilometers (ASKM) of helicopters and other small aircrafts (maximum AUW not exceeding 40 tons) operating under regional connectivity scheme to extend the last mile connectivity seamlessly to underserved or unserved areas. Note 3 : On multiple sector routes like Delhi- Kolkatta- Guwahati-Imphal, the capacity provided on Delhi – Kolkatta sector will be counted towards Category- I that provided on Kolkatta – Guwahati sector towards Category-II and the capacity on Guwahati- imphal sector will be counted towards service exclusively within Category –IIA. Note 4: The revised categorization of routes under RDG will be effective from the winter schedule of 2017. 28ANNEXURE-V REQUIREMENTS FOR INTERNATIONAL OPERATIONS BY SCHEDULED INDIAN OPERATORS The AOC holder shall: 1. Comply with the laws, rules, regulations and requirements of the country to which operations are proposed to be undertaken. An undertaking to this effect shall be submitted by the Accountable Manager. 2. Obtain slots from the respective airports. 3. Furnish a copy of the insurance policy covering the liability of the airline in accordance with the provisions of the Carriage by Air Act, 1972 as amended by the Carriage by Air (Amendment) Act, 2009 giving effect to the Montreal Convention, 1999. 4. Submit an assessment report of the proposed operations, after carrying out a Safety Risk Assessment (SRA) including an inspection of the destination airport covering all the aspects related to operations, maintenance and flight safety 5. Develop Standard Operating Procedures (SOP) for the destination airport for the type of aircraft intended to be operated which shall form a part of Operations Manual and shall require approval of DGCA. The SOP should be prepared taking into account the type of aircraft vis-à-vis the destination airport runway length and strength, one-engine Inoperative approach, take-off and climb procedures, adequacy of fire-fighting and rescue facilities, clearance of en-route obstacles in case of an engine failure, route and airfield qualification for pilots, recency requirement for pilots, FDTL, aerodrome operating minima, etc. Note: Aeronautical and Metrological data used for developing such SOP should be from an approved source. 6. Ensure arrangements for flight dispatch and medical examination of the crew as per the approved Operations Manual. 7. Ensure availability of its own trained/ qualified personnel or suitable arrangements for load & trim at the proposed international station. 8. Ensure availability of approved maintenance facilities, either own or contracted to DGCA approved/ accepted foreign maintenance organization along with availability of requisite manuals such as Trouble Shooting Manual/ Fault Isolation Manual, Maintenance Manual etc. at the foreign station. 9. Ensure adequate ground handling arrangements at the destination airport. A copy of the agreement with regard to ground handling arrangements shall be provided. 10. Furnish a copy of the approval/in-principle approval granted by BCAS for operation to the proposed station. Revision 1, 12th June, 2023 29ANNEXURE VI PROFORMA FOR SUBMISSION OF STATISTICAL/TRAFFIC RETURNS 1. Form A 2. Form B 3. Form C 4. Form D 5. Form EF (Part 1-3) 6. Form EF(Part 4) 7. Form I 30